Question

Why do you need to develop a business case for a new social monitoring technology?

a. It's an important skill for professionals to be able to analyze and communicate the return on investment expected from their requested budget
b. So that after the investment is made, you can go back and see whether it has lived up to expectations
c. To clearly outline the expected value gained from a software investment and set the expectation with your manager of how you'll realize that value
d. Social monitoring technology is particularly expensive and difficult to determine a return on investment

Answer 1

The correct answer is d.) Developing a business case for a new social monitoring technology is important for analyzing and communicating return on investment, evaluating the technology's effectiveness, and setting expectations with managers.

Step-by-step explanation:

Developing a business case for a new social monitoring technology is important for several reasons. Firstly, it is a skill that professionals need to be able to analyze and communicate the expected return on investment for their requested budget. This helps justify the need for the investment and secure the necessary funding. Secondly, developing a business case allows you to track and evaluate whether the investment in the technology has lived up to expectations after it has been implemented. This helps assess its effectiveness and make any necessary adjustments. Lastly, outlining the expected value gained from the software investment and setting expectations with your manager helps ensure everyone understands how the value will be realized.

Answer 2

Developing a business case for new social monitoring technology is essential to analyze and communicate the expected return on investment, ensure accountability by comparing expectations to actual performance, and perform a cost/benefit analysis that outlines the value gain and informs decision-making. Option C is correct answer.

Step-by-step explanation:

Why Develop a Business Case for New Social Monitoring Technology?

Developing a business case for new social monitoring technology is crucial for several reasons. It serves not only as an exercise in demonstrating the expected return on investment (ROI), but also helps in analyzing the difference between private and social benefits, and prepares you to conduct a cost/benefit analysis. An effective business case can articulate the value to be gained and provide a benchmark against which to assess the technology’s performance post-implementation.

Understanding ROI and Benefits

Professionals must be skilled in conveying the expected ROI from budgetary requests. This encompasses a clear understanding of the potential benefits and costs associated with the technology. Positive externalities, or the broader societal benefits of the technology that extend beyond the immediate use within the organization, should also be identified and quantified wherever possible.

Post-Implementation Review

A business case sets the stage for a retrospective analysis after investment. This enables organizations to compare the technology's actual impact against the expectations outlined in the business case, offering a basis for evaluating success or identifying areas for improvement.

Cost/Benefit Analysis

The cost/benefit analysis is an integral aspect of the business case, comparing the sacrifices (costs) and gains (benefits) anticipated from the technology. It helps in decision-making by weighing marginal costs against marginal benefits, thus guiding whether the investment will yield adequate value.

The correct option, incorporating all these concepts, is (c): To clearly outline the expected value gained from a software investment and set the expectation with your manager of how you'll realize that value.