Chapter 10 – International Projects
10.3. Selection of Projects
Project Selection
Stakeholders need to weigh the environmental factors when considering the selection of a project. If the Project Manager and team are already hired, they would be involved in this process.
The environmental factors are the criteria for the project. Each criterion is weighted based on the risk factor. The scores are assigned values. The organization would decide of low, medium, high risk. Example: Total Risk Rating: 10 = low risk, 20 = medium risk, 30+ = high risk. Once the risk rating is calculated, the stakeholders decide to go forward with the project or terminate it.
Example: Risk Matrix For Selection of Foreign Project
Risk Matrix for Selection of Foreign Project (2 examples of projects are compared). Corporate office is in Canada.
| Political | Cultural Differences | Education | Technology | Risk Rating | |
|---|---|---|---|---|---|
| Philippines | 4 | 5 | 4 | 4 | 320 |
| Iceland | 2 | 1 | 1 | 1 | 2 |
Risk Rating Scale: 1-very low, 2-low, 3-adequate, 4-high, 5-extremely high.
The stakeholders would choose not to complete the project in the Philippines. They would be forward with the project in Iceland.
