Application Research Of Portfolio Management In The R&d Project Management

R&D project is a most regular project type a company would manage. However, R&D project is somehow different with normal projects, while it has many specialty. A company always has more than one R&D project in hand. They bear all kinds of content and target. And they need large investment, both money and people. It is a challenging task to do R&D management. Portfolio management is a new direction of project management. It focus on the selection, optimization and balancing of projects. It is targeting both the organization's strategy and total reward. When portfolio management is applied in R&D management, it shows a fantastic match. Portfolio management can easily explain the shortage and toughness of R&D management, as well as provide a good solution to it.The article started with a general introduction of R&D management and portfolio management theories. Basing on the yearly experience in R&D management department of a certain power generation equipment company, it applied the R&D management and portfolio management theories to the R&D project management of a large-scale manufacturer. It analyzed detailed lifecycle process of R&D projects, its organization structure, management model, process characteristics, and summarized its disadvantages. It used portfolio management ideas and rearranged the entire lifecycle of R&D project. Finally, it suggests a brand new improvement proposal based on the criteria re-weighting and expert judgment.This article applied the idea of portfolio management to the day-to-day work. It pointed out the overwhelming influence of a linear function organization structure to the proposal. The proposal is designed to be a standard, normal routine, which considered the specialty of power generation industry, power generation equipment, relevant R&D project and company culture. And this proposal is hoped to be practical and effective, to increase the management efficiency and profit. It made it possible to realize more company strategy in the R&D project. It may provide some new view of R&D management of nowdays.