3. Return on Investment

The only reason that any project is undertaken is that the return (benefit) of doing so outweighs the investment (effort) it takes to complete.

Return can be measured or considered in many different ways.

The most straightforward criteria is money. If making money is the prime objective of the project, then the money coming back (return) has to be more than the money put in (investment).

Quantifiable criteria could be:

Profit - does the project increase company profit.

Cost reduction - have company costs been reduced.

But there are other criteria that can be used as well which will be discussed in the next few pages.