How do you develop a business case document?

1 Identify the problem

The first step in developing a business case document is to identify the problem or opportunity that your project addresses. You need to explain why this problem matters, how it affects your organization, and what are the consequences of not solving it. You should also define the scope and boundaries of your problem, and identify the stakeholders and decision-makers who are involved or affected by it.

3 Evaluate the benefits

The third step is to evaluate the benefits or outcomes that your solution will deliver to your organization and stakeholders. You need to quantify and qualify the benefits, and show how they relate to the problem and the solution. You should also prioritize the benefits according to their importance, urgency, and impact, and identify the key performance indicators (KPIs) that will measure them.

4 Estimate the costs

The fourth step is to estimate the costs or resources that your solution will require to implement and operate. You need to calculate and categorize the costs, such as capital, operating, maintenance, or opportunity costs, and show how they compare to the benefits. You should also identify the sources and availability of funding, and the assumptions and risks that underlie your cost estimates.

5 Assess the risks

The fifth step is to assess the risks or uncertainties that your solution may encounter or create. You need to identify and analyze the potential risks, such as technical, financial, operational, or reputational risks, and show how they affect your solution and your organization. You should also propose the mitigation strategies and contingency plans that will reduce or manage the risks, and the escalation procedures that will handle them.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?