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Project Selection Process

Shivansh Mehrotra

8787129

MGMT8400-21F-Sec8-Advanced project planning and Co

Conestoga College-Doon Campus

Prof. Marion chang

Oct23,2022
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 Project Selection-

In this project the client is snapshot transportation company inc. Project selection is the first

and foremost stage of before entering the tradional 4 phases named as Initiation, planning,

execution and closing. Initially every project is just an idea on which, deep thinking is done

and goals are described. Project selection is very interesting as it gives clarity to the whole

team, selection gives the team more clear vision and elevates the project to bring output much

faster in an efficient manner. There are few steps to be followed for a better selection phase:

1. PURPOSE OF THE PROJECT:

- The selection phase may include many factors like advantages, risks,

disadvantages, every pros and con is considered before making a decision.

- The process is quite thoughtful in delivering the details to stakeholders and others.

- It even puts some light on the elimination process while opting for a project.

2. INPUTS:

It states the intrinsic value of things involved, it includes the cost, time, budget

oriented decisions, availability of resources, and the payback period of an investment.

The project manager focuses on the managing budget, handling stakeholders,

deadlines, payback period and making project look more elegant. It is the right people

involved in the project which puts on effort in different sectors, to lead the project to

ultimate perfection. Optimum utilization of human capital is very necessary to lead

the project in the right direction. Inputs includes the factors that relies on growth of

the company, by making best use of every available thing.

3. TOOLS AND TECHNIQUES:

There are certain tools used to make the tasks much easier. The selection of these

tools depends on several factors like nature of the project, risk involved, cost based

factors and timeframe to accomplish the project. After doing SWOT analysis, mind

mapping, qualitative and quantitative research we can take final decision. There are

several tools used for this project like:

- Qualitative approach:

- The timeframe of the project plays an important role, project leaders pays much

more attention to high priority cases rather than medium or low priority cases.

- The priorities are to be decided immediately as it leads the small tasks and goals

to be accomplished. If we set a deadline and do the things accordingly, the things

will be much more easier and reliable.

- Four stage planning should be done before starting a project. It leads the upper

management to focus on bigger goals, medium management to focus on medium

priority goals and lower management to fulfill the demands of client on the

required cases.

- By making the project competitive, we can lead a better approach to make

decisions on the cost, budget, quality of material used, timeline, speed, etc of the

project. Few projects totally depends on the market demand.

- The project should be dynamic, as people are open to advancement in

technological changes. The project shall adapt itself with quickly in any given

circumstance.

- Quantitative approach:
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- Return on Investment: It is always calculated in percentage, Higher ROI is always

cherished by business. For example: 10% on $1000 involved will give a profit of

100 bucks to the business, on other hand 20% will fetch 200 bucks on the same

capital.

- Internal rate of Return: This aids in understanding interest rates, which are

determined by the project's NPV. IRR is the specific discount rate that brings the

project's NPV to zero or stays at NPV.

- Net Present Value: It is totally based on current market situation, based on past

experience, and cost of resources involved, return can be assessed. If the benefits

of the projects are more than the cost and time of resources involved in the

project, the project is considered profitable. On other hand if the project is taking

too much money and eating up too much resources, it is considered to be a loss

maing decision. Funds are to be considered for determining this, and calculations

are made using excel files.

- Payback analysis: As the name suggests, it makes the Project Manager aware

about the return period, in short, it tells us that the project is going to give us

return within this specified time and the capital involved is considered for making

this analysis. Every small and major factor is considered to determine the payback

in terms on monetary value and fundamental value as well.

4. OUTPUT:

A WSM will be created the collected data, by the organization. Most weighted

score will be considered to work on by the, in other words:

- The team will be more focused now on the growth and deliverables of the project.
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- The team will consider the objectives and motto more clearly and will work

accordingly.

- The documentation process and the records maintained will give the stakeholders

more in depth knowledge of the project they’re investing in.

- There is No source of resource waste.

 Weighted Scoring Model

Criterion Weight Project Project Project Project Project Project

1 2 3 4 5 6

1 Market 10% 88 50 60 30 70 70

share effect

2 Competitio 50% 25 10 45 20 40 50

3 Risk 5% 15 40 25 35 15 25

4 Product fit 15% 20 40 40 30 30 40

5 Strategic 55% 35 25 15 10 20 60

plan

alignment

6 Customer 21% 65 30 11 10 30 70

Support

7 Payback 15% 40 30 30 15 50 55

8 NPV 11% 50 15 50 15 20 25

9 ROI 20% 20 40 15 10 10 40
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Totals 100% 80 55 70 40 65 90

REFERENCES:

Harold Kerzner. (2017). Project Management: A Systems Approach to Planning, Scheduling,

Everything You Need to Know about Project Selection Smartsheet Contributor Kate Eby
August 16, 2021 (updated November 2, 2021)
https://www.smartsheet.com/content/project-selection