The Project Evaluation Model Based On Core Competence And Applied Research

During the operation of the whole project, valuation of project is the most important stage, the results of which have vital reference value for project investors, and are the key evidences for investors to evaluate the feasibility of projects and to make investing decisions. So, very probably the reasonability and perfection of the valuation index, and the accuracy of the valuation results are the preconditions of the success and profits of the selected projects. The designing of the project valuation model is deemed to be the emphases and difficulties of the project valuation.The paper, according to the analysis on the project valuation home and abroad, analyses the advantages and disadvantages of the current project valuation methods, points out the typical questions exsting in dividing the relationships between projects and firms, and in ignoring the mutually connections among the core capabilities, and then does research on designing the much scientific,reasonable and practical project valuation model to get the way to solving these questions. The paper firstly puts forward core competitive capability model based on the connection between the projects and the whole firm, explores the essence of the mutual mechanism of projects and firm,according to this, then constructs a set of project investing valuation index system and valuation methods based on core competitive capability systematically. The paper compares the tradditional valuation model with the model here to show the reasonability of the project investing model based on core competitive capability according to the analysis of the actual case.The paper beggins with the valuation of the mutual relationships between projects and the core competitive capability of firm, in the perspective of the whole firm, focusing on the characteristices of common investing projects, coupled with the practice in my country, and constructs the project investing valuation system based on core capability from the aspects of core capability, common internal resources and the external attraction of projects. Employing the quantitative and qualitative methods, integrating systematical engineering method, benchmarking method to quantify valuation indexes, as well as using investigation of experts and weighted average method to process valuation results, the paper forms the integrated valuation for investing projects. The paper establishes practicable valuation model, and improves the objectivity and exercesability of the valuation results. The paper aims at providing refferences for investing decision and shows that the project investing valuation based on core competitive capability is a practicable method.