As time passes, your business will need to be able to grow and develop its use of technology through thoughtful investments and improvements. To do so, it helps to calculate the returns you can anticipate seeing from these investments. For this week’s tip, we’ll go over how to do so.
There are a few ways that the money you put into your technology can pay for itself.
You also need to have a comprehensive appreciation for the basics of how your network is constructed, as well as why you are making an investment in the first place. Once you do, you will be better equipped to calculate your returns.
The equation to calculate the return on investment for your technology is the same as it would be for any investment:
That’s it. You take your total benefit (calculated by subtracting your costs from your ultimate gains) and divide it by your total costs. This gives you a simple metric that makes your benefits easy to understand, and thereby enables you to make comparisons much more easily.
You should also keep a few other qualifications in mind as you plan your next IT investments.
KT Connections can help you decide what your best moves are concerning your information technology. Reach out to us at 605-341-3873 to learn more.
Rodd Ahrenstorff is the Director of Business Operations for KT Connections, as well as a member of the company’s ownership team starting in 2014. Rodd has been working in the computer and telecommunication fields for over twenty years—a term during which he has held a number of leadership positions. In the past, he has served as a broadcast television engineer, an systems architect, and most recently Director of Information Technology, including a role as a HIPAA Security Officer for behavioral health and multi-specialty medical providers.