Overview:
A valid return on investment study need not be a burden. It needs only to be honest with itself. Opportunities for growth, savings and gains may look mundane or maybe hidden in heritage practices whose original motivation is no longer present in the business model. Statistics from CLM consistently show that most companies operate at 60-70% of their true supply chain/logistics productivity potential.

To determine the true value of workplace automation opportunities in your own operation, first consider the four main reasons companies typically invest in business software. Then reflect on these motivations in the context of your organization's business model:

1) The reason to buy business software is to work faster: Productivity improvements in receiving, returns, materials management, picking, packing, shipping, cycle/physical counts average 25-40%, according to the Warehouse Education Research Council (WERC).

2) The reason to buy business software is to save money: Hidden sources of value often reside in ordinary operational practices and routine procurement and forecasting methods that have mistrust and presumptive or antagonistic over-estimating built in. Implementation of a fully integrated supply chain management system improves companies Return On Net Income (assets).

3) The reason to buy business software is to create better value: Improved distribution systems reduce or eliminate the need for capital-intensive material handling equipment while achieving efficiency benefits. Warehouse staff that formally spent their time entering data are exposed to professionalizing technologies and rule-based business practices.

4) The reason to buy business software is to satisfy more customers to a greater degree: Customers may or may not be interested in your organizations particular experience, but they are definitely interested in your inventory. Elimination of data entry labor and their inevitable high error rate, elimination of costly shipping errors, and measurable service level guarantees are just a few of the improvements that your organization should attain to effect positive customer satisfaction and customer loyalty growth.