Secure return-on-investment in your IT projects
Project work is increasingly determining the working world today and no project should be approved without a well-founded proof of profitability . If you want to carry out investment or projects wirh rationalization goals, with costs around €100,000 or more, a profitability analysis is recommended so that you don't throw money out your window. It doesn't matter whether you are working on a project to reduce costs, select software or select technology. Typical decision-making in companies is about make-or-buy, insourcing or outsourcing, central versus decentral, standard or individual, provider A, B or C. All of these can be answered very well with such an ROI analysis.
8 steps of ROI process
It's about ensuring the ROI return on investment in your IT project. We recommend that you always follow the 8 steps of the ROI process in order to realize economically successful IT projects. Through an active cost and benefit management, you can plan the profitability in advance with SME per department, take countermeasures during the IT project and measure the return on investment ROI after your new IT has been put into operation. We recommend that you go through the following 8 steps as a process in order to systematically analyze the ROI in your IT projects, monitor it throughout the project and ultimately reap the benefits in the P&L and balance sheet.
Good experience: No ROI, no project!
As part of our own consulting for logistics software projects, we went through these process steps, for example to create a business case for the planned introduction of warehouse management software (WMS). For example, a well-known omni-channel company from Berlin needed to replace its somewhat outdated warehouse software. In addition, the level of automation was to be increased through paternoster warehouses and sorters in shipping in order to speed up processes. But is the whole thing really worth it in the long term? We then carried out calculations from goods receipt to goods issue together with logistics and IT in several workshops based on the new quantity structures and thus helped to prevent a bad investment. In this case, it was not worth investing in a new cloud WMS, as adapting it to the special requirements would have caused too high IT costs and thus too high cost-per-order. No ROI, no project! In this case, it was more advantageous to moderately upgrade the existing WMS to a different extent.
What are you waiting for? Click here for your ROI analysis
We have now had so much positive experience with this that we, as your IT project partner, even give you a contractual ROI guarantee . After your IT solution has been put into operation, we ensure that the previously calculated ROI is achieved after 6, 12 and 18 months. Promised.
Interested? Great! Here you will find 8 orientation questions for your ROI analysis in advance (in German language only):
For your ROI process, we recommend that you work methodically based on Cranfield University's Benefits Realisation Management. To do this, you link the company's external drivers and goals with the desired benefits, specify the necessary changes in the processes, structures and IT systems using measurable KPI changes and compare these with the costs of the transformation in a TCO analysis.
For this purpose, we have been supporting customers for some years with our own +Benefit knowledge database, which we have developed for you for project-related investment controlling and which we operate for you with a hosting partner for many application scenarios.
Please feel free to contact us at any time to discuss your individual questions for your project with our experts in a preliminary meeting.
Rüdiger. W. Schwarz
+Benefit Research and Consulting GmbH + Dahlemer Weg 83a + DE 14167 Berlin
T: +49 172 3872 373 + Email: mail@benefitgroup.de + Web: www.benefitgroup.de