Digital Transformation Project Portfolio Governance Process

Description

/ 9 Digital Transformation Project Portfolio Governance Process Field of invention

[001] The present invention relates to the technical field of digital transformation project portfolio management, with specific applications in areas such as project governance, information technology (IT), and organizational innovation. More specifically, the invention applies to processes of structuring, selecting, and prioritizing projects within a digital transformation portfolio, focusing on the adoption of new technologies, digital solutions, and the optimization of business processes.

[002] The invention falls within the technical field of business process management (BPM), particularly in the management of workflows and the integration of digital solutions in large organizations. Furthermore, it is linked to the technological innovation and digital adaptation sector, offering a framework that can be used in companies across various industrial segments seeking an efficient transition to digital solutions, such as manufacturing, telecommunications, finance, healthcare, and renewable energy companies.

[003] This process can be applied to project and program management (PPM) systems - Project Portfolio Management, particularly in the digital transformation of companies seeking to adopt agile and hybrid methodologies in their technological innovation portfolios. The invention also covers the sector of automation and digitization of business processes, enabling the adoption of solutions that combine technology with business processes, resulting in greater operational efficiency. Fundamentals of the invention

[004] Digital transformation (DT) is defined as the adoption of disruptive digital technologies that promote significant changes in the way businesses are conducted. Petition 870250014708, dated 24 / 02 / 2025, page 5 / 17 / 9 conducted, allowing the development of new business models, improving operational efficiency and enhancing the customer experience (Matt et al., 2015; Berman, 2012). More than simply digitizing existing processes, digital transformation brings about a radical restructuring of how organizations operate, altering their structures and strategies in a profound and comprehensive way (Henriette et al., 2015).

[005] It is not just about implementing digital tools, but about a reconfiguration of business processes, which begin to fully exploit the potential of innovations such as automation, advanced analytics and emerging technologies, including artificial intelligence (AI) (Ebert & Duarte, 2018; Parviainen et al., 2017). This restructuring aims to transform not only internal processes, but also the company's value proposition, expanding its capacity for innovation and its response to market demands.

[006] Berman (2012) highlights that digital transformation can be achieved in three main dimensions: improving customer experience, enhancing existing operations, and developing new business models. By combining these three fronts, companies not only optimize their internal processes but also redefine their value propositions and relationships with their customers, adapting to the demands of an increasingly digital and competitive market.

[007] An effective digital transformation strategy focuses on continuous innovation, using technologies such as automation, data analytics, and AI to accelerate processes, reduce costs, and increase operational capacity. Practical examples include automating routine tasks, which increases operational efficiency, and integrating new communication channels, which can transform the customer experience (Sackschewsky et al., 2019). At the same time, digital transformation requires companies to promote an internal cultural shift, developing an organizational culture that values ​​innovation, collaboration, and the ability to adapt quickly to new technologies (Henriette et al., 2015).

[008] Digital transformation has been a central focus in studies in the field of information technology and business management, due to its ability to cause disruption in various industries. In addition to providing operational improvements, it forces Petition 870250014708, dated 24 / 02 / 2025, page 6 / 17 / 9 a continuous reassessment of operations and the way companies relate to their markets (Ebert & Duarte, 2018; Wessel et al., 2021). In this sense, portfolio governance of digital transformation projects plays a fundamental role in the effective allocation of resources, selecting projects that offer the greatest strategic value, whether through operational efficiency, business model innovation, or improvement of the customer experience (Henriette et al., 2015; Berman, 2012).

[009] These projects, which differ from traditional ones by being centered on disruptive technologies, require a significant level of adaptation, both in the operations and business models of organizations. The use of technologies such as machine learning and automation not only optimizes internal processes, but also redefines interactions with customers and suppliers, increasing the perceived value of the value chain (Lee et al., 2018).

[0010] Feng Li (2020) argues that digital transformation requires new operational and management models, emphasizing that traditional and linear approaches often fail in the execution of DT programs. Studies indicate a failure rate exceeding 70% in many cases, due to the inadequacy of these approaches in the face of the complexity and dynamism of digital environments. Li suggests the use of iterative and experimental approaches to reduce the risks inherent in DT, with companies constantly recalibrating their digital strategies based on new data and technological advances.

