Imagine ...

You want to launch a project and you need to demonstrate that your project is going to have a sufficiently large and fast return on investment to obtain the agreement and the budget you need.

You decide to mobilize the collective intelligence that surrounds you by inviting your team, experts, customers, suppliers ...

You offer them to think together about the value creation potential of the project, its schedule, its key success factors, its risks, ...

It's your turn !

In this challenge, we will follow together a 6-step course in order to build a robust and precise economic case for our project.

Step 1 - In an ideal world

In this step we will imagine that we can snap our fingers and achieve 100% of our project goals without spending a Euro. What will have changed and how will we measure the value created each day by this change.

Step 2 - The law of gravity

In this step, we will examine the factors that could limit our objectives and the economic consequences of the partial achievement of the project's value creation objectives.

Step 3 - The price of inertia

In this step, we are going to look at the potential for value creation that we will not be able to realize because we cannot carry out this project with the snap of our fingers. We are going to ask ourselves about the factors that will or could slow down our project and see if we can find solutions to contract time and control planning risks.

Step 4 - Transitional costs

Any project requires investments whose duration is limited in time: the time of the people who will contribute to the project, purchases of equipment, services, software, etc. These transient costs will then be erased by the value created by the project.

Step 5 - The eternal does not exist

The projects aim to cross a step. But we never stay on this step. We can continue to move forward and a new project will replace the previous one. We can also go back because the foundations of the march are not strong enough.

Step 6 - Let's decide today

Starting a project is a gamble and a Euro in the pocket does not have the same value as the hope of winning a Euro in 3 months. In this step, we will focus on the financial engineering of the project. We will see how to discount future financial flows and the relative importance of risks and provisions.

A map to find us

The following diagram shows how we will structure our business model. Step 1 will allow us to define the 100% and steps 2, 3, 4 and 5 will allow us to assess areas A, B, C and D. Step 6 will allow us to put a number on this menu.