Wednesday, August 05, 2009

Tying ROI proposals to Unique Strategic Value

Rick Page, founder of The Complex Sale Inc., and author of Make Winning a Habit (McGraw-Hill, 2006) points out in this article how ROI is an absolute requirement, however since it is becoming common, a key is to not only quantify the savings and benefits, but convert the abstract dollar savings into something the company can dig into, strategically. This means understanding the organization's strategic goals and being sure to map the savings directly back to helping the company achieve these goals.

Page's example speaks about Hershey and tying the savings back to increases in charitable donations. For a company with a Green strategy, the savings could be translated into cars off the road, homes powered, or trees saved. For a restaurant, this might be tying the savings to profit from N restaurants, for a REIT, this might be tying the savings back to the profit from N commercial buildings.

Any way you look at it, as ROI proposals become required, its important to not only quantify unique value, but to begin to differentiate your proposals with a core connection to the organization.

http://www.sellingpower.com/html_newsletter/article.asp?usr=SP1734968844&NLid=1&Layout_ID=921&ARTid=4088&nDate=August+3%2C+2009

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