Business Case Assessment Form

Proposer name Department

Title Date Reference No.

1. Introduction
Give a brief description of the proposal including the key objectives.
The description should be fairly comprehensive, clear and concise.
Key objectives should be specific and measurable – i.e. should include attributes - for example:
 Action (increase/decrease/eliminate/improve/etc)
 Area of Change (Expenditures/errors/costs/revenues/paperwork/turnaround time/etc)
 Measurable Value and Units (percentages/number of people/number of days, etc)
 Date (deadline – ‘this should be completed by 1st January 2005, etc’)

2. Strategies
Identify aspects of the Organisational Plan and/or Information Strategy that are addressed.

 How does the proposed project fit in with your Organisation's overall plan or strategy for the
future?
 Does it comply with the general approach and intention of the organisation?

3. Benefits
What are the opportunities and benefits for the Organisation and User(s)?

Examples include:
 more effectively integrated systems
 ease of support
 increased system availability
 reduction of paper
 reduction of manual effort
 reduction in duplication of effort
 reduction of data entry
 streamlining of process
 movement of staff to more 'value added' tasks.
4. Implications of not undertaking Proposal
What problems will arise if the proposal does not go ahead?
 The product is being developed in order to solve an immediate problem that is bike theft. Last year,
more than 2,187 motorbikes have been stolen in just 11 months according to statistics. We aim to
develop the scanner so as to provide best security against unauthorized use and theft of motorbikes.
 If the proposal does not go ahead, we will lose our chance to provide a product that is expected to
have sufficient place in the market, moreover this proposal will lead us to first mover advantage.
5. Alternatives
What are the alternatives to undertaking the proposed development?
 According to our findings, there are no potential alternatives of this specific problem yet. However,
there are chances that soon some other method may be introduced.
 Manual locks (wire lock) and handle locks have always been used in the past for the purpose of
security of bike which are not reliable and completely safe. One solution we feel as sufficient is our
product i.e. biometric scanners.

6. Organisational Areas Affected

What staff, processes and systems will be affected by the proposed development?
 Basic structure of the organization will not be effected as we will form a separate team for this
project, just a minor change will take place in the staffing.
 Project team: We will focus on developing a team for this project based on experts from different
department. Are there any staff contract changes and other potential personnel related issues?
 In house expertise will be used to support the project. Our own IT specialists and experts from other
departments will be serving in the team, however, if needed we will opt for outhouse support
 Training sessions will take place in order to develop skills and capabilities of project team members.

7. Risks
What risks are involved in implementing the proposal and how will they be managed?

 Poor integration in the team can lead to disputes and ineffective investment of time and resources.
 Major risk in this project is there are already importers working in our market upon our success they
could quickly start importing product same as we are providing.
 There are chances that other importers can introduce the product better price than us.
 There are chances that companies can directly start importing the same product we are providing.
 There are chances in our market that some customers don’t accept the change quickly so there are
chances that we are unable to achieve our targets in the first year.
 Chances of the failure of marketing team in achieving targets in the limited budget.

8. Investment Costs
What is the summary of capital investment costs for the proposed development?
a) Staff
Total Expected salaries for initial 3 Months = 1000,000.
b) Training
Travel expenditure in training of two employees initially in China = 400,000.
c) Equipment, etc
Initial purchasing of the product from China= 500,000
d) Other
Office Space including rent and other expenditures = 300,000
Travelling to China for a month in order to get quotations about the physical device = 1500,000
Company Registration = 10000
TOTAL = 2360,000

9. Running Costs
What are the costs to run this proposal as a service?

a) Ongoing Annual Training (to cover staff turnover, manuals, refresher training etc)
= 15,000 per month
b) Licence renewal, etc
= 50,000 approx.
c) Maintenance
= 50,000
TOTAL = 115,000

10. Payback
How and on what timescales will the projected costs be recouped as savings or benefits?

We promise to have pioneered the design of the identification process that eradicates the need for
non-automated methods such as manual keys, which are subject to lose or theft. People are looking
for ways to protect their vehicles and this resource can help them with that. If this idea is
implemented the individuals would feel free to park their bikes wherever they want without any worry
and that’s why the risk of theft would become very low. The product is physical so the cost of
employees’ salaries, material costs and other expenditures cost are high in start-up year, on the
other hand, the product Is new so its benefits in terms of sales annually. The investment put in the
product will provide benefits after one year of what scales the investment amount is payback. The
project is worthwhile from the benefit perspective because it is unique and it's easy to attract
customers and easy to generate profits.

11. Timescales/Phasing
What are the timescales and deadlines for the proposed development?

The timescale for the increase in sales is not fixed it depends upon how we target the market in which
sales increases in one year or it takes more time. The design, implementation, and development of product
phase is completed in the timescale of one year so that the complete project is ready to target the market
segmentation. The annual sales increase after completing these particular phases of project commencement.

12. Decision
Has the proposal been approved, rejected, deferred etc. and do any conditions apply?

The proposal is approved because we see a potential success of the new product to be launched and we

Authorised by Post Date

Name of Assigned Project Sponsor Date