Planned euthanasia for old projects |
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| Authors: | Alex C Hutchinson |
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| Institution: | Planning Development Manager, I.C.I. Nobel Division, USA |
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| Abstract: | The literature is full of techniques for the evaluation of new projects to ensure that money will be invested at the right time, in the optimun amount and on the best projects. There is, however, a dearth of advice on the evaluation of old projects to guide the withdrawal of resources at the right time and in the right manner from projects nearing the end of their profitable life. The present paper describes a technique for the financial evaluation of the desirability of closing manufacturing activities which are showing declining profitability. |
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