[0011] Finally, the digitization of corporate governance processes brings additional benefits, such as improved transparency, accelerated decision-making, and facilitated remote collaboration among managers. Ziniuk et al. (2022) highlight that the use of digital technologies in corporate governance processes can increase the efficiency and speed with which decisions are made, while also posing challenges, such as the need for workforce retraining and the mitigation of cyber threats and ethical issues.

[0012] In this context of improving production processes and creating new tools through project and portfolio management, patents were found for Petition 870250014708, dated 24 / 02 / 2025, page 7 / 17 / 9 invention such as BR1020200248871 which deals with “Process for managing and evaluating a portfolio of intellectual property assets”, BR 102022015193-8 which deals with “Project portfolio management system”, US0317579 which describes the “Method for generating feedback for project portfolio management”. Patent IN202211045817-A “Method for digital transformation of retail sector, involves highlighting technologies that serve as basis such as big data, artificial intelligence, augmented reality, virtual reality and cyber-physical systems” presents a method that involves understanding how the technologies of the fourth industrial revolution impact the success of the digital transformation of the retail sector and what the main success factors are in this process. Brief description of the drawings

[0013] Figure 1 presents the macro-process of project portfolio governance for digital transformation.

[0014] Figure 2 presents the project portfolio governance processes for digital transformation. Description of the invention

[0015] The governance of a digital transformation project portfolio is organized into five processes: (1) strategy, (2) problem structuring, (3) portfolio decision, (4) development, (5) monitoring. (FIGURE 1).

[0016] FIGURE 2 presents the flowchart of the digital transformation project portfolio governance process, detailing the components and their relationship. In the strategy process (1), the corporate strategies (1.1), operational strategies (1.2), functional strategies (1.3) and the digital transformation strategy (1.4) are defined.

[0017] Defining the corporate strategy (1.1) is crucial for aligning the organization's long-term objectives and defining the guidelines that will guide subsequent actions. The corporate strategy establishes the company's overall goals, such as growth, innovation, and improved competitiveness, which will serve as a reference for all digital transformation initiatives. The operational (1.2) and functional (1.3) strategies define Petition 870250014708, dated 02 / 24 / 2025, page 8 / 17 / 9, describes how the company plans to achieve its strategic objectives through its daily operations. The operational strategy (1.2) focuses on the effective execution of business activities, while the functional strategy (1.3) details the planning and management of specific areas, such as IT, finance, marketing, and human resources. This step ensures that the company's operations are prepared to support and implement digital transformation. The digital transformation strategy (1.4) is created based on the corporate strategy (1.1), establishing the action plan for the digitization of processes and operations. The digital transformation strategy (1.4) defines how the organization will use technology to improve its products, services, and internal processes, promoting innovation and operational efficiency. This process also aligns digital efforts with the company's business objectives.

[0018] With the digital transformation strategy in place, clear and measurable goals (1.5) are established for the digital transformation. The goals indicate what the company expects to achieve, such as increasing productivity, improving customer experience or reducing operating costs.

[0019] These goals serve as milestones to monitor and evaluate the progress of digital implementation over time. Thus, the company's functional and operational areas identify problems or opportunities that can be solved or leveraged through digital transformation initiatives. Requests are made through a business plan (I).

[0020] The problem structuring process (2) ensures that the demands of the operational and functional areas are properly understood and transformed into viable projects. Thus, studying the situation considered problematic (2.1) involves an in-depth analysis to understand the extent of the problem. This process involves collecting relevant data and conducting interviews with stakeholders, ensuring a clear and complete view of the problem. After the study (2.1), the problematic situation is formally expressed (2.2). This can be done through reports, presentations, or graphs that detail the causes, symptoms, and impacts of the problem on the company's operations. Petition 870250014708, dated 24 / 02 / 2025, page 9 / 17 / 9

[0021] A clear expression of the problematic situation helps to ensure that all stakeholders share a common understanding of the problem. Based on the understanding of the problem, key definitions (2.3) of the relevant systems that need to be modified or optimized are formulated. This process defines the critical components of the system and their interactions, creating a conceptual framework that will help guide the solutions to be developed.

