SIGNIFICANT INVESTMENT PROPOSAL – POINT OF ENTRY
Agreeing the Better Business Cases (BBC) pathway and level of analysis of this phase
Lead Organisation
ICR
Other Organisations
If applicable
Investment proposal
Name of proposal
Senior Responsible Officer
Lead organisation only
Date and version
Expected level of investment and risk
Whole of life costs (see Note 1)
<$15m
Risk (see Note 2)
$15m-$50m
$51m-$150m
>$150m
High
Medium
Low
Background – Linkage to strategic intentions and investment plans
This section should describe the Think: Investment Possibilities phase and the linkage of the proposal with the
organisation’s agreed strategic intentions as described in the Long Term Investment Plan and the medium term plan
(e.g. Four year Plan for central government agencies)
If the proposal does not feature in these intentions and plans include a brief description of the key drivers of change, the
circumstances that have given rise to this proposal and alignment to strategic intentions (for example, alignment to
government priorities or the organisation’s statement of intent)
Describe any relevant previous decisions and funding arrangements, including tagged contingencies
Business case pathway – Informing the investment choice (see Note 3)
or
Business Case Type
Programme
Project
Briefly describe the investment choice pathway including:
i.e. business case type

Any previous business case and/or other assessments

Proposed business case/assessment for this phase including indicative timeframes

Any proposed business case for next phase including timeframes.
The pathway should be fit for purpose for the investment choice to be considered. It should recognise the level of
investment and risks.
Please note that where new Crown funding is being sought the timeframes should be aligned to the annual Budget
process.
Explain how the business case pathway (for the investment decision) aligns with the policy development pathway (for the
policy decision)
Assurance pathway (see Note 4)
Briefly outline the intended assurance arrangements to provide comfort to reviewers within your organisation(s) that
business case is complete and robust
Briefly outline the intended assurance arrangements to provide comfort to Corporate Centre reviewers and decision
makers that business case is complete and robust
Decision pathway
Briefly outline the key decisions that the decision will support and the decision pathway including lead and supporting
organisation, and Ministers
Explain how the investment decision aligns with the policy decision
Development costs (indicative only)
Strategic
Assessment
Programme
Business Case
Indicative
Business Case
Detailed or Single
Stage BC
Implementation
Business Case
Development
Assurance
Sign-off
Senior Responsible Officer
Name (lead organisation only)
Date
Treasury Vote team
Name
Date
GCIO (if applicable)
Name
Date
Government Procurement
(if applicable)
Name
Date
Corporate Centre
1
SIGNIFICANT INVESTMENT PROPOSAL – POINT OF ENTRY
Agreeing the Better Business Cases (BBC) pathway and level of analysis of this phase
PMCOE (if applicable)
Name
Date
BUSINESS CASE DEVELOPMENT APPROACH FOR THIS PHASE (see Note 5)
Strategic Case
If applicable to the proposed business case type describe the approach that will be used to develop the strategic case
including the key methods and tools that are being used to identify the drivers for change, the proposal’s investment
objectives and benefit areas, and the potential business/service requirements.
Economic Case
If applicable to the proposed business case type describe the approach:
a)
that will be used to identify a range of options, create a shortlist for options for further evaluation and identify a
preferred option
b)
that will be used to develop monetary and non-monetary benefits and costs
c)
that will be used to assess risk and uncertainty
Commercial Case
If applicable to the proposed business case type describe the approach to developing the commercial case. Any
significant deviations from the applicable business case guidance should be noted.
Financial Case
If applicable to the proposed business case type describe the approach to developing the financial case. Any significant
deviations from the applicable business case guidance should be noted.
Management Case
2
SIGNIFICANT INVESTMENT PROPOSAL – POINT OF ENTRY
Agreeing the Better Business Cases (BBC) pathway and level of analysis of this phase
If applicable to the proposed business case type describe the approach to developing the financial case. Any significant
deviations from the applicable business case guidance should be noted.
3
GUIDANCE NOTES FOR COMPLETING THIS POINT OF ENTRY DOCUMENT
General guidance
The purpose of this document is determine the applicable point of entry with the Better Business Cases (BBC)
process and to determine the appropriate level of analysis for significant investment proposals. The reviewer
assessment tool for each business case type should be used to ensure that the approach will address the key
reviewer criteria. The reviewer assessment tools are available at
http://www.treasury.govt.nz/statesector/investmentmanagement/plan/bbc/guidance
Organisations may want to seek the support for planning their point of entry and the development of the
business case. Support is available from:






Your Treasury vote team
The Treasury IMAP team for general guidance on the investment management and BBC
http://www.treasury.govt.nz/statesector/investmentmanagement/plan
BBC Endorsed Experts for more specific guidance on the application of BBC
http://www.treasury.govt.nz/statesector/investmentmanagement/plan/bbc/experts
Government Procurement (MBIE) for guidance on the planning market engagement and the
commercial case (http://www.business.govt.nz/procurement/for-agencies/guides-andtools/procurement-toolkit
PMCOE (MSD) for guidance of the development of proposals that are likely to feature a property
component https://www.msd.govt.nz/about-msd-and-our-work/about-msd/our-structure/pmcoe/
Specific guidance
Note 1
Whole of life costs (WOLC) means the present value of total cash costs of an investment over
its life cycle, calculated using the WOLC guidance and the relevant Public Sector Discount
Rate. WOLC guidance is available at
http://www.treasury.govt.nz/publications/guidance/planning/costbenefitanalysis/lifecostsguidance.pdf
Note 2
The risk rating is informed by the Gateway Risk Profile Assessment self-assessment which is
available at
http://www.treasury.govt.nz/statesector/investmentmanagement/review/gateway/think/riskprofile
/index.htm
Note 3
Refer to the Guidance on Using the Five Case Model: An Overview or the Quick reference
guide for a description of the BBC pathway and business case types. These are available at
http://www.treasury.govt.nz/statesector/investmentmanagement/plan/bbc/guidance
Organisations should outline their intended assurance arrangements. Assurance arrangements
could include Gateway reviews and Independent Quality Assurance (IQA) reviews . If the
agency has a high risk proposal it may require Major Project Monitoring by the Treasury’s IMAP
function and an Assurance plan endorsed by the GCIO if it’s high or moderate risk/value ICTenabled projects or programme
Note 4
Note 5
Organisations should describe the approach that they will use including key method(s) and tools
to develop each case. Methods and tools should be appropriate meaning they should be
proven, be suitable, be inclusive (involve key stakeholders) and capability exists to apply it.
A list methods and tools that have been successfully used is available at:
http://www.treasury.govt.nz/statesector/investmentmanagement/plan
4