A review of the normative literature, in the field of Information Technology (IT)/ Information System (IS) justification, examines how organisations evaluate their investments in Manufacturing Resource Planning (MRPII). This is achieved through investigating the issues surrounding capital budgeting, with a particular focus on investment appraisal. In doing so, a novel taxonomy of generic appraisal techniques is proposed. This taxonomy identifies a number of methods for appraising MRPII investments, and through describing these techniques, a classification is offered that identifies their respective characteristics and limitations. In doing so, it becomes clear that although many of the benefits and savings resulting from MRPII are suitable for inclusion within traditional accountancy frameworks, it is their intangible and non-financial nature, together with a range of indirect project costs that confuse the justification process. These factors, together with a range of human and organisational implications, that further complicate the decision making process are also identified. Hence, it appears through a critical review of the literature that many companies are unable to assess the implications of their MRPII investments, thus amounting to a myopic appraisal process that focuses on the analysis of those benefits and costs that are financially quantifiable. In acknowledging the limitations of traditional appraisal techniques, a conceptual model for IT/IS investment evaluation is proposed, which is underpinned by research hypotheses. To test the validity of the proposed hypotheses, a robust novel research methodology is then developed. In doing so, an interpretivist stance is adopted, which favours the use of qualitative research methods during a multiple case enquiry. Whilst conducting the empirical research, it soon emerged that the hypotheses represented significant factors for consideration within the presented model. As a result, such constructs now establish themselves as integral parts within a structured evaluation process. However, during the empirical research, complementary evaluation criteria also emerged, which resulted in modifications being made to the previously presented conceptual model. In doing so, culminating in the development of descriptive MRPII evaluation criteria and a model, which provides investment decision makers with novel frames of reference during the evaluation of MRPII investment proposals.

For the evaluation of mineral development projects, it is imperative to consider the risks involved in mineral exploration and development and to bear in mind that an adjustment for these risks is a common practice which implies raising the minimum discount rate. A company may for instance use different discount rates depending on the different risks involved so as to compensate for the variability of success. In determining a discount rate, an organization should follow this rule “The greater the risk, the higher the discount rate should be. The discount rate will have a great influence on the economic evaluation of mineral projects. All other factors used for calculating the NPV (Net Present Value) being equal, the project at hand may be accepted or rejected depending upon the discount rate, and the fluctuation of the NPV from positive to negative. It must be pointed out that the determination of the discount rate is the most difficult and vital aspect of “cash-flow analysis.” In practice however the discount rate is usually fixed by top management and then delegated to the respective departments responsible for actual economic evaluation of the investment alternatives. A major problem in determining the appropriate discount rate is that it effectively depends more on subjective perception of the degree of risk or other past experience factors than on a systematic approach. By using a risk-free rate of return, plus a subjectively determined risk premium, a discount rate may be developed, which is expected to compensate the investor for the extra risk involved. In practice the selection of risk-free rate of return is relatively simple. In most cases, the yield on government bonds, under non-inflationary conditions, is adopted as the risk-free rate of return. The real problem lies in the choice of the risk premium which must be adequately adapted to compensate for the additional risks associated with the investment under consideration. Consideration of proper conditions in respect of a specific project under economic evaluation should help to determine the risk premium. The risk premium should be entirely dependent on the risks influencing the mineral development project. All possible risks affecting a mineral development project under consideration should be taken into account, when determining an appropriate risk premium. This is a stupendous task and will imply a large number of risks, which will no doubt make the determination very difficult to tackle and use. Furthermore, there are naturally numerous difficulties in structuring an analysis with many factors, because it is complex and multi-faceted. In order to facilitate the implementation of the determination, there are usually a definite number of key risks to be observed. Risks, crucial for success of the mineral development project, are classified as follows: -- Technical risk - reserve, completion, production -- Economical risk – price, demand, foreign exchange -- Political risk – currency conversion, environment, tax, nationalization From the review of factors influencing the determination of discount rate carried out (Section 4), it is concluded that the quantitative methodology for discount rate should be a process of identifying potential factors (risks), analyzing factors to determine those that have the greatest impact on mineral development, and determining discount rate. It is therefore imperative to find a method whereby all mining risks, together with their probability and impact, and an understanding of the combined effect of all risks attached to the cash flow and the rate of return. Thus then a way of a procedure calculating risk scores is required. Existing knowledge should therefore be used optimally to determine discount rate. / Dissertation (MSc)--University of Pretoria, 2009. / Mining Engineering / unrestricted

