Estimating Return on Investment ROI

Nothing beats selling the business case better than a decent ROI. Today more and more clients are asking what value their IT investment dollars will bring the company. Because they are authorizing the capital to fund a project, they would like to know what's in it for them! Increasingly, project managers are now requested to inform their clients what their likely returns would be because the project managers are managing the proposed project. Project managers should ask themselves if they would want a dollar today or a dollar tomorrow! The following formula shows how to calculate the ROI:

ROT (%) = Net Present Value of Savings X 100

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