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You’re probably reading this article because you want to know how to write a business case. Perhaps your organisation is embarking on a major project to develop a new product. Or, perhaps you’re thinking of moving house so your family can enjoy a better life. In either case, you write a Homebusiness case to ensure the investment is worthwhile.Business Analysis

In this article we’ll give you 2 business case examples, provide you with a simple business case template for you to use, and explain how to write a business case.Business analyst certification

through a recognised credential awarded by authoritative organisations.

TimescalesAchieving business analyst certification, such as the

It’s also important to understand how long the investment of resources will take. This is so that the organisation (or family in this case) knows when the resources will be freed up to work on other Certified Business Analysis Professional (CBAP)projects from the or activities.International Institute of Business Analysis (IIBA)

There are usually 2 timescales to consider. First, the timescale of the project or activity – in this case 3 months to find a new house and move there. Second, the time over which the benefits shall be realized. In this case it’s 5 years until the kids leave school.,

CostsInternational Diploma in Business Analysis

The costs of doing the project or activity is the next important bit of information. On this project, the costs of moving to a new house will be £5,000. These are the project costs. (IDBA)

However, the couple will spend an additional £2,000/year for every year over which the business case is calculated. For a project in an organisation, this is usually referred to as the operational costs of maintaining and operating the projects outputs e.g. an IT system. At this point, the couple knows the total costs over the timescales when the benefits shall be realized. from the

RisksBCS

For any activity or project, it’s also important to understand the major risks involved. Risks are the uncertain things which may or may not happen during the period of the investment. There is only one risk identified here, which is the risk that the couple might lose touch with friends who live close to them right now., or the

Investment appraisalPMI Professional in Business Analysis (PMI-PBA)

Business case example 2: Handheld device project.

Imagine a heating repair services company that uses a paper-based set of forms filled in by an engineer during site visits. The spare parts required to fix the heater are recorded on a form which is given to staff to process back in the office. They then order the parts, and schedule a follow-up visit for the engineer to fix the heater.These certifications help employers identify qualified candidates and support analysts in career progression, salary increases, and professional recognition.

Beginners, recent graduates

This sample business case contains an executive summary. This section briefly describes the selected option and the key benefits it will bring.Practitioner Certificate in Business Analysis Practice

Reasons (PCBAP)

The reasons for the project are clearly spelled out when describing the 3 current problems which the company faces.Intermediate

OptionsBCS

In this example, there are 2 options (other than do nothing) which have been examined. Each option is summarized and the reason why option 3 is the preferred option has been stated.Some experience recommended

Benefits40 multiple choice (1 hr)

The expected benefits of reduced overheads are clearly stated. Benefits should be measurable and quantifiable. That means that the benefits can be measured later. But what about the reduced errors, rescheduled appointments and customer contract cancellations? Aren’t they benefits?£250

Well, these are in fact something else – they’re called outcomes. Outcomes are the results of the changes which come about by using the new handheld devices. The ways you measure the improvements resulting from these outcomes are known as benefits.Recent graduates

Dis-benefitsPractitioner Certificate in Requirements Engineering

This example also contains a dis-benefit which is that the back-office staff morale will be lower due to reduced overtime payments. A dis-benefit, if you’re wondering, is a negative consequence of a project. It’s not the same as a risk which implies something uncertain. A dis-benefit is something which you know will happen because of the project and it has negative consequences for the organisation. It’s the opposite of a benefit! (PCRE)

TimescalesIntermediate

Just as we saw in the previous example, the business case contains 2 timescales – the project timescales (i.e. the time it will take to complete the project) and the benefits realization timescales (i.e. the time over which benefits are expected to be realized).BCS

CostsSome experience recommended

Again, there are 2 costs – project costs and the ongoing operational costs over the benefits realization timescale. When the decision is taken whether to invest in this project, the total costs (i.e. project costs and ongoing operational costs) are weighed against the expected benefits over the same time period.40 multiple choice (1 hr)

Risks£250

One major risk has been identified in this example, but on your project, there could be many risks.Recent graduates

Investment appraisalPractitioner Certificate in Modelling Business Processes

The final section is the investment appraisal. The investment technique used in this example is called net benefits. As you can see from the table, the project and operational costs are recorded for each year of the investment. (PCMBP)

The project lasts 1 year which is why the project costs are zero after year 1. Of course, the benefits won’t be realized until the solution is in place and the company starts to use the handheld devices.Intermediate

The net benefits are simply the total benefits minus the total costs. This shows that the company will start to get a return on its investment sometime towards the end of year 2. This knowledge is vital if the decision-makers are to take a sensible decision about whether to invest in the project.BCS

Business case templateSome experience recommended

This simple 40 multiple choice (1 hr)business case template£250 is free to download.Recent graduates

SummaryInternational Diploma in Business Analysis

A business case is the most important document on any project. That’s because it justifies the investment. (IDBA)

It helps an organisation be clear about why a project is needed, and what the results of the investment will be. This is crucial because no organisation has unlimited funds to spend on an unlimited number of projects. Therefore, a business case gives confidence to senior managers when deciding to invest in one project rather than another.Intermediate

However, as you have seen in this article, a business case is something which you can find useful when taking major decisions in your own personal life. Remember – a business case doesn’t need to be a lengthy document. It could easily be a few notes scribbled on the back of something or even sent in an email.BCS

Whatever form your business case takes, remember one thing – it will help you or your organisation take sensible decisions about committing time and resources to a project or activity.Some experience recommended

Remember, if you want to learn more about developing a business case, and learn many of the techniques useful for assessing business problems, consider attending a classroom 50 minute oral exambusiness analyst course£1,250.Recent graduates

Business case FAQsPMI

Who approves a business case?Bachelor’s + 3 yrs BA exp., or 5 yrs w/o

Usually on a project, the project sponsor (the person or people who are committing the funds) will approve a business case. Before approving it, they need to have confidence that the problems have been addressed and the right solution has been selected, that the benefits are achievable and realistic, when the investment will pay off, and how big will the return on investment be.

