INFLUENCE OF PORTFOLIO PLANNING ON PERFORMANCE OF GOVERNMENT PROJECTS IN RWANDA. A CASE OF KICUKIRO DISTRICT

Abstract

Project portfolio management is becoming established in both practice and the literature as a tool for prioritizing and managing multiple projects at the enterprise level. Despite the quantifiable benefits of portfolio management, relatively few public organizations have perfected the practice. In today's environment of tight budgets, rapid change and high risk, it is very astonishing that organizations continue to waste resources and efforts by delivering or by getting involved in the wrong projects and programs. This is where portfolio management comes in handy in assisting the government in ensuring that the right programs and projects are begun, and the wrong ones are not and if they are already ongoing it ensures that they are stopped. This study therefore sought to determine the influence of portfolio planning on performance of government projects in Kicukiro district. The design of this research was a descriptive survey research. The population for this study comprised of 18 top level managers, 42 middle level managers and 70 low level managers of Kicukiro District. Stratified proportionate random sampling technique was used to select the sample of 99 respondents. The study used a semi structured self-administered questionnaire to collect data from the respondents. Collected data was analyzed using SPSS version 21. Quantitative data was analyzed by descriptive analysis and presented in form of tables. Content analysis was used for the qualitative data and then presented in prose. From the analysis of the findings in relation to portfolio planning. Respondents agreed with a mean of 4.0366 that Portfolio planning facilitates time planning; they also agreed with a mean of 3.9878 that Portfolio planning is a key to organizational stability and flexibility. However, the respondents were neutral that selected components in a portfolio are prioritized based on evaluation scores as was shown by a mean of 2.5244. The study also conducted a Pearson’s correlation analysis to establish the relationship between the variables. Portfolio analysis ensures good portfolio balance that enables the organization to achieve both growth and profit objectives. The study further concludes that portfolio planning affects the performance of government projects in Kicukiro district. It was evident that Portfolio planning facilitates time planning; it is also a key to organizational stability and flexibility. The research finally concludes that portfolio review affect performance of government projects in Kicukiro district. The study therefore recommends that the management team of government projects in Kicukiro district should consider portfolio inventory in their projects. The study recommends that the management team of government projects in Kicukiro district should always perform Portfolio analysis to ensure good portfolio balance that will enable the district to achieve both growth and profit objectives. The study further recommends that in order to facilitate time planning management team of government projects in Kicukiro district should establish proper portfolio planning. This will result in to organizational stability and flexibility. The study finally recommends that Review process in the project evaluation should ensure that the portfolio contains projects that support the achievement of strategic goals. Key words: Portfolio Planning, Performance, Government Projects, Kicukiro District CITATION : Asiimwe, S., & Mulyungi,P. (2023). Influence of portfolio planning on performance of government projects in Rwanda. A case of Kicukiro District. The Strategic Journal of Business & Change Management, 10 (3), 252 – 262.