Organizations increasingly embrace agile approaches for IT projects, replacing rigid formal stage-gate control by flexible output-orientation. This challenges established program or portfolio management approaches that largely rely on consolidated (stage-gate) project metrics. Based on seven case studies of large Dutch organizations we explore these challenges and the organizational responses towards a new approach to portfolio management for agile projects. Data-collection is guided by four propositions derived from control theory and portfolio management literature. Our findings show that portfolio management adapts to agile projects by performing fewer and less strict process controls, by modifying the budget controls and by shifting from IT project/program control to business outcome control, with an increased focus on business value.