The road to business success is often a long exercise in trial and error that includes numerous failures, including failed IT investments. Higher-ROI business services are always the goal, but they often seem elusive.
Let’s explore some of the key ideas behind getting more from your technology investments and identify practical ways your business can apply these ideas to reap the full benefits of your technology infrastructure investment.
Calculating return on investment
In simplest form, ROI is calculated by dividing benefit by cost. It’s an effective metric to track and compare the value of all kinds of investments, including technology.
Here are five financial benefits often considered when evaluating ROI:
Revenue enhancement – How much extra revenue does it create?
Operating expense (OPEX) reduction – To what extent does it reduce ongoing costs?
Operating expense avoidance – Does it completely eliminate any ongoing costs?
Capital expenditure (CAPEX) reduction – Does it reduce investment spending?
Capital expenditure avoidance – Does it reduce investment spending?
Achieving an accurate ROI isn’t always as simple as “we achieve x profit with y spending” — particularly when it comes to information workers or human resource professionals.
In such instances, you can also ask:
- How much is this service aiding productivity?
- Does the service optimize processes?
- Does the service create cost or time savings?
- Are any gains offset by factors like employee training costs?
How the right technology works harder
Let’s examine how technology investment choices can provide better returns.
1. Cutting people-hours spent on routine tasks
Using smarter and simpler tools allows employees to spend less time on tedious, repetitive tasks. If these tasks can be performed more quickly and accurately (and perhaps even fully automated), workers become more productive and can focus on higher-level tasks that require critical thinking. For example, a human resources worker could benefit from an app that makes filing expenses faster and easier. This, in turn, allows them to concentrate on higher-value HR issues.
2. Reducing training costs and time
If your services are simple and easy to use, they require less expenditure and time in training your employees to use them. This heightens productivity in your business, as it means your human resources are more effectively utilized. In the example of the app for expense filing, if expenses are filed via a simple digital process, employees no longer need to be trained to do it the old way, which involved a more complex, time-consuming manual process.
3. Streamlining your business processes
As well as streamlining repetitive tasks, your technology investments should also optimize the wider processes they support. When these processes can be completed with greater speed and accuracy, you create efficiency that helps your entire business perform better. With the app for expense filing, the HR worker now has quick and easy access to all the information gathered by the application and is able to process and approve expense requests faster.
Making the change
The Nintex Platform can make a radical improvement in the ROI of your technology investments. The platform combines several technologies and innovations that are designed with your ROI in mind.
Our workflow software makes it easy to define, design and streamline your processes digitally, using a simple drag-and-drop interface with no code required. Employees get a clear picture of the processes they’re involved with, the current stage of each process, and are prompted to take action when it’s their turn to complete a task. All without ever leaving the Nintex platform.
Using Nintex Connectors, you can integrate apps and services, including business mainstays like Outlook and Word, into your workflows, allowing employees direct access from the workflow. This eliminates the time spent on launching these apps and services externally, dramatically streamlining the process. This allows existing technology investments to work more efficiently and provide better value for your business.
With Nintex Robotic Process Automation (RPA) you can automate individual tasks within a workflow as well as the workflows themselves, reducing your employees’ workloads. Tasks like document creation (such as personalized letters) and emailing are automatically completed. Because automating processes creates a wealth of valuable performance data, it’s also possible to visualize and analyze where these processes can be further optimized.
All these solutions combine to deliver a higher ROI from your business technology solutions, which are now working harder and providing better value. As well as making a positive difference to your employees’ working days, it also has a desirable impact on your bottom line.