[0022] Next, conceptual models are created (2.4) that represent potential solutions to the problem. These models are based on the key definitions and include hypotheses about how the systems can be modified to solve the identified problem. These hypotheses will be tested and validated in subsequent steps.

[0023] With this, the conceptual models (2.4) are compared with reality (2.5) to identify gaps between the proposed ideal state and the existing situation. This comparison helps to adjust the models to ensure that they are feasible and aligned with the company's operational conditions. Based on the results of the comparison, changes (2.6) that can be implemented are defined. These changes are evaluated for their technical and organizational feasibility, ensuring that they can be applied without compromising the stability or operational objectives of the company.

[0024] To ensure that the proposed solutions are implemented and achieve the expected results, success metrics (KPIs) (Key Performance Indicators) are defined (2.7). These indicators are used to measure the impact of changes and evaluate the success of the digital transformation in terms of operational efficiency, customer satisfaction, or cost reduction. Concluding this process, a project, product, or exploration project is proposed (2.8) to be evaluated in the subsequent portfolio decision process (3).

[0025] The portfolio decision process (3) begins with the evaluation of the project proposal; if the proposal is considered viable, it advances to the next stages of financial analysis and planning. If not, it is archived (3.2) or adjusted as necessary. When the proposal is considered viable, the portfolio analysis is carried out. Petition 870250014708, dated 24 / 02 / 2025, page 10 / 17 / 9 existing (3.1) of digital transformation projects where it is reviewed to verify compatibility with ongoing projects.

[0026] This analysis avoids duplication and ensures that the new proposal aligns with the objectives and available resources. A financial analysis (3.3) is performed to determine the cost-benefit of the proposed solution. This analysis includes an assessment of the return on investment (ROI) and the expected financial impacts of implementing the solution.

[0027] After the financial analysis (3.3) and the existing portfolio (3.1), the proposals are classified into exploration projects or projects aimed at delivering a product or service within the scope of the organization's digital transformation. Following this, the projects are prioritized and selected to form the project portfolios (3.4) and exploration projects (3.5). If they are not prioritized, the projects will be archived (3.7). The projects approved in the portfolio will be executed (3.5) and (3.6) according to the project plan. This stage involves resource allocation, schedule management, and execution monitoring to ensure that the objectives are met.

[0028] In the development process (4), possible solutions to the problems established and approved in the portfolio are executed. These may be a project, which will have a project development lifecycle (4.1) and its implementation (4.2), or an exploratory project, characterized by its innovative nature, i.e., the hypotheses outlined in the problem identification will be tested (4.3). If the hypothesis of the exploratory project is validated, there will be a financial analysis (3.3) for a possible scaling of the project within the organization, forming part of the digital transformation project portfolio. If the tests are negative, the proposal will be archived in the digital transformation portfolio governance database (II).

[0029] The monitoring process occurs throughout the portfolio governance process cycle, collecting data from the solution development ((4.1), (4.3)), as well as from the execution of operational processes (5.1), where, with the solution implemented, the related operational processes are put into execution. During this execution, it is necessary for the digital transformation execution team to sustain the implemented solution (5.2), that is, to maintain Petition 870250014708, dated 24 / 02 / 2025, page 11 / 17 / 9 over time, with technical support and updates as needed. This ensures that the solution continues to meet the company's needs and adapts to changes in the operational environment. If improvements to the deployed solution are needed, the operational team must communicate this improvement (5.3) to the digital transformation team.

[0030] Based on the suggested improvements and periodic monitoring of portfolio metrics (5.4) from the digital transformation portfolio governance database (II), analyses are performed to determine if the project portfolio is meeting the strategic goals of the digital transformation (1.5). If the portfolio does not perform satisfactorily, a problem resolution request is initiated (1.6). References

[0031] BERMAN, S.J. (2012). Digital transformation: opportunities to create new business models. Strategy & Leadership, 40(2), 16-24.

[0032] EBERT, C., & DUARTE, CH (2018). Digital Transformation. IEEESoftware, 35(4), 16-21.

[0033] FENG LI. (2020). Leading digital transformation: three emerging approaches for managing the transition. International Journal of Operations & Production Management, 40(6), 809-817.

[0034] HENRIETTE, E., Feki, M., & Boughzala, I. (2015). The Shape of Digital Transformation: A Systematic Literature Review. 9th Mediterranean Conference on Information Systems (MCIS).

