Building a Business Case for Digital Transformation: ROI and Benefits Realization

A well-constructed business case is far more than a slide deck used to win budget approval. In this session, digital transformation advisor Eric Kimberling explains why most organizations either skip the business case entirely or build one that is dangerously optimistic—and what to do instead. You will work through the full cost-benefit equation, starting with a realistic total cost of ownership that goes beyond vendor quotes to include data migration, change management, training, and internal resource backfill. You will then learn to separate tangible benefits (inventory reduction, labor efficiency, IT cost savings) from intangible ones (customer experience, employee satisfaction) and understand how to handle each category in your analysis. The session closes with a practical framework for converting a static financial model into a living benefits realization plan that assigns accountability across the organization and drives governance decisions throughout the project lifecycle.

Learning objectives

• Calculate a realistic total cost of ownership by identifying both vendor-related and non-vendor costs such as data migration, change management, infrastructure, and internal resource backfill
• Distinguish between tangible and intangible business benefits and apply appropriate quantification methods to each category
• Critically evaluate software vendor and system integrator cost proposals and adjust them using independent benchmarks to avoid underestimation
• Translate high-level benefit targets into department- and team-level accountability structures that make benefits measurable and actionable
• Reframe the business case as an ongoing benefits realization and project governance tool rather than a one-time approval document

Key takeaways

• Vendor proposals routinely underestimate implementation costs because vendors are in sales mode—always supplement them with independent benchmarks and internal cost analysis
• A business case that stops at board approval provides no governance value; it must be maintained as a living document tied to project decisions and benefit milestones
• Tangible benefits such as inventory reduction and labor savings must be decomposed to the team or location level so specific groups can be held accountable for their contribution
• Intangible benefits like improved customer experience are still worth documenting because they set the strategic vision and direction for the transformation even when precise quantification is difficult
• Organizational change management and process redesign—not the technology itself—are the primary mechanisms through which projected business benefits are actually realized