ROI and return on investment on new initiatives

PROGRAM METRICS

Knowing what to measure, and when, is critical to assessing a program’s success and securing future funding. Consider tracking these metrics:

  • Project management metrics: Monitor schedule (% complete, % tasks complete), budget (% expended), risks, and issues.

  • Key performance indicators (KPIs):  KPIs such as leadership, technology, and resources measure the program’s influence on outside factors.

  • Adoption metrics: Track utilization, knowledge transfer, performance metrics, barriers and enablers, business metrics, business value, and ROI.

RETURN ON INVESTMENT ON NEW INITIATIVES

Calculating program ROI is a top priority for many stakeholders. Yet it can be far too easy to manipulate calculations—for example, cutting a program to increase reported ROI, reducing costs without maintaining user experiences, or relying solely on utilization metrics. Consider forecasting ROI in the planning stage, then aligning and developing a program that concludes with a predetermined ROI calculation.

METRIC TRACKING & REPORTING

Once program metrics are identified, the next step is tracking and reporting. Low-tech approaches can be as efficient as high-tech ones; identify metrics before choosing your tracking and reporting tools.

PROGRAM MATURITY METRICS

Tracking and reporting maturity metrics helps demonstrate program adoption and value. Maturity metrics build on initial readiness assessments, targeting areas that are creating challenges, hindering adoption, or needing more support.