We will then need to assess the six project feasibility factors our book discusses. Cost has been determined to be a major factor in the project, so we will need to review three possible alternative solutions and compare Cost Benefit Analysis (CBA) spreadsheets for each of three alternative solutions. Each CBA spreadsheet clearly identifies the Net Present Value (NPV), Return on Investment (ROI), and Break-Even Point Analysis. Another team has created two of the Cost Benefit Analysis spreadsheets; we will need to complete one for the analysis of Alternative C – Nova. The Project Manager will hold a Structured Walk through with the customer and management using the Cost Benefit Analysis. The walk-through process is described in our book. A cross functional team will then review and vote on the project at the end of Week 4. The project can either be accepted as is; be validated after requested changes are made; or the project can be canceled, so it is important we do our best! In order to create the best documentation, we will need to continue reading in our book; last week, we read Chapters 1 and 2; this week, we must understand all the concepts in Chapters 3 and 4; read the Petries Case Study at the end of Chapter 3 and 4 to add to what we read in the Chapter 2 Petries Case from Week 1; use the Petries Chapter 3 case to make sure we understand who is on the project team; review the Project Workbook – Week 2 folder in Doc Sharing. This folder contains documents we need. The folder will contain cost/benefit information needed to complete Cost Benefit Analysis. a. Three Cost Benefit Worksheets; one for each of the possible alternative solutions containing tangible costs, one-time costs, recurring costs, and discount rates for our analysis (called Alternative A, Alternative B, and Alternative C) b. Cost Benefit Analysis Spreadsheets (we will need to complete the spreadsheet for alternative C – Nova). Alternative A and Alternative B have been completed by another team. Review them for help in completing the spreadsheet Cost Benefit Analysis of Alternative C .
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