Strategist To think about investment and portfolio management at a high level, and to coordinate investment functions, improve organisational efficiency or productivity. This may include organisational strategists, investment managers, academics, students and executives who need context for executing due diligence in managing investment. Provides a whole-of-lifecycle overarching framework that integrates the investment development, management and implementation process. Discusses key concepts in investment management. Explains how the framework fits together. Facilitator To train organisations in investment management practices or facilitate investment proposal development. This may include accredited investment management facilitators, business case trainers, and training and development officers. Provides information on the techniques and process of the lifecycle. Assists you in teaching all levels of knowledge and experience. 2: Who should use the lifecycle guidelines
Summary: Investment lifecycle and high value/high risk guidelines The lifecycle guidelines are set out in five key stages. Each stage has its own guideline that will step you through the relevant processes. ◄ Stage 0: Long-term planning ► Conceptualise Prove Procure Implement Realise Confirm the need Recommend an investment Award a contract Deliver the solution Deliver the benefits Your aim Establish a clear need, define likely benefits and explore interventions Explore project options and esimate costs to validate value for money and solution viability Finalse procurement plan, specify requirements, engage and market and award a contract Implement solution and transtion to normal business Measure the success of the investment Steps Carry out research Identify and characterise problem Define benefits Asset response options Set out indicative response Revist Stage 1 – address outstanding issues Conduct value for money analysis of the project options Build deliverability case for solution Set up quarterly reporting framework Prefer RFT Go to market Evaluate responses Negotiate contract Award contract Update full business case Commence implementation Deliver stages as planned Manage scope, risk, time, quality, cost Manage stakeholders Update full business case Scope review Determine methodology Identify majori issues and findings Determine extent of benefit delivery Capture lessons learnt Key questions What is the problem, issue or service need? What are the benefits from addressing the problem? What is the best strategy to address it? Is there a compelling case for investing? Can the project really be delivered as planned? What is the preferred delivery option? Is the investment proceeding as planned? Is the investment logic still sound? Are the benefits being delivered? What benefits were delivered? What lessons were learnt? Outputs Strategic assessment (nonHigh Risk) Preliminary business case (if High Risk if required Full business case Investment business plan Expressions of interest Request for tender Contract Project status reports Project status reports Corrective action Project wrap-up report Investment evaluation report Gateway Gate 1: Concept and feasibility Gate 2: Full business case Gate 3: Readiness for market Gate 4: Tender decision Gate 5: Readiness for service Gate 6: Benefits realisation Government filtering Government funding Government approval Government monitoring Government evaluation
Documents and The guidelines have six parts, an overview and one document for each of the five lifecycle stages. STAGES INVESTMENT LIFECYCLE AND HIGH VALUE/HIGH RISK GUIDELINES INVESTMENT LIFECYCLE TOOLS, TEMPLATES AND EXAMPLES INVESTMENT MANAGEMENT STANDARD TOOLS. TEMPLATES AND EXAMPLES GATEWAY Overview Investment lifecycle overview Gateway overview 1 Conceptualise Confirm the need Conceptualise guideline (strategic assessment and preliminary business case) Technical guidelines: ICT Investment decision-maker’s checklist Strategic assessment template Preliminary business case template Example strategic assessment: Noojee Courts Example preliminary business case: Noojee Courts Investment logic map Benefits map Response options analysis report Invest concept brief Facilitator tips and traps Gateway booklet 1 (Concept and feasibility) 2 Prove Recommend an investment Prove guideline (full business case) Technical guidelines: Procurement strategy Project governance Economic evaluations ICT Project budget Project risk Sustainability Investment decision checklist Full business case template Example full business case: Noojee Courts Investment business plan template HVHR Project Assurance Plan As above Gateway booklet 2 (Full business case) 3 Procure Award a contract Procure guideline Technical guidelines Statement of requirements RFT communications Request for tender template Example RFT: Noojee Courts Gateway booklet 3 (Readiness for market) Gateway booklet 4 (Tender decision) 4 Implement Deliver the solution Implement guideline Technical guidelines: Project risk management Project wrap-up template Example project wrap-up: Noojee Courts Gateway booklet 5 (Readiness for service) 5 Realise Deliver the benefits Realise guideline Project evaluation template Example project evaluation: Noojee Courts Benefit tracking tool Gateway booklet 6 (Benefits evaluation) 3: Overview of documents and tools of the Lifecycle guidelines Stage 1: Conceptualise Introduction The problem is… to know what the problem is. To conceptualise is the first stage of the Lifecycle guidelines. The purpose of this stage is to identify a clear need that is in the Victorian
Scalability and skills Process outline based on size of investment By now, investors and project management teams should have a clear understanding of the five investment guideline documents and the questions they raise. You should also have a better understanding of the investment risk, size and cost. The assessment matrix (Table 4) allows investment team members to plot the investment’s cost and risk against the lifecycle and identify the work that needs to be done. The extent of uncertainty about risk or other issues should be made clear. Complexity/ cost Small/simple and low risk Medium and medium risk Complex and high and/or high risk Conceptualise Conduct research Submit strategic assessment Conduct research Submit strategic assessment Conduct research Develop preliminary business case Gate 1 review occurs Submit preliminary business case, if required. Prove Revisit strategic assessment, validating its continuing accuracy Build evidence Submit full business case Revisit strategic assessment, validating its continuing accuracy Build evidence Submit full business case Revisit preliminary business case, validating its continuing accuracy Build evidence Gate 2 review occurs Submit full business case to government for funding consideration Procure Develop procurement strategy Submit project status reports Develop procurement strategy Tendering decision delivered Submit project status reports Develop procurement strategy Gate 3 review occurs Submit tender documentation to the Treasurer for robustness assessment in line with Project Assurance Plan Gate 4 review occurs Tendering decision delivered Submit project status reports Implement Develop project management framework Submit project status reports Develop project management framework and conduct investment review. Submit project status reports Develop project management framework and investment review Produce project status reports Gate 5 review occurs Realise Produce benefit realisation reports* Produce benefit realisation reports Produce benefit realisation reports Gate 6 review occurs Submit Gate 6 review report to the Government Table 4: Assessment process based on size and complexity of investment Note: This matrix is a guide to resources and requirements for projects of varying types, scale, complexity and risks. It is important to recognise that a small project for one department may constitute a large project for another; consequently,