Capture and Market the ROI of Your VMO

Quantify the impact and demonstrate the value that your VMO delivers to your organization.

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Without an objective methodology for determining the VMO’s ROI and aligning with the organization’s goals, the VMO is at greater risk of being:

  • Misunderstood.
  • Viewed as additional overhead.
  • Considered unnecessary.
  • Regarded as adding no value.
  • Eliminated.

Adopting a comprehensive approach to calculating and marketing a VMO’s ROI allows the VMO to:

  • Quantify the ROI of the VMO.
  • Market the VMO’s impact internally to gain alignment.
  • Justify the need for additional resources.
  • Support the need for the VMO.
  • Defend the value created by the VMO.

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Onsite Workshops offer an easy way to accelerate your project. If you are unable to do the project yourself, and a Guided Implementation isn’t enough, we offer low-cost onsite delivery of our Project Workshops. We take you through every phase of your project and ensure that you have a road map in place to complete your project successfully.

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Module 1: Get Organized

The Purpose

  • Determine how you will measure the VMO’s ROI.

Key Benefits Achieved

  • Focus your measurement on the appropriate activities.

Activities: Outputs:
1.1 Determine your VMO’s maturity level and identify applicable ROI measurement categories.
  • VMO ROI maturity level and first step of customizing the ROI formula components.
1.2 Review and select the appropriate ROI formula components for each applicable measurement category.
  • Second and final step of customizing the ROI formula components…what will actually be measured.
1.3 Compile a list of potential data sources, evaluate the viability of each data source selected, and assign data collection and analysis responsibilities.
  • Viable data sources and assignments for team members.
1.4 Communicate progress and proposed ROI formula components to executives and key stakeholders for feedback and/or approval/alignment.
  • A progress report for key stakeholders and executives.

Module 2: Establish Baseline

The Purpose

  • Set baselines to measure created value against.

Key Benefits Achieved

  • ROI contributions cannot be objectively measured without baselines.

Activities: Outputs:
2.1 Gather baseline data.
  • Data to use for calculating baselines.
2.2 Calculate/set baselines.
  • Baselines for measuring ROI contributions.
2.3 Set SMART goals.
  • Value creation goals for the next measurement cycle.
2.4 Communicate progress and proposed ROI formula components to executives and key stakeholders for feedback and/or approval/alignment.
  • An updated progress report for key stakeholders and executives.

Module 3: Measure and Monitor Results

The Purpose

  • Calculate the VMO’s ROI.

Key Benefits Achieved

  • An understanding of whether the VMO is paying for itself.

Activities: Outputs:
3.1 Assemble the data and calculate the VMO’s ROI.
  • The VMO’s ROI expressed in terms of how many times it pays for itself (e.g. 1X, 3X, 5X).
3.2 Organize the data for the reporting step.
  • Determine which supporting data will be reported.

Module 4: Report Results

The Purpose

  • Report results to stakeholders.

Key Benefits Achieved

  • Stakeholders understand the value of the VMO.

Activities: Outputs:
4.1 Create a reporting template.
  • A template for reporting ROI and supporting data.
4.2 Determine reporting frequency.
  • A decision about quarterly or annual reports.
4.3 Decide how the reports will be distributed or presented.
  • A decision regarding email, video, and in-person presentation of the ROI reports.
4.4 Send out a draft report and update based on feedback.
  • Final ROI reports.
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