Template Tugas Dasar_Dasar Infrastruktur_MA

Structured Infrastructure Maintenance Review

Process (SIMRP)

Business Case GuidelinesMarch 2014

Contents

Part A: Structured Infrastructure Maintenance Review Process......................................1

Overview..............................................................................................................1

Objective..............................................................................................................2

Part B: Business Case Guidelines...................................................................................3

Purpose...............................................................................................................3

Before Getting Started.........................................................................................3

Completing the Template....................................................................................3

Part C: Business Case Template...................................................................................11

Business Case: Guidelines i

Part A: Structured Infrastructure Maintenance Review Process

OverviewThe Structured Infrastructure Maintenance Review Process (SIMRP) involves a staged review and assessment process for General Government Sector infrastructure maintenance proposals.

Infrastructure maintenance proposals will be subject to a series of decision points prior to being considered for funding and will be required to meet reporting requirements during the operation of the subject property/asset.

There are six decision/reporting points:

Maintenance Concept Outline;

Strategic Assessment and Options Analysis;

Business Case (if any)

Budget Committee Consideration;

Interim Operating Review; and

Post Implementation Review.

These guidelines address the requirements of Point 3. Figure 1 illustrates the SIMRP.

Figure 1: Structured Infrastructure Maintenance Review Process

Point 1. Point 2. Point 3. Point 4. Point 5. Point 6.

Maintenance Concept Outline

→

Strategic Assessment and Options

Analysis

→ Business Case

→Budget

Committee Consideration

→Interim Project Review

→Post

Implementation Review

Business Case: Guidelines 1

ObjectiveThe objective of the Structured Infrastructure Maintenance Review Process is to ensure that infrastructure projects funded from the State Budget: (Local and Central Government).

appropriately meet the needs of the community;

have been appropriately scoped and planned; and

are based on reliable and realistic cost estimates.

The effective and efficient management of general government sector infrastructure investment is fundamental in an environment where there are competing demands for Government resources.

The SIMRP will facilitate infrastructure investment decision making by requiring agencies to rigorously evaluate project proposals for infrastructure maintenance at the earliest stages and review the project proposal all through the operating of the infrastructure.


Part B: Business Case GuidelinesPurposeThe purpose of the Business Case of the SIMRP is to develop a compelling business case for the preferred option presented in the Strategic Assessment and Options Analysis.

Before Getting StartedPart C provides the Business Case template.

A template must be completed for each maintenance project proposal.

Do not remove any headings from the template. All sections must be completed.

The information provided is to be detailed.

Completing the TemplateAn outline of the information to be provided in each section of the template follows.


OVERVIEW

Title Provide the short title of the maintenance project proposal.

Description Provide a sentence to succinctly describe the project proposal. One sentence only.

Responsible Officer Provide the contact details of the responsible officer for the project proposal.

Recommended Option Provide a short summary as to why this is the recommended option identified in the

Strategic Assessment and Options Analysis

Information Update Provide a high level summary of any information that has altered since the project

proposal commenced the SIIRP.

Reason for Project Proposal Review and update where necessary the information that was provided in the

Strategic Assessment and Options Analysis. Ensure the following is addressed:

– Identify the problem that needs to be solved.

– Identify the opportunity to be undertaken.

– Outline any assumptions that have been made about the project proposal.

– Outline the reason this investment should be considered further.

Relationship to Government’s Policy Priorities Review and update where necessary the information that was provided in the


– What Government policies and agency outcomes are supported by the project proposal?

– What is the primary policy to which this project proposal will contribute?

– Demonstrate that the project proposal is consistent with the agency strategic goals and priorities.

Benefits/Outcomes to be Achieved Review and update where necessary the information that was provided in the


– What are the specific benefits and outcomes to be achieved by this maintenance project proposal?

– Provide an analysis of the gap between the current situation and the benefits/outcomes to be achieved.


RISKS AND DEPENDENCIES

Risks What risks are associated with the project proposal? In terms of management

functions.

Risks to consider include political, social, economic, ethical, financial, industrial, human resources, funding, method and/or environmental.

