How To Measure Intranet ROI?
The intranet is always considered as a cost centre in many companies. This is primarily because it gets difficult to justify the cost benefits that an intranet can bring to an organization.
Despite massive investments in portals and intranet systems, only a few organizations tend to measure the value of those investments actively.
Once an investment is made on the intranet, it must keep delivering significant performance and stay accountable.
When an organization fails to measure the value, it also fails to comprehend the demands of management, employees, and customers.
Not many are aware of that fact that the most treasured benefits are something that is hard to measure. In fact, these are less tangible, inherent, and latent.
But we, at PeopleOne, have been able to come out with a few metrics that will allow you to determine the ROI.
Right from primary metrics to components like less paperwork and having fewer people to do the job, your intranet can help you in accomplishing tasks much faster. This leads to higher productivity and a faster response time.
Intranet also improves employee retention, as they become aware of what is happening in other parts of the world and gets more loyal to the company.
The inter-department engagement helps employees to get to know others. Bonding among multiple departments, in some cases, across the world also increases which was otherwise not possible.
What are the other business benefits, a fully engaged intranet can offer? Well, the benefits include Sales, Workflow automation, HR processes, and Time, as these can be easily measured.
Is there a way to calculate the ROI (Return on Investment)?
Yes, and the metrics to calculate the ROI include:
- Total time has taken
- Number of people assigned to do their jobs, and
- Complete efforts taken by them
These metrics give us the indication of the cost that it takes for the companies to produce the efforts.
Multiple digital assets are created by globally dispersed teams within the same organizations to service the other lines of business.
Many times, it is found that these assets are duplicated because of a lack in tagging, and the recreation of these assets lead to an abundant wastage.
The ROI can be found by taking stock of a few of the duplicate assets and the time spent in creating them. Further, they are extrapolated at an organization level and create a workflow across multiple functions.
The number of people, the paperwork, the cost of manual labor & the paper, and the time it takes for the paper to move from one desk to another are the costs that can be calculated. In addition, the delays can be converted into a cost and that can come up as an ROI factor ‘ when we begin running a paperless office.
From a mobility perspective, missed emails, delay in taking action, and their impact can be one way to measure the ROI of a mobile intranet.
The success of the intranet after a few weeks or months of implementation, additional features can be appended too to evaluate the engagement level, traffic or number of employees being engaged, and total tasks executed on time.