Measuring and Using Return on Investment

This section addresses several distinct aspects of building and using an ROI analysis to help justify key business investments. Our focus is the impact the client can make on the P&L, Balance Sheet, and Cashflow. We also measure Internal Rate of Return (IRR) and Net Present Value (NPV) of the benefits.

Return on Investment Analysis is More Important than Ever. Learning and Development people have struggled for a long time trying to build ROI analyses for training investments. The advent of AI has dramatically increased the recognition of the need to upskill and reskill people and it has also posed severe challenges in the number of AI projects that fail to improve business performance. Both circumstances are making a thorough and robust ROI analysis more imperative. This page explains the background.

Return on Investment Analysis Approach. This page describes Martec's approach to building and populating a return on investment model following accepted accounting standards. One of the things that is unique about our approach is the guidance we provide on how to quantify some of the potential scope for improvement. To make it easier for clients, we can build these analyses as a service or give clients access to our model for them to use internally.

We also describe how to use the model to simulate alternative scenarios to help select from a portfolio of potential investments.

We recommend building a model and running a benefits evaluation before any large-scale upskilling project or any significant AI implementation.

Optimise Your Choice of AI Projects To Maximize EBIT. If you are considering investing in one or more AI based projects, you should read this page before making any decisions.

How Does Martec Ensure Benefits Achievement? If you are doing an Upskilling project and you have used Martec’s recommended tracking strategy, you can review the results monthly and identify any areas where progress does not look good enough. If you find some, you can implement Martec’s remediation methodology. This page explains how it works with a detailed example scenario.

Try It Out. We will shortly be releasing an online version of our ROI model for access on our web site, so that interested parties can try it out for themselves. The access starts with a preloaded set of data which you can edit and play with. Once you know more about the detail of the model, you can contact Martec, ask for a code and when you have it you can run the model inputting your own data in a completely confidential and secure way. If you would like notice of when this is live, email sue.ostler@martec-international.com and let her know. She will advise you when it is live. She will not add you to any mailing list unless you ask her to.