Software Project Management: Business Case Development and Analysis

This document outlines a business case for a software project, focusing on the automation of business processes to improve efficiency and expand market reach. It details the project's purpose, which includes streamlining operations and increasing customer base. The document explores the reasons behind the project, such as the need to measure its success, and considers development options like SDLC and RAD methodologies. It highlights the expected benefits, including increased sales and profit margins, while also addressing potential risks such as project failure and lack of qualified staff. A comprehensive cost breakdown is provided, detailing components like software, hardware, staff, and network infrastructure. The document also includes project timescales and an investment appraisal, emphasizing the project's potential to expand market share and improve workflow efficiency. The document includes sections on purpose, reasons, options, benefits, risks, cost, timescales, and investment appraisal, making it a complete business case for the software project.

HOW TO USE THIS TEMPLATE:
Introduction
The template reflects the steps set out in the PRINCE2 Method and is designed to
prompt the Project Manager and help in the creation of the Business Case. The
information for the Business Case will be found within the SU and IP Processes in
the PRINCE2 Manual. There is also a Product Description for the Business Case at
Appendix A of the PRINCE2 Manual.
Loading the file
This template has been produced using Microsoft Word 97. To use it, load up the
file directly from the directory and starting from page 1 follow the prompts (in [...]
brackets).
Deleting the [....] text
When the template is complete, the whole Business Case Document can be printed
and approved.
Prior to printing, you should delete all [....] prompt text.
Saving the Business Case Document under its own name
Save the Business Case Document by selecting the “SAVE-AS” command; this will
avoid overwriting the standard template. You must specify your own Project
Directory.
Once your Business Case Document is completed check the document
against the following Quality Criteria:
 Can the benefits be justified?
 Are the Project Plan and Business Case aligned?
 Are the reasons for the project consistent with corporate or programme
strategy?

PROJECT DOCUMENTATION
BUSINESS CASE
Project:
Release:
Date:
PRINCE2
Author:
Owner:
Client:
Document Ref:
Version No:

Software project management
Business Case
Date: 6 September 2024
1 Business Case History
Document Location
This document is only valid on the day it was printed.
The source of the document will be found on the project’s PC in location.
Revision History
Date of this revision:
Date of Next revision:
Revision
date
Previous
revision
date
Summary of Changes Changes
marked
First issue
Approvals
This document requires the following approvals.
Signed approval forms are filed in the Management/Specialist/Quality section of the
project files.
Name Signature Title Date of
Issue
Version
Distribution
This document has been distributed to:
Name Title Date of Issue Version
Page 1

Software project management
Business Case
Date: 6 September 2024
2 Table of Contents
Page
1 Business Case History 1
1.1 Document Location 1
1.2 Revision History
1.3 Approvals
1.4 Distribution
2 Contents
3 Purpose
4 Reasons
5 Options
6 Benefits Expected
7 Risks
8 Cost
9 Timescales
10 Investment Appraisal
Page 2

Software project management
Business Case
Date: 6 September 2024
Business Case
3 Purpose
 With online business operations, despite the costs involved during project development;
 Business processes would be automated to make whole business flow of activities simple
and faster.
 Online business activities increase business market coverage by reaching out to many
customers at the same time.
 It would also be possible to determine the organizational product demand in different
geographical areas across the globe.
4 Reasons
The outcome of the projects are very important as they would be used to measure the
success of the subjected project.
5 Options
To develop the proposed product, two development methodologies were adopted; SDLC
and RAD.
6 Benefits Expected
 Increased organizational public image
 Increase in number of sales due to online sales and purchase due to increase in
market share.
 Increase in organizational profit margin
7 Risks
Project risks include;
 Project failure during and after development
 Lack of qualified staff to manage and run the project effectively.
 Poor financing by the relevant stakeholders such as project owner.
8 Cost
Srn Components Sub components Quantit
y
Sub
Total
($)/M
Total
($) in
6M
1 Software User interfaces (Pages) 10 5000 50000
2 Database design
(Tables)
8 4000 32000
3 Functions 15 5000 125000
4 Hardware Laptops 8 5000 40000
Page 3

Software project management
Business Case
Date: 6 September 2024
5 Mouse 8 30 240
6 Printers 2 2000 4000
7 Network Ethernet - 250 1500
8 Wireless 8 100 2400
9 Data Security - - 5000 30000
10 Office Space - 5000
11 Furniture (table and
chairs)
20 200 4000
12 Staff
payment
Project manager 1 1500 8000
13 Assistant 1 1200 7200
14 Developers 6 1000 36000
15 Electricity - - 3000 18000
16 Water - - 4000 24000
9 Timescales
 Requirements analysis and specifications
 Project development planning
 Interface design and development
 Database design and development
 System integration and testing
 System deployment and testing
10 Investment Appraisal
 The development of the product has been spearheaded by the need to expand the market as
well as increase profit margin.
 It would also increase workflow efficient in the organization because most of the processes
would have been automated.
 Project maintenance would be substantially low which would result to high profit margin
realized from online processes
 Product support would be quite minimal since it is presumed to be stable with minimal
downtime.
Page 4