Reliable Business Case | Free Excel tool with great and intuitive design for Cost-Benefit Analysis with ROI, Payback Cash flow, IRR and 100% support for benefits management, suitable for Prince2, XLMP, PROPS, PPS,

Quick introduction about method and how to use the tool
(This ppt is made for reading rather than for presentation)
• Overview
• Why need a new methodology?
• RBC Method
• How to use RBC Excel Tool
Please read more: www.reliablechange.eu

 Reliable Business Case is a method
- Investment analysis when business impact is expected
- Tell if money is visible, tangible and real, or intangible or non measurable values. You
forecast what you actually will see.
- Compares ”all business benefits” with ”all expenses to create the business benefits”
- Evaluate systematically and reliable
- Result is presented in a way decision makers understand their own role in creating the
resulting business benefits
- Compatible with PRINCE2 and Benefits Management strategies
- Gives control of calculations, documentation, KPIs, risk, and offer consistency and true
comparability between cases
- Offer a quick analysis with included full control of the weakness in the calculations
 Method is supported by Reliable Business Case Excel ToolTM
- Free to use, download at website www.reliabelchange.eu
- Superior design and usability
- Give ROI, Payback, Cash flow, IRR, Benefit-Cost Ratio, Benefit bubbles and much more
- Support Follow-ups and risk analysis

Mission : Eliminate ROI By Chance
Cost
Business Benefits
-1 500 000
-1 000 000
-500 000
-
500 000
1 000 000
1 500 000
Yr 0 Yr 1 Yr 2 Yr 3 Yr 4 Yr 5
Development project
terminates
a.s.a.p.
Project manager
Project board
Risk & cost
No control

Mission : Eliminate ROI By Chance
- But the business case is worth nothing without a proper process,
knowledge, and action
RBC gives you the tool and enables you to work right
Framework
Benefits Management Circle

What is wrong with the way we do today?
Method description

1
Just pick a variable
your organisation
does not
standardized and size
it as you like.
Reasons why your current BC method fails

 You get index KPIs you can compare and prioritise
between projects and programs
- Reliable ROI, BCR, Payback, and more – you can trust
 A clear guideline how to calculate important variables
usual for business case analyses
- E.g. value of saved labour hours, calculation lifetime, overhead calculation
- The result of the Business Cases will be consistent between projects, time,
and analysts

The calculation process lacks guidelines, you use
“percentage lowest highest” to solve risk analysis, you
use cost-benefit methods that magically turn
intangible benefits into tangibles.
As answer to that, RBC method:
• Has guidelines telling how to
estimate value from benefits
• Do not blend benefits and cost with
different reliability
• Has a practical and solid guide
how to write calculations formulas and identify
variables with biggest risk
2

• ‘Ordinary ROI’ only suggests 2-3 years of results divided with an initial investment – no
support for e.g. long-term sourcing decisions
• IRR rarely work at all with IT investments and should be avoided
• TCO is fully focused on cost, not business benefits, and is obsolete today
• Cost-Benefit methods’ estimation of intangible benefits lack standardisation and
reliability (e.g. Return on IT/Alinean, TEI/Forrester, PENG/Dahlgren et.al)
• As answer to that, RBC method:
• Clearly defines what KPIs to use and how it should be calculated to show true decision quality
• RBC method is specifically made to be used together with e.g. PRINCE2, IT investments, sourcing
investments, and business change improvements.
• Set standards of how and what to calculate to make business change investments, but still using
current and common financial methods!
3

Studies have shown that despite e.g. PRINCE2’s talk about benefits realisation, it still has
the ”ROI by Chance” spirit and little is defined how to measure, govern, and realise the
actual behavioural change and to make benefits occur for real.
As answer to that, RBC:
• Is made to fill the gap in most program management methods – it offer support and strategies to
encourage the business to carry out the actual business change!
• Is unique since it claims to actually improve the reliability and the chance the results will come
true
• Methodology, definitions, and syntax in the documentation, visualise what need to change to
make the results
• Method has steps and activities to enlighten and to encourage acceptance from business
managers
• RBC Excel Tool has a outstanding ability to do follow-up
4

But antoher side of it is also the ignorance of the skill and competence a good analysis
demands. With that in mind it is even more important to have a clear process, templates, tools,
training, and a systematic model, to support the poor practisers.
As answer to that, RBC method:
• Means everything! These things are the very reasons you should use the RBC method and
RBC Excel Tool in your organisation, analyses, and for your Benefits Realisation!
• Easy; fill in the tables in the RBC Excel Tool and look in the report
• RBC’s steps includes only what is needed; to define the scope, register benefits, register cost,
analyse and report
• RBC has a Quick Analysis feature – you always can have control over the quality of the
calculation and use no more and no less hours than you need for the situation
• RBC offers optional steps to return very reliable investment decisions and follow-ups during
benefits management processes
5

 … of six in the ‘Benefits Management Circle’
(But can play a role in most of the other steps as well)

You should not do follow-ups to see what happened
You should use follow-ups to actively create the results yourself

A very brief introduction of some of the things that accentuates
• Read more about the methodology at www.reliablechange.eu

Reliability categories
Control of what you calculate and of the outcome you can expect, both
financially and non-financially
You never blend benefit and
expense values between the
categories.
You always know what to
expect financially visible
You include all benefits and
all cost, also the more
intangible ones.
You get a better view of truth
and make decisions
accordingly.

