Project Portfolio Management (PPM) is critical for organizations aiming to achieve their strategic goals by effectively overseeing multiple projects and programs. Despite the pivotal role of PPM in corporate management and the potential enhancements offered by emerging technologies, there is a notable lack of practical, in-depth research on the impact of Artificial Intelligence (AI) and Machine Learning (ML) on PPM operations. This thesis addresses this gap by conducting a systematic literature review to evaluate the impact of integrating Artificial Intelligence (AI) and Machine Learning (ML) into Project Portfolio Management (PPM) and identifying and explaining the impacts.

This study adopts an inductive and exploratory qualitative approach, utilizing a systematic literature review as the research method and content analysis as the research analysis method. The review focuses on data published in studies from 2020 to 2024 to capture the latest developments in Artificial Intelligence (AI) technology. Following a four-phase screening process, thirty-five articles are included in the analysis.

The findings indicate that Artificial Intelligence (AI) and Machine Learning (ML) significantly enhance decision-making in PPM by improving project portfolio selection, scheduling, strategic planning, resource allocation, and decision support. Artificial Intelligence (AI) models advance risk assessment and mitigation, ensuring better alignment with customer needs. Additionally, Artificial Intelligence (AI) enhances project performance through increased agility, integration, automation, communication, and overall project performance. The study also emphasizes the importance of ethical considerations when using Artificial Intelligence (AI).

The findings identify four key areas where Artificial Intelligence (AI) demonstrates transformative potential to improve PPM, including AI-enhanced decision-making, risk management strategies, AI-driven optimization, and the importance of ethical aspects using AI. The discussion explores how Artificial Intelligence (AI) innovations align with Project Portfolio Management's strategic objectives, identifies current application gaps, and proposes future research directions to maximize Artificial Intelligence's benefits. Integrating Artificial Intelligence (AI) into PPM frameworks enhances operational efficiency and strategic alignment, leading to more effective project management practices.