There are several factors to consider when investing in new office technology. Perhaps the most influential of those factors is return-on-investment or ROI. Determining the ROI of business technology is harder than it first seems. InformationWeek recently conducted a survey of C-level executives and found that it is challenging for all of them to agree on the value of proposed tech investments.
Each executive position may have their own vision of what office technology ROI should look like. However, there are some key characteristics that are common amongst successful tech initiatives. Company leaders can use this checklist below to help evaluate the ROI of their technology.
Does it boost productivity?
Over 50 percent of organizations measure productivity when calculating technology’s ROI. Tech solutions that have a steep learning curve or require hours upon hours of training in order to use it effectively can actually decrease productivity. Office technology should make an employee’s job easier and business processes more efficient.
For example, mobile technologies are providing some of the greatest productivity boosts for businesses. Mobile solutions like wireless presentation software, wearable devices, tablets, and collaboration tools mean that employees are no longer confined to working solely at their desks. They can communicate and collaborate from anywhere and at anytime, accelerating the work cycle.
Does it offer measurable value to customers?
Have you connected with customers and target audiences after learning more about them through data tools? Are customers finding your business or communicating with you through technology? Are they using your mobile app to make buying decisions?
When technology improves the customer experience or helps you connect with them, it is providing a big return-on-investment. Attracting a new customer costs as much as five to ten times more than retaining a current one. However, technology that personalizes and improves the customer experience can keep them coming back and spending 67 percent more.
Does it create new revenue streams?
By utilizing big data and new technologies, The Weather Channel is one organization that has created revenue streams that weren’t possible before. With advanced tools like drones and sensors, the weather capturing company’s forecasting range has expanded to over 37,000 personal reporting stations and increased the accuracy of their predictions. Recognizing the value of weather to business operations, it created new revenue by offering accurate weather reporting, alerts and additional services to companies worldwide.
Valuable office technology can not only increase current revenue streams but also create new ones. With the right tech presence, even small businesses can now have a global presence. Tech can open up new opportunities for companies that use it effectively.
There are thousands of tech products that claim that they will bring benefits to businesses. Ultimately, company leaders want to know that their investment will improve performance or increase revenue. If you are investing in new technology, and it doesn’t fit into any of these categories, it is likely time to rethink your purchase.