Business Case Template Example
The template presented below is an example of a Business Case that focuses on benefits and costs. It is split into the following five parts:
- Overall costs gives an overview about the different cost categories broken down into subcategories (development/implementation, internal/external costs, CapEx and annual running costs).
- Payback defines the time period to get the initial costs of the solution paid off. In addition, it points out the Net Present Value (NVP) after five years as an overall benefit realization benchmark.
- Yearly split of benefits and costs
- List of benefits to be achieved which is a qualitative list of different benefits to be achieved and completed by measurable information of a change metric including the completion criteria. For example, increasing online sales (source of benefit), measured by relative proportion of total sales (change metric), achieved as soon as online sales cover 70% of total sales (completion criteria).
- Budget information reveals whether the costs of a specific project are part of a budget or not. It also highlights quick net benefits that may in some cases justify running a project outside of the budget. Furthermore, the Business Case has to adapt to the dynamic environment meaning that the predicted net benefits of a specific project need to be continuously compared with potential alternatives, and weighted up against potential risks.
Figure 5.4.1 Business case template