1. There is no corporate policy on capital budgeting.

2. The company has no formal capital budgeting process. Budget focus is primarily on the P&L statement.

3. No one individual oversees the capital project process.

4. Company is overly focused on short-term, quarterly results.

5. Project proposals and business cases are often submitted with different formats.

6. More time is spent planning a car purchase or a vacation than on a multi-million project proposal.

7. Status reports for ongoing projects are not required or requested.

8. There is no process in place to verify project benefits.

9. Managers frequently submit project business cases with wildly positive projections.

10. No link exists between project performance and manager compensation.

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