Adjusted payback

In the FM risk-and-uncertainty context, adjusted payback means changing the acceptance criterion to prefer earlier recovery when later cash flows are less dependable. Management might require a risky project to pay back within two years while allowing three years for a more predictable project. This is simple and focuses attention on exposure, but the adjustment is subjective and still ignores value after the cutoff. It does not automatically mean discounting the cash flows; discounted payback is a separately identified appraisal method in the syllabus.