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Unformatted text preview: Social Media Business Case Template
The purpose of this tool is to help you design a Business Case for an investment in a
Social Media program. A Business Case is a formal management communication
document to justify and plan a project or investment by providing an opportunity
overview, key success factors, assumptions & decision -making criterion, business
impact analysis, sensitivity analysis, risks, contingency plans, and action -oriented
recommendations. How to Use this Template
Complete the following sections with your project team and/or stakeholders. Cut &
paste this information into a document that reflects your corporate image, and
deliver your Business Case to senior executives to sponsor the project. Title Page [Insert Company Name or Logo] Business Case – (insert project title) [Insert Completion Date]
Completed By: [Insert Project Manager Name]
Completed For: [Insert Project Sponsor Name] Table of Contents
1. Executive Summary 3 1.1 What Problem does this Social Media Business Case Solve? 2. Opportunity Overview & Key Success Factors
2.5 Opportunity Overview
Key Success Factors 3. Assumptions & Decision-Making Criterion
3.4 3 6 Assumptions
Use-case Scenarios & Options
Recommended Decision-Making Criterion
Information Sources & Research Methodology 4. Business Impact Analysis 6 4.1 Cost/Benefit Analysis
4.3 Qualitative/Intangible Business Benefits
4.4 Required Resources for Implementation 5. Risks & Contingency Plans 8 5.1 Key Risks to Mitigate
5.2 Contingency Plans 6. Recommendation
6.1 Action Plan 9 1. Executive Summary
1.1 What Problem does this Social Media Business Case Solve?
Provide a brief description of the problems that this Social Media business
case was designed to solve.
For example: Budget Constraints
Decrease in Traffic or Search Engine Ranking
Content/Research Collaboration Issues
Limited End-User Reach
Declining Customer Satisfaction Scores
Poor Product/Service Feedback & Participation
Marketing Program Integration & Measurement 2. Opportunity Overview & Key Success Factors 2.1 Opportunity Overview & Project Purpose In this section, put a positive spin on the solution you are recommend ations.
You need to obtain buy-in from your project sponsor, and projects that clearly
fit organizational goals are more likely to be supported.
Document your vision of the impact your solution will have on the
organization. Write from each key stakeholder perspective .
For example: Senior management: Cost effective solution, transparency
Sales: More information on potential prospects, shorter sales cycle
Marketing: Tighter marketing program integration
Customer Service: Better visibility, quicker response times
IT: Minimal support required 2.3 Project Scope
Additionally, document what is in scope for this project and explicitly state
what is not in scope. If you are planning on a phased approach, provide a
summary of what each phase will look like from your perspective. Consider
how many departments/stakeholders will be involved; then, docum ent them. For example:
A Social Media program typically involves using highly accessible and scalable
publishing techniques across multiple online channels. Our project will be
implemented in phases, with staff training included in each phase. Phase 1 – Internal/External Audit: Review competitors, our existing
efforts, industry/market trends, customer habits, etc.
Phase 2 – Planning & Scheduling: Carefully plan the Social Media
program, select channels, create a posting schedule, select contributors,
dates, times, topics, etc.
Phase 3 – Implementation: Kick off the Social Media program, set up
selected channels, start using & posting to selected channels, etc
Phase 4 – Integrated Marketing: Use Social Media with existing channels,
run promotions, use email marketing, contests, etc.
Phase 5 – Reporting & Maintenance: Reports will be created, based on
management needs to monitor sales, customer satisfaction, website traffic,
etc. Executive dashboard KPIs may include: Social Network Reach, Blog
Postings, Referral Traffic, New Twitter Followers, etc. Ongoing Maintenance
will include: New Postings, Social Media Application Updates, User Interface,
etc. 2.4 Project Schedule
Following is a sample project schedule that you can customize furth er: Project Milestones
8. Deadline RFP Delivered to Consultants
RFP Question Period Ends
RFP Close Date
Conduct Consultant Evaluations
Award Contract to Consultant
Phase 3 February 1, 2010
March 1, 2010
April 1, 2010
April 15, 2010
April 30, 2010
June 1, 2010
July 1, 2010
August 1, 2010 9. Phase 4 August 1, 2010 10. Phase 5 July 1, 2010 2.5 Key Success Factors
Key Success Factors are the most important items that need to work for you
to ensure project success. Examples include: adequate budget & resources,
skill sets, time to do the project amongst other priorities, project sponsorship. Key Success Factors Justification 1. Budget Budget is required for consultation
and training to ensure success of the
project and staff take-up
Management buy-in is required to
ensure program success and to
ensure staff take-up
To ensure system and project is
aligned with corporate goals, and to
communicate with staff
Time will be required of management
for detailed business analysis,
training, on-going contribution and
sufficient Marketing and IT resources
will need to be allocated on an
ongoing basis to ensure success 2. Sales, Marketing, Customer
Service, Management, IT Buy-In
3. Executive sponsorship 4. Resources 3. Assumptions & Decision-Making Criterion
List all the assumptions you made when creating this business case. Some
examples of assumptions include:
costs, savings, incremental returns,
pricing, volume, or resource requirements such as expecte d consulting costs. 3.2 Use-Case Scenarios & Options
Contrast and compare various options, such as “Do Nothing”, “Conduct a
Pilot”, “Conduct Full-scale Implementation” or “Build Internally”. This section
should provide assurance that the business will not fall apart should it be
decided that moving to your recommendation is not feasible. Your goal is to
economically justify your investment to generate returns. 3.3 Recommended Decision-Making Criterion
This section is useful for proposing the decision-making criterion that you
believe a senior executive should consider when making a decision. The idea
is to make it very easy for your sponsor to agree with your proposal, given
that you have already completed the majority of the required critical think ing.
