Capital Development Guidelines

Strategic Business Case

• Business requirement
• Service Plan
• Stakeholder Analysis
• Risk Analysis
• Project Governance
• Communication Strategy
• Capital Benchmarking
  
  
  
• Capital Project Requirements Brief (scope definition)
• Outline of next steps
• Project Risk Assessment (PRA)

• Project governance & management structure established by Division.
• Division assesses business requirements.
  
  
• CMB provides indicative Capital costs.
  
  
  
  
  
  
  
• Scope definition.
• CMB advises on design and construction Division requirements and the Division develops project implementation program.
• Division prepares SBC.

• Service Division approves service plan as part of SBC.
  
  
  
  
  
• Service Division/F&CS signs off SBC.
• Service Division/CMB negotiate timeframes and costs of next stage of work & confirm proposed year of funding.

Gate 1 Gateway Review Strategic Business Case: Divisional Responsibility

Preliminary Business Case

• Master Plan/Cost
• Feasibility Study
• Project Cost

• Recurrent modelling
• PV Options appraisal
• Risk Management Plan

• Outline of next steps

• CMB engages capital consultants.
• CMB manages design processes/consultants.

• Service Division develops functional brief and operating model.
• Division assesses recurrent cost and revenue implications.
• Division engages other consultants as required eg financial/commercial.

• Service Division approves Master Plan, Feasibility Study, and Capital Cost as part of PBC.

• Service Division/F&CS sign off PBC at ED level.
• CMB/Service Division negotiate timeframes and costs of next stage of work & review proposed year of funding.

Final Business Case

• Schematic Design
• Capital Cost
• Value Management Study

• Recurrent Cost/Revenue
• Detailed Risk Management Plan
• Detailed Communication Strategy
• Preliminary PV analysis
• Preliminary Procurement Strategy
• Implementation Plan

• CMB engages/extends capital consultants.
• CMB QA of capital design and costs.

• Division prepares Final Business Case.
• Division/CMB Evaluate procurement options including PV potential.
• Recommendation to proceed to PV Business Case or not.

• CMB/Service Division sign off Schematic Design & Cost Plan C as part of FBC.

• F&CS/Service Division sign off FBC.
• CMB/Division agree indicative timing of next steps subject to funding approval.
• Project submitted for ERC budget consideration.

Gate 2 Gateway Review - Final Business Case: Divisional Responsibility

ERC Endorsement

PV Business Case (if required)

• PSC
• PV tests
• Options assessment

• Division reviews Project Governance/management structure.
• Division engages/extends financial/commercial analysts and other consultants as required.
• Division prepares PV Business Case.

• F&CS/Service Division sign off PV Business Case.