Project Portfolio Management Market Size, By Component (Solutions, Services), By Deployment Mode (On-premises, Cloud), By Organization Size (Large Enterprises, SME), By Industry Vertical (IT & Telecom, BFSI, Healthcare, Manufacturing, Retail, Government & Public Sector), Forecast 2024 - 2032

Project Portfolio Management Market Size

Project Portfolio Management Market was valued at USD 5.3 billion in 2023 and is estimated to register at a CAGR of over 7% between 2024 and 2032. The increasing use of cloud-based services for remote assignment monitoring is a critical factor spurring market growth. The rising automation and digitalization in industries, such as healthcare, government, BFSI, telecom, engineering, and construction, have surged the demand for monitoring & analytical solutions to boost productivity and business efficiency. This promotes the adoption of Project Portfolio Management (PPM) solutions. The growing complexities of projects, as well as the need for timely & efficient management, are expected to drive market growth during the forecast period. Furthermore, the need to gain a 360-degree view of project operations and mobile resource management is boosting the demand for project portfolio management solutions.
 

Project portfolio management (PPM) is a strategic approach that organizations use to prioritize, select, and manage a portfolio of projects in a coordinated & efficient manner. It involves the centralized management of multiple projects to ensure alignment with organizational goals, optimize resource allocation, and maximize project outcomes. Project portfolio management provides a structured framework for organizations to assess & analyze the potential value, risks, and resource requirements of individual projects and make informed decisions about project selection & prioritization. It also involves evaluating project proposals, prioritizing projects based on their strategic importance & resource availability and monitoring their progress & performance throughout their lifecycle.

Project portfolio management involves strategic decision-making, which can be complex and require careful analysis of multiple factors. Inadequate decision-making processes or lack of access to reliable data can hinder the effective implementation of project portfolio management. Furthermore, without strong executive support and commitment, project portfolio management initiatives may struggle to gain traction. Executive sponsorship is crucial for providing the necessary resources, authority, and direction to effectively implement & sustain project portfolio management practices.
 

COVID-19 Impact

The pandemic led to disruptions in businesses and industries worldwide, causing many projects to be delayed, postponed, or canceled. This created further disarray in project portfolios and prompted organizations to reassess their project priorities and reallocate resources accordingly. With the implementation of remote work arrangements due to lockdowns and social distancing measures, project teams shifted to virtual collaboration and communication. This shift required organizations to leverage project portfolio management tools & technologies that facilitate remote operation and ensure effective coordination among team members.
 

Project Portfolio Management Market Trends

The rising digitization and increasing adoption of automation have fueled the demand for analytical and monitoring solutions in multi-regional businesses, supporting market growth. The increased demand for project management software and services to effectively manage & reduce project complexities is expected to augment market expansion over the forecast period. Furthermore, rising public and private investments in R&D activities have accelerated innovation in solutions such as mobile application-based project portfolio management solutions that enable firms to reach a large consumer base. The increasing use of project portfolio management solutions in data management services and the growing trend of Bring Your Own Device (BYOD) across multiple business sectors are facilitating the industry growth during the forecast period.
 

Project Portfolio Management Market Analysis

Based on organization size, the market is divided into large enterprises and SME. The large enterprise segment held a market share of 25% in 2023.  This growth is attributed to the availability of high capital and affordability, aiding large organizations to implement these solutions. To gain a competitive edge in the market, large enterprises are heavily investing in several projects to develop innovative product lines or replace & improve existing processes/products. This factor is encouraging the adoption of project portfolio management solutions, driving market growth over the forecast period.
 

Based on industry vertical, the market is categorized into IT & telecom, BFSI, healthcare, manufacturing, retail, government & public sector, and others. The IT & telecom segment held a market share of 25% in 2023. The IT & telecom industry is known for its complex and dynamic projects involving software development, infrastructure deployment, system integration, and digital transformation initiatives. Project portfolio management solutions assist IT organizations in effectively managing these complex projects by providing visibility into project portfolios, resource allocation, and project progress tracking. IT & telecom companies have limited resources, which need to be allocated optimally across various projects. Project portfolio management tools enable IT organizations to efficiently manage & allocate resources based on project priorities, skill requirements, and availability. This ensures that resources are utilized effectively, reducing bottlenecks, and maximizing project productivity. 
 

North America led the global project portfolio management market with a share of over 35% in 2023. Owing to significant infrastructure development and the spread of startup companies, the region is expected to maintain its dominance over the projected timeline. Various companies in the region are implementing business intelligence & analytics solutions, and analytics-based strategies are playing an important role in proliferating market growth. Furthermore, companies with digital infrastructure are implementing project portfolio management solutions to initiate collaborative decision-making to increase the success rate of their projects in the region. Various end-use sectors in the U.S. including healthcare, manufacturing, BFSI, and construction are implementing project portfolio management services to manage their overall business operations, thereby efficiently eliminating unnecessary costs.
 

Project Portfolio Management Market Share

Some of the major players operating in the project portfolio management industry are:

• Oracle Corporation
• Microsoft Corporation
• SAP SE
• Adobe Inc.
• HPE
• Hexagon AB
• Planview Inc

These players are focused on strategic partnerships, new product launches, and commercialization efforts for market expansion. They are also heavily investing in research to introduce innovative products and garner the maximum market revenue.
 

Project Portfolio Management Industry News

• In July 2022, Wrike launched Custom Item Types, which is a unique core platform capability that allows users to create work item types as per their team’s specific culture and style.
   
• In March 2022, ServiceNow launched Now Platform San Diego. The new version has a modern visual design and Robotic Process Automation (RPA) capabilities that aid organizations in addressing challenges and transforming their businesses.
   

The project portfolio management market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Billion) from 2018 to 2032, for the following segments:

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Market, By Component

• Solutions
• Services

Market, By Deployment Mode

• On-premises
• Cloud

Market, By Organization Size

• Large Enterprises
• SME

Market, By Industry Vertical

• IT & telecom
• BFSI
• Healthcare
• Manufacturing
• Retail
• Government & public sector
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Netherlands
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Singapore 
• Latin America
  • Brazil
  • Mexico
• MEA
  • UAE
  • South Africa
  • Saudi Arabia