Following is a suggested prioritized list of proposed evaluation criterion:
7. Revenue and customer benefits
Management performance insight
Time to deploy
Integration with Existing systems
Use Cases in our Industry 3.4 Information Sources
Where did you go to learn more about this opportunity? Are your sources of
information credible? What process did you take to do the res earch? Some
examples include: vendor discussions, whitepapers, analyst firms, Google
searching, conferences, peer-to-peer networking, and consultants. 4. Business Impact Analysis
This section will outline the costs and benefits of the proposed initiative. Both
quantitative and qualitative (intangible) benefits need to be documented here.
Additionally, providing a “High/Low” adds an element of sensitivity analysis,
which provides both a conservative and optimistic outlook for your proposed
initiative. 4.1 Incremental Cost/Benefit Analysis
Determine the projected incremental costs/benefits over a 3-year period.
Insert your cost categories, a description of each, and a high/low estimate for
each. Divide total benefits by total costs and multiply by 100 to obtain a %.
Complete this worksheet for each use-case scenario, and/or project option. Cost/Benefit Analysis Worksheet
Etc. High Low High
Low Total Costs Project Benefits
Reduction in direct marketing expenditures Etc. Total Benefits
% Benefits/Costs 4.2 Qualitative/Intangible Business Benefits
What are the qualitative or intangible benefits that were not captured in the
cost/benefit analysis worksheet?
6. Better customer relationships
Greater visibility into operations & performance
Increase in website traffic
Increase in customer loyalty
Faster service response and resolution time
Insert other qualitative/intangible benefits here 4.3 Required Resources for Implementation
What are the required resources in terms of budget, staffing, consulting, or
other expenditures related to moving forward with this business case?
For example: Budget, per section 4.1
Staff Resources: Administrator, Contributors, etc. – X hours/week
Management in Sales, Marketing, Customer Service: commitment to
cooperate with IT on business requirements, training, and roll-out to
their staff 5. Risks & Contingency Plans
This section will outline the key risks that need to be mitigated and provide
contingency plans for each identified risk. Risks include: lack of end-user
adoption, project over-time/over-budget, technical risk, and senior
5.1 Key Risks to Mitigate
1. Lack of management commitment adoption
2. Lack of end-user adoption
3. Technical risk 5.2 Contingency Plans
What is the contingency plan for each of the preceding risks?
To ensure commitment of managers in sales, marketing, customer service
departments, there will be a virtual committee/team formed for the Social
Media program. This team will be lead by X, and their job will be to identify
specific business requirements, ensure two-way communication with staff,
identify training requirements, and measure benefits gained.
To ensure buy-in from staff, the committee will be responsible for establishing
a communication and change plan with a phased implementation.
Management will also communicate upcoming changes with staff, highlighting
the benefits of using Social Media to staff and customers. After each phase of
implementation, the group will gather feedback from the staff to incorporate
updates or changes in the next phase.
Technical risks will be mitigated by ensuring our current IT infrastructure is
compatible with the various channels and applications selected. 6. Recommendation
What is your proposed course of action? Insert your recommendations here.
6.1 Action Plan
1. Approve budget
2. Approve staff resource allocation to project
3. Approve formation of Social Media Management Committee to proceed
with managing and reporting on the progress of the project ...
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This note was uploaded on 01/08/2011 for the course PUR 3000 taught by Professor Oyer during the Spring '07 term at University of Florida.
- Spring '07