 Reliable:
- Reliable data sources | Financially visible (e.g. budget acceptance, tenders)
 Visible:
- Unreliable data sources | Financially visible (e.g. saved/used FTE, margin)
 Assumed:
- Unreliable data sources | Financially invisible (labour minutes)
 Not evaluated:
- Not Evaluated into financial figures. It can be a potential
Reliable/Visible/Assumed, but e.g. analyse-time has not been available, or
it has not been prioritised to be calculated. It can also be an intangible
benefit with qualitative values.

Built-in-strive to increase the reliability makes the
business case more likely to become true
- because the actual business- and behavioural change becomes visible for the
managers in charge
SPOTS = Small Portions of Time Savings (tiny time saving thousands of times makes big value)
TLP = Top Level Percentage (A tiny little percentage muliplied by a huge value, e.g. 0,5% of total turnover )

 If you make a Quick Analysis you take what you find for the moment
 You look into the ’Priority and follow-up table’ in the RBC Excel Tool’s result
sheet
 You identify the issues with most impact on the results, and with lowest
reliability
 ‘High impact’ combined with
’Assumed’ category implies you
should improve the analysis
 You always get a precise
reliability, making a precise
effort, paying precise hours
of analyse needed
RBC Example - P2P Purchase to Pay Automation
Instead of 'As-Is we choose 'To-Be'
Benefits Value Impact on result Avg per year
Reliable Column6
Automation reduces time and FTEs at finance department 711 146 20% 237 049
Visible
Less workload gives resource reduction in Internal mail 777 106 22% 259 035
Faster process & control gives reduction of penalties 580 052 16% 193 351
Assumed
Time reduction from better invoice process 675 091 19% 225 030
Expenses Value Impact on result Column8Avg per year
Reliable
Benefits Realisation Manager -201 298 -6% 67 099-
Documentation -80 000 -2% 26 667-
Visible
Testing -26 000 -1% 8 667-
Development -110 000 -3% 36 667-
Assumed
Acceptance testing -8 000 0% 2 667-
Cost Reduction Campaign' resources -123 719 -3% 41 240-
Maintenace -281 717 -8% 93 906-
Results 1 912 661 100% 637 554
… compare with the total money at stake 9 501 936 Avg per year
in 'As-Is' (both benefits and cost) (ABS value)
Reliable Business Case

 The method defines clear documentation of calculation formulas in a
systematic way, e.g.
- #FTE * WkOccur * AnnualWks * SavedHrs * LabHourCost
 You easily find what variables are with most risk; the smallest ones.
Consider:
- [210 Full Time Employees] * [4 times per week] * [48 weeks] * [(6 min/60) Hrs] * [-53 EUR]
 Small figures have a habit to make large differences with common
uncertainty
- 4 or 5 times per week makes 20% difference
- 50 or 55 EUR makes 9% difference
- 210 or 220 makes 4,5% difference
 RBC state you should document the risk variables.
- The RBC Excel Tool Template has short guide in
the column were to do it.
INF: [Information about the variables used
in the formula, or other important data
about the case]
SOURCE: [Who- or what is the source of
the information]
DEP: [Dependency, secondary action to
add to make benefits arise]
NOTE: [Analyst's note or information
about the expense identified, or about the
formula, case or calculation.]
Q: [Open questions of the analyse, etc.]
RISK: Define the risk variables in the
calculation. Description of the most
potential risk not to acheive the benefit's
value

 The RBC method defines business benefits as ‘Perceived Value from
Change’
- Where change is human action, process change or behavioural change by staff, customers, patients, citizens
 The label in the column ’Business Benefits’ always makes clear to
decision makers what really had to be changed
- The behavioural change is always visible in tables and reports, making you never to forget the cause and effect
linkage.
 ”A business case is not a forecast of future money - it is a forecast to
future business change”
” Tyrone Skogström, Reliable Business Case Handbook”,

Short introduction – read the notes you find in the tool itself to get a
more detailed understanding of how to use it.

