How To Write a Business Requirements Document (Template Included)

Research shows that 11.4% of organizational investments go to waste due to poor project performance. So, how can you avoid being part of that frightening statistic?

The key to a successful project is a thoughtful and well-written business requirements document (often abbreviated as a BRD).

What is a business requirements document (BRD)?

So, what is a business requirements document? It clearly defines everything that a project entails. It considers all facets of the project, including the expected outcomes and the key stakeholders.

This document outlines what’s needed to reach the intended project objectives . When it’s done well, it should be so self-explanatory that it removes any ambiguity associated with the project work. Nobody is left guessing — everything they need is listed in the business requirements document.

In a paper for the Project Management Institute (PMI) , Paul Burek emphasized that business requirements are the “what” — what an organization wants to do upon completing a project. The requirements define the changes that will come as a result of the project work.

While it might sound overly-formal, a business requirements document is a critical element to ensure alignment among all parties involved.

What information do you put in a business requirements document?

Now that we have a loose overview of what this document is, let’s dig into the nitty-gritty of what goes into it.

Business requirements documents are similar to other formal documents such as requests for proposals (RFPs) and client contracts. With that in mind, they often include:

How to write a business requirements document

There’s no denying that there’s a lot that goes into this document. But, writing business requirements and adding them to a business requirements document doesn’t have to be an overwhelming challenge. Follow these tips for writing your own.

1. Start by learning from previous successful projects

If starting this document feels daunting, spend some time reviewing successful past projects completed within the organization.

Look at the documentation associated with these projects and use your insights to outline your new business requirements document. Some elements to consider as you review previous documentation include:

2. Capture your requirements

Here are the meat and potatoes of this process: gathering requirements . This may consist of many different types of requirements ranging from high-level to technical .

Ultimately, your business requirements document won’t be effective without gathering and capturing all stakeholders’ requirements accordingly.

"A Guide to the Business Analysis Body of Knowledge" ( BABOK® Guide ) identifies commonly used requirements elicitation methods , including:

Don’t worry — it’s certainly not essential to use all of the techniques mentioned above. Instead, identify which ones will work best for you and your current product specifics . Throughout the project lifecycle, ensure you listen for impacts to the requirements defined at the beginning of the project and address them as needed.

3. Add visual elements to make content more digestible

Visuals and surrounding context can increase your plan’s effectiveness and break up text-heavy chunks of information.

Research indicates that 65% of the population are visual learners, which means incorporating visuals in your document can help you convey your message and plan in a more compelling way.

For example, a business process diagram is a typical visual seen in a business requirements document. Mapping out business processes in their current state versus the proposed future state can help communicate requirements with ease.

4. Ask team members to review your document

Once you’ve finished your business requirements document, ask stakeholders to review it and validate it. This provides the opportunity for you to confirm you’ve captured all of the requirements accordingly and offers a chance for stakeholders to provide feedback and make changes before the project begins.

As an added bonus, completing a review process also contributes to overall alignment, setting your team up for success from the get-go.

Business requirements document example and template

We’ll admit that all of this can feel a little complex and academic, so let’s walk through a basic requirements document example.

Imagine that your organization wants to find a way to better track employee performance and key performance indicators (KPIs).

For the sake of this example, let’s say there’s currently no system that allows employees to track their performance, so one will have to be selected and implemented. Here’s what a very simple document might look like for this type of project (along with some helpful tips):

1. Executive summary

Our organization is seeking a performance management system to track our overall employee performance, boost retention and morale, and increase transparency between managers and employees.

We aim to have this system launched within the second quarter and will evaluate systems, implement the system, and provide adequate training to managers and employees by June 1, 2021.

There are a number of requirements we’re looking to satisfy, including career path mapping, reporting and analytics, and goal management. A number of stakeholders will be involved in the selection and implementation of this system, including a project manager, human resources, department heads, executives, managers, and employees.

This document details the selection of this system, the objectives, needs, scope, requirements, stakeholders, schedule, and cost-benefit analysis.

2. Project objectives

Use the SMART system for your project objectives:

3. Needs statement

Back your statement with data and research, if possible, to strengthen your position:

4. Project scope

Clearly define what work falls within the scope:

5. Requirements

Work with key stakeholders to outline all of the requirements:

6. Key stakeholders

Identify key stakeholders and outline their roles and responsibilities:

7. Schedule

Outline all various phases of the project along with the deadline for each phase:

8. Cost-Benefit Analysis

Complete a cost-benefit analysis:

How to plan a business requirements document with UDN Task Manager

While a template and example will help make the process of creating your own business requirements document feel a little more manageable, there’s no denying that there’s a lot involved in the process.

The good news is that a collaborative work management platform like UDN Task Manager can take plenty of stress and headaches out of the process by:

Ready to create your own business requirements document? Need more product management resources ? Start your free trial of UDN Task Manager today .