[0035] Lee, I., SONG, H., & KIM, J. (2018). A Hybrid Recommendation Approach Using Collaborative Filtering and Content-Based Filtering. Journal of Computer Science, 14(1), 1-9.

[0036] MATT, C., HESS, T., & BENLIAN, A. (2015). Digital Transformation Strategies. Business & Information Systems Engineering, 57(5), 339-343. Petição 870250014708, de 24 / 02 / 2025, pág. 12 / 17 / 9

[0037] PARVIAINEN, P., KÃÃRIÃINEN, J., TIHINEN, M., & TEPPOLA, S. (2017). Tackling the digitalization challenge: how to benefit from digitalization in practice. International Journal of Information Systems and Project Management, 5(1), 63-77.

[0038] SACKSCHEWSKY, M.R., Gosselin, D.C., & LUTTRELL, M.C. (2019). The Effects of Digital Transformation on Industry. Journal of Digital Science, 3(1), 1-5.

[0039] WESSEL, L., BAIYERE, A., Ologeanu-Taddei, R., Cha, J., & JENSEN, T. B. (2021). Unpacking the Difference between Digital Transformation and IT-Enabled Organizational Transformation. Journal of the Association for Information Systems, 22(1), 102-129.

[0040] ZINIUK, M., et al. (2022). Digital Transformation of Corporate Governance. Financial and Credit Activity: Problems of Theory and Practice, 5(46), 300-304. Petição 870250014708, de 24 / 02 / 2025, pág. 13 / 17

Claims

1 / 2 CLAIMS 1. “DIGITAL TRANSFORMATION PROJECT PORTFOLIO GOVERNANCE PROCESS” comprised of processes for the conception and proposal of projects that enable the structuring of a portfolio of digital transformation projects to be implemented and operated by the company, characterized by a monitoring and feedback flow, consisting of integrated activities in five phases comprising strategy, problem structuring, portfolio decision, development and monitoring that assist in structuring the portfolio aligned with the organizational strategy.

2. STRATEGY PROCESS related to claim 1 characterized by defining the guidelines and goals that will guide the portfolio of digital transformation projects, encompassing the definition of corporate, operational, and functional strategy, in order to ensure that all levels of the organization are aligned with the strategic objectives; furthermore, the digital transformation (DT) strategy is outlined to identify the digital initiatives necessary to drive the company's innovation and competitiveness.

3. PROBLEM STRUCTURING PROCESS related to claims 1 and 2, characterized by analyzing and understanding the problems or opportunities that can be addressed through digital solutions, starting with a detailed study of the problematic situation, followed by a clear description of the challenges faced. Next, key definitions of the systems involved are formulated, and conceptual models are built to test hypotheses that can solve the problem. These hypotheses are compared with the company's reality, and, if applicable, desirable and feasible changes are defined, accompanied by KPIs to monitor the success of the proposed solutions.

4. PORTFOLIO DECISION PROCESS related to claims 1, 2 and 3 characterized by selecting the most viable projects aligned with the company's strategic priorities. Petition 870250014708, dated 02 / 24 / 2025, page 14 / 17 2 / 2 The first step involves analyzing the existing portfolio to avoid duplication or redundancy, followed by a detailed financial analysis of the proposals, where costs and benefits are carefully evaluated. After this analysis, projects are selected based on criteria such as ROI and strategic impact. Approved projects are then executed and monitored, while those considered unfeasible are archived.

5. DEVELOPMENT PROCESS related to claims 1, 2, 3 and 4 characterized by executing the chosen solutions; initially, the solutions are developed according to predefined specifications and strategies; when necessary, exploratory projects are used to test and validate hypotheses before large-scale implementation; if the hypotheses are not validated or if the project does not achieve the expected results, it is archived.

6. MONITORING PROCESS related to claims 1, 2, 3, 4 and 5, characterized by ensuring that the implemented projects are operating as planned and delivering the expected results. The operational phase is closely monitored through KPIs, and solutions are sustained to ensure their continued effectiveness. If the results indicate improvements, these are communicated internally; otherwise, a new problem is investigated. Petition 870250014708, dated 02 / 24 / 2025, pp. 15 / 17

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