 Excel 2007, 2010, 2013 with macro enabled
- Does NOT work with Excel 2003
- Does NOT work without macro enabled
 Read End User Licence Agreement
- In the EULA worksheet in the file

1. Project set-up & scope
definition/optimisation
EXPANDABLES - CAPITAL COST & OPERATIONAL EXPENSES
As-Is ISO9
 Condensed rows    
Reliability Int/Ext Cost Type Expenses Definition & Formula Notes Yr 0 Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 0 Yr 1
# Hardware
Reliable External CapEx Hardware Rack -500 000
Reliable External CapEx Hardware Servers2 -30 000 -30 000 -30 000 -30 000 -30 000 -30 000 -30 000
Reliable External CapEx Hardware Clients -2 000 000 -2 000 000 -2 000 000 -2 000 000 -2 000 000 -2 000 000 -200 000
Reliable External CapEx Hardware Back-up -10 000 -10 000 -10 000 -10 000 -10 000 -10 000 -10 000
Assumed External CapEx Hardware Redundancy -15 000 -8 500 000 -750 000
--------------- # Software
Visible External CapEx Software SAP server license -15 000 000 -10 000 000
Reliable External OpEx Software License per user & yr -2 000 000 -2 000 000 -2 000 000 -2 000 000 -2 000 000 -2 000 000 -20 000 -20 000
Reliable External CapEx Software License Oracle -300 000 -300 000
Reliable External CapEx Software License Business Objects -200 000 -200 000
Visible External CapEx Software OS -20 000 -70 000 -20 000 -70 000
--------------- # Development
Visible Internal CapEx Development Arkitecture -200 000 -1 000 000
Visible Internal CapEx Development Development -20 000 000 -20 000 000
Visible Internal CapEx Development Testing -4 000 000
--------------- # Maintenace
Visible External OpEx Maintenance Maintenance of hardware & OS -5 000 000 -5 000 000 -5 000 000 -5 000 000 -5 000 000 -5 000 000 -400 000
Visible Internal OpEx Maintenance Patches -500 000 -500 000 -500 000 -500 000 -500 000 -500 000 -100 000
--------------- # Support
Assumed External OpEx Support First line -1 100 000 -1 100 000 -1 100 000 -1 100 000 -1 100 000 -1 100 000 -30 000 -150 000
N/E Internal CapEx Support Training First line
Visible Internal OpEx Support Second line -500 000 -500 000 -500 000 -500 000 -500 000 -500 000 -10 000 -10 000
--------------- # Target changes
Assumed External CapEx Target environment Changes in PLUTT -500 000 -500 000 -5 000 000 -5 000 000
Assumed External CapEx Target environment Exit of SUNE -500 000 -3 500 000 -500 000 -3 500 000
--------------- # Management & realisation
Visible External CapEx Project management Project Manager -1 200 000 -500 000
Visible External OpEx Training Onsite trainers 0 -300 000
Assumed External CapEx Result assurance Realisation manager & reporting -800 000 -800 000
Condensed / normal
view
The method enable you to mix cost reduction and and income increase in the
same table: If it is e.g. labour cost reduction, the result should be a negative
value. The variable representing the value, should be negative, e.g. labour cost
Expenses are
3. Expenditure Screening
Best carried out in a smaller ’Calculation Group’
2. Business Benefit Screening
Make a complete screening with qualified
reference groups, and care about how
RBC defines ’Benefit’.
4. Report Analysis & Recommendation
The Report sheet have a comprehensive
guideline how to understand the figures, but
experience is the most reliable way.

 You identify business benefits
and improvement cost
- The expenses is everything needed to make the
business benefits to arise
- Cost reduction is a business benefit and in the
table you can both have negative figures (cost)
and positive figures (income)
- E.g. if one benefit is lower maintenance cost of an
IT system, it is a business benefit for the IT
department. The cost you want to identify in the
Expense sheet is the cost for the change, what
made it possible.
 It is a investment analysis tool,
computing [To-Be] minus [As-Is]
- [To-Be] = SUM(To-Be Benefit; To-Be Expense)
- [As-Is] = SUM(As-Is Benefit; As-Is Expense)
 The result considers full calculation
lifetime
- Guideline; equals ”economic lifetime”
Project description
Project / Investment defined - KPIs and variables
Analysis set-up
Analyst/owner Tyrone Skogstrom, +46 702 94 32 02, tyrone@reliablechange.eu Time span
Project name RBC Example - P2P Purchase to Pay Automation Hourly cost
Date 10 november 2011 Currency sign
Interest
Names to be used in formulas
Hour1:
Hour2:
Hour3:
Variable1:
Variable2:
Variable3:
Alternatives - Shortform and scopes
Add 2-6 alternatives. Used short names affect charts and tables. Description is not used in any other sheet.
Short name 1 As-Is Short name for chart usage etc - restrict to about 15 letters
Description
Alt 1
[Description of alternative eg. current situation, as it continues for often 3,
5, 7 years ahead]
Short name 2 To-Be Short name for chart usage etc - restrict to about 15 letters
Description
Alt 2
[Description of alternativ e.g. with improvements, investments, life time
cost, business change, change governance, covering the same cash flow
life time as As-Is]
Short name 3 FollowUp April 2013 Short name for chart usage etc - restrict to about 15 letters
Description
Alt 3
Total of six alternatives to compare with, such as business scenarios,
different tenders, IT-solutions or systems. It can be totally different
alternatives, such as either investing in new IT systems, or take it as a
software as a service, or even outsourcing a whole Shared Service
department. They are the actual possible actions you compare.
It can also be result check, one or more control points, maybe as a part of
a proactive busines change and benefits realisation program.
Description of the alternative - what differs between them
New line within cell; Alt-Enter
In this sheet you defind the case and variables. 'Years' is the calculation time span used, and RBC rule of thumb
tell it should be the same as your financial time span. Please note, the ROI and results accumulate all cost and
benefits during this time span (ROI in other cases in general is 2 to 3 years of benefits divided by initial capital
cost). RBC reason is, because you want to take full consideration to also operational costs etc.
'Hours' and 'variables' to the right can be used in formulas.. A value in 'Hour1' can be used in the calculations as
i.e.: [Cost per Hr] * Hour1 . This allows you to easily change the calculation with only one cell to update.

