IMPORTANCE OF A P3 BUSINESS CASE

The purpose of a P3 business case is to ensure that the delivery of the project is planned with sufficient detail in order to:

•  Minimize the likelihood of problems occurring later in its lifecycle,

•  Maximize the likelihood of achieving project objectives, and

•  Improve management of risk and its consequences.

A well developed P3 business case is one way for project sponsors to reduce risks such as:

•  Selection of an inappropriate or sub-optimal delivery model,

•  Cost under-estimation or optimism bias at the outset,

•  Unforeseen risks materializing, and/or

•  Poor project management during delivery.

A P3 business case is an important tool for project sponsors to use in:

•  Ensuring proper project planning and risk assessment,

•  Managing timeframe pressures for projects,

•  Managing stakeholder and market sentiment, and

•  Focusing on value drivers.

The P3 business case is an essential tool for decision-makers to use in determining how best to procure a major infrastructure project.