What is one component of a Guardrail in Lean Portfolio Management?

A guardrail in Lean Portfolio Management (LPM) is a policy or practice that helps ensure that the portfolio is aligned and funded to create and maintain the solutions needed to meet business targets. One of the guardrails in LPM is the allocation of centralized vs decentralized decisions in the enterprise. This guardrail defines the boundaries and guidelines for decision making at different levels of the organization, such as strategic, tactical, and operational. Centralized decisions are those that require alignment and agreement across multiple value streams or portfolios, such as vision, strategy, budget allocation, and governance. Decentralized decisions are those that can be made by the value streams or teams closest to the customer and the work, such as backlog prioritization, solution design, and delivery. The goal of this guardrail is to empower the teams and value streams to make fast and effective decisions, while ensuring alignment and coherence at the portfolio and enterprise levels12. References: Lean Budget Guardrails - Scaled Agile Framework, Decentralize Decision Making - Scaled Agile Framework