ASPECTS OF PROJECT APPRAISAL

 Social Aspects
 Economic Aspects
 Environmental Aspects
 Financial Aspects
 Administrative/Management Aspects
 Commercial Aspects
 Technical Aspects

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 TECHNICAL ASPECTS
A technical requirement pertains to the technical aspects that your system
must fulfill, such as performance-related issues, reliability issues, and
availability issues.
 For Education

 Give student-teacher ratio for the project and the national average
for the proposed level of education.
 Provide Teachers strength in relevant discipline in case of expansion
of facilities.
 For I.T

 Provide Backbone switch & Router specification;

 Distribution & Edge Switches specs;

 Networking cable system and specs;

 Networking/LAN diagram;

 Software requirements;

 Availability of services (DSL, Dial-ups, wireless)

 For livestock their species, age, characteristics and production capacity;

Determine the potential of livestock breeding, Vaccination issues. 2
MANAGEMENT ASPECT
• Must relate to the institutional structure of the
Department/Organization
• Project is manageable and organization structure is clear.
• Authority and responsibility are properly linked.
• Mechanism to obtain up-to-date information on the
progress of the project.
• Time schedule to resolve administrative and managerial
problems.

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 Social Aspects
 Gender perspective
 Effect of project on the quality of life of residents of the area.
 Gender integration in project goal, purpose, objectives and
activities;
 Gender based employment opportunities, closely linked to income
distribution;
 Has sufficient budget been assigned for the development of both
men and women;
 Has women participation been given due consideration during
planning and implementation stages.
 Regional Development
 Technological advancement
 Quality of life
 Health
 Varieties of project 4
COMMERCIAL ASPECTS
• Arrangements for supply of inputs and marketing the
projects output.
• Effective demand at a reasonable price.
• Where will the products be sold?
• Is the market large enough to absorb the new production
without affecting the price?
• If the price is likely to be affected, by how much? Will the
project still be financially viable at the new price?
• Is the product for domestic consumption or for export?

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FINANCIAL ASPECTS
• Analysis encompass the financial effects of the
proposed project.
• Relates purely with finances and revenue
generation.
• Net incremental benefits, Credit terms, final
risk, fiscal impact, Tax consideration, etc
• Based on Discounted Cash Flow Models

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 ECONOMIC ASPECTS
• Determination of the projects contribution to the
development of economy.
• Justification of investing scarce resources to the
project.
• Transfer payments
• Normal vs Accounting Prices
• Interest expense vs Interest income
• Income distribution weight

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 ENVIRONMENTAL ASPECT
• A specific concern is that those who enjoy the fruits of
economic development today may be making future
generations worse off by excessively degrading the earth’s
resources and polluting the earth’s environment.
• A general principal of sustainable development is that
current generations should meet their needs without
compromising the ability of future generations to do the
same.
• Common applications include valuation of damage due to
soil erosion, deforestation ,air and water pollution. For
environmentally related health risks, income foregone
because of illness, or premature death can be used to
measure welfare losses.
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