Capex Decision Making and Costing Analyses
Typically capex approval processes in Western technology companies revolve around NPV-type analyses. However, the assumptions in these analyses are difficult to make, given the high degree of variability of technology markets. Terminal value calculations are particularly difficult, especially since these often represent the bulk of the value and are the most likely to be influenced by technology substitutions.
Hendy Consulting can assist in validating the critical assumptions and looking at longer term market scenarios. Additionally, we can use our technology expertise to understand implementation risks and to provide direct experience into improving these capex projects.
We also provide detailed factory and product costing analyses.