Return on investment is key for every corporation, organization, nonprofit, etc. With the profits generated, the investment of capital gets attractive and adds value to your business. Same goes with sponsorship programs. Nothing new there, right?
Now, to get a grisp of the results, we talk about ROI. ROI is an indicator that shows how successful a project is, such as the allocation of resources for a cultural or sports achievement.
Along with this "ROI" concept, many foundations use a new emerging trend: Return on Objectives (ROO). The concept is based on reaching the organization’s goals through projects. This system is ideal for making an intangible measurement in non-profit organizations.
Measuring your ROI or ROO: a must-do
Organizations’ resources are limited and, therefore, should be applied in the best way. When sponsoring an event that does not bring much return, there is a loss of optimized alternatives and an increased opportunity cost.
Often, corporations and foundations need to decide which project they should prioritize at that time. The doubt is even more significant when there are several investment possibilities with close degrees of importance. However, comparing the ROI or ROO for each project will allow you to identify which needs to be met first.
The calculation of ROI and ROO serves to support this decision making. Since they act as a comparison parameter, such an analysis shows the achievements with the best performances. Quantitative and qualitative data become arguments for allocating resources and choosing which actions deserve more attention.
Optimy's favorites features for ROI/ROO reports
The first Optimy feature that pops in people’s minds when talking about return on investment is the budget one. Indeed, managing budgets of projects you support can be a tough task. And this feature can help you stay on top of outcomes and maintain control of all your costs. Knowing exactly how much money is being spent in which project can for sure help measuring the ROI and taking a wise decision on money allocation.
This one might not be as obvious as the budget tracking feature, but it’s just as important. The automatic filtering feature can be a big alley if you already know in advance the type of projects that give you the biggest ROI or ROO. This tool allows you to automatically sort out the incoming applications based on the criteria you chose, so you can focus on the projects that matter the most.
This feature can be even more powerful if used together with the automatic scoring tool. This feature rates and compares projects based on the chosen criteria. You can also compare your rating to the score given by your colleagues, according to their own criteria. This way, you can have consistent work habits of verifying that the whole team works with projects that match your corporation’s goal.
Extracting data from our project management software is a great way to create reports and evaluate your investment return. And the charts feature is a great way to visualize all the data inside of the Optimy software quickly.
Ultimately, Optimy itself is the ultimate software that helps foundations and corporations to measure their return on investment and reach their goal with ease. But that's not all: as Optimy is thought for corporations, foundations and organizations in general to manage their social impact and CSR projects the best way possible from one single tool, the features are customizabel and are developed to fit the needs of our customers.
The modular add-ons offer is something that a lot of customers love about the solution. And the best part is: it could be yours, too.