Productivity-based benefits and the effects on ROI |
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EXPERT RESPONSE FROM: Rebecca Wettemann
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QUESTION POSED ON: 30 April 2004
Should companies really consider productivity-based benefits when they are looking at ROI?
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Absolutely; capital for labor is a common part of investment decision making. What is important is that productivity-based benefits are not overstated. Instead, companies should calculate returns from productivity savings using correction factors to account for the inefficient transfer of time -- and be consistent in the way they corroborate expected productivity savings.
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