Project Proposal Title
Company Name
Cost Benefit Analysis
Author:
Date:
Version:
© Global Knowledge Training LLC
Version History
ID / Changes / Date Created / Author© Global Knowledge Training LLC
Table of Contents
Purpose 5
Scope 6
Cost Benefit Analysis Methodology 7
Assumptions and Constraints 7
Process 7
Evaluation Criteria 7
Cost Benefit Analysis Results 8
Current State 8
Future State 8
Proposed Project 8
Alternative Project 1 8
Alternative Project 2 8
Alternative Project 3 8
Costs 9
Proposed Project 9
Project Development Costs 9
Operational Costs 9
Non-Recurring Costs 9
Recurring Costs 9
Alternative Project 1 9
Project Development Costs 9
Operational Costs 9
Non-Recurring Costs 9
Recurring Costs 9
Alternative Project 2 9
Project Development Costs 9
Operational Costs 9
Non-Recurring Costs 9
Recurring Costs 10
Alternative Project 3 10
Project Development Costs 10
Operational Costs 10
Non-Recurring Costs 10
Recurring Costs 10
Benefits 11
Proposed Project 11
Non-Recurring Benefits 11
Recurring Benefits 11
Cost Reduction 11
Enhanced Services 11
Non-Financial Benefits 11
Alternative Project 1 11
Non-Recurring Benefits 11
Recurring Benefits 11
Cost Reduction 11
Enhanced Services 11
Non-Financial Benefits 11
Alternative Project 2 11
Non-Recurring Benefits 11
Recurring Benefits 11
Cost Reduction 11
Enhanced Services 12
Non-Financial Benefits 12
Alternative Project 3 12
Non-Recurring Benefits 12
Recurring Benefits 12
Cost Reduction 12
Enhanced Services 12
Non-Financial Benefits 12
Proposed Project and Alternatives Comparison 14
Supporting Materials 15
Signatures 17
© Global Knowledge Training LLC
Cost Benefit Analysis
Purpose
What is the purpose of the cost benefit analysis?
Scope
What is the scope of the cost benefit analysis?
Cost Benefit Analysis Methodology
Assumptions and Constraints
What assumptions were made and what constraints existed that impacted this cost benefit analysis?
Process
How was the cost benefit analysis conducted? What information was gathered? Who assisted with the identification of alternatives, analysis, and selection?
Evaluation Criteria
How were all of the possible projects evaluated? What criteria were used to identify the project recommended within this document?
Cost Benefit Analysis Results
Current State
What is the current state that this project will change? Consider hardware, software, organizational structure, processes, etc.
Future State
What are the goals for the future state?
Proposed Project
What project is being proposed? Why is it proposed over the alternatives?
Alternative Project 1
What project is an alternative?
Alternative Project 2
What project is an alternative?
Alternative Project 3
What project is an alternative?
Costs
Proposed Project
Project Development Costs
How much will this project cost? Consider hardware, software, consulting fees, internal labor costs, etc.
Operational Costs
After this project is over, how much will it cost to maintain this solution?
Nonrecurring Costs
List any additional costs associated with project development or implementation that are nonrecurring. These could include one-time charges, capital expenditures, etc.
Recurring Costs
List any additional costs associated with project development or implementation that are recurring. These could include monthly facility charges, tax payments, salaries, etc.
Alternative Project 1
Project Development Costs
How much will this project cost? Consider hardware, software, consulting fees, internal labor costs, etc.
Operational Costs
After this project is over, how much will it cost to maintain this solution?
Nonrecurring Costs
List any additional costs associated with project development or implementation that are nonrecurring. These could include one-time charges, capital expenditures, etc.
Recurring Costs
List any additional costs associated with project development or implementation that are recurring. These could include monthly facility charges, tax payments, salaries, etc.
Alternative Project 2
Project Development Costs
How much will this project cost? Consider hardware, software, consulting fees, internal labor costs, etc.
Operational Costs
After this project is over, how much will it cost to maintain this solution?
Nonrecurring Costs
List any additional costs associated with project development or implementation that are nonrecurring. These could include one-time charges, capital expenditures, etc.
Recurring Costs
List any additional costs associated with project development or implementation that are recurring. These could include monthly facility charges, tax payments, salaries, etc.
Alternative Project 3
Project Development Costs
How much will this project cost? Consider hardware, software, consulting fees, internal labor costs, etc.
Operational Costs
After this project is over, how much will it cost to maintain this solution?
Nonrecurring Costs
List any additional costs associated with project development or implementation that are nonrecurring. These could include one-time charges, capital expenditures, etc.
Recurring Costs
List any additional costs associated with project development or implementation that are recurring. These could include monthly facility charges, tax payments, salaries, etc.
Benefits
Proposed Project
Nonrecurring Benefits
List any benefits associated with project development or implementation that are nonrecurring.
Recurring Benefits
List any benefits associated with project development or implementation that are recurring.
Cost Reduction
Explain how this project reduces development or maintenance costs.
Enhanced Services
How does this project improve systems? Make the organization more effective and/or efficient?
Nonfinancial Benefits
Does this project result in any nonfinancial benefits? Improved customer satisfaction?
Alternative Project 1
Nonrecurring Benefits
List any benefits associated with project development or implementation that are nonrecurring.
Recurring Benefits
List any benefits associated with project development or implementation that are recurring.
Cost Reduction
Explain how this project reduces development or maintenance costs.
Enhanced Services
How does this project improve systems? Make the organization more effective and/or efficient?
Nonfinancial Benefits
Does this project result in any nonfinancial benefits? Improved customer satisfaction?
Alternative Project 2
Nonrecurring Benefits
List any benefits associated with project development or implementation that are nonrecurring.
Recurring Benefits
List any benefits associated with project development or implementation that are recurring.
Cost Reduction
Explain how this project reduces development or maintenance costs.
Enhanced Services
How does this project improve systems? Make the organization more effective and/or efficient?
Nonfinancial Benefits
Does this project result in any nonfinancial benefits? Improved customer satisfaction?
Alternative Project 3
Nonrecurring Benefits
List any benefits associated with project development or implementation that are nonrecurring.
Recurring Benefits
List any benefits associated with project development or implementation that are recurring.
Cost Reduction
Explain how this project reduces development or maintenance costs.
Enhanced Services
How does this project improve systems? Make the organization more effective and/or efficient?
Nonfinancial Benefits
Does this project result in any nonfinancial benefits? Improved customer satisfaction?
Proposed Project and Alternatives Comparison
Complete the following information to compare the possibilities.
CostsDevelopment / Operational / Nonrecurring / Recurring / Total
Project
Alternative 1
Alternative 2
Alternative 3
Benefits
Nonrecurring / Recurring / Cost Savings / Enhance Svcs / Total
Project
Alternative 1
Alternative 2
Alternative 3
Cost/Benefit Analysis
Net Present Value / Payback Period / Cost/Benefit Ratio
Project
Alternative 1
Alternative 2
Alternative 3
Supporting Materials
What documentation was used from prior projects or current processes to help define this cost benefit analysis?
Signatures
Accepted
Rejected
Accepted with these changes:
Signature of sponsor
Printed name of sponsor
Date
Signature of project manager
Printed name of project manager
Date
© Global Knowledge Training LLC