Business Case Writing Stakeholder Management and Communication 1 — Questions and Answers
Question 1: In business case writing, a stakeholder is best defined as:
- Only the project sponsor
- Any individual or group affected by or able to affect the project outcome (Correct answer)
- The CFO of the organization
- External vendors only
Correct answer: Any individual or group affected by or able to affect the project outcome
Stakeholders include anyone with an interest in or influence over the project, ranging from executives to end users to regulators.
Question 2: The executive summary of a business case is primarily written for:
- Technical implementation teams
- Senior decision-makers with limited reading time (Correct answer)
- External auditors
- Database administrators
Correct answer: Senior decision-makers with limited reading time
The executive summary distills the key findings and recommendation so that busy senior leaders can quickly grasp the business case without reading the full document.
Question 3: A RACI chart in business case stakeholder planning stands for:
- Resources, Accountability, Costs, Issues
- Responsible, Accountable, Consulted, Informed (Correct answer)
- Risk, Authority, Communication, Impact
- Review, Approve, Complete, Implement
Correct answer: Responsible, Accountable, Consulted, Informed
RACI defines roles for each deliverable: who is Responsible, Accountable, Consulted, and Informed.
Question 4: Which communication approach is most effective when presenting a business case to skeptical stakeholders?
- Avoiding financial data to prevent confusion
- Addressing objections proactively with supporting evidence (Correct answer)
- Presenting only the benefits while omitting risks
- Using highly technical jargon to establish credibility
Correct answer: Addressing objections proactively with supporting evidence
Acknowledging and preemptively addressing likely objections with evidence builds credibility and reduces resistance from skeptical audiences.
Question 5: In business case stakeholder analysis, a 'high power, low interest' stakeholder should be:
- Ignored
- Kept satisfied (Correct answer)
- Managed closely
- Kept informed
Correct answer: Kept satisfied
High-power, low-interest stakeholders should be kept satisfied to prevent them from becoming blockers if their interest suddenly increases.
Question 6: Which section of a business case explicitly identifies who has final approval authority?
- Risk register
- Governance and decision-making section (Correct answer)
- Financial appendix
- Sensitivity analysis
Correct answer: Governance and decision-making section
The governance section defines decision rights, escalation paths, and who holds final approval authority for the proposed investment.
Business Case Writing Stakeholder Management and Communication 1
In business case writing, a stakeholder is best defined as: