Return on Investment Calculator
Maximize Your Returns, Minimize the Guesswork: Calculate Your Success TodayIntegrating new solutions can be an optimal way to increase business efficiency. However, incorporating new technology, platforms, or features can be daunting. Uncertainty of the related costs, both direct (implementation and operation) as well as indirect (adapting processes and initiating new tasks and responsibilities), can lead to hesitation.
New solutions may solve business challenges and help you become more efficient, but a careful analysis on the Return of Investment (ROI) is still required to justify the effort of implementation.
To help you come to cost-efficient conclusions, Spryker has created a downloadable Return on Investment Calculator. The calculator, along with its detailed methodology, aims to guide you through the process of calculating the Return of Investment for any new integration, assuring you make sound investment decisions.
Access the Return on Investment Calculator below!
Access the Return on Investment Calculator and Methodology
Please enter your detailsThe Return on Investment Calculator
Access the ROI Calculator here! The linked file is not editable. Please make a copy of the calculator on your own drive for use.Methodology to use the Spryker ROI Calculator.
The spreadsheet is presented in five tabs. Please work through them in the order below.
1. Instructions
This tab gives an overview of how to use the file, the definitions of categorizations you may use, and information on the limitations of the calculator. Once you are familiar with the information on this tab, you can begin to input information on the Process Change Map tab.
2. Process Change Map
Start by creating a detailed analysis of the current process. This will help you understand the issue you are trying to solve and its ramifications. Break down the current process into granular tasks, establishing the current cost or problem with each step.
Next, for each step, define how the new process should work. You can categorize the issue and assign a value as well as a value justification.
Example in the spreadsheet:
A B2B Spryker customer wants to streamline their order fulfillment process, as the existing process was manual and mainly done via fax. This process was personnel intensive and prone to errors.
3. Investments Needed
Having completed the Process Change Map, all of the necessary process adjustments should now be clear. It's time to work out how much it will cost to undertake the switch and maintain it. Input the information into the relevant section on the Investments Needed tab. Make sure to consider all expenditures, including licenses, development, monitoring, resources assigned, training, etc.
4. Returns expected
Next, move on to the Returns Expected tab. Here, you should detail the expected income after implementing the change. This is broken down into seven areas: additional revenue, cost savings, time savings, health & safety of your product and workforce, environmental improvements (less waste or emissions), quality enhancements, customer satisfaction, and overall brand image.
Many of these can be difficult to calculate, so try to keep this exercise holistic. As this is an estimation, it requires flexibility, as it is impossible to control all of the possible factors.
5. ROI Summary
The final tab automatically populated the fields based on the inputs from the Investments Needed and Returns Expected tabs. Here, you will see the ROI figure for the process.
Please keep in mind that the data form this exercise is an estimation and, as mentioned previously, requires flexibility as it is impossible to take all factors into account. However, the data from this exercise should help to make a more informed decision than acting purely on a hunch.
It is recommended to repeat the exercise using different estimations (optimistic, realistic, pessimistic) and provide final numbers within a range to accommodate for multiple possible future outcomes.
About Spryker
Spryker is the leading global composable commerce platform for enterprises with sophisticated business models to enable growth, innovation, and differentiation. Designed specifically for sophisticated transactional businesses, Spryker’s easy-to-use, headless, API-first model offers a best-of-breed approach that provides businesses the flexibility to adapt, scale, and quickly go to market while facilitating faster time-to-value throughout their digital transformation journey. As a global platform leader for B2B and B2C Enterprise Marketplaces, IoT Commerce, and Unified Commerce, Spryker has empowered 150+ global enterprise customers worldwide and is trusted by brands such as ALDI, Siemens, ZF Friedrichshafen, and Ricoh. Spryker is a privately held technology company headquartered in Berlin and New York backed by world class investors such as TCV, One Peak, Project A, Cherry Ventures, and Maverick Capital. Learn more at spryker.com.