ROI for IT Solutions

The term Return on Investment (ROI) is commonly used in different ways. In IT world the term ROI simply means the "Return" (incremental gain) from an IT solution, divided by the cost of that solution. In this sense, the cost of IT solutions includes investments in technologies, software, computer hardware, training, maintenance and support. If you spend $1000 on an IT solution and it pays back $1500 after a short period of time you get 50% ROI. Obviously the cost of IT solutions should be less than the potential savings so that a positive ROI can be achieved.

Three ways to maximize ROI are: Minimize costs, maximize returns, and accelerate the returns.

Here is an example ROI comparison for a competitive bid situation

Vendor A
Solution A

Vendor B
Solution B

Vendor C
Solution C

Proposal time 2 months 2 months 2 months 1 month
Proposal cost 2,000 10,000 10,000 We can offer you a choice between solutions A and B and C with development and implementation time cut in half as compared to what is proposed by Vendors A, B and C. You decide and pick which solution works best for you! In any case you can start using the choosen solution earlier and accelerate your returns.
Return after 3 month 3,000 15,000 20,000
Return less cost 1,000 5,000 10,000
ROI 50% 50% 100% 150% - you get better ROI because you start using the solution much earlier and so you get accelerated returns.

How do we cut the time and accelerate you returns?


SoftTree Technologies, with its experience and expertise provides reliable and cost-effective solutions which reduce time and cost and offer best Returns on the client's investments. Besides providing requisite resources, SoftTree Technologies' value proposition also include accessing clients capacity for future requirements, quick integration of technologies and optimizing the development process to deliver top quality output in an minimum possible time.