Option appraisal/value for money analysis/return on investment

The process for creating this section of your business case

1. Identify if you need this section in your business case, or exactly what type of appraisal is required. Depending on your organisation's approach to business cases you may need to:
   • ignore this section - some business case templates do not require you to describe different options or quantify benefits/savings; instead you may simply make a recommendation for action along with the appropriate cost/benefit/risk description
   • list different options for funding and action; you may need to describe costs and benefits of each option (often called a cost-benefit analysis)
   • quantify your return on investment); this usually means showing where a benefit can, for example, result in a saving on staff costs or perhaps result in less storage space required than current projections
   • only describe a 'do nothing' option - ie what would happen if your business case is not funded (and no action is taken).
2. Some business case templates use an explicit methodology for options appraisal - which may involve assessing implementation costs, ongoing costs, savings resulting from the investment, or other criteria specific to your organisation. This is likely to be the case for large capital projects but may not be needed for business cases which require a smaller level of investment.
3. You may need to research further. There are lots of resources that can help with options appraisal and/or cost-benefit analysis. There are also resources that can help with quantifying, or at least measuring, intangible benefits. There's a list of resources below - choose the ones that will help you address the needs of your business case.
4. Don't forget to present your recommended option from the option appraisal!

The resulting content of your business case

Having worked through the process above, utilise these resources for building the content of your business case:

• Benefits
• Costs
• Implementation Risks

Developing in house and/or providing services to others

Return on Investment or value for money is becoming increasingly important for organisations that are intent on developing their own in-house solutions or wish to roll out their digital preservation service to others. As the number of organisations who identify digital preservation as a growing priority increases, there should be more potential for shared services as a sustainable approach to digital preservation. Therefore, especially if you are making the case for the development of an in-house solutions, you should consider both the value for money and whether rolling out this services to others is a viable option in the longer term?