Project Management

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Are you fully aware of how to make a Business case?

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Francisco Matheus Chagas
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Project & PMO Manager | Research & Enterprise Mentor| GFB Holding South America, Brazil

Many projects fail before initiation. How do you build up a good business case? What info, phases, and who is involved?

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Abolfazl Yousefi Darestani Manager, Quality and Continuous Improvement| Hörmann-TNR Industrial Doors Newmarket, Ontario, Canada
Team: Sponsors, executives, business owner, Finance, Subject-matter experts, PM, stakeholders
subjects: problem, opportunity, objectives, success criteria, options, cost, benefit, ROI, risks, assumptions
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Sergio Luis Conte Helping to create solutions for everyone| Worldwide based Organizations Buenos Aires, Argentina
Business Analyst is accountable for that, not the Project Manager. Obviously both roles must work together. You can consult the related information inside the PMI documentation.
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Luis Branco CEO| Business Insight, Consultores de Gestão, Ldª Carcavelos, Lisboa, Portugal
Many projects don’t fail in execution.
They fail at the decision point, because the business case was weak, biased or incomplete.

A good business case is built through a structured decision process, not as a justification exercise.
It starts by clearly framing the real problem or opportunity, grounded in evidence and aligned with strategy, not in a pre-selected solution looking for approval.

It then develops and compares realistic options and trade-offs, including the option of doing nothing, making assumptions, constraints and uncertainties explicit and open to challenge.

The core information should cover expected benefits, costs, risks and success criteria, all clearly linked to strategic objectives.
Overconfidence and hidden assumptions are often the silent killers at this stage.

Ownership and governance are critical. Sponsors own the why and the benefits, finance validates the economic logic, key stakeholders test impacts and feasibility, governance bodies make the approval decision, and the project manager helps structure the case and clarify delivery implications.

In the end, a business case is not a sales document. It is a decision tool.
When done well, some projects are not approved, and that is a clear sign of organisational maturity.
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Michael King
Community Champion
Senior IS Project Manager| Baycare Health Systems Clearwater, Fl, United States
The Project Business Case is a documented economic feasibility study used to establish the validity of the benefits of a selected component lacking sufficient definition and that is used as a basis for the authorization of further project management activities. The business case lists the objectives and reasons for project initiation,. It helps measure project success at the end of the project against project objectives.

Source : PMBOK Guide Sixth Edition (Page 30)
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Jacob Vu Co-Founder| Run By Ideas Canada, Canada
When building a business case, it's important to understand who your audience is so that you can create one that's going to resonate with them. I think people run into trouble when they build one business case that is supposed to solve for everyone's needs and be able to relate to all your stakeholders but I find that it becomes tricky, cumbersome and too lengthy for folks to read.
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Lissette Indhira Pimentel Sosa
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Program Manager| HARPER SRL Santo Domingo / Distrito Nacional, Dominican Republic
A good business case focuses on decision clarity. It explains the real problem or opportunity and why it matters now, shows alignment with strategy, and compares realistic options, including doing nothing. It is transparent about benefits, costs, risks, and assumptions, and it makes ownership clear: the sponsor owns the “why,” finance validates the numbers, stakeholders test feasibility, and the project team clarifies delivery implications. When a business case enables leaders to confidently decide whether to proceed or not, it has achieved its purpose.

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