The fast lane to future vehicles is one of Valmet Automotive’s slogans. Speed is in our DNA. Cars have been made at the Uusikaupunki car factory since 1968 and today, in 2022, we have three business lines and operations in Finland, Germany and Poland. With more than 50 years of experience working on projects of all shapes and sizes, we have real experience and knowledge of how to bring projects to a successful conclusion.

In early 2021, we stopped to look at the overall state of our projects. In addition to our project management expertise, we had a project office with experts and established tools and processes around project management. However, as an organisation we were in a period of transition, in the midst of growth. There were a lot of projects going on, which raised questions about the big picture, resource adequacy, bottlenecks and interdependencies between projects. The need for a better understanding of the big picture reared its head and the idea of portfolio management was born.

We created the first framework and objectives for portfolio management. With the fast lane to future vehicles attitude, we rolled up our sleeves and created a systematic path for project evaluation and approval, resource planning and assurance, and started building Valmet Automotive’s first project portfolio.

Three project portfolios – one Valmet Automotive

The first project portfolio was started to build the contract manufacturing business. During the spring of 2021, we had several workshops with our partner Thinking Portfolio. In these workshops, the portfolio was built to support the needs and objectives of the contract manufacturing business. At the same time, we worked on processes around portfolio management and tested both the processes and the usability of the tool, including through service design.

In May, we had Valmet Automotive’s first project portfolio ready, designated lead users, training underway and the first processes around portfolio management and the new tool in place.

The positive experience in the contract manufacturing business has led to a renewed interest in building a project portfolio in other business lines as well. In spring 2021, we were faced with a major decision: would one common project portfolio be enough for us as Valmet Automotive, or should we build separate portfolios for each business line? As a result of the pre-study, it was decided to build a separate project portfolio for each business line to support the objectives of that business line. However, this solution required that the portfolios would provide a big picture view of all Valmet Automotive projects in terms of status, resources and schedule, for example.

In autumn 2021, the undersigned stepped into the shoes of the project manager and the project to build the new portfolios was launched. At the end of the year, we proudly looked at a set of three project portfolios, each tailored to support the objectives of the business line. This was supported by a common resource portfolio, which allowed us to assess the resourcing of projects from different perspectives. The common resource portfolio enabled the planning, evaluation, approval and monitoring of project resources at project, department, business line and Valmet Automotive-wide levels.

Management support, commitment and data quality

Portfolio management is based on management support. No first step in portfolio management is taken without management commitment and ambition – and that’s how it was for us. We wanted to invest in portfolio management and understand our projects better.

Portfolio management and project portfolios were built based on the objectives set by management. Management wanted a better understanding of the big picture. As the whole is made up of its parts – in this case projects – a top-level view would require accurate, reliable and high-quality information on projects.

So how can we be sure of the quality and reliability of the data? This is where the data producers come in, in Valmet Automotive’s case the project managers and coordinators. We wanted the processes around portfolio management to be clear and transparent, and the tool and project portfolio to be usable as a whole, also from the project manager’s perspective. The tool was therefore used from the outset to build a support base for project management as well. This was seen to support the project manager’s work, ensuring the accuracy of information, creating motivation and adding value for all.

Usability through service design

Development work around portfolio management and the tool is ongoing. The goals set at the beginning have been achieved and new goals are being created along the way to support the whole. Users are key to the development of portfolios and portfolio management. Service design methods have been used to identify new users, shape processes around portfolio management, make the tool user-centric and describe user paths around project and portfolio management. We have also used service design to create usability, quality and motivation. Understanding users has been key in developing the tool, as this is how we ensure the quality of information – the core of portfolio management.

A solid basis for the future

When we considered building project portfolios for all of Valmet Automotive’s business lines, the options were one large Valmet Automotive project portfolio or customized portfolios for each business line. Although we are one, unified Valmet Automotive, the decision was made with the understanding that we will get more out of the portfolios if we tailor them individually to the needs of each business line. The reflection crystallised around whether we wanted a top-level description of projects or a strategic tool to support the objectives of each business line. Now we can say that we got both.

By the end of 2022, we will have three project portfolios supporting the strategic objectives of each of Valmet Automotive’s business lines. We have 184 projects underway and around 1,000 people working on projects. Five strategic programmes are underway and during 2021-2022 we will have completed 216 projects. Today, we have a solid basis for the future and a more strategic portfolio management.

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