Strategic Selection of the Most Feasible Projects Using Linear Programming Models

Abstract

Project selection is a very critical major decision managers have to make. As business environment is growing more complex to include more considerations other than just cost and profit, the project selection process becomes more complicated and requiring more analytical and managerial skills than before.

Larger organizations tend to overtake more than just one project, since it has more labor, larger capital, and more diverse skills, variety of products and services, and some even working in more than just one industry.

In such a situation, Strategic selection of the most feasible projects in portfolio management is the best managerial practice to use, where the organization is interested in selecting the best combination of projects that makes all together that maximum benefit to the organization.

Keywords: Linear Programming, Feasible Projects, Objective function, Constraints.