Application of Net Cash Flow at Risk in Project Portfolio Selection. Issue 4 (August 2016)

• Record Type: Journal Article
• Authors: Sharifi, Masoud Mohammad; Safari, Mojtaba
• Is Part Of: Project management journal. Volume 47:Issue 4(2016)
• Page Start: 68
• Page End: 78
• Publication Date: 2016-08
• Subjects: portfolio selection -- chance constrained programming -- cash flow at risk (CFaR) -- optimization -- covariance matrix; Project management -- Periodicals; 658.40405
• DOI: 10.1177/875697281604700406
• Languages: English
• ISSNs: 8756-9728

Abstract

Project portfolio management deals with the selection of multiple projects. Because the number of potential projects that can be selected is greater than the number of projects that can be funded, managers face the problem of selecting a portfolio that maximizes the expected benefits. In this article, financial concepts are applied in the project portfolio and then cash flow at risk, as a measure in project portfolio optimization, is developed. Finally, we propose a novel mathematical model for project selection.