Blog Post
Aligning Money and Strategy
December 12, 2025
Portfolio management makes sure that money and people actually follow strategy, not just PowerPoint slides. When strategy and spending are misaligned, too many initiatives run in parallel, good ideas wait for funding, bad ideas keep going, and coordination overload quietly increases cost, risk and complexity.
In CAO, the organisation is structured into product groups (with value areas), commodity platforms, and go-to-market units. Portfolio management decides how investment flows across these three: which product groups and value areas to grow or shrink, and which platforms to build, extend or retire—managed via a global portfolio, product group portfolios and platform portfolios.
The model shifts focus from approving small projects to making a few clear strategic bets. With clear KPIs, loosely coupled product groups and shared platforms, leaders get sharper accountability, faster change, and better control of cost and complexity—especially when global portfolios are framed as product–market plays that align product, platform capacity and commercial focus around the same bets.