Principle 9

Development of clear business cases

Key Issues


  • ICT public investments can be better justified by governments
  • Countries are using different business case methodologies
  • Governments should involve stakeholders in the development of business cases
  • Developing capabilities to use business cases and manage ICT projects
  OECD

Overview

Justifying public investments and proving the impact of ICT initiatives requires governments to prepare clear business cases for ICT projects.

Strong business cases include: 

  • Clear responsibilities and roles for all relevant actors
  • Clear consequences for failure to meet agreed milestone
  • Conditional release of funding,
  • Financing mechanisms that commit projects to achieving benefits
  • Peer/gateway review procedures

Governments can opt for different business case methodologies:

  • Transaction cost methodology
  • Net present value approach
  • Cost-benefit analysis
  • Cost-effectiveness analysis
  • Portfolio analysis and value assessment

The benefits of strong business cases include: 

  • Consistent framework for comparing investment decisions
  • Better understanding of the drivers of project efficiency or factors to enhance return on investments
  • Better view of costs, benefits and beneficiaries
  • Contribution to evaluating efficiency and effectiveness

Data

OECD

Good practices

canada

Principle 9 - Website Renewal Initiative

Principle 9 - My VAC Book

Chile

Principle 9 - ChileAtiende

Colombia

Principle 9 - Excellence and Appropriation Centres on Big Data, Data Analytics

Principle 9 - Monitoring Evaluation System

ITALY

Overall - 3 Year ICT Plan

japan 

Principle 9 - Investment Plans for Government Information Systems

Mexico

Principle 9 - ICT Policy

Principle 9 - National Digital Strategy

portugal

Principle 9 - Global Strategic Plan for Rationalization of ICT Costs in Public Administration (PGETIC)

new zealand

Principle 9 - Better Business Case / Major Project Monitoring

Sweden

Principle 9 - Verksamt.se