Question

Identify what COBIT2019 advises users about portfolio management (PM)?

Answer 1

COBIT refers to Control Objective for Information and Related Technology. It is the framework created by ISACA for IT governance and management. The framework advises on various aspects related to information technology and one of the aspect is portfolio management. The COBIT 2019 has came up with various advises for the users, these are laid down as follows:

APO05.01 : Determination of availability and sources of funds - It asks to determine the potential sources of funds, different funding options and the implications of funding source on the return that will be generated.

APO05.02 : Evaluation and selection of programs to fund - This point advises users that based on the requirement of the overall investment portfolio mix, it is important to evaluate and prioritize different program business cases as well as investments proposals. The funds should be allocated and program should be initiated.

APO05.03 : Monitor, optimize and report on Investment portfolio performance : It is essential that the investment portfolio should be monitored on a continuous basis through out the investment life cycle. There should be alignment of portfolio with the ultimate I&T strategy in an effective manner.

APO05.04 : Maintenance portfolios - It is important to maintain portfolios of investment programs and projects, I&T products and services etc.

APO05.05 : Management of benefit achievements - It is equally important to monitor the benefits that are associated with providing and maintaining right kind of I&T products, services etc.