Background: Electricity tariffs charged by Eskom have sharply increased over the past three years, with a 25% annual increase approved by Nersa until April 2012. There is no indication on what to expect in the future with regard to electricity tariffs. Many South Africans are searching for ways to save on their monthly electricity bills by seeking out alternative water heating systems. Solar geysers became a popular investment option, but this might not be the best options available on the market. Purpose: The purpose of this study is to determine the most financially viable investment option in order to reduce electricity cost when it comes to water heating systems for use in households. This is done by comparing the capital expenditure and operational cost needed with the financial benefits generated by the investment, taking into consideration the size of the household. Design and method: A literature study was done on the different alternative water heating systems in order to obtain a better understanding of how these systems operate and what savings they can generate. Different investment appraisals were identified and a literature review was performed in order to identify the most appropriate investment appraisals for the purpose of this study. It was found that the net present value, equivalent annual annuity, internal rate of return, modified internal rate of return, accounting rate of return, discounted payback period and the economic value added were the best investment appraisal methods to use for the purpose of this study. Findings and conclusion: It was found that the five investment options identified in the literature review would all, to some extent, be financially viable to implement within households with high as well as low volume hot water consumption. All the investment appraisals gave positive outcomes. The conclusion was made that a saving will be generated on the monthly electricity bill no matter what alternative water heating system were to be installed in the place of a conventional geyser. Recommendations: It is recommended that a household with low volume hot water consumption should install a time switch as this investment option renders the highest IRR, MIRR, ARR and discounted payback period. The second best investment option for a household with low volume hot water consumption is a heat pump and the third best option is a gas geyser. For a household with high volume hot water consumption, the best investment options is again a time switch, as this renders the best IRR, MIRR, ARR and discounted payback period. The second best investment option is a heat pump, with a gas geyser as the third best investment option. Value of the research: This study focuses on five alternative water heating systems for a household within South Africa in times where electricity charges sharply increase. The financial viability of each of the alternatives is determined through various investment appraisals and the best option can be identified by comparing the outcomes of the alternatives. Furthermore, each individual is able to determine the viability of the alternatives by using the Excel model attached to this study and by inputting his/her own variables, where applicable. Research limitation: Limited literature was available on the different alternative water heating systems. No indication could be found of the maintenance cost of the different water heating systems. Assumptions had to be made with regard to households, although no two households are the same. Areas for further research: The same study could be performed, but with the focus on small businesses and large organisations. Furthermore, a study could be performed to determine the appropriate discount rate for individuals as well as the maintenance cost for water heating systems. / Thesis (MCom (Management Accountancy))--North-West University, Potchefstroom Campus, 2012

Background: Electricity tariffs charged by Eskom have sharply increased over the past three years, with a 25% annual increase approved by Nersa until April 2012. There is no indication on what to expect in the future with regard to electricity tariffs. Many South Africans are searching for ways to save on their monthly electricity bills by seeking out alternative water heating systems. Solar geysers became a popular investment option, but this might not be the best options available on the market. Purpose: The purpose of this study is to determine the most financially viable investment option in order to reduce electricity cost when it comes to water heating systems for use in households. This is done by comparing the capital expenditure and operational cost needed with the financial benefits generated by the investment, taking into consideration the size of the household. Design and method: A literature study was done on the different alternative water heating systems in order to obtain a better understanding of how these systems operate and what savings they can generate. Different investment appraisals were identified and a literature review was performed in order to identify the most appropriate investment appraisals for the purpose of this study. It was found that the net present value, equivalent annual annuity, internal rate of return, modified internal rate of return, accounting rate of return, discounted payback period and the economic value added were the best investment appraisal methods to use for the purpose of this study. Findings and conclusion: It was found that the five investment options identified in the literature review would all, to some extent, be financially viable to implement within households with high as well as low volume hot water consumption. All the investment appraisals gave positive outcomes. The conclusion was made that a saving will be generated on the monthly electricity bill no matter what alternative water heating system were to be installed in the place of a conventional geyser. Recommendations: It is recommended that a household with low volume hot water consumption should install a time switch as this investment option renders the highest IRR, MIRR, ARR and discounted payback period. The second best investment option for a household with low volume hot water consumption is a heat pump and the third best option is a gas geyser. For a household with high volume hot water consumption, the best investment options is again a time switch, as this renders the best IRR, MIRR, ARR and discounted payback period. The second best investment option is a heat pump, with a gas geyser as the third best investment option. Value of the research: This study focuses on five alternative water heating systems for a household within South Africa in times where electricity charges sharply increase. The financial viability of each of the alternatives is determined through various investment appraisals and the best option can be identified by comparing the outcomes of the alternatives. Furthermore, each individual is able to determine the viability of the alternatives by using the Excel model attached to this study and by inputting his/her own variables, where applicable. Research limitation: Limited literature was available on the different alternative water heating systems. No indication could be found of the maintenance cost of the different water heating systems. Assumptions had to be made with regard to households, although no two households are the same. Areas for further research: The same study could be performed, but with the focus on small businesses and large organisations. Furthermore, a study could be performed to determine the appropriate discount rate for individuals as well as the maintenance cost for water heating systems. / Thesis (MCom (Management Accountancy))--North-West University, Potchefstroom Campus, 2012

