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APMP Section 5a

TermDefinition
Information management The collection, storage, dissemination, archiving and destruction of information.
Business case This document provides justification for undertaking a project, in terms of evaluating the benefit, cost and risk of alternative options and the rationale for the preferred solution.
Assumptions Statements that will be taken for granted as fact and upon which the project business case will be justified.
Business risk assessment The assessment of risk to business objectives rather than risk to achieving project, programme or portfolio objectives.
Do nothing' option The result or consequence of not proceeding with the project or programme.
Objectives Predetermined results towards which effort is directed.
Strategic management The identification, selection and implementation of an organisation’s long term goals and objectives.
Benefit The quantifiable and measurable improvement resulting from completion of deliverables that is perceived as positive by a stakeholder.
Benefits management The identification, definition, planning, tracking and realisation of business benefits.
Cost-benefit analysis An analysis of the relationship between the costs of undertaking an activity or project, initial and recurrent, and the benefits likely to arise from the changed situation, initially and recurrently.
Benefits realisation The practice of ensuring that benefits are derived from outputs and outcomes.
Disbenefit A consequence of change perceived as negative by one or more stakeholders.
Funding The means by which the capital required to undertake a project, programme or portfolio is secured and then made available as required.
Investment appraisal A collection of techniques used to identify the attractiveness of an investment.
Stakeholder The organisations or people who have an interest or role in the project or are impacted by the project.
Power and interest matrix Used to help analyse the position of stakeholders and to support the identification of appropriate engagement strategies.
Stakeholder management The systematic identification, analysis, planning and implementation of actions designed to engage with stakeholders.
Discounted cash flow (DCF) The concept of relating future cash inflows and outflows over the life of a project to a common base value.
Internal rate of return (IRR) A discount rate at which the net present value of a future cash flow is zero.
Net present value (NPV) The aggregate of future net cash flows discounted back to a common base date, usually the present.
Payback The time it takes for net cash inflow to equal the cash investment.
Residual value The written-down value of a capital item at the end of the period, used in the business case to assess the financial integrity of the programme or project.
Created by: lworsley
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