Developing a Business Case for Project Management | Desklib

ASSESSMENT TOOL
Qualification BSB61215 Advanced Diploma of Project Management
Cluster number and name: PMAD 4.1 Develop a business case
Units of competency: PSPMGT006 Develop a business case
Student’s ID: Please advise all students to insert their ID this column and on all pages, they submit.
Assessor’s name: Please ensure your name or assessor name is inserted.
ASSESSMENT INSTRUCTIONS
Overview
Prior to commencing the assessments your assessor will explain each task and the terms and submission of
your task. Please consult your assessor if you are unsure of any questions. It is important that you understand
adhere to the terms and conditions and addresses each task. If any task I not fully address than your
assessment task will not be marked. The assessor will support you throughout this process.
Written work
The assessment tasks are used to measure your understanding and underpinning skills and knowledge of this
unit of competency. When answering please ensure you address each criteria and sub point, demonstrate your
research of each of the questions and cover the topic in a logical and structured manner.
Active participation
It is a condition of enrolment that you actively participate in your studies. Active participation is completing all
tasks on time. If you do not participate you will be required to report to Student Services Coordinator.
Plagiarism
Plagiarism is taking and using someone else's thoughts, writings or inventions and representing them as your
own. Plagiarism is a serious act and may result in a student’s exclusion from a course. When you have any
doubts about including the work of other authors in your assessment, please consult your trainer/assessor. The
following list outlines some of the activities for which a student can be accused of plagiarism:
 Presenting any work by another individual as one's own unintentionally
 Handing in assessments markedly similar to or copied from another student
 Presenting the work of another individual or group as their own work
 Handing in assessments without the adequate acknowledgement of sources used, including assessments
taken totally or in part from the Internet
If it is identified that you have plagiarised within your assessment task, then we will organise a meeting to
discuss this with you.
Copyright
You must be careful when copying the work of others. The owner of the material may take legal action against
you if the owner's copyright has been infringed. You are allowed to do a certain amount of copying for research
or study purposes. Generally, 10% or one chapter of a book is acceptable, where the participant is studying
with, or employed by, an educational institution.
Competency Outcomes
Each activity in this assessment tasks will be marked as either Satisfactory or Not Satisfactory.
If your work is marked as Not Satisfactory you will be provided with feedback from your assessor and then
given time to complete the task. Your assessor will provide you with a timeline in which you will be required to
submit your task. Resubmission timeline will be determined by the assessor and based on the extent of the re-
submission.
When you have completed all tasks in this document you will be granted an overall competency outcome,
which will be either Competent or Not Yet Competent.
PSPMGT006 Marking Guide Version 2 Issued
10/10/18
Page 1 of 39

ASSESSMENT TOOL
Qualification BSB61215 Advanced Diploma of Project Management
Cluster number and name: PMAD 4.1 Develop a business case
Units of competency: PSPMGT006 Develop a business case
Student’s ID: Please advise all students to insert their ID this column and on all pages, they submit.
Assessor’s name: Please ensure your name or assessor name is inserted.
If your work is marked as Not Yet Competent you will be asked to resubmit the assessment tasks as indicated
by your assessor. You will not be able to gain competency if any of your tasks are not fully completed.
Assessment Appeals Process
If you are dissatisfied with the outcome of one of the assessment tasks or the final outcome of the assessment
task because you feel that the result is unfair or incorrect, you may request to have the task/s or overall
assessment task reviewed. If you are still dissatisfied with the outcome, you may lodge a formal assessment
appeal. Refer to SBTA’s Complaints/Appeals Policy and Procedure.
Application of the unit
This unit describes the skills required to perform market analysis, development and cost options, and justify for
a recommended business solution. This unit applies to those developing appropriate and cost-effective
business solutions. The skills and knowledge described in this unit must be applied within the legislative,
regulatory and policy environment in which they are carried out. Organisational policies and procedures must
be consulted and adhered to. Those undertaking this unit would work autonomously, performing complex tasks
in a range of familiar contexts.
Assessment matrix
The tables below demonstrate how all assessment tasks in this assessment pack contribute to the outcomes of
your learning and assessment activities.
ELEMENTS BSBWOR502 PERFORMANCE CRITERIA ASSESSMENT
TASKS
1. Research a business case 1.1-1.4 Task 1, 2, 3
2. Examine business solutions 2.1-2.3 Task 1, 2, 3
3. Construct a business case 3.1-3.2 Task 1, 2, 3
4. Finalise a business case 4.1-4.2
Performance
Evidence
 managing resources
 using language and style suited to written submissions
 explaining complex ideas to different audiences
 interpreting and explaining complex, formal documents
 preparing written advice and reports requiring reasoning and precision
of expression
 engaging in discussion using exchange of complex oral information
Task 2, 3
Knowledge
Evidence
 government and organisational goals, policies and practices
 legal requirements related to the business activity
 financial and accounting issues relating to developing a business case
Task 1, 2, 3
PSPMGT006 Marking Guide Version 2 Issued
10/10/18
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ASSESSMENT TOOL
Qualification BSB61215 Advanced Diploma of Project Management
Cluster number and name: PMAD 4.1 Develop a business case
Units of competency: PSPMGT006 Develop a business case
Student’s ID: Please advise all students to insert their ID this column and on all pages, they submit.
Assessor’s name: Please ensure your name or assessor name is inserted.
 whole-of-life considerations
 approval processes
 aspects of trade practices law, commercial law and law of contract
relating to the development of business cases
 jurisdictional legislation that applies to business case development,
including work health and safety and environmental requirements
Foundation
Skills
 Are embedded within the elements an performance criteria of this unit All tasks
Dimensions
of
Competency
 Task skills, task management skills, communication management skills,
analysis &problem-solving skills
All tasks
Materials and learning resources supplied to all students studying this course
All students who are studying the Program Management course are assigned and supplied the following
resources to assist them to learn and complete activities and assessments:
 Unit Learner Guide, PowerPoint and Assessment Pack for the unit: “PSPMGT006 Develop a business
case”
 Text book: (hard copy) “How to manage complex programs” by Tom Kendrick
 E-library licence: with a large number of Program and Project Management text books and videos
 ZOHO licence: Project Management Software
Please note: that all licences are purchased annually and are accessible on SBTA classroom computers and
available to all our Project and Program Management students.
PSPMGT006 Marking Guide Version 2 Issued
10/10/18
Page 3 of 39

ASSESSMENT TOOL
Qualification BSB61215 Advanced Diploma of Project Management
Cluster number and name: PMAD 4.1 Develop a business case
Units of competency: PSPMGT006 Develop a business case
Student’s ID: Please advise all students to insert their ID this column and on all pages, they submit.
Assessor’s name: Please ensure your name or assessor name is inserted.
Assessment task 1: Understanding how to develop a business case
Instructions to Student
A business case is a proposal for a project. It is a potential improvement opportunity to implement a new
product or service that will last and provide opportunity to improve a project or the business.
This task will allow you to demonstrate your understanding about the development of business cases. The
questions below will assess your knowledge of the overall topic. To provide a context for this assessment task
case studies have been prepared for you to review. Please speak to your assessor if you need to have
clarification or require more information about the context of the case studies.
By completing this assessment task you will be able to demonstrate why program managers need to develop
business cases and present them to stakeholders. Questions below are designed to provide a generic overview
of the process of developing business cases and demonstrate your theory knowledge in:
 what are business cases
 why would project or program managers develop a business case
 theory behind developing business cases
 examining business solutions
 structures and process that will assist with contracting a business case finalising a business case
At this level of study, the Advanced Diploma level, the assessment outcome should demonstrate that you are
able to research independently and produce good quality work. You are required to demonstrate the following
skills and knowledge so that you are at the level expected by the industry:
 Answers to questions should be very detailed and report form type of answers and should be extensive.
 Project activities are detailed and well-developed, suitable for senior management positions.
 Design research, conduct analysis and report on the outcomes are providing with good suggestions and
implementation process and ideas.
 Develop strategies for the business and the organisation.
PSPMGT006 Marking Guide Version 2 Issued
10/10/18
Page 4 of 39