Inledning: Studien har sin utgångspunkt i ett praktisk problem på Södra Skogsägarna angående en upplevd svårighet att bedöma hållbara investeringar. Att göra investeringar med hållbarhetshänsyn har blivit allt vanligare vilket kan bero på den ökade uppmärksamheten kring ämnet. Södras verksamhet präglas av en mängd investeringar vilka är betydelsefulla för företagets framtid och överlevnad. Syfte: Syftet med studien är att definiera och kartlägga vad hållbara investeringar är. Författarna ska även analysera Södras investeringsbedömning och hur de hanterar hållbarhetsaspekter i den. Studien ska bidra till att ge ett förslag på hur företag kan anpassa sin investeringsbedömning för att bättre ta hänsyn till hållbarhetsaspekter. Metod: Denna studien är en empiriskt driven fallstudie av kvalitativ karaktär. Det teoretiska materialet baseras på vetenskapliga artiklar och litteratur från Linnéunivesitets bibliotek. Det empiriska materialet grundar sig på semistrukturerade intervjuer och dokument. För att studien ska anses vara trovärdig har vi beaktat ett antal kvalitetskriterier och forskningsetiska överväganden.  Slutsats: Slutligen ges rekommendationer på hur Södra Skogsägarna kan anpassa sin inventeringshandbok och investeringsrutin för att beakta hållbara investeringar. Huvudsakligen handlar det om hur företaget ska hantera klassindelning, kalkylmetoder, kalkylränta och kvalitativ information. / Introduction: The study is based on a practical problem at Södra Skogsägarna regarding a perceived difficulty in consider sustainable investments. Making investments with sustainability considerations has become increasingly common, which may be due to the increased attention to the subject. Södra's operations are characterized by a large number of investments which are important for the company's future and survival. Purpose: The purpose of the study is to define and map what sustainable investments are. The authors will also analyze Södra's investment appraisal and how they handle sustainability aspects in it. The study will help to give a suggestion on how companies can adapt their investment assessment to better take into account sustainability aspects. Method: This study is an empirically driven case study of qualitative character. The theoretical material is based on scientific articles and literature from the library at Linnaeus University. The empirical material is based on semi-structured interviews and documents. For the study to be considered credible, we have considered a number of quality criteria and research ethical considerations. Conclusion: Finally recommendations are made on how Södra Skogsägarna can adapt their investment manual and investment routine to consider sustainable investments. It is mainly about how the company should handle class division, calculation methods, interest rate and qualitative information.

