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How do you define the scope and objectives of an IT strategy business case?

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An IT strategy business case is a document that outlines the rationale, benefits, costs, risks, and implementation plan of an IT initiative. It is a critical tool for communicating the value proposition of an IT project to the stakeholders and decision-makers. However, creating an effective IT strategy business case requires defining the scope and objectives of the initiative clearly and realistically. Here are some steps to help you do that.

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1 Identify the problem or opportunity

The first step is to identify the problem or opportunity that the IT initiative aims to address. This should be based on a thorough analysis of the current state, the desired state, and the gap between them. You should also consider the external and internal factors that affect the problem or opportunity, such as market trends, customer needs, regulatory changes, organizational goals, and existing capabilities. The problem or opportunity statement should be concise, specific, and measurable, and should align with the strategic vision and priorities of the organization.

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Gene Cartier

Managing Director & Chief Technology Officer at Venture Technology Group
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The first step should be to identify the "Business Problem" that the IT solution is trying to solve. If you don't understand the business then technology is not the solution. How the technology solution impacts on the business is a get fact that needs to be evaluated at each stage of the planning, design and implementation. If a business process is bad then all technology will do will make a bad process faster. A good example is a convoluted approval or review process. It can make it faster, but it can also make it a bottleneck if the process is not changed, "because we have always done it this way".

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Elizabeth Koumpan
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This is a common trend - when we try to map business problem to technology, instead of other way around. First we need to know what is the business problem we try to solve and why, and what be the value proposition with full understanding of market demands, industry roadmap, changes required to the business process. Bringing IT and business together - is always a challenge. Applying advanced technology without reevaluating and optimizing existing , sometimes outdated processes, - will not solve the problem, but instead create new ones.

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Tim Montgomery

IT Strategy Consultant | Nearshore Talent | Custom Software | Business Process Expert| CEO | CIO | Cost Reduction | Outsource Expert | Can help you increase sales and cut cost in your business!
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Gene and Liz have already clearly stated the need for any "IT" initiative to be a Business initiative. The CIO/IT Leader in the business needs to have a seat at the table where the business develops its strategy, business model, and operational initiatives. IT plays a strategic role in any business, and so all "IT" initiatives must come from the business needs and not separately. An "IT" initiative the business does not understand the need for is an uphill battle and often fails for a lack of commitment by the business.

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Amit Patel

Director (Problem Solver), Digital and Technology Services
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It is necessary to involve the right stakeholders early in the discussion to identify the priorities of Business and IT. Identifying the problem or opportunity statement should be a quick effort with clear direction from IT leaders as dragging the exercise will change the problem / opportunity statement over a period of time.

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2 Define the scope and boundaries

The next step is to define the scope and boundaries of the IT initiative. This means specifying what is included and excluded in the project, and what are the assumptions and constraints that limit the project. The scope and boundaries should be realistic and feasible, and should avoid scope creep or gold plating. You should also identify the key stakeholders and their roles and responsibilities in the project, and how they will be engaged and communicated with throughout the project lifecycle. The scope and boundaries should be documented and agreed upon by the project sponsor and the project team.

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Elizabeth Koumpan
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Also need to include dependencies, and especially external , that we have no control over. ensure you will have contingency plan

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Amit Patel

Director (Problem Solver), Digital and Technology Services
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The project team should also document the at what intervals the key stakeholders will review the outcome / milestone achievements.

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3 Establish the objectives and benefits

The third step is to establish the objectives and benefits of the IT initiative. This means defining what are the expected outcomes and impacts of the project, and how they will be measured and evaluated. The objectives and benefits should be SMART: specific, measurable, achievable, relevant, and time-bound. They should also be aligned with the problem or opportunity statement, and should demonstrate how the project will add value to the organization and its stakeholders. You should also quantify the benefits in terms of financial, operational, strategic, or social metrics, and estimate the return on investment (ROI) of the project.

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Elizabeth Koumpan
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Somewhere along the road you should define operational & business models and long term road map. Overall it should be agile approach with constantly updating it

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4 Assess the costs and risks

The fourth step is to assess the costs and risks of the IT initiative. This means estimating the resources, time, and money required to complete the project, and identifying the potential threats and uncertainties that could affect the project's success. The costs and risks should be realistic and transparent, and should account for both direct and indirect costs, and both internal and external risks. You should also prioritize the risks based on their likelihood and impact, and develop mitigation strategies and contingency plans for the high-priority risks.

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Elizabeth Koumpan
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Any IT initiative should be linked to the business value. Risk will be also associated to the business processes linked to such project.

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5 Define the implementation plan

The final step is to define the implementation plan of the IT initiative. This means outlining the main activities, milestones, deliverables, and dependencies of the project, and assigning the roles and responsibilities of the project team and the stakeholders. The implementation plan should be detailed and structured, and should follow a recognized project management methodology and framework. You should also define the governance and control mechanisms of the project, such as the reporting, monitoring, and evaluation processes, and the change management and quality assurance procedures.

By following these steps, you can define the scope and objectives of an IT strategy business case effectively and convincingly, and increase the chances of getting your IT project approved and funded.

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Gene Cartier

Managing Director & Chief Technology Officer at Venture Technology Group
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Don't forget to consider real life field testing with real end users. We techies love to design elegant systems that are sometimes impossible to use in the real world. Consider how most of us have observed how some Point of Sales Systems are almost impossible to use by retail sales people. It may have looked fine in the lab, but when installed in a store with low skill sales staff and poor datacom links it makes it a real nightmare for the staff to use and makes the customers roll thier eyes. I watched this happen at a large hardware retailer when I ordered a dryer that was backordered and asked to change the order for another model. The result was not pretty.

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6 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?

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Rajesh (RS) Shetty

Enterprise Account Executive @ IBM Software | Trusted Advisor to my valued customers
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If an IT initiative ends up becoming a strategic program comprising of multiple projects that may be dependent on each other or run independently of each other, a program roadmap that clearly lays out the timeline of each of the project leading up to the timeline of the overall program is a critical artifact that needs to be created, maintained and evolved throughout the execution of the program. It will ensure that all stakeholders involved, including the executives, have a clear vision of the end goal of the strategic program and the underlying IT initiative.

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Elizabeth Koumpan
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Monitor & adjust; Evaluation and optimization is important - once the initiative is completed - evaluate its impact and satisfaction.

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How do you define the scope and objectives of an IT strategy business case?

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6

1 Identify the problem or opportunity

2 Define the scope and boundaries

3 Establish the objectives and benefits

4 Assess the costs and risks

5 Define the implementation plan

6 Here’s what else to consider

IT Strategy

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How do you define the scope and objectives of an IT strategy business case?

1

2

3

4

5

6

1 Identify the problem or opportunity

2 Define the scope and boundaries

3 Establish the objectives and benefits

4 Assess the costs and risks

5 Define the implementation plan

6 Here’s what else to consider

IT Strategy

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