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| Achieving ROI with Kform Project Manager |
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Page 1 of 7 Achieving ROI with Kform PMReturn on investment (ROI) is the comparison of the money earned on an investment to the amount of money invested. Before making a capital investment companies should examine the return on the investment, considering the tangible (direct) cash flow-generating contributions of a new technology as well as the intangible (indirect) measures such as improved collaboration and organization. The relevance and importance of each of these factors will greatly vary from company to company, application to application, and implementation to implementation. An investment utilized by a number of individuals provides a higher rate of return with a quicker payback than an investment used by a few. The more often an investment is utilized, the larger and quicker the return. When all these factors are considered together you can get a reasonable result from the ROI. Evaluating a Capital Investment Besides the purchase price, other questions may arise when evaluating a capital investment. How many individual helped by the application? Repeatability – How often will application be used? What are the other associated costs and expenses? What is payback period? Does it increase efficiency? What are the business benefits? What are the intangible benefits? |
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