Business Case Development
What is a business case, and why is it important? Business cases are a key tool to inform evidence-based investment decisions. Developing a robust business case ensures resource allocation decisions are well-timed, offer value for money, consider and mitigate risks, and are consistent with Government priorities and objectives.
Our business case work includes both capital and non-capital projects, and can include support at each stage of the business case development process from problem definition (the case for change) through option identification and analysis (strategic business case) to option selection and deliverability (detailed business case).
Underpinning our support at each stage of the process are our technical capabilities including:
· Facilitation techniques
· Commercial analysis
· Management analysis
· Benefits realisation management
For our government clients, our business cases are prepared in accordance with business case guidelines and consistent with gateway assurance processes.
If you are planning the development of a business case, check out our selection of useful Resources for Developing Business Cases.
Examples of our business case development work include:
In 2019, a review identified more than 1,000 NSW Government websites on 35 different content management systems.
The review highlighted that government could:
create a better digital experience through consistent design, content and style
find cost efficiencies by reducing unnecessary duplication of functionality.
As a result, the NSW Government Digital Channels team developed the OneCX program to create a unified and customer-centric digital experience for people in NSW, making it easier for people in NSW to:
complete specific tasks online in fewer clicks on fewer websites or in less time
find consistent information through search or by browsing customer-centric topics on one website
voice their opinion on what the government is doing through a central channel.
As more content is published on nsw.gov.au, there will be fewer websites centred around the structure of government. Instead, digital information, services and transactions are now being organised by customer-centred topics on:
the nsw.gov.au website for information
the Service NSW website for services and transactions.
Through 2020, we supported the NSW Government Digital Channels team to develop their detailed business case (including cost-benefit analysis) and to progress through Gateway review processes. This was all done whilst the Digital Channels team were preparing to launch the nsw.gov.au beta site and then delivering a whole of government digital communications response to the COVID-19 pandemic.
The consolidation model for nsw.gov.au was tested with the creation of the COVID-19 hub, a one-stop shop for citizens and businesses. In 2021, nsw.gov.au saw 65.1 million total visits (sessions) with 85% looking for the latest information on COVID-19.
Learn more about the OneCX program.
NSW Environment Protection Authority - Asbestos Coordination, Clean-Up, and Awareness Initiative
Australia’s widespread use of asbestos during the twentieth century (from 1930s to 1980s), and its history of mining and producing asbestos since the 1900s, has left an asbestos legacy across NSW, in both the built and natural environment, that will need to be managed for many years to prevent asbestos-related disease in the state.
In 2015, there were an estimated 4,152 deaths in Australia due to asbestos-related disease[1] – more than 3-times the number of fatalities on Australian roads in the same period (2015: 1,209[2]).
NSW Environment Protection Authority led the development of a proposed 4-year initiative to help prevent asbestos-related disease in the state through the improved safe management of legacy asbestos and more comprehensive asbestos education and awareness.
We supported the funding submission through the development and preparation of a business case, including cost-benefit analysis. The submission was successful with funding commencing in 2018/19.
[1] Australian Government, Asbestos Safety and Eradication Agency, National Asbestos Profile for Australia, November 2017
[2] Australian Government, Department of Infrastructure and Regional Development, Bureau of Infrastructure, Transport and Regional Economics, December 2015
Resources for Developing Business Cases
If you are planning the development of a business case, useful resources include:
NSW Government Guidance on Business Cases
NSW Government - Submission of Business Cases (TPG22-04) - sets out mandatory evidence requirements for submission of business cases based on Estimated Total Cost thresholds for different project types (capital, recurrent and ICT). TPG22-04 will supersede TC12-19 Submission of Business Case, effective commencing the 2024-25 Budget.
NSW Government Business Case Guidelines (TPP18-06) - developed to assist agencies and government entities with the preparation of business cases in line with best practice, including templates for problem definition, strategic business case and detailed business case.
NSW Government Benefits Realisation Management Framework - guidance and templates in support of the process of identifying, planning, managing, and evaluating the intended benefits of an investment.