Complete the table for all risks identified. For each risk identified, record the consequence of the risk, the likelihood of the consequence occurring and the risk mitigation strategy.

External Conditions and Critical Success Factors Review and update where necessary the information that was provided in the


– What external conditions (dependencies) are critical to the need for this proposal? These external conditions may include heritage, planning or environmental issues and/or relationships with external parties.

– Identify the critical success factors. These are the essential areas of activity that must be performed if the mission, objectives or goals of the project proposal are to be achieved.

– What are the complexities of the project proposal?

– Outline how the external conditions, critical success factor and complexities of the project proposal will be managed.


PROJECT MANAGEMENT

Implementation Strategy Identify the key project milestones. Identify the key project milestones and detail

these in the table provided. For each milestone, record the date and responsible person.

Ensure that it is clear what is in scope and out of scope.

Identify where it is possible for the project proposal to be broken down into small steps.

Organisational Change Describe the approach to managing organisational change throughout the project.

Including:

– What effect will the implementation of the project proposal have upon existing services, processes and people?

– Outline how current business/work practices will be enhanced/improved and/or changed as a result of implementation of the project proposal.

– Identify legislation, policy and regulatory issues.

Resources Outline the required skills and capabilities for this project proposal. Are they

available, taking into account the Department’s current commitments and capacity to deliver?

Where applicable, describe the training requirements and how the requirements will be addressed.


STAKEHOLDERS ANALYSIS AND MANAGEMENT

Stakeholder Analysis Identify the major stakeholders. For each stakeholder, address the following:

– How could this stakeholder impact the project?

– How could this stakeholder be impacted by the project?

– In what way is the stakeholder supportive of the project proposal?

– What, if any, are the concerns of the stakeholder?

Stakeholder Management Outline the framework that is in place for managing stakeholders.

Outline the communication plan that ensures staff and stakeholders are kept informed.


MARKETS AND TENDER

Market Research Detail the market research that has been undertaken.

Outline whether the results indicate that the project will be attractive to the market.

Outline whether there is adequate capacity, capability and competitive interest in the market to meet the requirement.

Outline whether the results indicate that the investment should be considered further.

Tender Provide an overview of the tender documents required.


FUNDING

Recurrent Cost What are the estimated recurrent costs for this project on an annual basis?

What recurrent costs have been considered? Ie additional staff, training needs etc.

Demonstrate how the Department will manage these recurrent costs within its existing Budget and Forward Estimates allocation.

Capital Cost What is the estimated capital cost for this project on a total and annual basis.

Provide a detailed cost breakdown of the project proposal. Complete the table, insert or delete columns/rows as necessary.

What are the confidence levels of this estimated cost?

What processes have been identified for estimating, monitoring and controlling project expenditure?

Funding Sources What alternative funding sources have been investigated?

How much funding can be sourced from alternative sources?


PROPOSED EVALUATION METHOD Outline how the project will be evaluated.

Identify the methods and processes proposed for measuring the resulting outputs, project outcomes.


Part C: Business Case Template

OVERVIEW

Title

Description

Responsible Officer

Recommended Option

Information Update

Reason for Project Proposal

Relationship to Government’s Policy Priorities

Benefits/Outcomes to be Achieved

Department of <Agency> Business Case: <Project Proposal> 11

RISKS AND DEPENDENCIES

Risks

Risk Description Consequence Likelihood Mitigation Strategies

<change page layout to landscape if necessary for ease of completing the table>

External Conditions and Critical Success Factors


PROJECT MANAGEMENT

Implementation Strategy

Project Milestone Date Responsible Person

Organisational Change

Resources


STAKEHOLDERS

Stakeholder Analysis

Stakeholder Management


MARKETS AND TENDER

Market Research

Tender


FUNDING

Recurrent Cost

Capital Cost

Y1 Y2 Y3 Y4 Total

$’000 $’000 $’000 $’000 $’000

<Item 1>

<Item 2>

Funding Sources


PROPOSED EVALUATION METHOD

Endorsed/Not Endorsed

Lecturer


Documents

Template Tugas Dasar_Dasar Infrastruktur_MA