1. Developing a Full Business Case for C2 Funding
June 27, 2018
July 13, 2018

2. Training Agenda Big picture Developing your project business case
Submission instructions

3. Big Picture

4. Business Case Basics What constitutes an IT project?*
Purchase, replacement, development or modification of hardware or software system
Important undertaking with discernible beginning and end
Major change or upgrade in technology, change in work processes or products for substantial portion of agency business personnel, and/or changes in work processes or products that serve the public
Who uses IT business cases?
Department of Information Technology
Department of Finance and Administration
Legislative Finance Committee
WIIFM?
Your opportunity to compete for IT project funding
Your opportunity to tell your project story, internally and externally
*Reference: DoIT Act

5. Tips Tell a story Tie request to a business driver
Focus on outcomes, impacts and results
Get to the point
Answer the question; follow the instructions
Consider your audience
Write the executive summary LAST
FLUFF

6. Common Issues Executive summary Business problem or opportunity
Doesn’t concisely present key points to tell full story
Doesn’t state request
Not treated as standalone section
Business problem or opportunity
Doesn’t explain business need or opportunity
Doesn’t explain outcomes, impact or results to be delivered
Doesn’t explain current environment to set stage for project
Doesn’t clearly describe proposed project
Doesn’t correlate proposed project to business need or current shortcomings
Doesn’t address possibility of phased approach
Doesn’t meaningfully address impact of not obtaining funding
Project objectives and performance metrics
Not related to business need and targeted outcomes, impact or results
Not measurable
Not meaningful

7. More Common Issues Alternatives analysis and planned approach
No alternatives presented
Meaningful alternatives not presented
No objective evaluation and comparison of alternatives
Project risks
Actual risk not defined
Gratuitous risks vs. those that are critical to project definition, approach, success
Mitigation plan not related to stated risk OR falls within range of normal project management
Total cost of ownership
Cost information not complete
Assumptions not documented
Information presented for alternatives other than proposed approach
Incorrect math
Information doesn’t correlate to current state OR to proposed project approach, as described in other sections

8. Reviewer Focus Clear narrative thread Appropriate to audience
Addresses ALL requirements from instructions
Clarity
Substance
Accuracy
Appropriate candidate for C2 funding – really IS an IT project

9. This Year… TEMPLATE PROCESS
Focus group provided feedback on template and process
Minimized template changes
Added table for alternatives analysis
Revised TCO tables
Added instructions for C2 form
Posted tables, with formulas, on DoIT web page
Added training on business case preparation
Continuing…
1-line submission of planned project in July
Draft business case submission and review in August
Final business case submission along with agency IT strategic plans
Submission of draft and final C2 presentations C2 presentations to panel in October

10. Developing Your Project Business Case

11. Introductory Content & Tips
Cover page
Use YOUR agency logo on cover page – or an alternative graphic
Replace text in [brackets] with YOUR information
Generate a correct table of contents after drafting business case
TIP: Verify that you introduced EVERY acronym with full term before using acronym alone
TIP: Verify that you used no technology jargon or unexplained agency/program-specific terminology
TIP: Lay out thoughts in bullet form BEFORE you begin to write

12. Section I: Business Problem or Opportunity
Most critical section of business case; all other content flows from here
Understand basis for project…
Problem: impedes agency from efficiently meeting stated purpose
Opportunity: enhances agency ability to fulfill its mission or enables agency to provide greater value to State and/or New Mexico citizens
Be VERY clear about concrete outcomes, results, impacts
TIP: No filler; no extraneous content; don’t
copy content from other documents or
old business cases
TIP: Business case based upon technology
alone is not competitive
FLUFF

13. Section I: Essential Content
Business rationale
Agency and mission
Business unit or program and purpose
Opportunity or problem
Targeted results, impact, outcome
Technology rationale
Technology used today, if any
Shortcomings or need – tie to opportunity or problem, ability to deliver results
Project snapshot
Technology profile
Resource requirements
Intended approach and timeline
Participants (cross-agency collaboration or impact)
Statutory or other compliance drivers
Impact of not receiving funding – opportunity cost

14. Section II: Project Objectives and Performance Metrics
Meaningful objectives:
Relate directly to targeted outcomes, results, impacts
Answer the question “why?”
Are measurable
Are NOT functional or technical requirements
Identify KEY objectives that help justify project and funding request
TIP: Quality trumps quantity
NO.
OBJECTIVE
PERFORMANCE METRIC(S) 1
[Brief statement of objective]
[Performance measure 1.1] 2
[Performance measure 2.1]
[Performance measure 2.2] 3
[Performance measure 3.1]

15. Section III: Alternatives Analysis and Planned Approach
Explains rationale leading to planned project approach
Demonstrates due diligence
Presented for STATUS QUO (mandatory) and EACH ALTERNATIVE considered
ALTERNATIVE
PROS
CONS
RATIONALE
1 – Maintain Status Quo
[pro]
[con]
NOT SELECTED due [fill in].
2 – [Alternative 1 Name]
X – [Alternative X Name]
RECOMMENDED. This solution is recommended [for what reasons?].

