1. Ambition in Action

2. Ambition in Action www.sit.nsw.edu.au Preparing and Presenting an Effective Business Case Presentation to HIMAA July 2010

3. Ambition in Action www.sit.nsw.edu.au Overview of Session: /What is a business case? /Why develop a business case? /What goes into a business case? /Presenting your business case /Summary

4. Ambition in Action www.sit.nsw.edu.au What is a business case? “ a business case is a proposal document or presentation that details the business reasons for initiating a project. It provides senior management with the facts and figures they need to make an informed decision about whether the project should be given a green light to go ahead.” Examples: staffing, major acquisitions, digitisation, cataloguing systems

5. Ambition in Action www.sit.nsw.edu.au The Business case should answer these questions: What is the project? Description Value Proposition Likely impacts Who are the stakeholders How Much value will it create? NPV of the investment Resulting time-phased cash flow impact IRR and payback period What will it take to implement? What operational changes are necessary to achieve the desired financial benefits

6. Ambition in Action www.sit.nsw.edu.au Why is a business case necessary? Advantages of creating a business case Creates discipline Provides control Minimizes risk Establishes direction

7. Ambition in Action www.sit.nsw.edu.au Preparing the Business Case: /Use your organisation’s methodology which will include: /Evaluation of the significance of the project /Information on the scope/details of the project /Who will it affect? /What is the policy context? /Utilise those people who have the information and skills to supplement your business case /Optimistic or unrealistic budgets and implementation schedules can destroy the credibility of a business case

8. Ambition in Action www.sit.nsw.edu.au Business case components: 1.Executive summary 2.Analysis of opportunity 3.Costs and benefits 4.Risks and rewards 5.Implementation plan

9. Ambition in Action www.sit.nsw.edu.au Executive Summary: /Quick, easily understood summary of the opportunity /High level summary of the opportunity /Description of the project and resources required to implement /Summarise how the project aligns with organisational needs or strategy

10. Ambition in Action www.sit.nsw.edu.au Analysis of opportunity: / Where are we now? /Define the core problem or business challenge /What are the various options /Summary of opportunity (value creation and value drivers) /Relevant internal and external factors

11. Ambition in Action www.sit.nsw.edu.au Costs and benefits: /Detailed description of costs and benefits (generally quantifiable) /Initial and recurring costs and benefits /If there is uncertainty in the numbers- provide “best case”, “worst case” and “most likely” scenarios /Optimistic or unrealistic budgets can destroy the credibility of the business case

12. Ambition in Action www.sit.nsw.edu.au Risks and rewards: /Detail non financial risks and rewards eg: impact on employees/ bottom line /Mitigation plans for risks /Can be strong factor in the success of a business case

13. Ambition in Action www.sit.nsw.edu.au Implementation plan: /Implementation timeline, deliverables, resources /Operational changes required to achieve the final targets /Business owners and operational owners of the project /How will you recognise when the need has been met?

14. Ambition in Action www.sit.nsw.edu.au Optional Extra: An ‘elevator pitch’ /Prepare an ‘elevator pitch’ for your proposal /Describes the benefits of your proposal in 100 words or less /May include a short slide presentation emailed to key people before your presentation

15. Ambition in Action www.sit.nsw.edu.au Presenting your business case: /Target presentation to the audience eg: language, examples /Explain the WIIFM, so focus on the benefits /Base presentation on facts and figures but do not forget the emotions /Pick other people’s brains for tips /Think about questions you may be asked and prepare answers

16. Ambition in Action www.sit.nsw.edu.au Presenting your business case -know your reader Expressive Social/AmiableDirect DriverAnalytical DominantEasy Going Spontaneous Controlled

17. Ambition in Action www.sit.nsw.edu.au Summary /Know your organisation /Research the issues well and discuss the proposal extensively internally /Write the business case with all costs and issues explained /The business case should include the relevant financial justifications, but not just the sole purpose of the document /The business case should address all stakeholder’s concerns from economic, social and environmental perspectives

18. Ambition in Action www.sit.nsw.edu.au Thank you! Question Time.....