Your company has just put a lot of money into software that will help your organization’s business process management (BPM). Or maybe your organization is thinking of purchasing software that will help automate processes or has identified a process that needs to be automated.
There's just one problem: How do you justify the expense of business process automation (BPA) software? In other words, how do you prove that such a large expense is worth it?
The latest episode of Omni's series, All Things BPM with Aaron and Mike: A Vlog Dedicated to Business Process Management, digs into the return on investment, or the ROI, of BPA.
Quick note for our regular viewers: All Things BPM with Aaron and Mike is normally hosted by Project Manager Mike Matter and Solutions Consultant Aaron Carmody. However, this time, Mike is joined by a different Aaron: special guest Aaron Koats, a Client Solutions Manager for Omni.
Together Aaron and Mike will walk you through the process of figuring out how much inefficient business processes are costing your organization and how much you can save with process automation.
Measuring the ROI of BPM
Measuring ROI of anything can be tricky. In the case of business process management, it's hard to assign a unit of measurement to the unhappiness of an employee who has to complete an intricate and/ or inefficient process.
However, there are things you can measure:
- Employee frustrations
- Customer experience
- Manual hours
Employee frustration and customer experience are hard to measure but technology consultant can take stock of them — by finding out during a consultation how many times an employee has to enter the same information into different systems, for example, and how they feel about that. They can also learn how much a client-facing process would improve if emails to clients about orders were automated.
The easiest unit to measure, the one that most readily converts to dollars and cents, is manual hours. In other words, how many hours does it take an employee to complete a task that could be automated?
An IT consultant discovers this information by walking the client through their existing processes, finding out how long each stage of the process takes when it's done manually. Once the walk-through is complete, the consultant calculates how many hours — and how much money would be saved — by automating those processes. That information then goes into a tool called an ROI tear sheet.
The ROI tear sheet is a one-page document that shows a client's investment in a BPM project, as well as the net value and percentage return on investment the client can expect from the automating their processes and when they can expect to see that ROI.
How to get started with Business Process Management
Ready to start finding out how much your company will save with process automation? Watch the vlog to get started.
Need more information on BPA and BPM after watching the vlog? Omni is a partner with leading software companies. We can help you save money by simplifying your own workflows with business process management and business process automation. Want to learn more about BPM? Contact us today.
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