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1. A company has five-year new product (Electric motorcycle) project will cost $50,000 to implement the project. It has a projected cash inflow of $15,000,
1. A company has five-year new product (Electric motorcycle) project will cost $50,000 to implement the project. It has a projected cash inflow of $15,000, $15,000, $20,000, $20,000, and $20,000 in the next five years and cash outflow of $5500 annually. (a) If the required rate of retum is 12 percent, determine the NPV and make the decision to select or reject this project. (b) What are non financial criteria that should apply to a new electric motorcycle project for market in Indonesia, give at least 3 criteria and justify your answer (c) what is the type of this project (strategic, operational or compliance) and explain the reason 2. Company PT. GenZ Tech is a relatively new software company located in Surabaya. This company was founded in early 2018 by 2 people, namely Adi and Ari who have been friends since they were in college. Adi and Ari have worked in different Information Technology related companies for about twenty years and they both decided to retire early and work together to form a software developer company. Since last year, Adi and Ari feel that the company needs to improve project management, including the project selection process. The company uses a functional organizational structure (Figure 1) with a total number of 50 employees with employee ages ranging from 20 years to 40 years. While Adi and Ari are 55 years old and 57 years old. Chief Excecutive Officer Chief Marketing Chief Operation Chief Technology Officer Officer Officer Sales Operations Manager Developer ULUX Engineer General Affairs Human Resource and Development Figure 1 Organizational StructureThe projects handled by this company per year range from 100-120 projects where the project owner most are state-owned enterprises, government and Education agencies, and some are private companies. In 2021, the company obtained 200 projects and there are about 20% of projects whose completion is late. This results in losses due to bear the late penalty fee. Adi believes that this is due to the organizational structure that does not support project implementation. Adi finds it difficult to communicate and manage his employees, especially in the Technology section (Developers and UX Engineers), which number around 40 people and are generally aged between 21-24 years. Meanwhile, Ari estimates that there are no guidelines in selecting projects so that the project selection process is less structured and subjective. Whereas before accepting a project there should be a selection process with several qualitative and quantitative criteria. Adi and Ari meet you for advice and opinions regarding project management at their company. Make recommendations for Adi and Ari to manage the selection and implementation of projects using the lecture materials that have been received. Please use assumptions if needed and please write them down. To enrich the analysis, please use reference books (other than Gray and Larson's books) or journal/conference articles. All references that are used as references are listed in the bibliography. The recommendation framework is as follows: (1) Identification of problems and causes of problems (2) Recommendations and Justification/Analysis of Recommendations (3) Bibliography, the maximum number of pages is 5 pages
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