Business Case & ROI Analysis Project
Part of the Business Analyst Roadmap
In short
Leaders don't approve projects because they're cool. They approve them because the numbers and risks make sense. A business case shows you can think like the person signing the cheque.
Write a full business case for a hypothetical initiative, including cost-benefit and ROI analysis — showcasing Phase 6's business modeling and strategic thinking skills.
Think of it like this
Convincing your parents to buy a laptop
'I need a laptop' rarely works. 'I spend ₹1,200 a month at the cyber café, a laptop costs ₹45,000, it pays for itself in about three years, and I can take freelance work' usually does. That's a business case.
Watch it happen
Sections of a strong business case
1/5State the problem and its cost today, like hours lost or customers leaving.
The big ideas
What you need to know
Options, including do nothing
Doing nothing has a cost too. Comparing it makes your recommendation's value obvious.
ROI, payback, NPV
ROI shows return per rupee spent. Payback shows how quickly it's earned back. NPV values future money at today's worth.
Ranges, not fake precision
Give best, likely and worst cases. Nobody believes a benefit estimated to the exact rupee.
Assumptions listed
Write down every assumption, like adoption rate or salary costs, so reviewers can question them.
See it in code
Walk through the code
1Row 3 = net cash flow: B3 (Year 0) to E3 (Year 3)2B3: -500000 (upfront cost)3C3: 220000 D3: 220000 E3: 2200004ROI (3 yrs): =(SUM(C3:E3)+B3)/-B35NPV @10%: =NPV(10%, C3:E3) + B36Payback yrs: =-B3/C31/4Year 0 is the investment, a negative number. Years 1 to 3 are yearly net benefits.
A small ROI model in Sheets or Excel. NPV takes the future years only, then adds the Year 0 cost, because Excel treats NPV values as end-of-year amounts.
Save yourself the pain
Common mistakes
Oops
Only counting benefits and forgetting running costs like training, licences and support.
Do this instead
List one-time and recurring costs separately for every year of the analysis.
Oops
Presenting only one option.
Do this instead
Compare at least three, including doing nothing, and explain why you chose yours.
Your mission
Milestone 1: build the numbers
Quick check
Two options have the same 3-year ROI, but one pays back in 8 months and the other in 26. Which detail matters most to a cash-tight business?
Go deeper
- 1Pick an initiative idea with genuine substance, not a random hypothetical.
- 2Include a clear cost-benefit breakdown and ROI calculation with stated assumptions.
- 3End with a specific recommendation and the key risks that could change the outcome.
More projects at this stop
End-to-End Requirements Case Study
Process Improvement Case Study
Data Analysis & Dashboard Project
Agile Backlog Management Case Study
Stakeholder Management Case Study
Portfolio Website or Document Showcase
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