The business case examines and appraises possible approaches or options against the project outcomes (social, environmental and economic considerations) defined in the requirements. On a small project, the business case might comprise a few pages; however, on larger projects it can run to several comprehensive volumes, prepared by a wide range of consultants and advisers. On some larger projects, the business case is reviewed and updated beyond Plan of Work Stage 0: Strategic Definition until the project is given final approval.
It is necessary to understand the business case for a project because feasibility studies may identify several possible approaches in response to the local authority’s needs. Conversely, undertaking a financial appraisal to obtain site values may conclude that a new building is a justifiable business approach, although this may conflict with the sustainability strategy.
The business case should tease out the pros and cons of different approaches, considering the project risks and project budget of each. The criteria for selecting the most appropriate way forward must be considered and different topics might be weighted differently depending on the requirements. For example, on one project, adhering to the project budget might be the overriding criterion, while, on another, design quality might outweigh other considerations.
HM Treasury encourages the use of the 5 case model to develop the business case. This is not essential depending on the scale of the project and standard approaches used by the local authority. Depending on the type of financing or funding it is recommended.
Although not essential, this method is recommended, depending on the scale of the project, standard approaches used by the local authority and the type of financing or funding available.
Actions
- Review whether project development is necessary to deliver the requirements as one of the business case options considered
- Identify relevant current and emerging global, European, national and local climate-related policy and legislation
| Task appears on Plan of Work Card |
Description |
| Requirements and outcomes |
- Develop high-level, measurable, ambitious and unambiguous project outcomes to define the requirements, following initial consultation with internal project stakeholders
- Define the requirements, following initial consultation with internal project stakeholders
|
| Project cost |
- Define whether any specialist cost consultancy expertise is needed in the client team
- Prepare a rough order of cost estimate
|
| Project risks, constraints and dependencies |
|
| Site appraisals |
- Undertake a site appraisal of sustainability opportunities and constraints of potential sites and assets
|
| Requirements and outcomes |
- Stakeholder mapping and engagement
|
Required skills and capabilities
| Role |
Responsibility |
Team |
| Primary financial decision maker |
Provides authority to proceed based on financial grounds |
Corporate team |
| Primary strategic decision maker |
Provides authority to proceed based on strategic alignment |
Corporate team |
| Primary political decision maker |
Provides authority to proceed based on political acceptance |
Council membership |
Guest preview of selected publicly available resources