Business Case

The purpose of the business case is to ensure that the planned project fully supports the government's business goals and priorities and that all costs and benefits have been identified.

Depending on the complexity of the procurement requirements, a detailed business case may or may not be required.  Where substantial changes to business processes and/or technology are involved, a business case should be developed that includes a detailed and thorough analysis.  A business case might require weeks or months to prepare.  

Note that some ministries may have their own approved processes and/or templates related to business cases; refer to the ministry links found on the Plan webpage or contact the ministry's Procurement Specialist.

Following is information that may be helpful when developing a business case.  For difficulties with a particular business case, contact the ministry's Procurement Specialist for assistance.

Developing a Business Case

The business case identifies what resources are needed to administer the contract.  It should provide an in-depth analysis of the background of the proposed services, including who it will affect or impact, the opportunities this initiative could provide, any associated problems by doing it or not doing it, the options available, the pros and cons of each option, the risks and cost/benefit of each option, and specific recommendations.

Developing a business case lends both structure and discipline to the planning process.  It also helps to ensure that the planned project fully supports the government organization's business goals and priorities and that all costs and benefits have been identified.  The following key components could be used for business case planning (other factors could be added dependent on the complexity of the business issue, problem or opportunity):

  • Executive Summary
  • Background (e.g. service challenge or problem)
  • Project Description
  • Strategic and Operational Considerations
  • Project Rational / Decision Factors
  • Options Analysis
  • Strategic Risk Assessment
  • Cost Benefit Analysis
  • Recommendations and Proposed Implementation Strategy

Next step: Seek necessary approvals for the scope of work and complete the terms of reference to define what will be requested from the marketplace.