COST OF REQUIRED CAPABILITIES

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ABDL1234
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Joined: Mon Mar 11, 2019 10:40 am

COST OF REQUIRED CAPABILITIES

Postby ABDL1234 Tue Mar 12, 2019 10:51 am

plz consider the following simple example :
suppose when we need to identify the problem and we have to automate the existing system as a replacement for manual procedures , and there are two alternatives like (the first we have to automate in house, or second we can outsource the solution to contractor )

now, when we need to determine the required capabilities we have conclude to hire two programmers and one computer . as you know bringing such capabilities it will cost , do we have to consider such cost in the cost benefit analysis ? or we have to bring them out of that

thanking you
seema.sonkiya
Expert
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Joined: Fri Jul 11, 2014 11:57 am

Re: COST OF REQUIRED CAPABILITIES

Postby seema.sonkiya Wed Mar 13, 2019 10:19 am

We need to include a cost-benefit analysis in the Business Case, and the project is initiated only when Business Case is approved. So you need to consider the cost of the selected option in the Cost-Benefit analysis.

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