The 4 Rules for Non-Mutually Exclusive Projects

There are two kinds of projects out there: non-mutually exclusive projects and mutually exclusive projects. Mutually exclusive projects are the ones where a building system is removed and a single system replaces it.  Let’s say you’re evaluating three different replacements that have a best, better and good selection to choose from.  You have nine choices in all. Ultimately, you have to remove one piece of equipment (or system) and install a replacement.  In such a situation, you need to choose the equipment with the best life-cycle cost, which is not necessarily the choice with the lowest first cost.