Analytical procedures for selecting investment projects at production enterprises

Abstract

Subject: In the context of globalization and increasing competition, manufacturing enterprises are faced with the need for constant modernization and expansion of their activities. To ensure sustainable development, an enterprise needs a thorough selection of investment projects. Purpose: to develop a multifactorial methodology that includes strategic and financial analysis, risk assessment, verification of resource provision and comparison of alternatives. Research design: The article considers analytical procedures for selecting investment projects at industrial enterprises, considering the specifics of capitalintensive industries. The proposed methodology is based on the development of an integrated scoring system and an algorithm for cutting off ineffective projects. An analysis of successful and rejected cases from the practice of leading Russian companies was conducted, confirming the applicability of the proposed approach. Results: A comprehensive methodology for analyzing and selecting investment projects is proposed, aimed at achieving the company’s development goals, ensuring financial efficiency, risk assessment, verification of the sufficiency of resource provision and comparison of alternatives. The results of the empirical studies confirmed the possibility of practical application of the methodology in order to improve the validity of the selection of investment projects, minimize risks and ensure sustainable development of enterprises.