slides to unit 3 2 business case introduction

Wiesbaden Business School

Building a Business Case in MOOC Modelling & Simulation using MATLAB Chapter Outline & Main Points Karin Grslund

Prof. Dr. Karin Grslund Modelling and Simulation using MATLAB 2 Wiesbaden Business School

Outline & Main Point Building a Business Case

Chapter Outline

Why build a Business Case?

1. Purpose of the Chapter & Basic Assumption

2. Choosing right people: Stakeholder analysis (not further explained here) 3. Sharing insight of current status: SWOT-Analysis (not further explained here)

4. Building a Business Case (Steps / Structure)


Purpose of the Chapter

1. Avoidance of realityshock: the must of profitability as primary professional working condition In our economic system a company can only physically

realize products and projects if it can generate (short, medium and long term) profit.

Assuming rational investors for the company exist, the interest for a business investment must be higher than the average interest rate for investment, because the companys potential performance is usually associated with a comparatively high risk and investors must therefore be paid a higher risk premium.

2. Being able to do the necessary ground work for a Business Case

Two Reasons to learn about Business Case & Basic Assumption for your Profession

t

r

risk premium

Outline & Main Point



Chapter Outline 4. Steps to build a Business Case 1. describe challenge in detail

(situation / business goals and targets/relevant change to be made) 2. identify alternatives 3. gather data and estimate time frame 4. analyze alternatives:

appraise effects on your challenge 5. choose an alternative and estimate its risks 6. plan implementation

7. communicate by Story Telling


Building a Business Case

1. take customer perspective, understand challenge in detail and describe




English idiom for German Eierlegende Wollmilchsau Jack of all trades



Building a Business Case Outline & Main Point

2. identify alternatives



LINE


3. structure alternatives, gather data & estimate timeframe



4. analyze each alternative

challenge




then analyze its risks and mitigate them

5. decide in favor -



6. plan implementation


LINE




7. Story Telling

with Business Model Building Blocks Osterwalder / Pigneur 2010

Key partners Key tasks Value Proposition

Customer-Group

Cost Structure Revenue streams

Customer Rela-on

Sales Chanel

Profit

KeyResource




Chapter Outline 4. Steps to build a Business Case 1. describe challenge in detail

(situation / business goals and targets/relevant change to be made) 2. identify alternatives 3. gather data and estimate time frame 4. analyze alternatives:

appraise effects on your challenge 5. choose an alternative and estimate its risks 6. plan implementation

7. communicate by Story Telling


Literature survey

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"!!

Building a Business Case, Harvard Press

Design Thinking, e.g. Design to Growth

Columbia Business School

Business Model Generation Osterwalder, Pigneur &

470 practitioners University of Lausanne

Discovery Driven Planning McGrath & McMillan

Columbia Business School & Pennsylvanias Warthon School

SCRUM, e.g. with User Stories

Wirdemann, Hansen

oecological, oeconomical, social Sustainability e.g. Value Based Management

with Corporate Social Responsibility, Oxford University Press

IT-Business Case Calcula-on, e.g. Brugger, Springer

Evidence Based Management Rousseau, Oxford University Press

slides to unit 3 2 business case introduction

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