What is a Business Case? attain agreement on the scope of the project; and The Business Case is a one-off, start-up gain authorisation to proceed to the next document used by senior management to step of the project (usually the Project assess the justification of a proposed project, Business Plan). or to assess the options for a project that has already received funding. If approved, it Alternately, direction may be given by the confirms senior management support and/or proposer of a project to proceed directly to resourcing for a recommended course of the development of a Project Business Plan. action (option). This may cause problems if the scope has not been agreed or if there has been no Why would you develop a Business Case? assessment whether the resources are sufficient for the scope. A Business Case is developed to: Integration Process gain approval to proceed with a project; This document is a one-off start-up obtain resourcing for a project through document. It will not be updated and/or internal departmental processes; or revised as the project progresses. where resourcing is already available, to document what the project will Relevant sections of the Project Business accomplish for the funding and how (gain Case may be integrated into any subsequent agreement on the project scope). project management documentation should the project proceed. The document enables those approving the resources to analyse the rationale for the What you need before you start: project by assessing the economics and impact of the project and comparing these Agreement to proceed with the against other factors, such as the major risks development of the Business Case from and the prevailing political environment. the Project Sponsor or Proposer. Where an Agency, Division or Business Unit Agreement establishing the scope of the has a number of project initiatives, the Business Case. Business Case can be used as a tool to Knowledge and understanding of the prioritise the various initiatives. development of a Business Case, as outlined in the Tasmanian Government When would you develop a Business Project Management Guidelines. Case? Also advisable: Approval to develop a Business Case is usually obtained from the Project Sponsor or Any of the following documents – Proposer. This may be as a result of Project Proposal acceptance or approval of a preceding stage such as a Corporate Plan for a Department, a Strategic Information Systems Plan Business Plan for a Business Unit, or a Process Review Report Project Proposal. The Business Case expands the proposals developed in these Feasibility study documents in order to: obtain approval for resourcing for the preferred option;
What is a Business Case? The Business Case is a one-off, start-up document used by senior management to assess the justification of a proposed project, or to assess the options for a project that has already received funding. If approved, it confirms senior management support and/or resourcing for a recommended course of action (option). Why would you develop a Business Case? A Business Case is developed to: gain approval to proceed with a project; obtain resourcing for a project through internal departmental processes; or where resourcing is already available, to document what the project will accomplish for the funding and how (gain agreement on the project scope). The document enables those approving the resources to analyse the rationale for the project by assessing the economics and impact of the project and comparing these against other factors, such as the major risks and the prevailing political environment. Where an Agency, Division or Business Unit has a number of project initiatives, the Business Case can be used as a tool to prioritise the various initiatives. When would you develop a Business Case? Approval to develop a Business Case is usually obtained from the Project Sponsor or Proposer. This may be as a result of acceptance or approval of a preceding stage such as a Corporate Plan for a Department, a Business Plan for a Business Unit, or a Project Proposal. The Business Case expands the proposals developed in these documents in order to: obtain approval for resourcing for the preferred option; attain agreement on the scope of the project; and gain authorisation to proceed to the next step of the project (usually the Project Business Plan). Alternately, direction may be given by the proposer of a project to proceed directly to the development of a Project Business Plan. This may cause problems if the scope has not been agreed or if there has been no assessment whether the resources are sufficient for the scope. Integration Process This document is a one-off start-up document. It will not be updated and/or revised as the project progresses. Relevant sections of the Project Business Case may be integrated into any subsequent project management documentation should the project proceed. What you need before you start: Agreement to proceed with the development of the Business Case from the Project Sponsor or Proposer. Agreement establishing the scope of the Business Case. Knowledge and understanding of the development of a Business Case, as outlined in the Tasmanian Government Project Management Guidelines. Also advisable: Any of the following documents – Project Proposal Strategic Information Systems Plan Process Review Report Feasibility study
Project_business_case_template_and_guide_for_small_to_medium_projects.docx