 Calculation’s time span
- ’Years’ – same as financial
time
 Interest rate
- ’Real interest rate’
 Add between 2 – 6
alternatives
- Typically; ’As-Is’, ’To-Be’,
Follow-up’
 Describe the scope of
change for each
alternative
- Tell the properties that
differ and what to expect
- Tell what [investment]
enables what [business/
process change], giving
what [outcome]

Define your formula variables
INF: Variable definitions etc
REF: Reference, data source
DEP: Dependency to additional actions, projects
etc
Q: Still open questions
RISK: Identified risk
NOTE: Analyst’s personal note
Buttons [Alt-Enter] give a new line within Excel cells

 Define benefit's name
- Define a benefit label, to describe cause and effect in a short form suitable for
tables and listing.
- Keep it into the column with max. 6-7 words.
 Subhead in blue
- Start the line with [#+Space] if you want to have a "Blue Headline Format"
 What is a benefit ?
- RBC method states the benefit is 'Perceived Value From Change'.
- This column asks for a 'label' to be used in lists and charts. In a general cause- and
effect linkage diagram, you have a 'IT system's function', enabling a 'action or
process change', enabling a 'tangible or intangible result'.
- Here, the benefit label should describe them all if possible, but with the few
words restriction, focus on syntax: [End result] from [Process change]
- E.g. benefit label should neither be 'New beneficial information to customers', nor
'Retained customers'. It rather be 'Retain customers through new beneficial
information'.

 Edit both Definition and Formula in these cells
- Use button combination <Alt-Enter> to create new lines within excel cells.
 Definition
- A complete explanation how it can be considered as a benefit; the change and the result in
one or max. two sentences.
 Formula
- How the value of the benefit is calculated. Keep definition and calculation in each year's
value column mirrored and updated.
 Syntax in formula
- Use documentation strategy, syntax and abbreviations, as described in the RBC method.
Shortly: Join first syllables into understandable abbreviations. If recognised abbreviation
(English; found in e.g. 'http://www.acronymfinder.com') in your language exists, use it
instead of the general 'first syllable rule'.
- See example in slide 19
 No figures
- Avoid to write figures in the formula, instead define each variable in 'Notes' column after the
'INF: ' prefix. If a figure in the calculation can be considered as 'constant', it can be suitable to
use, e.g. if saved labour minutes convert into hours by ' (Min/60) '

 Positive or negative value in the cells?
- RBC Excel Tool is analysing the difference between two alternative s.
- The benefits can arise from both cost reduction and income increase, and you
mix them both in the Benefits Screening
- If cost is -100 in alternative 1 and -75 in alternative 2, the Result Sheet gives a
+25 result (-75--100=25).
 Example ’IT Cost reduction investment’
- It is considered to be a ‘ IT department Business Benefit' and should be on the
BusBenScreen sheet. IT department is a business as everything else. Since
business benefits arise from peoples’ new behaviour/action/processes (aka.
business change…), you put the cost-of-change in the ExpenseScreen sheet.

