COURSE SYNOPSIS

This course instructs a Business Analyst in the process of planning, conducting, submitting, revising, and approving system or project feasibility studies. Activities include defining and validating project scope, creating a business case that specifies estimated project costs, tangible and intangible benefits, assessing risks, and preparing a decision package for executive or sponsor approval.

This course teaches professionals how to develop a Cost Benefit Analysis (CBA) for IT capital investments. The CBA is a primary Business Case component. This course addresses the collection and estimation of project costs, the elicitation of tangible and intangible benefits, and the construction of a spreadsheet model that will calculate project ROI, Payback, and NPV.

In addition, the course will examine how projects can be evaluated and prioritized in a governance process. A review will be provided of how to manage projects for value and how to track and assess project benefits when a project is complete.

BABOK REFERENCE

This course addresses and expands Sections 2.2 through 2.11. This course may be combined with IIBA04 to completely encompass BABOK Chapter 2.

COURSE OUTLINE

This training will familiarize the student with the following primary CBA elements:

• Ensuring the project's mission aligns with the organization's strategic plan;
• Developing assumptions,
• Identify potential project costs and collecting estimates
• Estimating benefits
• Factoring risk into the Cost/Benefit Model
• Calculating financial metrics (i.e., net present value, payback period, internal rate of return).

TOPICS

• Understand the CBA process and apply it to building a Business Case
• Identify and understand the basic CBA components and processes
• Integrate required information into the CBA process
• Integrate decision analysis into the CBA process
• Use CBA process to evaluate alternative means to achieve program objectives
• Use the CBA process to justify, quantitatively and qualitatively, investments to decision-makers prior to corporate investment decisions.
• Use the CBA process to establish a baseline used for , measuring, and evaluating an investment over its lifecycle.
• Know how to access references for additional help

OUTCOMES

The student will understand how to collect and organize the information required to create a Decision Package that includes project scope, a business case, and a risk assessment. Upon completion, participants will have gained the knowledge of the requirements needed to support a viable IT business case submission.

LOGISTICS

• Class duration is 2 days, with workshops
• Instructional materials are provided
• This course is also offered as in-house training and may be combined with other courses.

PREREQUISITES

• None

AUDIENCE

• Information Technology Management
• Software Development Project Managers
• Product Managers and Product Implementation Teams
• End User Project Managers
• Business Analysts
• Information Technology Managers & Supervisors
• System Developers and Project Team Members
• Consultants and Project Auditors