P3M stands for "programme, portfolio and project management". Product management is a closely related discipline and as most software organisations do product development I’ll include it in the discussion.
That bit is simple. The tricky bit is agreeing what a project, product, portfolio or programme is. Projects and products are pretty straight forward but definitions vary quite a lot for programme and portfolio. A portfolio for some people is a set of products where for others it is a group of projects. I have, for example, met a portfolio manager who was responsible for some projects and within the same division met a another portfolio manager who was responsible for the product portfolio of the entire division. Programmes are sometimes seen as simply as a complex project or set of projects, or, more interestingly, as an initiative to deliver business benefit.
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