ROI Calculator

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ROI Calculator

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Format: Evaluation Form / Evaluation Assessment
Contributed by: Frank Uhelsky

If you are going to recommend that your firm spend gobs of their hard earned cash on a new system or process, you need to understand the Return on Investment (ROI) for the new system. Invariably, the first question that will be thrown at you in your proposal presentation will be: "How much is this going to cost and what is the payback?" Having a basic knowledge of financial terms will help, but nothing greases the skids more effectively than cold, hard cost data. Using the tool is easy if you follow these simple steps:

  • Determine the life cycle of the proposed method
  • Perform the cost comparison of the proposed methods versus the status quo
  • Project the revenues resulting from implementation
  • Determine the discount rate
  • Review the cost savings
  • Submit your proposal

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Andre Miguel
Systems and Processes Consultant, Business Value SP
Sao Paulo, SP, Brazil



Posted: Nov 21, 2007 11:02 PM

"this is really amazing! With those numbers filled in, actually is helping me to fill in with the correct numbers for me."



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