A business case capture is a detailed blueprint outlining the various stages of planning a process. A business case capture can be a tool used to outline project requirements, identify appropriate business partners, specify the most appropriate method of procurement, describe the business development processes required to achieve the project goals, and ultimately communicate the critical business metrics associated with the project to key decision makers. The objective of a business case is to provide a clear picture of the business case to stakeholders and decision makers, to accelerate project implementation and realize its full business value.
A business case captures the rationale for initiating a project or activity. In business cases, it typically presents an ordered list of project risk factors that should be analyzed and selected according to their probability of failure. It is most often presented in a formalized written format, but can also come from a simple verbal agreement or rough presentation. A robust business case is usually flexible enough to accommodate project risks, taking into account both the probability of events and the extent to which they are outside the control of the project manager. It presents multiple scenarios, which allow decision makers to evaluate the relative strengths and risks of different alternatives to the current ones.
There are different forms of business cases, and each has a different purpose. The underlying principle is that strategic business case planning delivers flexible project plans and outcomes at various levels of detail. The flexible nature of these project plans and their detailed, customizable outputs give rise to significant business case modeling, which enables the identification and evaluation of project risks. Strategic business case planning thus provides a strategic solution to the problems of organizations and projects. It can also help organizations to better understand business case modeling and its applications.
Another important aspect of the business case concept is the identification and evaluation of expected benefits from the project. Benefits are generally considered as realistic assumptions, and many have been measured, for example, the reduction in cost and the avoidance of delays and overruns. These are the types of benefits that become apparent to all stakeholders during the course of the project. It is important for any organization to first present its own version of the benefits of the project, and then the stakeholders can evaluate this presented information, in order to assess the expected value of the project.
As part of the evaluation process, it is also necessary to evaluate the anticipated benefits of the investment and the costs of implementation. This can be done in several ways. Some of the methods include the use of economic models, which attempt to forecast the impact of the investment on key factors, such as productivity and capital, and the effect of management risks, such as failure to properly assess and manage the risks of project risk.
One of the major benefits of business case modeling is that it presents a flexible, detailed methodology that can be implemented for a wide variety of scenarios, including business value creation and business planning. In addition, it can provide for a complete method for evaluating the value of an investment, whether in terms of return on investment and/or return on equity. By following the five steps to develop a solid business case, the likelihood of success in business case development activities becomes more likely. To attain success in any project, the ability to gather and analyze the appropriate data and information from diverse sources is essential. The importance of information integration in this process cannot be understated, as it provides the ability to integrate multiple sources of information to produce accurate assessments and projections of the overall benefit of the project.