NSW Treasury Policy and Guidelines: NSW Gateway Policy (TPG22-12) - provides guidance and core requirements for the delivery and monitoring of Gateway reviews in NSW. It sets out the requirements that the Gateway Co-ordination Agencies (GCAs), the Delivery Agencies and the Policy Owner must follow. The GCAs are:
Infrastructure NSW for capital investments - Infrastructure Investment Assurance Framework
Department of Customer Service for ICT investments - ICT Assurance Framework
NSW Treasury for major recurrent expenditure - Recurrent Expenditure Assurance Framework
NSW Government Budget Controls - Capital Expenditure Authorisation Limits (TC12-20) - sets out the requirements for government agencies to manage their capital expenditure program within approved capital expenditure authorisation limits.
NSW Government - Management of Contingency Provisions for Major Projects (TC14-29) - sets out requirements for management of contingency provisions across the project life-cycle of major projects.
Infrastructure NSW Business Case Toolkit - templates to support the development of capital infrastructure business cases.
Infrastructure NSW Contingency Management Guidebook (2014) - guidelines for optimising capital investment funding through effective contingency management.
Infrastructure Australia Guidance on Business Cases
Infrastructure Australia (2021) Assessment Framework - guidance on the new four-stage process for developing high-quality infrastructure proposals for submission to Infrastructure Australia including:
Stage 1 submission template and checklists for each of Stages 2, 3 and 4.
Detailed supporting technical guidelines:
Guide to program appraisal (new)
Guide to multi-criteria analysis (new)
Guide to economic appraisal (updated)
Guide to risk and uncertainty analysis (updated)
Commonwealth Government Guidance on Digital/ICT Business Cases
Commonwealth Government Digital and ICT Investment Approval Process - assists entities to develop robust business cases and support the effective implementation of digital and ICT-enabled proposals. Key steps include:
First Pass Approval - first pass business case will provide a sufficient level of information on the benefits, costs, risks and range of digital and ICT implementation options for a proposal to enable an informed in-principle decision on the investment. Template downloadable here.
Second Pass Approval - second pass business case will contain risk mitigation strategies, detailed cost estimates, appropriate funding options and provide assurance that the planning, consideration and consultation required for successful implementation has been undertaken.
Available resources Includes Department of Finance ICT Business Case Guide, First Pass Business Case Template and Second Pass Business Case Template.
Australian States & Territories Guidance on Business Cases
Queensland Government Business Case Development Framework - guides business case investment proposals through the three stages of (1) Strategic Assessment, (2) Options Analysis and (3) Detailed Business Case.
Victorian Government Business Case Guidance - templates and technical supplements in support of the business case stage for infrastructure investment.
Victoria Government (Developing ICT Investments) - provides technical guidance and assistance in developing business cases for ICT projects.
South Australian Government Guidelines for the Evaluation of Public Sector Initiatives (Part A) - overview of the investment evaluation framework.
Western Australian Government Business Case Template - template to support business case development for agencies planning to purchase goods and/or services that are likely to be high-risk, high-value or of a unique nature.
Tasmanian Government Structured Infrastructure Investment Review Process - overview of review process and guidance for Investment Concept and Options Analysis, and for development of Business Case.
Northern Territory Government Strategic Business Case Template - template for development of strategic business cases in the Northern Territory.
UK and New Zealand Guidance on Business Cases & Benefits Management
New Zealand Government Better Business Cases Framework - guidance, advice and templates in support of progression through the various stages of the investment management life-cycle.
United Kingdom HM Treasury Guide to Developing the Project Business Case (2018) - best practice guidance for preparing a project business case.
United Kingdom HM Treasury Guide to Developing the Program Business Case (2018) - best practice guidance for preparing a program business case.
United Kingdom Guide for Effective Benefits Management in Major Projects (2017) - key benefits management principles and activities when delivering major projects.
New Zealand Treasury Managing Benefits from Projects and Programmes: Guide for Practitioners - guidance for use by practitioners, decision-makers and those implementing benefits management.