Maximising Your ServiceNow Investment: The CASE Value Realisation Advantage

Have you ever wondered if your investment in ServiceNow is truly paying off? In today's dynamic business landscape, accurately measuring the return on investment (ROI) for platforms like ServiceNow is crucial. Read this blog to understand the importance of benefits realisation and how CASE (Customer Advisory and Support Excellence), through its meticulous value realisation process, ensures your ServiceNow investments deliver tangible results and drive strategic value. 


The Disconnect Between Forecasting and Realisation 

While benefits forecasting, typically presented via a business case, is essential for securing project funding, the practice of measuring benefits realisation against these forecasts often gets neglected post-implementation. This gap can be attributed to several factors: 

1. 1. Shifting Business Priorities: Once a project is implemented, the organisation's focus often shifts to new initiatives, leaving little bandwidth to evaluate the success of past projects. This forward momentum, while essential for growth, can result in overlooked evaluations of whether the projected benefits were actually achieved. 
      
      
   2. Lack of Dedicated Resources: Effective benefits realisation requires dedicated resources to track and measure outcomes. Many organisations fail to assign specific roles or teams to this task, leading to a lack of accountability and follow-through. Without a clear owner of the benefits realisation process, it becomes easy for this critical step to be bypassed. 
      
      
   3. Inaccurate Forecasting Methods: Forecasts based on industry averages or generic benchmarks can lead to misleading ROI calculations. Each organisation's context and initial conditions are unique, and relying on broad averages can result in an "apples to oranges" comparison. A precise assessment of the customer's current state is crucial for accurate forecasting. 
      
      
   4. Insufficient Tools and Frameworks: Organisations often lack robust tools and frameworks to systematically measure and report on benefits realisation. Without these mechanisms in place, tracking the true impact of an investment can be challenging, if not impossible. 
      
      
   5. Cultural and Organisational Barriers: In some organisations, there may be a cultural resistance to tracking and reporting on benefits realisation. This can stem from a fear of accountability or a lack of understanding of the importance of this process. Breaking down these barriers requires a shift in mindset and a commitment from leadership to value and prioritise post-implementation evaluation.

A 2023 study by McKinsey & Company found that only 63% of organisations can confidently measure the ROI of their IT investments. This statistic highlights the widespread challenges with benefits realisation and the need for a more structured approach to ensure that the projected benefits is not just theoretical but also practical. 


Comparison Table: Benefits Forecasting vs. Benefits Realisation

The Importance of Benefits Realisation

Effectively measuring benefits realisation goes beyond simply justifying the initial investment in ServiceNow. It empowers businesses to demonstrate the platform's strategic value, secure funding for future digital transformation initiatives, and make data-driven decisions for continuous improvement. A study by the Project Management Institute (PMI) found that organisations with a strong focus on benefits realisation achieve an average of 25% higher ROI on their projects. By understanding the actual benefits achieved, businesses can optimise their ServiceNow usage and ensure it aligns with their long-term goals. 


Performing an Accurate Benefit Forecast

The foundation for successful benefits realisation lies in accurate benefits forecast. This process begins with aligning the project with the business's strategic goals, such as increasing revenue, decreasing costs, or improving customer retention. Next, it's crucial to establish a baseline by measuring relevant metrics like time taken for business activities, user experience scores, stakeholder involvement, and error rates. This baseline data helps set realistic and measurable improvement targets, ensuring the benefits Realisation process tracks progress towards achieving these goals. The Project Management Institute's "A Guide to the Project Management Body of Knowledge (PMBOK Guide)" outlines best practices for project management, including establishing baselines and setting measurable goals. 


Who Should Own Benefit Realisation? 

Ideally, the responsibility for benefits Realisation falls on a dedicated individual within the customer's business, such as a business process owner or the ServiceNow Platform Owner. This person is accountable for measuring, tracking, and reporting on the benefits achieved from the ServiceNow investment. Assigning ownership within the customer's organisation ensures a vested interest in tracking value and promotes accountability for achieving desired outcomes. 


How CASE Ensures Benefits are Achieved Using Our Value Realisation Process 

We employ a robust value realisation process to ensure that our clients achieve significant business benefits from their ServiceNow investments. This process is grounded in the fundamental principles of a standard business case, focusing on a cost vs. benefits analysis. Here’s a detailed look at how we operationalise this approach to deliver measurable value.