ASSESSMENT TOOL
Qualification BSB61215 Advanced Diploma of Project Management
Cluster number and name: PMAD 4.1 Develop a business case
Units of competency: PSPMGT006 Develop a business case
Student’s ID: Please advise all students to insert their ID this column and on all pages, they submit.
Assessor’s name: Please ensure your name or assessor name is inserted.
Case Study 1 – “Tasty Products”
Read case study 1 below and ensure you understand the case study well prior to attempting to complete
questions and activities below. Speak to your assessor if you require clarification about the case study.
Case Study 1
Roman Solomon is a Programs Manager at “Tasty Products PTY LTD” (Tasty Products). His responsibilities
include the management of a small project team who look after various projects for Tasty Products. His team
members include Timothy, the junior engineer, Rob, responsible for plant site repairs and grounds,
administrator Rebecca and then Roman, an engineer and the Programs Manager.
Roman was invited to a meeting held by his Director, Bill Compton, and Tasty Product’s Financial Controller,
Tomas Trumper.
The meeting held discussions about the new Central Coast Council’s Environmental Sustainable
Solutions Project, which the Director, Bill Compton, attended and learned that the Council has recently
approved a new environmental initiative project for Central Coast businesses in the aim to:
 minimise the ecological footprint for the Central Coast area;
 provide more work for local businesses;
 improve the local economy.
Central Coast businesses who wish to participate must develop a good business case about their
environmentally sustainable project and present it to the Central Coast Council’s Environmental Manager,
Bethany Hopkins, who will evaluate each project and approve funding of the project.
If the project is successful and approved, Tasty Products can receive up to $10,000 financial contribution
from the Council to enable Tasty Products to implement the project.
Tasty Products are located on a large acreage property, surrounded by large gardens, grassy areas and
bushland; and as managers regularly host clients the gardens must be well maintained. For ages now, Tamas
has been sending emails to employees asking them to be more conscious when using the taps in the
bathrooms. In the past, he implemented competition for all employees to encourage minimising water usage,
which resulted that Tasty Products now has a new policy when purchasing new toilets and taps to ensure that
they all have water reduction capabilities. The new purchasing policy also specifies that employees, prior to
purchasing new items, are to check if they can be sourced locally. Another policy implemented also included
staff to reuse, repair and resell. The overall business plans and strategic direction for Tasty Products is to
minimise their ecological footprint and this coincides with the local Government Policy, which is being
strongly endorsed by the Central Coast Council.
Knowing the company’s preferences and business direction and Council’s initiative, Bill, Tomas and Roman
want increase Tasty Product’s water saving capabilities and hence reduce the company’s ecological footprint.
Roman, as he is the Program Manager, has a great overview of the company policies and procedures and will
be developing the business case for the Council. Ronan has three (3) weeks to develop the business case
draft and present it to Bill and the management team for comment prior to being submitted and presented to
Bethany at the Council.
Activities
PSPMGT006 Marking Guide Version 2 Issued
10/10/18
Page 5 of 39

