Question

What are the five quantitative factors that are used for project selection, which tend to focus on cost and explain each one of them with the help of an example.

Answer 1

The five quantitative factors are :

1.Time: time matters a lot when selecting a project as it plays a vital role because every smart goal needs to be measurable and time-bound.

2. Cost: how much cost is involved in taking any project in hand should check out so that cost should never be more than the company's expectations and budget as we know that profit depends upon the cost Involved.

3. Scope: how much scope that project has, which are going to do in the future, and also it needs to ensure that how important it is for the company's goals.

4. Cash flow: This point state that, in order to start any project, cash should be there, so it is there that how the cash will flow and how much cash could the project can make in terms of profit and revenue.

5. Project characteristics: it is to be kept in mind the project's characteristics and features, which are there in hand for the future. Because it is required to get to know every single information about the project before working upon that to make sure that is the project value for our company, does it adds value to the company and does it play an essential role in achieving the goals which were set earlier by the company and is it related to the vision and mission of the company.