Background: The idea of ​​achieving success in sport is something both players as well as fans dream of, but few clubs achieve it. Oakland Athletics succeeded in what many thought was impossible when in the 2002 season, they managed to perform better than most of their competitors whilst having one of the leagues smallest budgets, by recruiting undervalued players based on data and statistics. The concept of "moneyball" was coined therefrom and has since then influenced sport organizations more and more. But how the use of data and statistics has affected the governance in sport organizations is relatively unexplored.  Purpose: The purpose is to create an understanding of how data analytics has affected sports organizations  Method: The study is a qualitative multiple-case study based on an abductive approach to intertwine the theoretical framework together with the empirical data in an analysis that results in conclusions. Seven sport organizations within football and hockey have been the basis for the empirical data.  Conclusion: Data analytics has influenced the corporate governance in sport organizations in many ways. Data and statistics have provided an objective approach to investments and acquisitions of players that did not previously exist. As a result, sport organizations can recruit players who fit their strategy and style of play with greater accuracy. Furthermore, sport organizations can use data analytics as a competitive advantage by using resources more efficiently to find undervalued players in the market and experience both financial and sporting success. However, “moneyball” is a combination of objective aspects in terms of data and statistics, together with subjective aspects, where both are important to be able to use it as a competitive advantage. Today, data analytics is incorporated as part of sport operations where it is used as a part of designing strategies, as well as a basis for decision-making regarding investment appraisal and recruitment. / Bakgrund: Tanken om att nå sportslig framgång är något spelare såväl som fans drömmer om, men få klubbar uppnår det. Oakland Athletics lyckades med det som många trodde var omöjligt när de säsongen 2002, lyckades prestera bättre än de flesta av konkurrenterna samtidigt som man förhöll sig till en av ligans minsta budget genom att värva undervärderade spelare baserat på data och statistik. Konceptet “moneyball” myntades därifrån och har sedan dess influerat sportorganisationer mer och mer. Men hur användningen av data och statistik har påverkat styrningen i sportorganisationer är relativt outforskat.   Syfte: Syftet är att skapa förståelse för hur dataanalys har påverkat sportorganisationer.  Metod: Studien är en kvalitativ flerfallsstudie med utgångspunkt i en abduktiv ansats för att sammanfläta den teoretiska referensramen tillsammans med den empiriska datan i en analys som mynnar ut i konklusioner. Sju sportorganisationer inom fotboll och hockey har varit till grund för det empiriska datan.   Slutsats: Dataanalys har influerat verksamhetsstyrningen i sportorganisationer på många sätt. Data och statistik har tillfört ett objektivt synsätt vid investeringar och förvärv av spelare som tidigare inte fanns. Till följd av detta kan sportorganisationer rekrytera spelare som passar deras strategi och spelsystem med större träffsäkerhet. Därtill kan sportorganisationer använda dataanalys som konkurrensfördel genom att mer effektivt nyttja resurserna för att hitta undervärderade spelare i marknaden och uppleva både ekonomiska såväl som sportsliga framgångar. Däremot är “moneyball” en kombination av det objektiva i form av data och statistik tillsammans med det subjektiva, där båda aspekterna är betydelsefulla för att kunna använda det som en konkurrensfördel. Dataanalys är idag en integrerad del i sportsliga verksamheter där det används i utformandet av strategier såväl som underlag vid beslutsfattning gällande investeringsbedömning och rekrytering.

Bakgrund: Investeringsbeslut är ett av de viktigaste besluten som tas av chefer i företag. Besluten grundar sig på investeringskalkyler, som ryms inom begreppet kapitalbudgetering. I företagsekonomisk litteratur beskrivs sällan samband mellan kapitalbudgetering och annan ekonomisk styrning, vilket innebär att det finns ett tomrum inom forskningsområdet. Syfte: Syftet med uppsatsen är att beskriva hur företag inom den svenska skogsindustrin utformar och använder kapitalbudgetar som beslutsunderlag samt utreda och förklara sambandet mellan kapitalbudgetering och annan ekonomisk styrning. Metod: I studien har kvalitativ metod och fallstudier använts. Empirin grundas på datainsamling genom fyra semistrukturerade intervjuer av respondenter från fallföretagen SCA, Stora Enso, Holmen och Billerud. Slutsatser: Kapitalbudgetering som det beskrivs i företagsekonomisk litteratur är ingen adekvat definition. Kapitalbudgetering består i själva verket av två delprocesser, vilka är investeringsbudgetering och investeringsprocessen. Det finns tydliga samband mellan kapitalbudgetering och annan ekonomisk styrning genom att ”action controls”, ”results controls”, ”boundary systems” och ”diagnostic control systems” används. Kapitalbudgetering är ett ekonomiskt styrsystem för att skapa och upprätthålla målkongruens inom en organisation. / Background: Investment decisions are among the most important decisions made by managers in companies. These decisions are based upon investment appraisals that are a part of the capital budgeting concept. Within Business administration research relationships between capital budgeting and management control are rarely described and there is a gap in theory. Aim: The purpose of this thesis is to describe how companies within the Swedish Forest Industry perform and use their capital budgets and to investigate and explain relationships between capital budgeting and management control. Method: For this study qualitative method and case studies have been used. The empirical findings were based on four semi structured interviews with respondents from the cases SCA, Stora Enso, Holmen and Billerud. Conclusions: Capital budgeting as it is described in Business administration research is not an adequate definition. As a matter of fact, capital budgeting is divided to two partial processes, which are investment budgeting and the investment process. There exist obvious relationships between capital budgeting and management control in the sense that action controls, results controls, boundary systems and diagnostic control systems are used. Furthermore, capital budgeting is a management control system used in order to maintain goal congruence.

