The Study For Project Portfolio Management Applied In The Construction Of Rural Highway In Three Gorges Reservoir Area

With the strong support from our country, it is 10 years since the rural road has developed rapidly, which created a higher origin. It is difficult for rural highway construction to avoid the traffic jam in the contiguous poor areas which include the three gorges reservoir area.The rural highway project in the three gorges reservoir area is characterized by full scale and varied size which make it hard for the the construction unit to manage the project. This paper aimes at the mutlti-project management problem to put forward a new concept that theory of project portfolio management is applied to the rural road project.On the basis of existing portfolio management theory research, a new idea applied in the rural road is described in the paper. Besides, a procedure used in the rural highway project portfolio management is designed under the guidance of the new theory. The paper does a main research into the strategic management and the portfolio management of the rural road project portfolio. First of all, the organization based on the strategy is established to keep the consistency of the implementation of the procedure included in the portfolio management. Secondly, a fuzzy parameter which here specifies the strategic target of rural road construction is used to help evaluate the priority of rural highway project to guarantee that the built rural road project share the same strategic goal with our country. What’s more, the project portfolio is optimized by building a portfolio optimization model to improve the return on the investment in the rural highway project. Thirdly, critical chain project management technique is applied to implementate the portfolio to avoid the resource conflict which occur in the process of implementation. Finally, we take rural highway construction project of FengJie county as an empirical analysis example.This innovative paper covers that the theory of project portfolio management is applied in the project to make the strategic goal of rural road construction come true.Furthurmore, the return on the input is improved by optimizing the portfolio. Last but not least, the application of critical chain project management technique into the implementation of the rural road can diminish effectively the resource conflict in the process of impletion.