What makes a good business case?200 multiple choice (4 hrs)

As you have seen in this article, there’s several important bits of information which goes into a business case. Don’t spend unnecessary time though adding information which isn’t required. Your project sponsor will have to read your business case before they approve it, and you don’t want to make their job any harder than it already is!£300 (members)

There are several things you can use to check whether your business case is adequate or not. Here’s a checklist of 13 questions to ask yourself before you submit your business case to your sponsor for approval:Project managers/BA leaders

1. Are the reasons for the project consistent with the corporate, Certification details and processesportfolioFoundation Certificate in Business Analysis (FCBA) or Eligibility requirements:programme management No prior experience. strategies?Exam process:
2. Is the 40 multiple choice questions, held online.project planPreparation resources: aligned with the business case? (e.g. are the costs and timescales in the project plan correctly reflected in the business case?) Online preparation courses, sample questions.
3. Are the benefits clearly identified and justified?Benefits:
4. Is it clear how the benefits will be realized? Entry-level validation, ideal for newcomers to
5. Is it clearly defined what will judged a successful outcome?business analysis
6. Is the preferred business option clearly stated, along with the reasons why?.
7. If the project requires external procurement, is the preferred sourcing option stated, and why?Practitioner Certificate in Business Analysis Practice (PCBAP)
8. Is it clearly stated how any necessary funding will be obtained?Eligibility requirements:
9. Does the business case include non-financial, as well as financial criteria? Some prior business analysis experience it recommended.
10. Does the business case include operations and maintenance costs and risks?Exam process:
11. Does the business case include project costs and risks? 40 multiple choice questions, held online.
12. Does the business case conform to organisational accounting standards (e.g. break-even analysis and cash-flow conventions)?Preparation resources:
13. Are the major risks faced by the project explicitly stated, together with any proposed responses? Online preparation courses, sample questions.

How do you write a good business case?Benefits:

A good business case must contain certain key information including: Ideal for those seeking a pathway to the BCS-IDBA certification.

• The reasons for doing the project;Practitioner Certificate in Requirements Engineering (PCRE)
• The business options which have been considered, including the base business options of do nothing, so something, or do something else;Eligibility requirements:
• Project and operational costs; Some prior business analysis experience it recommended.
• Project and operational timescales;Exam process:
• Benefits, expressed in measurable terms; 40 multiple choice questions, held online.
• Investment appraisal (or cost benefit analysis);Preparation resources:
• Major risks and their mitigation plans; Online preparation courses, sample questions.

How long is a business case?Benefits:

A good business should be long enough that it contains all the information needed for the decision-makers to take an informed decision about whether to invest in the project. That means, remove any waffle, and only include information which helps decision-making. Ideal for those seeking a pathway to the BCS-IDBA certification.

What’s included in a business case?Practitioner Certificate in Modelling Business Processes (PCMBP)

The following are the most important items to put into a business case:Eligibility requirements:

• Executive summary – summarizes the key points; Some prior business analysis experience it recommended.
• The reasons for the project (answers the question ‘Why are we doing this?’);Exam process:
• The options considered – e.g. do nothing, do something, or do something else – (answers the question ‘What’s the best option?’); 40 multiple choice questions, held online.
• The expected benefits – in measurable terms – (answers the question ‘What’s the return?’);Preparation resources:
• Costs – both project and operational – (answers the question ‘How much will it cost?’); Online preparation courses, sample questions.
• Timescales – for the project and for realizing benefits – (answers the question ‘How long will it take?’);Benefits:
• Investment appraisal – weigh up costs, times, risks against benefits – (answers the question ‘Is it worth it?’); Ideal for those seeking a pathway to the BCS-IDBA certification.
• Major risks – (answers the question ‘What if?’).International Diploma in Business Analysis (IDBA)

What is a business case template?Eligibility requirements:

A business case template serves as a starting point when writing a business case. It is reusable and can be used across all your projects. Depending upon its needs, your organisation may have different business case templates, each one used for different scales of projects. Must have passed the Foundation certificate and 3 Practitioner exams.

You can download an example Exam process:business case template here 50 minutes oral exam..Preparation resources:

What is the purpose of a business case? Online preparation courses for the Foundation certificate and 3 Practitioner courses.

The purpose of a business case is simple – it’s used to justify an investment in an activity. Typically, in an organisation this activity is a project. It helps give confidence to management that their investment is worthwhile and will realize benefits for the organisation.Benefits:

Who owns a business case? Ideal for experienced business analyst professionals.

A business case is owned by the person who is funding the project. The name of this role is different across organisations, but commonly this role is known as a project sponsor, or project executive.Entry Certificate in Business Analysis (ECBA)

By owning the business case, it means this person is accountable for ensuring that any investment decisions which are taken based upon the information within the business case are worthwhile.Eligibility requirements: