Commit to One Pre-Mortem Before Funding
Create a specific pre-funding assumption check for a capital project.
Create a pre-funding assumption check for a real capital project whose NPV depends on one fragile driver. Use this commitment before the approval memo is finalized or before the next release of capital. The goal is to turn sensitivity insight into a concrete evidence gate. A manufacturing line extension where first-year utilization drives most of the NPV. A warehouse automation project where labor savings per order must clear a break-even threshold. A facility expansion where working-capital investment could consume the NPV cushion. Capital project pre-mortem commitment Project: [name and requested capital] Base-case NPV: [amount] at [hurdle rate] Fragile assumption: [driver…
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