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4.0 The ROI

4.1 Traditional Calculation

The three alternatives to the Whitemarsh ISP approach: are IBM, James Martin, and Clive Finkelstein:

  • The IBM approach has 13 different steps and based on an analysis of a prototypical example is estimated to take 44,432 staff hours.
     
  • The James Martin approach, called Strategic Data Planning is set out over 16 steps, and based on the same prototypical example is estimated to take 32,130 staff hours.
     
  • The final alternative, from Clive Finkelstein is called Strategic Management Planning is set out over 12 steps, and based on the same prototypical example is estimated to take 45,570 staff hours.
     
  • At an estimate staff hour cost of $100 (fully loaded internal rate), the cost for IBM’s approach is $4.443 million. The James Martin approach would cost $3.213 million. The Finkelstein approach is estimated to cost $4.557 million.
     

4.2 Changed Approach Calculation

Most importantly, the steps in the Whitemarsh Information Systems Plan effort, when estimated against the same prototypical example is estimated to take 5,392 staff hours. The cost estimate is thus $539,200 That’s just 16.8% of the most efficient of the three traditional approaches, which, when done do not exhibit the essential characteristics of timeliness, usability, maintainability, quality, and reproducibility.
 

4.3 ROI Summary

In short, a reduction in the effort by 83% and the generation of an information systems plan that is immediately usable, serves as a critical infrastructure component of the enterprise IT infrastructure, and is able to be modeled, changed and re-modeled is has a very high ROI.

The actually determined ROI is thus, 5.9.

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