Jeffery Hicks shares a method for shortening your displayed path in Powershell:
As you can see, I don’t have a lot of space left at my prompt. Usually, if I am staying in one location say for demos, I’ll create a PSDrive with a shorter name. I use the New-PSDriveHere command from the PSScriptTools module. But another option is to truncate the prompt. So instead of the long path you see here it might be C:\Users…\HelpDesk. I modified the default PowerShell prompt function to do just that.
Click through for the script and a few demos.