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After the acquisition of the Derby Company, projects evaluated, and 45% of the projects cut; the next evaluation criteria was Schedule Performance Index. The Schedule Performance index looks like the following: .78, 1.0, .9,.8, 1.3, and 1.0. If their policy is to cut any projects behind schedule; what percentage of projects will be cut?
0% of the portfolio will be cut
40% of the portfolio will be cut.
45% of the portfolio will be cut
50% of portfolio will be cut
Let's first look at the definition of Schedue Performance Index; A value >1 shows ahead of planned schedule, a value<1.0 is behind planned schedule, and a value=1.0 is on planned schedule. Based on this definition, 3 projects are ahead and 3 projects are behind schedule or 50% of the remaining projects will be cut.
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