Abstract
OVERVIEW:Multi-project organizations must carefully balance pressures to commission new initiatives against engineering's capacity to effectively execute the projects. Although absorbing new projects in constrained organizations can devastate overall department performance, few organizations actually measure development capacity or properly evaluate the impact of adding new initiatives on commitments already in progress. This paper describes how Eli Goldratt's Theory of Constraints can be applied to the management of a portfolio of projects. A scenario generation technique and capacity visualization model allows executives to anticipate the impact of future constraints and take corrective steps that optimize engineering performance.
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