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HOME ANALYSIS: Executive Briefing; Program ROI

Program ROI

Return on Investment is a business fundamental – You cannot operate a business without this standard of measurement on a day-to-day basis. Any capital investment or investment in process improvement does not move to implementation without clear return on investment metrics in place.

It begs the question then, why are so many recognition programs run with no R.O.I. metrics in place.

If you are a HR program administrator, can you provide your Chief Financial Officer with a solid accounting and ROI model for your recognition budget? A model that details each program application and a budgetary analysis for every $1.00 invested. Program yield and an annual IRR is very achievable and is considered a program best practice at AIG.

If you cannot or you do not have this level of reporting with your current vendor, let us show you how.

R.O.I. analysis begins in the Program design phase and AIG can help you:

  • Identify key metrics to track ROI
  • Build a reporting construct for proper visibility
  • Manage based on program results versus hunches and soft reporting

Just like your Investment Portfolio your Recognition Portfolio should show you a program yield each and every month.

Would you stay at an investment firm who only guessed at your portfolio return each month or each year? Of course you wouldn't.

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