How often have you talked to a software salesperson promising astronomical return on investment (ROI) by implementing a new software system? Changes are that if you dig into the “facts” behind the story, you will find most of the of promised ROI is what is referred to as “soft” ROI. The story usually goes something like this. “If you implement this new software system, you are sure to be able to reduce your inventory levels by ten percent.” Unless that number if backed up by some hard evidence for your industry the promised ROI is usually just a wild guess. Genuine ROI is usually only achieved when there is room for substantial improvements in automation of current manual processes. For many companies such as wholesale distribution or manufacturing, systems are often highly automated already and available ROI is minimal. The equipment rental industry in many cases is an exception. There are still so many manual processes that a new system can achieve substantial levels of positive ROI. In areas such as checking equipment availability, invoice generation, pricing optimization, preventative maintenance, and field service, organizations can hope to achieve substantial gains by implementing a new system.
Are you going to the ARA Rental Show, February 11-13, 2013 in Las Vegas? If you are, come see us in booth 129 and don’t forget to enter our pre-show draw for a Microsoft Surface!