ehealth - Programmes - Full Business Case Guide

More documents

Recommendations

Info

° modifications for inflation (only during times of particular inflationary /deflationary factors then apply retail prices index (RPI) to calculate futurecosts)° cost account breakdown of all capital costs° cost account breakdown of all revenue costs° breakdown schedule of costs by financial year for the project life;• the total savings benefits for the project life including -° amendments based on sensitivity analysis° estimated values for qualitative benefits° adjustments for optimism bias° breakdown schedule of savings by financial year for the project life;• the discount factors applicable for the project life; and• understanding of the project and the business.InstructionsStep one: Customise table -• consider the shortlist options and extend/reduce the option… columnsreplacing the heading with the appropriate “Option number”;• enter corresponding option description in the description row, option columnbox;• add/remove capital cost account rows descriptions as appropriate to showall the capital accounts applicable for the project;• add/remove revenue cost account rows descriptions as appropriate to showall the revenue accounts applicable for the project; and• enter the physical account description for all the costs in the first column.Step two: For each option column -• enter its total project cost for the first capital account in the first capitalaccount row;• enter its total project cost for the next capital account in the next capitalaccount row;• continue entering the its next capital cost account row’s value in the nextcapital cost row until all its total capital account costs have been entered;• sum all the capital cost accounts costs in column and enter the result in thetotal capital row for the column;• enter its total project cost for the first revenue account in the first revenueaccount row;• enter its total project cost for the next revenue account in the next revenueaccount row;• continue entering the its next revenue cost account row’s value in the nextrevenue cost row until all its total revenue account costs have been entered;and• sum all the revenue cost accounts costs in column and enter the result inthe total revenue row for the column.Step three: Total life costs for each column -eHealth - Programmes - Guide - Initial Agreement 28Objective: F3033421 1.1
• sum the total capital and total revenue costs in each column and enter theresult in the corresponding total life costs row box.Step four: For each of the options savings -• enter the option’s full benefits/savings value for the project life in thecorresponding savings row.Step five: For each of the option’s NPV/NPC• enter the option’s NPV/NPC value for the project life in the correspondingNPV/NPC row.Want to know more … about NPV/NPC?To find out more about net present value/cost calculations etc -see SCIM BCG OBCWant to see a completed example?To see an example of a completed economic overview table seeGuide Business Case Tables Examples (F2559802) {Insert weblink for published version}.D2.2 NPVThis table should be used to present the net present value over the project life foreach shortlist option total costs.The basic table is:Year - £million Year 0 Year 1 Year 2 Year 3 Year 4 Year … NPVDiscountFactorOption 1CostsBenefitseHealth - Programmes - Guide - Initial Agreement 29Objective: F3033421 1.1
Page 1 and 2: PROGRAMMESGuideInitial AgreementF30
Page 3 and 4: 4.1 CRITICAL SUCCESS FACTORS ......
Page 5 and 6: Further assistance with the prepara
Page 7 and 8: • key contributors to delivering
Page 9 and 10: Briefly highlight the project withi
Page 11 and 12: Consider the services from a busine
Page 13 and 14: 5.2 Costs and ArrangementsProvide a
Page 15 and 16: A2 - Benefits AppraisalThe level of
Page 17 and 18: Reduction of RiskA start could be m
Page 19 and 20: N.B. For the initial agreement this
Page 21 and 22: Annex C1 - Covering PageTitleProjec
Page 23 and 24: Annex D - TablesD1 - ScopingD1.1 Sc
Page 25 and 26: Step one: Customisation• expand/r
Page 27: £ £ £ £CapitalCost 1Cost 2Total
Page 31 and 32: ° adjustments for optimism bias°
Page 33 and 34: N.B. For n = 2,3 to the last option
Page 35 and 36: • enter the final estimated total
Page 37 and 38: • schedule of capital expenditure
Page 39 and 40: Revenue 1Revenue 2TotalFunded by:Ex
Page 41 and 42: Organisation 2Organisation 3Subtota
Page 43 and 44: RevenueTotalOption 2:CapitalCost 1C
Page 45 and 46: Completing the TableThe following i
Page 47 and 48: • add/remove source rows as appro
Page 49 and 50: Step one: Identify the product/serv
Page 51 and 52: N.B. Options can be any combination
Page 53 and 54: Step four: Assessment by option for
Page 55 and 56: InstructionsStep one: Identifying t
Page 57 and 58: Completing the TableThe following i
Page 59 and 60: N.B. rates should be in the range 1
Page 61 and 62: InstructionsStep one: Identify the
Page 63 and 64: • continue by entering first quan
Page 65 and 66: • continue by entering first capi
Page 67: GuidanceGuidance Optimism BiasNatio

ehealth - Programmes - Full Business Case Guide

Create successful ePaper yourself

Delete template?

Save as template?