PLM ROI/NPV Calculator
Determining detailed quantitative and qualitative (or tangible and intangible) benefits that can be expected when using PLM is difficult, although often required when building a business case for PLM and calculating the return of an investment in this technology. The biggest challenge therein is often the translation of benefits into monetary gains (which probably every CFO wants to see before signing a check).
In an ROI/NPV analysis the objective is to compare the increase of the gross margin with the total costs of evaluating, implementing and operating a PLM system. If the result is positive, an investment in PLM makes sense; if the result is negative, an investment usually makes no sense.
The PLM/PDM ROI Calculator provided by the PLM Technology Guide is an invaluable tool in determining the costs and benefits of a PLM system and calculating the estimated ROI (return of investment) and NPV (net present value) that can be expected when using a PLM solution.
The PLM/PDM ROI Calculator that is available for download on the PLM Technology Guide has been used in numerous projects to determine the expected ROI and its results have been validated and found to be very accurate in post-implementation reviews and results analyses.
The PLM/PDM ROI Calculator will allow you to:
- Quickly determine the estimated ROI from a PLM/PDM solution
- Capture the benefits and costs of a PLM/PDM solution
- Use a methodical and repeatable approach in determining the ROI
- Present valid, accurate and unbiased results to executive management to support their decision making process