Economic appraisals are used for assessing the integrity of capital investment decisions and the effective and efficient management of existing physical assets. The purpose of an economic appraisal is to ensure that spending proposals achieve value for money, and to prove that resources are used economically, efficiently and effectively. It is also an essential process in establishing and demonstrating accountability for public expenditure.
Economic appraisal is a key tool for satisfying requirements in decision accountability, and when it is carried out correctly, it leads to better decisions and value for money.
We help assess the wide range of monetary and non monetary costs and benefits of a project and its alternatives, by adopting a systematic process to assess the needs, project objectives, options, costs, benefits, risks, funding, affordability and other factors relevant to ensure best value decisions are identified and due process is achieved.
The assessment of needs, identification of objectives and identification of options is carried out in facilitated workshops and consultations with key project stakeholders. The costs and benefits are assessed in both using qualitative and quantitative assessment techniques alongside structured risk appraisals which are used to inform the optimism bias and sensitivity analysis calculations.
Our techniques, tools and reporting methods ensure best value can be achieved and resources are allocated in a manner that reflects the stakeholders’ priorities.