La promotion du transport ferroviaire de marchandises permet d’améliorer l’impact environnemental du transport de marchandises, à travers la réduction de la part modale de la route, qui est responsable d’environ un quart des émissions européennes de CO2. L’objet de cette thèse est d’analyser les flux de marchandises afin de proposer des solutions opérationnelles qui permettraient d’augmenter la part de marché du transport de fret ferroviaire, notamment grâce à une meilleure utilisation des terminaux intermodaux. La première partie de la thèse fournit une synthèse des principales modèles théoriques concernant l’analyse de la demande et de l’offre de transport de marchandises, afin d’analyser le lien entre activité économique et transport de marchandises. Une analyse détaillée des sources statistiques disponibles au niveau européen, national et régional, est aussi fournie. Dans la deuxième partie, une application au cas des chantiers de transbordement rail-route en France est présentée, et une comparaison avec d’autres pays européens est réalisée. L’objectif de cette analyse est d’estimer la demande potentielle de transport combiné, d’évaluer la productivité des terminaux intermodaux et d’étudier l’impact socio-économique et financier des investissements dans les terminaux intermodaux, en évaluant également la possibilité des nouveaux montages financiers (PPP). Les résultats de l’analyse montrent un large potentiel pour le transport combiné, en particulier en lien avec l’activité des ports maritimes, et une productivité faible dans les terminaux existants. En conséquence, cette analyse suggèrerait de concentrer les investissements sur un nombre limité de sites à haut potentiel, afin d’attirer des investissements privés et optimiser l’utilisation des fonds publics. Les implications politiques de cette analyse sont multiples : elles concernent d’abord le gestionnaire d’infrastructure et les opérateurs ferroviaires, qui doivent mieux planifier les investissements en fonction de la demande commerciale. Elles concernent aussi l’Etat et les collectivités locales, qui doivent optimiser l’utilisation des fonds publics en favorisant les localisations à haut potentiel. / The promotion of railway modal share has large benefits on the environment by reducing the modal share of road transport, which is responsible for about one-fourth of European CO2 emissions. The aim of this dissertation is to analyse freight transport flows in order to provide operational solutions to increase the modal share of railways transport through a better use of intermodal terminals. In the first part of the dissertation a theoretical survey of freight transport models is provided, in order to show the linkage between freight transport and economic activities. A comprehensive analysis of data sources at European, national and regional levels is also provided. In the second part of the dissertation an application to the case of railway intermodal terminals in France is provided, with some comparisons to other European countries. The scope of the analysis is to estimate the potential demand of combined transport, to assess the productivity of intermodal terminals and to evaluate the socio-economic and financial impact of new investments in terminals, also through new project financing schemes (PPPs). The results show a large potential for railway intermodal transport, especially in connection with maritime ports, and low productivity in existing terminals. As a consequence it’s fundamental to concentrate new investments in a few high potential locations, in order to attract private investments and to provide a better use of public funds. The policy implications of this analysis are multiple: it concerns first the railway companies and the infrastructure managers, which should better plan their investments according to commercial needs. It concerns also governments and regional authorities which should better concentrate public funds on optimal terminal locations.

The intention of this diploma work is based on an assessment of the present state of the company Industrial Engineering Ltd. to economically evaluate the effectiveness of planned investment. The last state of the company is evaluated by using financial analysis. For evaluating of the effectiveness are used static and dynamic methods. The conclusion of the diploma work evaluates investments and recommendations based on these facts and after assessing the risks of investments.

<p>Detta examensarbete har genomförts vid Mälarenergi Elnät AB i Västerås. Undersökningen föranleddes av regeringsbeslutet om att elmätare måste avläsas en gång per månad från 2009. Konsekvensen för Mälarenergi är att de måste investera i ett automatiskt mätinsamlingssystem. Syftet med projektet har varit att skapa en generell investeringsmodell för att ekonomiskt utvärdera ett antal mätinsamlingssystem. I rapporten har Milabs, Seneas, Enermets, HM Powers, Iprobes samt Techems och Viterras system analyserats. Resultaten från investeringskalkylen visar att Mälarenergi kommer att göra en förlust på 5-8 MSEK/år under hela projektets livslängd (15 år). Den största delen av investeringen utgörs av hårdvarukostnader (50 %), medan drift- och underhållskostnader samt logistikkostnader utgör 20 % respektive 25 %. Mälarenergi Elnät bör budgetera 1 500-1 950 SEK/mätpunkt för projektet, beroende på systemval. En känslighetsanalys visar att driftskostnad och livslängd är avgörande faktorer, vilket medför att det är viktigare att satsa på ett robust och säkert system än det billigaste.</p>