How to measure the Return on Investment of Competitive Intelligence
- Competitive Intelligence
Measuring the Return on Investment (ROI) of the Competitive Intelligence activity is an ongoing issue that any candidate has had to face on occasion. Until recently, it was enough to mention the "intangible benefits" to justify the investment, but since the onset of the economic crisis organizations are much tougher with their spending and seek to justify it quantitatively. In this article we provide a study of the ROI of the CI both at qualitative and quantitative terms. This requires analyzing both the benefits and the costs associated with the activity of CI.
- Better decision making.
- Anticipating the environment.
- More distributed knowledge.
- Cooperation between people.
- Improved capacity for innovation.
- Better targeting of projects.
- More and better availability of information.
- Improving knowledge.
- Less dedication time.
- Less information received.
- Removing duplication.
- Detection of direct business opportunities.
- Increased efficiency in information management.
- Hours of dedication of the staff.
- Costs of the CI tools (if any).
- IT equipment.
- Consultancy costs (if any).
Tangible benefits can be quantified (measured in monetary terms) so they can be compared with the generated costs by the CI activity, to obtain a numerical ROI.
If you have doubts about the benefits and costs that can be generated in your company by Competitive Intelligence, you can contact us for assistance. Also, you can try free professional software like INNGUMA requesting a demo.