A more complex business need reads: "We need to spend X to get F functionality in order to no longer spend Y on this set of activities." We call this cost reduction. In this case, the cost of Y in terms of raw dollars spent, employees, and time needs to be significantly larger than X. You also need to be able to prove that this new function will actually generate the desired outcome. Too many new systems, implemented to reduce time, actually just end up adding more overhead in addition to their own costs.
An even more complex business need reads: "We need to spend X to get F functionality to create the opportunity for Y profit." In this case, we're asking the reader to accept, based on our arguments, that Y profits will occur. These cases generally align well with the companies' strategic growth goals. Unfortunately, they are also very hard to make because IT rarely has direct impact on profit creation. We see this case most often from sales departments and other customer-facing parts of the organisation, often coupled with highly flawed technical thinking.
The most difficult case to make can be phrased: "We need to spend X money to bring F functionality to a section of the company." This may be true, but it is often difficult to accept. For example, when one company acquires another, there are a number of hardware costs that may be incurred. Although people will pay them if the need is overwhelming enough, this is a cost rather than an improvement.
Making the case
Once we can clearly articulate the business need the new hardware purchase addresses, we can move on to actually building the case itself. The case should include at least the following:
1. A summary briefly explaining the business need, the recommended solution, and the estimated timeline for the deployment project. If it is known, include the potential price (in terms of dollars or hours) for the deployment project as well.
2. A detailed description of the business need. Take the time to outline all of the contributing factors, including any costs avoided, reduced, or potential profits gained.
3. A detailed description of the proposed hardware solutions. Aim to present at least three: one that is a minimal response coming in under budget but just barely meeting the criteria (or missing several), one that meets as many of the criteria as possible with the budget, and one no more than 10 percent over the projected budget.
4. An appendix containing any vendor-specific information. Generally this appendix can be omitted in all but the most technically sophisticated companies.
The goal of this case is to prove that the hardware purchase and its associated costs will in some way either save or make the company money. This approach shows the business decision makers that we are not only financially responsible, but also working with them to achieve the company's overall objectives.
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