What is a Strategic Outline Business Case?

A Strategic Outline Business Case (SOBC) is an initial phase in the business case development process, primarily used in project management and decision-making in both public and private sectors. The SOBC serves as a high-level presentation of a proposed project or initiative, laying out the strategic context, core objectives, and the preliminary assessment of feasibility, value for money, and achievability.

The SOBC typically includes:

1. Strategic Context: It outlines how the proposed project aligns with broader strategic goals and objectives of the organization or, in the case of public projects, how it aligns with governmental policies or societal needs.
2. Case for Change: This section details the rationale behind the proposal, addressing the need for the project, the problems or opportunities it intends to address, and the potential benefits and outcomes.
3. Options Appraisal: Even at this early stage, the SOBC might present a preliminary evaluation of different options or approaches to achieving the objectives, although in less detail than in later stages of the business case development.
4. Commercial Viability: It includes an initial assessment of the commercial aspects, such as potential procurement strategies, market interest, and high-level cost estimates.
5. Financial Case: This part provides an early analysis of the financial implications, including funding sources, overall affordability, and preliminary return on investment (ROI) estimates.
6. Management Case: It outlines how the project might be managed, covering aspects like governance, project management arrangements, and risks.

The SOBC is used in early-stage decision-making, as it helps stakeholders and decision-makers to understand the broad outlines of the project and decide whether it is worth pursuing further detailed analysis and planning. This stage precedes the development of more detailed business cases such as the Full Business Case (FBC), adding more detail and refinement to the project's analysis and planning.