What is the difference between a project, a program and a portfolio?
What the interviewer wants to hear
- A project is a temporary effort with a unique output
- A program groups related projects to gain benefits not possible separately
- A portfolio is a collection of projects and programs managed to meet strategic goals
- Portfolios focus on selection and prioritisation, programs on benefits, projects on deliverables
- Give a short example of each
Model answer
A project is a temporary effort with a defined start and end that creates something unique, such as launching a new mobile app. A program is a group of related projects managed together because coordinating them brings benefits you could not get separately. For example, a digital banking program might include the app, a new payments platform and staff training. A portfolio is the full set of projects and programs an organisation or department invests in to meet its strategic goals. Portfolio management decides what to fund, what to pause and how to balance risk and capacity. In short, projects focus on deliverables, programs on combined benefits and portfolios on doing the right work overall. As a project manager I need to understand where my project fits, because it affects priorities, resources and who makes key decisions.
Can you answer it under time pressure?
Take a timed easy round and get scored on every answer.
More easy Project Manager questions
- Describe the main phases of a project lifecycle.
- How do you manage risks on a project?
- How do you keep stakeholders informed during a project?
- What is the difference between agile and waterfall, and when would you use each?
- How do you track whether a project is on track?
- What goes into a good project management plan?
- How is a Scrum Master different from a project manager?
- How do you make project meetings effective?
- How do you create a work breakdown structure for a new project?