16. Section III: Tips
TIP: Make alternatives meaningful – consider spectrum of possibilities TIP: Do NOT include alternatives that are not even marginal contenders, just to make a list; this undermines argument instead of improving it TIP: Concisely, clearly define alternative – distinguishing characteristics TIP: FAIRLY list pros and cons – don’t weight this content to preconceived answer TIP: Clearly and plainly state rationale for elimination or selection

17. Section IV: Project Risks
Understand what a risk is…
uncertain event or condition that, if it occurs,
may affect achievement of project objectives
All projects have risks – recognizing them and addressing them is a sign of a well-conceived project, not a sign of failure
List ONLY the KEY risks that affect project approach or definition
State risk… IF X happens, then Y is impact on project
Define meaningful, relevant mitigation plan – simply managing project is not a mitigation plan
TIP: Demonstrate insight!
RISK
PROBABILITY
& IMPACT
MITIGATION PLAN /

18. Section V: Total Cost of Ownership
Presented for STATUS QUO and CHOSEN ALTERNATIVE
Covers…
Development costs: one-time costs for project initiation, planning and implementation
M&O costs: recurring costs associated with sustaining status quo or chosen alternative
Tables available on DoIT website:
TIP: You MUST document assumptions for each line in table

20. Section VI: Funding
Use same project name as used earlier in business case
Rank C2 requests in priority order – only one request per priority
Check “project type”
IF you will use “other state funds”, you MUST identify source
Ensure expenditures line up with TCO table content
May request up to 2 years of funding – show project expenditures for complete project
Ensure form is SIGNED in final business case
Form is on DoIT website

21. Executive Summary Write this LAST Concisely cover key points
Tell your story
Logically group ideas
Close with clear statement of funding request (amount, years, project)
TIP: Keep executive summary to 1 page
TIP: Review critically – or ask someone else to do so; verify that any reader unfamiliar with your environment could follow argument
TIP: Eliminate extraneous content
TIP: Executive summary is NOT the introduction to your business case

22. Submission Instructions

23. Submission Requirements: Timeline
MONTH
MILESTONES and DEADLINES
JUNE 2018
June 14: SFY Agency IT Strategic Plan Guidebook published
June 14: SFY 2020 Full Business Case Instructions and Template published
June 22: Agency IT Strategic Plan training
June 27: Agency IT Strategic Plan training, Agency C2 Funding Request training
JULY 2018
July 10: Agency submissions of Planned SFY 2020 C2 Agency Funding Requests due
July 13: Agency IT Strategic Plan training, Agency C2 Funding Request training
AUGUST 2018
August 3: Agency submissions of draft SFY 2020 Full Business Case – with draft C2 form - due*
August 6 – 24: DoIT review of draft SFY 2020 Full Business Case submissions and feedback to agencies
SEPTEMBER 2018
September 4: Agency submissions of final SFY Agency IT Strategic Plans due*
September 4: Agency submissions of final SFY 2020 Full Business Case(s) with final C2 form(s) due*
September 5 – 30: DFA, LFC and DoIT/OCIO review agency strategic IT plans and C2 funding requests
September 28: Agency draft SFY 2020 C2 Funding Request Presentations due
OCTOBER 2018
October 1 – 5: DoIT review of draft SFY 2020 C2 Funding Request Presentations and feedback to agencies
October 12: Agency final SFY 2020 C2 Funding Request Presentations due
October 17-18: Agency presentations of SFY 2020 C2 funding requests
NOVEMBER-DECEMBER 2018
November 14: DoIT Secretary recommendations to DFA for SFY 2020 C2 funding
November 21: DoIT/DFA recommendations to LFC for SFY 2020 C2 funding
TBD: LFC recommendations for SFY 2020 C2 funding
TBD: DFA prepares executive budget documents

24. Submission Requirements: Addresses & Contacts
Submit planned SFY 2020 C2 Agency Funding Requests to:
Submit draft business cases and C2 forms to DoIT:
Submit final business cases and C2 forms to:
DoIT/OCIO:
DFA:
LFC:
Questions? Contact:
Susan Pentecost
Managing Director, Office of the CIO
DoIT
Tim Elsbrock
IT Investment Management Lead Office of the CIO
Your DoIT OCIO Account Liaison

25. Planned SFY 2020 C2 Agency Funding Requests
AGENCY NAME:
[Agency name and acronym]
PROJECT NAME
PROJECT PRIORITY
BUSINESS NEED
PROJECT DESCRIPTION
TYPE
PLANNED SFY 2020 C2 FUNDING REQUEST 1 2 3 4 5 6 7 8 9 10
Project Priority
Rank and present planned C2 requests from highest to lowest, beginning with "1" as the highest priority
Business Need
Concise, 1-2 sentence statement of business requirement for project, business objective and/or benefit to State
Project Description
Concise, 1-2 sentence statement of WHAT project involves - e.g., replacing existing system, implementing new system, replacing/upgrading hardware, implementing new service
Type
"N" = new project; "C" = continuing project
Planned Funding Request
Amount you expect to request via your full business case for this project for SFY 2020

26. Thank you for attending