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Aberdeen Group Provides New Benchmark Report on ROI from ECM Applications
Aberdeen Group provides a new benchmark report entitled "Realize the Returns from Enterprise Management Applications: Make the ROI Calculation Speak to the Financial Value of EMAs Investment in ERP."
The new report published by Aberdeen, a Harte-Hanks Company, confirmed that whether companies are justifying the purchase of an application, an upgrade, or customization, less than 25% of them are consistently estimating ROI prior to action, and 20% or less measure the actual costs and gains to calculate ROI.
The report concluded that best-in-class companies are, on average, 88% more likely to estimate ROI before initiating projects and 130% more likely to measure ROI after project completion. As a result, these best performing companies produce, on average, 93% more improvement across a variety of metrics such as cost reductions, schedule performance, headcount reduction or redeployment, and quality improvements.
"Companies reaping the most financial value from enterprise management applications (EMAs) are less burdened by outdated technology, are more likely to deploy existing applications across the enterprise, and are more likely to integrate disparate business applications," said Cindy Jutras, Vice President and Service Director, Manufacturing and ERP Research, Aberdeen. "Best-in-class companies are less dependent on spreadsheets and ad hoc reporting and rely more heavily on the reporting capabilities of the installed applications and integrated analytics."
The report is available for download at: http://www.aberdeen.com/summary/report/benchmark/RA_FinancialValue_of_EMA_3861.asp 23.02.2007, Contentmanager
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