Data to support the ROI of an Intranet re-design

16 Jan 2009 - 8:35am
5 years ago
4 replies
1083 reads
neilnoakes
2009

I am currently working on proposals for the redesign / development of
an intranet for an organisation with upward of 2000 employees.

Having conducted user research, interview, surveys... I have a pretty
clear idea about the things that the employees are using day to day,
where problems exist and the business point-of-view.

Given the current economic climate there is an even closer
interrogation of the fiscal value of implementing some of these
findings. These include employee community sections (forums,
knowledge sharing, people finder) which are less easily tied to
measurable improvements for the business; their ROI.

Two things in particular I would appreciate the community's input on:
1) Can you point me to research data related to the development of
community based features and their impact on the business's ROI.

2) Are there any testimonals/case studies (video/written) from
business leaders discussing the redevelopment of their intranet and
subsequent impact on their business.

Comments

16 Jan 2009 - 3:37pm
Paul Bryan
2008

When HP redesigned the @HP portal a couple of years ago, I remember
seeing detailed ROI case studies about it. There were significant
social network enhancements of their portal, so you might find
something relevant on that topic. A condensed case study is provided
by HP: h40110.www4.hp.com/soluzioni/pdf/PortalSuccesStory2.pdf.

It seems to me that executives of larger companies talk more about
what is delivered by a portal, (Knowledge Management, Business
intelligence, etc.) than they do about the Portal itself. Especially
since they started getting excited about cloud computing. However,
CIO did run an article %u201CSeven Reasons for Your Company to Start
an Internal Blog%u201D (CIO.com, by C. G. Lynch).

I was working with a corporation to measure ROI of a portal app using
Six Sigma, and it ran rather soft. If you%u2019re looking for the kind
of Portal ROI that impresses the Finance Dept., you have your work cut
out for you.

I think you have a lot of ammunition out there, even in today's
rough environment.

/pb

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16 Jan 2009 - 5:08pm
Angel Marquez
2008
17 Jan 2009 - 1:15pm
Paul Eisen
2007

Neil, with respect to testimonials on business impact, the Neilsen
Norman reports suggested by Angel's earlier post is a good start.
With respect to quantitative ROI of community features, however, I
would be surprised if there is any decent numbers out there that you
could apply to your own environment. In my experience, these features
are normally supported when there is political will, in the same way
an organization normally doesn't require a quantitative business
case to put telephones on their employees' desks.

Paul

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22 Jan 2009 - 5:00am
neilnoakes
2009

thanks for all the messages/links. the resounding impression i get is
that general metrics cannot be accurately applied. the intangible
benefits which flow into the business from enriching the culture,
providing KM tools to for example; reduce duplication of work and
retain core skills, need a degree of enlightenment from business
leaders to pursue.

the 'value of time' metric did crop up commonly e.g. "...I suppose
Search is the easiest to quantify. The average knowledge worker spends
25% of his day looking for content. So let's say that company X has
1,000 knowledge workers who make an average of $80,000/year. This
means the company 'wastes' 20 million/year in funding with the time
workers use to find content." from
http://itknowledgeexchange.techtarget.com/social-media/measuring-roi/

upon closer scrutiny this doesn't hold up in the real world as this
excellent post demonstrates:
http://www.steptwo.com.au/columntwo/25-reasons-why-saving-time-on-your-intranet-is-a-bad-metric/

useful insight into measuring effectiveness
http://www.intranetlife.com/intranet_benchmarking_for/2009/01/how-can-the-effectiveness-of-intranets-be-measured.html
and
http://www.intranetlife.com/intranet_benchmarking_for/2008/02/recession-proof.html

A book with useful looking content addressing the ROI on many social
features: http://www.forrester.com/Groundswell/contents.html

here's also some direct message'd links that may be of interest:

Communication ROI Study
Secrets of Top Performers: How Companies With Highly Effective
Employee Communication Differentiate Themselves
https://www.watsonwyatt.com/research/printable.asp?id=2007-US-0214

Social network ROI in business (Enterprise 2.0)
Short comment piece
Are the Three Cs of social networking - conversation, collaboration
and community becoming embedded in your corporate DNA?
http://www.acidlabs.org/2008/03/26/social-network-roi-in-business/

How do you measure the ROI of social software??
Short comment piece
http://richarddennison.wordpress.com/2008/05/14/how-do-you-measure-the-roi-of-social-software/

Benefit of Knowledge Management: Why KM
Short checklist
http://www.allkm.com/km-basics/benefit-of-km.php

thanks agin,
neil

2009/1/17 Paul Eisen <peisen at tandemseven.com>:
> Neil, with respect to testimonials on business impact, the Neilsen
> Norman reports suggested by Angel's earlier post is a good start.
> With respect to quantitative ROI of community features, however, I
> would be surprised if there is any decent numbers out there that you
> could apply to your own environment. In my experience, these features
> are normally supported when there is political will, in the same way
> an organization normally doesn't require a quantitative business
> case to put telephones on their employees' desks.
>
> Paul
>
>
> . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
> Posted from the new ixda.org
> http://www.ixda.org/discuss?post=37307
>
>
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