3. Expenditure Screening
Expand row height and use Excel’s ’Alt-Enter’
for new rows within cells
Expand number of years (depends on stated
calculation time span)
Define Reliability Category,
Internal/External, Opex/CapEx, and type
of expense (drop list)

4. Analyse and Report
IMPORTANT: Define what
alternatives you want to analyse
Check the key index figures
RBC Report - RBC Template
Result sheet - 'To-Be' minus 'As-is' makes following results
3 yrs accumulated cash flow (discounted 5%) Instead of … … we choose … … with reliability
Choose scenario & reliability mode: As-is To-Be RVA
Benefits -10 032 446 -636 240 9 396 206
Cost 0 -3 879 512 -3 879 512
Net Benefit between Alternatives 5 516 694
Measures Results
Discounted Payback 0,93 Years
Benefit Cost Ratio (3 yr, discounted) 242%
Return on Investment (3 yr, discounted) 142%
Net Benefit between Alternatives 5 516 694
Benefit Cost Ratio & Return On Investment EUR (RVA, 3 yrs NPV discounted 5%)
Cost-Benefit AnalysisColumn3 ResultColumn1
BCR (Lifetime 3 yr), NPV 242%
Cost-Benefit Life (RVA) 5 516 694
Benefits 9 396 206
Cost -3 879 512
Return Of InvestmentColumn1 ResultColumn2
ROI (Lifetime 3 yr), NPV 142%
Profit (RVA) 5 516 694
Benefits 9 396 206
Cost -3 879 512
10 Aug 2012
Reliable Business Case Excel tool
This tool supports the methodologydescribed in Reliable Business Case Handbook. Freeware;Usage under Licens Agreementsee worksheet'EULA'. All risk lay upon the user.Download
newesttool from source: www.reliablechange.eu
Primary usage is IT investmentanalysis,giving a comprehensive base for decision ifyou should continue with the currentsituation 'As-Is', or choose between 'To-Be' or 'Follow-up'
alternatives.Beside common financial keyfigures such as BenefitCostRatio, ROI, Cash flow,NPV, Payback diagrams,IRR,th e method define benefits and expandables in three reliability
categories.These tell you what results are reliable and will become visible in your financial statements,butalso encourage you to include intangible beneftis into the case.
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0% 50% 100% 150% 200% 250%
242%
BCR (NPV, RVA, 3 yrs)
0% 50% 100% 150%
142%
Depreciated ROI (NPV, RVA, 3 yrs)
BCR
242
%
ROI
142%
Benefits
71%
Cost
-29%
Benefit Cost Life (RVA)
Reliable
317
Visible
-1 711
Assumed
6 911
BCA Reliability (Yr 0 + 3 yrs)
Thousands
Benefit Cost Ratio & Return of Investment
Overall results - select alternatives and reliability
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… or analyse the details far down …

4. Analyse and Report
IMPORTANT: Define what alternatives you
want to analyse
Check the key index figures
And analyse further details far down …
Push ”Recalculate!” button when you want to
renew the diagrams and tables.
… and paste the results as pictures and charts
in another sheet for external use
The thresholds can be customised in the
sheet … “Customise”
The alternatives are edited in the sheet
Project

Report - Cash Flow View
CashFlow and Payback EUR (RVA, 3 yrs NPV discounted 5%)
Cashflow Benefits & Expenses (NPV) Yr 0 Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10
Benefit totals 0 3 117 302 3 216 024 3 062 880
Expendable totals -2 360 000 -580 952 -480 726 -457 834
Result per Year -2 360 000 2 536 349 2 735 299 2 605 046
Cumulative -2 360 000 176 349 2 911 648 5 516 694

Payback yrs 0,93
RVA Kolumn1Last yr (3 yr) Internal Rate of Return (IRR) Please take care,
Benefits 3 062 880 IRR can fail to
Cost -457 834 107,5% correctly represent
Cost-Benefit Result 2 605 046 IT investments
Benefits Breakdown
Pay Back
Payback is probably the mostimportantfactor to consider when taking investmentdecisions.Earlypayback is low risk and usuallybetter profit, and it setyou free to continue with further
investments.Please note this is discounted cashflow - ifyou compare itwith another project's payback, you should ensure they are equalised. Each year shows the resultfrom Alternative 2
minus Alternative 1, benefits and expenses summed together.The "reliability view" separates itinto the method's reliabilitycategories,depending on your choice at top of this page (cell
reference "I21").
The "Cash Flow changes"charthave another approach,it do not show the productbetween the two alternatives,as the other do . It tell us about the cashflow difference between the two
alternatives instead.
Last year in time span
Last year in time span
This is interesting when you consider the functional lifetime,and stretch your analysis beyond calculation lifetime.The method has 'financial
lifetime'as the calculation's time span,butsucceeding years after the lifetime can be importantin the decision too.
Internal Rate of Returns
The RBC Excel Tool offer IRR for convieneance,butdoes not recommend itas a decision factor for IT investments.IRR works well only if you
have one single initial year of investment(yr 0), followed by only positive yearly cash flows.More, it also assume each pos itive yearly cash flow
can be reinvested with the same discountas you total IRR will be. These two issues can rarleybe accomplished.Many IT inves tments have
unsymetric cashflows,such as outsourcing,and by failing these issues ,it return a wrong result. Therefore, many organisations do notuse IRR
for investments in business change projects.However,IRR sometimes is needed,your organisation mightdefine a minimum allowed IRR,e.g.
Hurdle Rate, and you need the data to pass throuhg the case.
-3 000
-2 000
-1 000
0
1 000
2 000
3 000
4 000
5 000
6 000
Yr 0 Yr 1 Yr 2 Yr 3
Thousands
Cash flow & Payback (RVA)
- 200 12 259 246
-2 160
108 175 1670
2 417 2 302 2 192
-2 360
176
2 912
5 517
-3 000
-2 000
-1 000
0
1 000
2 000
3 000
4 000
5 000
6 000
Yr 0 Yr 1 Yr 2 Yr 3
Thousands
Cash flow & Payback - Reliability view (RVA)
Internal Rate of Return
Yr 0 Yr 1 Yr 2 Yr 3
Benefits (To-Be) - -391 -125 -119
Expenses (To-Be) -2 360 -581 -481 -458
Benefits (As-is) - -3 509 -3 341 -3 182
Expenses (As-is) - - - -
Benefits (To-Be)
Expenses (To-Be)
Benefits (As-is)
Expenses (As-is)
-4000
-3500
-3000
-2500
-2000
-1500
-1000
-500
-
Cash Flow changes
Alternative 2 <-> Alternative 1
All other chartsshow
benefits and
expenses as thesum
differencebetween
'Alternative 2 minus
Alternative 1'. This
chartshowshow
benefit and expense
look like, foreach
alternative.
NOTE; Incase of T2M
adjustment,it affects
the sum between the
twoalternatives, not
an alternative .
However,in this
chartthe
T2M adjustment
chargesan
alternative;
Alternative 2.
Thousands

