Cost-Benefit Analysis and Projecting Project Payback
A cost-benefit analysis can help maintenance and engineering managers determine how well or poorly a planned action will turn out. It helps determine if it’s a sound investment or decision. Managers are faced with the similar situations face much higher risk and consequences if they don’t perform the analysis correctly. The process involves comparing the total expected cost of each option against the total expected benefits to see whether the benefits outweigh the costs and, if so, by how much.