摘要:

A new trend in corporate planning is to exploit uncertainty by taking investment opportunities as real options. This options approach is to complement the conventional net present value (NPV) criterion in evaluating risky investments. In this paper, we take a broad look at the real options approach to various engineering economic decision problems, laying out how it provides an immediate and important perspective on value creation in an uncertain world. Unlike financial options,real options analysisdeals with investments in real assets, which is one of the primary interest areas in engineering economics. For that reason, we believe that any advancement in the real options decision framework will benefit the field of engineering economics.

ISSN:0013-791X    

DOI:10.1080/00137910008967534

出版商:Taylor & Francis Group    

年代:2000

数据来源: Taylor

摘要:

The purpose of this paper is to investigate the effect of project risk on capital rationing with uncertain budgetary constraints. We reflect project risk by the standard deviation of cash flows. The problem is formulated in a stochastic linear programming with simple recourse (SLPSR) framework. In a sample problem, we vary the level of project risk and allow the probability distribution for the right-hand side constraints to be either symmetric or left skewed. We demonstrate that SLPSR yields superior solutions to an equivalent deterministic formulation and that risk aside, the borrowing rate is an important factor in determining the optimal solution vector. Moreover, we show that low project risk can compensate for higher borrowing costs and that the presence or absence of probability distribution asymmetry may not be an important issue.

ISSN:0013-791X    

DOI:10.1080/00137910008967535

出版商:Taylor & Francis Group    

年代:2000

数据来源: Taylor

摘要:

Parametric weighing is a practical approach for project selection under risk. Only subsets of projects that satisfy budget constraints are considered, in order to maximize the sum of the weighted combinations of worth values minus risk estimations, for different combinations of weights. Decision support is provided via a parametric presentation of the selected subsets and the range of parameter (weight ratio) values over which each subset is optimal. Practical applicability of the approach is demonstrated via the study of a parametric weighing model. A solution scheme for the model has been installed on a personal (486) computing platform. The results of a computational study provide insight into the model and verify its applicability.

ISSN:0013-791X    

DOI:10.1080/00137910008967536

出版商:Taylor & Francis Group    

年代:2000

数据来源: Taylor

摘要:

This work presents the results of a recent two-part survey of how engineering economy is taught in U.S. universities. A mail and email survey of faculty and staff that teach engineering economy was conducted in 1995 through 1997. For the survey's two parts, this produced 45 and 28 complete responses, respectively. Three categories of questions were asked pertainingto 1) the faculty that teach it, 2) the course content and mechanics itself, and 3) the students that take the course. This paper also includes results from a previously unpublished survey done in 1989. All of these results are compared with two similar studies done in 1984 and 1989. Potential pedagogical implications are summarized as they relate to increasing the efficiency and effectiveness of engineering economy teaching in U.S. universities.

ISSN:0013-791X    

DOI:10.1080/00137910008967537

出版商:Taylor & Francis Group    

年代:2000

数据来源: Taylor