using a project valuation method OR feasibility study approach, a risk analysis and a cost-benefit analysis

( Proposed Project Business Case Template )

Project Sponsorship 4

Executive Summary 5

Summary of Request: 5

Background: 5

Projected Benefits: 5

Potential Project Risks: 5

Estimated Project Cost (ROM): 5

Estimated Project Timeline (ROM): 5

Return on Investment (ROI): 5

Project Purpose & Description 6

Purpose and Scope: 6

Background and Circumstances: 6

Rational: 6

Key Project Objectives & Goals 7

Alternatives Considered 8

Recommended Solution 8

Project Cost - Benefit Analysis (CBA) 9

High Level Benefits Assessment: 9

High Level Costs Assessment: 10

Preliminary Risk Analysis 11

High-Level Project Plan (Timeline) 12

High Level Resource Requirements 13

Appendices 14

(3-4 bullet lines – executive level description of project)

(1-2 paragraphs – outline the major business drivers, business value and need for the project

(No more than top 5 [rank ordered] potential benefits gained from project. Should be bullet format).

(No more than top 5 [rank ordered] potential risks (business, technical, organizational, etc) challenging the project. Should be bullet format).

(Rough Order of Magnitude [ROM] cost. Costs should be categorized by project phase (if applicable)

(Rough Order of Magnitude [ROM] timeline. Project timeline should be categorized by project phase (if applicable)

(Brief overview of ROI. Could be in Cash Flow analysis, payback period or other intangible benefits [e.g. Market share, customer retention, etc]).

(Describe the proposed project/initiative and purpose: How does the project work towards adding business value to PRD strategic objectives? General sense of size (hours/dollars).)

(Provide a description of environment / circumstances that have given rise to the project. Examples may include issues of quality, efficiency, cost, customer service, competition, regulatory requirement etc. what has given rise or triggered the need for this project?)

(Why is this project needed? What happens if we do not do it?)

(List key project objectives /goals and include how achievement of the goal will be determined. Eg. What are you trying to achieve? How will you achieve it? The goal/objective needs to be measurable and show improvement)

(Please identify and describe any options that were evaluated as possible alternative to achieving the goals and objectives identified. E.g. Manual work-around, outsourcing, vendor purchased, develop application ‘in-house’, do nothing, etc.)

Based on the business analysis and risks, the following potential solutions should be considered to solve the business problem:

· pure IT (In-house development)

· none IT (Vendor Procurement, outsource, etc)

· mixed IT/none IT (Vendor application with in-house ‘tailoring’)

· do nothing (No recognized Business value to proceed with this project)

Multiple options should be analyzed and described with the pros and cons clearly stated.

Describe the recommended solution and explain why it is the best approach based on the business analysis.

It may be appropriate in extreme circumstances to recommend fast tracking directly to the Execution Phase. This might include:

· Totally unforeseen requirements arising with very short lead-time, e.g. Government Legislation, Business Regulator regulations, a disaster

· The project is in a low risk high return area of the business, with a time dependent opportunity

· Business Benefits are so high that earliest implementation of the capability to realize them is a risk worth taking.

· Business survival or dramatic reduction in market share is at stake

(The table below includes some typical benefits that can be realized by a given project or initiative. For your given project, please identify which of the following benefits will be realized and how. If your project has a benefit or benefits that are not listed please include them in the table below)

(Performing a cost/benefit analysis specific to the project is an integral part of evaluating the impact of any project. Consider developing cost data by discrete project phase as well, if the magnitude of the project warrants a phased approach. It is important to remember that this is only a preliminary estimate. An effort should be made to provide a reasonable level of accuracy, but a detailed and specific cost estimate may not be able to be developed at this point in the process. Detailed project planning will proceed more detailed costs and required resources.

Calculate total project costs and anticipated financial benefits. This information should be calculated using the separate CBA spreadsheet in Appendix I) (See example CBA Spreadsheet embedded below).

(To be embedded)

(Describe any risks that may be associated with implementation of this solution and proposed strategy to mitigate or minimize the risk).

Highlight any impacts this project may have on other enterprise projects or vice versa. Also note if there are no impacts.

(This section of the business case provides schedule information that demonstrates effective application of project management controls for the proposed project. Schedule data should be provided that is consistent with the scope and complexity of the project. The high level phases and deliverables of the project should be detailed in a clear and concise manner. Project Phase ‘start & end’ dates are preliminary estimates only.

A final detailed schedule estimate will be provided at the end of the Planning Phase). Also include a second plan which defines how and when you will obtain the specified return on investment outlined in your CBA after the project has been completed.

(List the estimated resources required to complete the project, along with the area(s) they represent, their role(s) on the project. Note: One individual may represent multiple areas and play multiple roles). Be sure to include any external resources that you may need and the amount of time (estimated) they will need to commit to this project.

All other pertinent information (reference or for detailed review) should be contained within appendices. This may contain, for example:

· Meeting minutes / Requests from Lahey Health customers

· Information from suppliers, vendors

· High level requirements from business owners

· Supporting market or industry data (e.g. Best Practices analyses)

· Results of RFI’s