Report – Benefits Detail View
Benefits Breakdown
Benefits earned - from what? EUR (RVA, 3 yrs NPV discounted 5%)
Top Ten Benefits Chart - many big bubbles better Benefits - Reliable Categories
Benefits without monetary evaluation
Not Estimated Benefits Not Evaluated
Time efficient recruiting process
Better employees recruited
Cost reduction in customer service
Compliance to ITIL in IT Change process
Question calls reduction in call centre
Time reduction in accounts receivable process
Revenue increase from increased sales
Cost reduction by manufacturing automation
Sales return from advertising improvement
Reduced time with purchase process
Increased customer life time from new reports
Cost - breakdown
The definition of benefits
Reliable
Value from Change'.The mindsetfrom a IT inves
perspective should be [End result]from [Process
enabled by [IT function]. Process change is a sim
representing process change,behavioural chang
'one time'activities. Benefits can only arise by ac
by people.
The benefits can be tangible,a financial value, b
intangible,qualityproperty.
sheetoften includes intangible benefits,butthey
with t
Not Estimated Benefits List
Not estimated benefits (and expenses) are justa
the issues
justas big impacton the results as the ones you
calculation.
Reasons to be Not estimated are;a problem to m
monetarilyevaluations;or they are not prioritised
analysis;or the project's time was notsufficient;e
Bubbel chart
Bubble chart to tell us the top ten benefits,and to
reliabilityand monetary size. The larger bubbles
Pie chart
Pie chart tell what sum each reliabilitycategory a
result.A high amountof Assumed increase risk a
investmentdecision.However,in a strategy of a
analysis,the initial PreAnalysis usuallyconsisto
Assumed.
Reliable
1 224 646
Visible
580 052
Assumed
7 591 508
Benefits Totals (Yr 0 + 3 yrs, RVA)
Lower cost in internal
post officeReduction of
penalties
Time reduction from
better invoice process
Sales increase from
time saving in sale
dep
-2 000
-1 000
0
1 000
2 000
3 000
4 000
5 000
6 000
7 000
8 000
Thousands

