A business case is the first deliverable in the IT project life cycle. It provides an analysis of the organisational value, feasibility, costs, benefits, and risks of several proposed alternatives or options.
A business case helps to determine whether or not a project justifies an organisations investment into a project. The business case defines the problem and its impact and performs a cost benefit analysis for the proposed solution. It also looks at possible alternative solutions. The business case should also provide a check to see that the project aligns with the organisation's strategic plan.
Requirements
Ideally the business case should contain details of the following:
- project background
- project objectives (including link to organisational mission statement)
- description of the current situation (including a SWOT analysis)
- problem/opportunity statement
- critical assumptions and constraints
- analysis of options and recommendations
- financial analysis (npv, roi and payback figures)
- preliminary project requirements (project preliminary scope)
- budget estimate (cost model and baseline)
- schedule estimate (including work breakdown structure level 3)
- potential risks
Templates for the above documents are available from your lecturer/tutor. You can use these as a basis, but you are encouraged to research new and innovative ways of presenting your business case.