The key challenge investigated in the paper focus on how Herning Kommune selects and decides IT projects and how this can be improved. This is done by first presenting central theory in IT PPM describing two models in project and project portfolio selection, which are used to cover Herning Kommunes processes in project and portfolio selection. Strategic alignment, coordination and IT Governance theory are also described and used to cover and describe organizational basics and processes in Herning Kommune supporting IT PPM. The theory and descriptions are used to find challenges in Herning Kommunes IT PPM. These challenges are covered by interviews with central stakeholders in the organizations central IT board, which is supposed to make central selection and decision on projects within the IT Governance structure. The interviews were analyzed and the challenges are presented in the paper, where they are discussed in relation to how they can be ad-dressed and further developed through a theoretical maturity view in IT PPM and practical experi-ences in IT PPM. The result is as introduced a conclusion on how Herning Kommune selects and decides IT projects and how this can be improved.

The overall key challenges found in this Master’s thesis are:
- DDS and ITS’er are challenged by a decentralized selection and decision-making culture that makes it difficult to select and decide on IT projects out from the established IT Governance structure.
- The Executive Board selection of an IT PPM tool, Octoportalen, is not used by the organiza-tion to create project overview, select and decide on IT projects.
- Strategic selection of IT projects and strategic alignment is found difficult by the DDS be-cause of the decentralized selection and decision-making culture together with lack of anchoring of IT strategy and linkage to IT projects.

The Master’s thesis suggests the following overall improvements:
- Move towards a more centralized IT PPM
- Focus on IT PPM understanding, documenting a project management process subsequently increase requirements on the use of Octoportalen.
- Develop strategic assessment criterias and increase the structured use of Business Cases in a project portfolio process.