By Jack J Phillips PhD, Patricia Pulliam Phillips
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Additional info for Show Me the Money: How to Determine ROI in People, Projects, and Programs
For this, their public image suffers. The ROI methodology is one way to help build the respect a function or profession needs. The ROI methodology can make a difference in any function—not just those under ﬁre. Many human resources (HR) executives have used ROI to show their projects’ and programs’ value, perhaps changing the perception of a project from one based on activity to one that credibly adds value. This methodology shows a connection to the bottom line and shows the value delivered to stakeholders.
Quality is a very important hard data category. If quality is a major priority for the organization, processes are likely in place to measure and monitor quality. The rising prominence of quality improvement processes (such as Total Quality Management, Continuous Quality Improvement, and Six Sigma) has contributed to the tremendous recent successes in pinpointing the proper quality measures—and assigning monetary values to them. Cost is another important hard data category. Many projects and programs are designed to lower, control, or eliminate the cost of a speciﬁc process or activity.
Analysis sounds confusing. Determining a problem’s causes may seem complex and puzzling. However, analyses can be simple and straightforward and achieve excellent results. The challenge is to select the level of analysis that will yield the best solution with minimal effort and the simplest techniques. In the face of these misconceptions, the difﬁculty of promoting additional analysis is apparent. But this step is critical and should not be omitted, or else the process will be ﬂawed from the outset.
Show Me the Money: How to Determine ROI in People, Projects, and Programs by Jack J Phillips PhD, Patricia Pulliam Phillips