How do you choose your Keywords in Adwords?

I'm new to the world of PPC. I'll be on my second month with my new company were I work as Search Specialist. And I've just learned how we choose the keywords for each Ad Group of our Campaigns. Here is our criteria in the choosing of Keywords:

Local Monthly Searches
CPC (Cost Per Click)
Projected Clicks
Projected Spending

And I'm wondering if this criteria is ok in choosing the keywords for each Ad Group and what is your Personal Criteria?
Looking forward for your…
How do you choose your Keywords in Adwords?

See original post by Edralin Canape