ASSESSMENT TOOL
Qualification BSB61215 Advanced Diploma of Project Management
Cluster number and name: PMAD 4.1 Develop a business case
Units of competency: PSPMGT006 Develop a business case
Student’s ID: Please advise all students to insert their ID this column and on all pages, they submit.
Assessor’s name: Please ensure your name or assessor name is inserted.
Read each question, review the above Case Study and answer each question below.
Answer guide: This assessment task is to be typed with 2-3 paragraphs minimum per question unless indicated
otherwise by each question. (A paragraph is approximately 50 to 80 words).
1.1. It is important that a program manager understands the business well to develop a business case.
a. Explain how Roman is able to identify business issues, problem or a goal and list strategies and
information or tools that would be available to him so he can confirm that the business issue,
problem or the business goal is legitimate.
Roman is an engineer and Programs manager at “Tasty Products”. He is responsible for managing
small project team. He has a good overview related to the procedures and the policies of the company.
He has the knowledge related to the new policy that is implemented by the Financial Controller -
Tamas. The policy was related to the purchasing of new taps and toilets. The employees have to ensure
that the purchased taps and toilets have waste reduction capability and whether these items can be
sourced locally or not.
Roman also knows about the policy that is implemented in the company related to repair, reuse and
resell. The aim of the business was to minimize the ecological footprint and this policy of company also
coincides with the local Government Policy endorsed by Central Coast Council. He is able to identify the
business issues in an effective manner. The company wanted to enhance the water saving capabilities
and reduce the ecological footprint.
in order to identify the business issue, SWOT analysis was conducted in order identify company’s
strengths and weaknesses. The main problem that is identified with this tool is that the company need
to enhance the water saving capabilities in a more effective manner so that the ecological footprint can
be reduced. The stakeholder was involved in the discussion to identify the issues.
b. How can Roman obtain information so he is able to clarify stakeholder requirements and business
(project) objectives prior to developing the business case?
The information can be obtained by Roman related to the stakeholder requirements and the project
objectives by conducting a meeting with the key stakeholders. In the meeting the stakeholders can
present their opinion and the requirements from the project and the direction that should be followed in
order to develop the business case. The stakeholders can helps in clarifying the needs and the
motivation behind the project in an effective manner.
c. Consider a range of factors and list of opportunities and constraints available to Roman so he can
use them to examine available business solutions?(Guide: approximately 100 words)
Roman has a good knowledge about the policies and the procedures that are followed by the company
in order to enhance the ability of company to reduce the ecological footprint. The aim of the business
project is to reduce ecological foot print through enhancing the water saving capabilities. As all the
projects are managed by Roman hence he can use the knowledge while developing the business case.
the opportunities available to him are:
 he can make the decisions correctly and communicate with the stakeholders about the issue and
PSPMGT006 Marking Guide Version 2 Issued
10/10/18
Page 6 of 39

ASSESSMENT TOOL
Qualification BSB61215 Advanced Diploma of Project Management
Cluster number and name: PMAD 4.1 Develop a business case
Units of competency: PSPMGT006 Develop a business case
Student’s ID: Please advise all students to insert their ID this column and on all pages, they submit.
Assessor’s name: Please ensure your name or assessor name is inserted.
the solutions
 he can influence the team for attaining the business goals which can help in implementing the
solution in a proper manner
 He understands the policies and procedures that can help in identifying the solution and choose the
appropriate one.
The constraints are:
 He has to follow the procedure to develop the business case within 3 weeks
 the approval from Bill and the management team is necessary for implementing the solution
d. Reviewing the Tasty Products case study, list the steps that are involved in building the business
case.(Guide: approximately 100 words)
Roman is responsible for developing the business case. It is important for Roman to follow the following
steps in order to develop the business case.
1. Identification of the business problem: the identification of problem
will help in deciding on the time required to deal with the problem.
2. Research and identification of the alternative solutions: identifying
the best solution is important for eliminating the problem
3. Articulate best solution and justification of choosing it: the solution
should be suggested so that the business problem can be eliminated in an
effective manner.
4. Method of implementing the solution: using the right approach for
implementing the alternative solutions is essential to get the best results
(Chase Consulting Group, 2018).
e. Review the case study and in your own words list and propose what would be the appropriate
approval process for the business to go ahead and be presented to the Council.
(Guide: list minimum of 5 steps of proposed approval steps)
Approval process includes the following steps:
1. submission of business case to director
2. Review by director
3. resolving the issues
4. forwarding the business case to other departments for their comments
5. making decision for presenting the business case
PSPMGT006 Marking Guide Version 2 Issued
10/10/18
Page 7 of 39

ASSESSMENT TOOL
Qualification BSB61215 Advanced Diploma of Project Management
Cluster number and name: PMAD 4.1 Develop a business case
Units of competency: PSPMGT006 Develop a business case
Student’s ID: Please advise all students to insert their ID this column and on all pages, they submit.
Assessor’s name: Please ensure your name or assessor name is inserted.
PSPMGT006 Marking Guide Version 2 Issued
10/10/18
Page 8 of 39