Report – Expense Detail View
Cost - breakdown
What cost is needed to create the benefits? EUR (RVA, 3 yrs NPV discounted 5%)
Top Ten Cost Chart - few small bubbles better Cost - Reliability Categories
Cost Types
From Opportunity & Expenses Screening Table (RVA)
Types of expenses Value
Maintenance -680 812
Software -408 487
Support -272 325
Testing -150 000
Training -77 232
Customisation -2 100 000
Benefits Realisation -190 655
Capital or Operational Expenses
Expenses Values
CapEx
License -408 487
Acceptance test -150 000
Training -77 232
Programming -2 100 000
Realisation Manager -190 655
OpEx
Maintenace -680 812
Support -272 325
Expenditure Internal / External
Expenses Values
External
License -408 487
Support -272 325
Internal
Maintenace -680 812
Training -77 232
Impact Table - Follow Up Support, Reliablility & Risk
Be fair t
Reliab
As-Is, wi
alternati
expense
RBC me
intangib
setup a
Realisat
behavou
includes
action if
should b
Bubbel
Bubble c
and mon
Pie char
It gives y
projectis
support
Expense
The type
therefore
Tool tem
software
Internal/
It is impo
busines
guidelin
time from
testing g
impleme
the busi
internal e
into the b
Capital/O
The cha
Expendi
view, bu
change'
defined a
You sug
despite y
(depend
departm
staff's be
asset to
not agre
Objectiv
If you sy
lifetime,
of the IT
the budg
of expen
The obje
importan
Case sy
expense
busines
busines
Keep you
Opex
-953 137
CapEx
-2 926 375
OpEx/CapEx - (RVA, 3 yrs)
External
-2 971 467
Internal
-908 044
Internal/External Expenditures - (RVA, 3 yrs)
Reliable
-908 044
Visible
-2 290 655
Assumed
-680 812
Expenditures Reliability - RVA
Maintenance
-680 812
Software
-408 487
Support
-272 325
Testing
-150 000
Training
-77 232
Customisation
-2 100 000
Benefits Realisation
-190 655
Expense Types(RVA, 3 yrs)
Reliable Business CaseReliable Business CaseReliable Business Case
License
Support
Acceptance test
Training
Programming
Realisation Manager
Maintenace
-2 500
-2 000
-1 500
-1 000
-500
0
500
Thousands
Reliable Business CaseReliable Business Case
Capital or Operational Expenses
Expenses Values
CapEx
License -408 487
Training -77 232
OpEx
Maintenace -680 812
Support -272 325

1. In the ’Customise’
worksheet’ you can edit
your own set of ’Types’
2. Use them in
the drop down
menu in
’Expenses’
sheet
3. Find the
results in
’Report’ sheet’

Report – Impact & Follow-up
Remember to use it regularly!Impact Table - Follow Up Support, Reliablility & Risk
What issues drive the result - or demand improved reliability work? EUR (RVA, 3 yrs NPV discounted 5%)
RBC Template
Instead of 'As-is' we choosed 'To-Be' (RVA)
Benefits Value Impact on result Avg Per Yr
Reliable Column6
Lower cost in internal post office 1 224 646 9% 408 215
Visible
Reduction of penalties 580 052 4% 193 351
Assumed
Time reduction from better invoice process 6 502 209 49% 2 167 403
Sales increase from time saving in sale dep 1 089 299 8% 363 100
Expenses Value Impact on result Column8Avg Per Yr
Reliable
License -408 487 -3% 136 162-
Support -272 325 -2% 90 775-
Acceptance test -150 000 -1% 50 000-
Training -77 232 -1% 25 744-
Visible
Programming -2 100 000 -16% 700 000-
Realisation Manager -190 655 -1% 63 552-
Assumed
Maintenace -680 812 -5% 226 937-
Results 5 516 694 100% 1 838 898
… compare with the total amount of money 12 102 114 (Sum Avg per år)
in 'As-is' (both benefits and cost) (ABS value)
Impact Table
The impacttable can be as follow
First, if you do a quick benefits scr
combination low reliability + high im
complete your analysis.
With higher reliabilitycategory follo
case is not a forecastof money, it i
categorise in a way, the insightof r
category.
Risk Analysis
- Result KPIs; see at top of the rep
- Reliabilitycategory; analyse the a
more risk than from the Reliable c
- Money at stake;analyse the resu
be a greatacheivement if you put
risk,both cash outflow and cash in
moneycalculates ABS values. (No
(positive) values)
- Impact on results;the benefits an
data reviews in the case analysis,
report day, highlightthem to decisi
- Remember 'NotEstimated';The l
money. They are identified but of s
difficult to estimate,or your origina
decision-makers become aware,th
you estimated.Ensure you build an
be analysed more and added into t
Follow-up Analysis
Suppose we have an old business
alternative 'Follow
"As-Is"... we choose
But better, you select
difference between them in plain vi
useful when you execute your Cha
Benefits Realisation
If you understand the conceptof B
it to see if you historicallyunderpe
activities and their impacton the re
ReliableBusinessCase

The RBC Excel Tool Report Executive summary
Results in detail
Cash flow, Payback,
Net Present Value,
IRR etc
Business Benefits -
details
Cost needed to make
the business benefits
to arise
Impact and follow-
up table
12/02/2015 Tyrone Skogström, 0702 - 94 32 02 40

