JIRA2SAP ROI Business Case
JIRA2SAP connects Jira Software with the SAP system. The benefits of them linked together are clear and evident:
- data consistency in both systems and online synchronisation
- time saving by avoidance of double input
- increased productivity
But the use of the JIRA2SAP connector also has impressive financial benefits. And now let's examine a business case with a return on investment (ROI) after the implementation of our connector.
For calculation we need some input data:
employee hourly rate* | CHF 65.00 |
| working days per year | 254 |
| employee holidays | 25 |
| work weeks per year | 45.8 |
| current estimated productivity rate** | 80% |
| weekly working hours per employee | 40 |
| calculated "bookable hours"** | 32 |
| saved effort by implementation of JIRA2SAP (hours per week)*** | 0.5 |
* - Using the Swiss Federal Department of Economic Affairs’s Gross monthly wage calculator, we calculated the salary of an employee with 10 years of work experience working as a manager in the IT and other information services industry.
** - In general, 80% +/-5% is the industry standard for engineering, so roughly 6 hours per day are used for productive work. The remained 2 hours are consumed by organizational or administration tasks, coffee breaks and small talks.
*** - We have considered quite humble improvement (separate input in both systems may take longer time per week, it depends on a company department or employee responsibilities)
Continuing our calculation, we can see how much employee effort per year is saved by the implementation of JIRA2SAP:
employee hourly rate* | CHF 65.00 |
working days per year | 254 |
employee holidays | 25 |
work weeks per year | 45.8 |
| current estimated productivity rate** | 80% |
weekly working hours per employee | 40 |
calculated "bookable hours"** | 32 |
| saved effort by implementation of JIRA2SAP (hours per week)*** | 0.5 |
| saved efforts for the year (hours) | 22.9 |
calculated "bookable hours" including the improvement | 32.5 |
improved productivity rate | 81.3% |
We see that the improved productivity rate has grown by only 1.3%. However, while this growth may not seem significant, it's worth considering the big picture:
| number of employees | savings per year |
| 1 | CHF 1,488.50 |
| 12 | CHF 17,862.00 |
| 24 | CHF 35,724.00 |
| 48 | CHF 71,448.00 |
| 72 | CHF 107,172.00 |
| 96 | CHF 142,896.00 |
Assuming that the amount of investment neither the license for JIRA2SAP and its adaptation for a particular company needs will be $35,600, we can clearly see that starting from 24 users, the implementation of our connector becomes not only payback, but also profitable.
investment | CHF 35,600 |
productive hour improvement per week per employee affected by the JIRA2SAP implementation | 0.5 |
required number of employees to benefit | 24 |
If we change the hourly rate in our calculation to 40 CHF, then the company will have its investment returned in 1 year if there are 39 employees affected by the JIRA2SAP implementation. If the hourly rate is 90 CHF, the company needs 19 employees to get its ROI 100% in one year.
The more your employees work both with Jira and SAP, the more profitable it is to take advantage of the JIRA2SAP connector.
The cost of JIRA2SAP consists of the license cost plus the development to adapt the solution to the SAP modules and business processes used in your company.
For each individual case, our specialists conduct research and calculation. The proof of concept process takes up to 5 working days, and full integration is a matter of 4-6 weeks!
If you are interested in our solution, please contact us.