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All information here . don't ask question just solve it and don't waste time Your task Part One 1a- Project Selection As a member of

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All information here . don't ask question just solve it and don't waste time

Your task Part One 1a- Project Selection As a member of the strategic project selection team you are to evaluate each of the submitted proposals. The task is to present a business case beginning with ranking each proposed project according to the strategic objectives of UNDP, and to select a project to be commissioned using the project selection tool in Appendix 1. You must show your calculations and utilise analytical tools (such as Excel) to conduct your analysis. You can then present the output of your analysis in your business case under this section. Your analysis must consider the Payback Period (PB), IRR and NPV of the projects at a discounted rate of 10%. This initial high-level analysis of PB, IRR and NPV should only utilise the information for each project. A more detail analysis will be conducted in your Financial analysis of the selected project where you will utilise other costs in more detail. Part 1b- Project Justification and Evaluation of Required PM Skills Using credible and appropriate project management theories and literature, (i) critically justify your selected project showing how this aligns with the strategic organizational objectives of UNDP, and (i) propose both hard and soft project management skills that will be required to deliver this project. Part 2- Project Finance and Strategy Analysis Following your project selection, you have been task with developing proposals to senior management of UNDP on the following a. Strategic context: The compelling case for change based in UNDP's core mission and vision. b. Financial analysis of the selected project: An annual Statement of Costs and Benefits, and Trading and Profit and Loss Account Income Statement) c. Commercial approach the approach for your project financing and contracting. How will you source the funds of the project and what contract type will you use? d. Management approach: Roles, governance structure, lifecycle choice, and risks. For your financial analysis (b above) of your selected project, you must consider the following financial information for the investment project: Investment Costs - The total project investment cost is 150. This is made up of Land & Buildings 120M, Construction labour 15M Machinery & Equipment 5M Vehicles 5M and Furniture and Fittings 5M. You should assume that land clearance, construction, installation of machinery and commissioning of the irrigation system takes 12 months. The machinery and equipment have a useful life of years with a replacement cost of 5M. The vehicles have useful life of 4 years and a replacement cost of 5M. You should calculate depreciation of the other assets using appropriate rates and methods of your choice. The residual value for the building is given in the tables of the project proposals under the investment Costs. You must clearly explain the methodology employed and justify any assumptions that you make. In addition to the costs and benefits on the project proposal tables, the following cost and benefits will further be acquired throughout the lifecycle of the project. Production - It is estimated that the irrigation plant will produce 500,000 units in the first year of production and will grow at 10% per year for the two subsequent years. Following this there will be no subsequent growth in production. Sales - The sales price is 200 per unit. Operating costs - the project will operate and produce irrigation outputs per the years on the costs and benefit table provided for each project. Direct labour costs are approximately 30% of the unit selling price and direct materials are 20% of the unit selling price. Fixed Costs - are 6,000 for all operating years. Physical Working Capital Costs - should be based on the following assumptions: Materials - 1.5 month's supply kept in stock o Final goods - 1 month's stock kept on average Working Capital - should be estimated on the following assumptions: Accounts receivable -2.5 months credit allowed before payment due o Accounts payable - 1 month's credit given on materials purchased Using this information, you should answer the following questions to determine whether or not this project acceptable. These answers should be presented under financial analysis session. (a) Prepare an annual statement of costs and benefits (pre-financing). Interpret the results with reference to the relevant theoretical literature. (b) Calculate the Trading and Profit and Loss Account (Income Statement) for the project. Profits are taxable at 20% of annual profit and no tax holiday is available, but earlier losses can be offset against subsequent annual profits where applicable. Using appropriate ratios determine whether the level of profit is acceptable for the selected project? What additional information you would need to make a more informed and critical assessment of the profitability of the project. (c) Critically explain why UNDP should not rely on Payback Period Calculation for decision making NOTE You are required to research and apply project management theories and iterature in order to successfully complete this assignment. In order to pass, you will need to use a minimum of 15 separate sources, including a minimum of 5 textbooks and/or scientific journal articles. DO NOT copy the research article without providing critical and academically sound analysis. The use of theories and literature must be evidence across the Business Case. Report recommended structure: Your assignment should be presented as a report, using the following structure: Part 1a- Project Selection In this section you are required to evaluate each project proposal against UNDP's organizational objectives using the project selection tool. You must present your calculations for all the project options. Part 1b- Project Justification and Evaluation of Required PM Skills I. Provide a critical justification of the selected project using appropriate and credible project management theories and literature I. Provide strong argument (backed with credible literature) on both soft and hard project management skills required to successfully deliver the selected proposed project. Part 2- Project Finance and Strategy Strategic context: The compelling case for change. Financial analysis of the selected project: An annual Statement of Costs and Benefits, and Trading and Profit and Loss Account Commercial approach the approach for your project financing and contracting Management approach: Roles, governance structure, life cycle choice, and risks

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