Ensure you have read the EULA
before using the RBC Excel Tool
The risk of using the tool is of
course your own. Always do
sanity checks.
Freeware License Agreement
FREEWARE License Agreement
Definition of SOFTWARE includes:
1. GUI Reliable Business Case Excel Tool
2. Concept of Reliable Business Case method and Reliable Business Case Excel Tool
3. Design and colour scheme in context with similar applications and methods
5. VBA macro code in context with similar applications and methods .
Definition of Owner:
Mr. Tyrone Skogström, Sweden
650707151
END-USER LICENSE AGREEMENT ("EULA"):
IMPORTANT-READ CAREFULLY: This End-User License Agreement ("EULA") is a legal
agreement between you (either an individual or a single entity) and Owner. SOFTWARE
identified above, any associated SOFTWARE components, any media, any printed materials,
and any "online" or electronic documentation ("SOFTWARE"). By installing, copying, or
otherwise using the SOFTWARE, you agree to be bound by the terms of this EULA. If you do
not agree to the terms of this EULA, do not install or use the SOFTWARE.
1. Freeware
You may use the SOFTWARE without charge. Intelligent-Digial.com will not monitor the
content of your use.
2. Distribution of SOFTWARE.
You may make copies of the SOFTWARE as you wish; give exact copies of the original
SOFTWARE to anyone; and distribute the SOFTWARE in its unmodified form via electronic
means. You may not charge any fees for the copy or use of the SOFTWARE itself. You must
not represent in any way that you are selling the SOFTWARE itself. Your distribution of the
SOFTWARE will not entitle you to any compensation from Owner. You must distribute a copy
of this EULA with any copy of the SOFTWARE and anyone to whom you distribute the
SOFTWARE is subject to this EULA.
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3.2 You may not rent, lease, or lend the SOFTWARE.
3.3 You may permanently transfer all of your rights under this EULA, provided the recipient
agrees to the terms of this EULA.
3.4 You may not use the SOFTWARE to perform any unauthorized transfer of information or
for any illegal purpose.
4. No Warranties
Owner expressly disclaims any warranty for the SOFTWARE. THE SOFTWARE AND ANY
RELATED DOCUMENTATION IS PROVIDED "AS IS" WITHOUT WARRANTY OF ANY
KIND, EITHER EXPRESS OR IMPLIED, INCLUDING, WITHOUT LIMITATION, THE IMPLIED
WARRANTIES OR MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR
NONINFRINGEMENT. THE ENTIRE RISK ARISING OUT OF USE OR PERFORMANCE OF
THE SOFTWARE REMAINS WITH YOU.

 In the ’Customise’ worksheet you can switch between English and Swedish.
 If you want to support translation to other languages …
- The tool has a hidden GUI with all text needed for translation. With your translation effort
you can get the tool in your own language! Contact Tyrone at www.reliablechange.eu if
interested!

 Reliable Business Case Handbook on its way …
- Both a Swedish and a English version is under the pen
- Apply for a email notification when the handbook is available to order - just add your email
address in the contact form at www.reliablechange.eu
 Training in Sweden
- Standard introduction content
- As part of an organisational improvement program, alignment to PRINCE2, or any other project
or program management method
 International training offered as defined assignments
- Request for your organisation now, worldwide
 Training and documentation in English (or Swedish)
 Developed by Tyrone Skogström
- Based on many assignments from Business Case Analysis, Business
Change Management, Benefits Realisation, and Training
 Tyrone’s experience spans from a 20 hour ‘QuickAnalysis’ scope at a small
municipal, to full business value or cost reduction analyses at global corporations
with improvement value from 50 - 150 MEUR Tyrone Skogström
tyrone@reliablechange.eu
+46 702 94 32 02

 Training & RBC framework
- Tyrone can adapt the RBC method’s templates and Benefits Management
framework to your organisation’s processes, such as:
 Aligned with your project portfolio systems and project management methods
 Decision – Purchase – Follow-up – Program management – IT budgeting – Business change
- Interested to be a native RBC consultant or coach in your country?
 Contact Tyrone
 Tyrone
- Senior Management Consultant at HiQ, Sweden
- You can ask for his services worldwide
 RBC analyses, Business Benefits analysis, purchase advise, requirement
analysis, investment analysis and strategy based on benefits, cost and risk
 Training, deployment in your organisation, template- and tool development
 IT Cost reduction, investment strategies of IT services/
IT systems, spending analyses, sourcing strategies, merges, due diligence
 CIO Office support
 Business Change Manager, Business Benefits Realisation Manager,
Project Manager
Tyrone Skogström
tyrone@reliablechange.eu
+46 702 94 32 02

Good luck with the analysis!
Your email from your download will be used to advertise when the Reliable
Business Case Handbook is ready for purchase. Hope to hear from you then.
Spread the word
/Tyrone Skogström, tyrone@reliablechange.eu
www.reliablechange.eu

Reliable Business Case | Free Excel tool with great and intuitive design for Cost-Benefit Analysis with ROI, Payback Cash flow, IRR and 100% support for benefits management, suitable for Prince2, XLMP, PROPS, PPS,

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Reliable Business Case | Free Excel tool with great and intuitive design for Cost-Benefit Analysis with ROI, Payback Cash flow, IRR and 100% support for benefits management, suitable for Prince2, XLMP, PROPS, PPS,