The Principles of the CASE Value Realisation Process 

Our value realisation process adheres to the core principles of project management, emphasising a balanced analysis of costs and benefits: 

• Cost: This includes the CASE Hours required to perform the work. 
• Benefits: These are the business benefits derived from the work performed by CASE, such as increased efficiency, cost savings, and improved service quality. 
  
  

The CASE Value Realisation Process 

Initial Engagement

• Goal Alignment: We start by aligning the intended improvements with our client's business goals. This involves understanding the specific objectives, whether it's increasing revenue, reducing costs, or enhancing customer satisfaction. 
• Benefits Forecasting: We forecast potential benefits based on expected improvements and cost savings. 

Baseline Measurement

• Current State Analysis: We document the current state, including the time taken for specific business activities, user experience metrics, and the rate of manual errors. 
• Baseline Data Collection: Accurate baseline data is essential for measuring improvements. 

Implementation

• Execution: We implement the ServiceNow solutions according to the agreed plan, ensuring that all enhancements are aligned with the forecasted benefits. 
• Support: Continuous support is provided to address any implementation issues and optimise performance. 

Benefits Tracking and Validation

• Continuous Monitoring: We track the actual benefits realised using real-time data and performance metrics. 
• Validation: Benefits are regularly validated against the forecast, with adjustments made for any discrepancies. 

Reporting and Review

• Real-Time Dashboard: Clients have access to the CASE value dashboard, which offers real-time visibility into value realisation progress. 
• Quarterly Reviews: We conduct quarterly reviews to discuss progress, validate benefits, and identify opportunities for further optimisation. 

Continuous Improvement

• Continuous Monitoring: We track the actual benefits realised using real-time data and performance metrics. 
• Validation: Benefits are regularly validated against the forecast, with adjustments made for any discrepancies. 
  
  

CASE Value Realisation Worked Example

To illustrate how our value realisation process works in practice, let's consider a specific case involving the implementation of a new Customer Satisfaction (CSAT) Dashboard. 

Example: New CSAT Dashboard Implementation

Initial Engagement

• Goal: Improve governance over CSAT by enhancing the clarity and relevance of survey questions, leading to better decision-making and higher service quality. 
• Forecasted Benefits: Anticipated improvements in productivity and efficiency, targeting a saving of 4,951 hours annually.

Baseline Measurement

• Current State: The client’s team manually processes a significant volume of CSAT data, resulting in inefficiencies and potential errors. 
• Baseline Data: Recorded the average time taken for incident and request handling and the associated costs. 

Implementation

• Deployment: Implemented the new CSAT Dashboard within the ServiceNow platform, automating data collection and reporting processes. 
• Support: Provided ongoing support to ensure seamless integration and address any challenges. 

Benefits Tracking and Validation

• Monitoring: Tracked the time saved and improvements in data accuracy and decision-making quality. 
• Validation: Confirmed the actual benefits, including 4,951 hours saved and an annual ROI of $247,550.
  

Reporting and Review

• Dashboard Access: The client accessed real-time updates on value realisation via the CASE Dashboard. 
• Quarterly Review: Reviewed the progress and validated the achieved benefits against the initial forecast. 

Continuous Improvement

• Feedback: Gathered feedback from the client to identify areas for further improvement. 
• Future Initiatives: Planned additional enhancements to build on the realised benefits. 
  
  

Detailed Example Calculation

Before Implementation

• Manual Processing: Managers spent significant time processing CSAT data manually. 

After Implementation

• Automated Reporting: The new CSAT Dashboard automated data collection and reporting, reducing manual efforts.

Value Realisation

• Time Saved: 4,951 hours saved annually. 
• Cost Savings: At $50 per hour, this equates to $247,550 saved per year. 

Tangible Benefits

• Increased Productivity: Significant reduction in manual processing time. 
• Cost Efficiency: Direct savings from reduced labour costs. 

Intangible Benefits

• Improved Service Quality: Higher perceived quality of service due to better data governance and decision-making. 

Visual Representation of the CASE Value Realisation Process

This visual representation illustrates the step-by-step process through which CASE ensures that clients achieve and demonstrate the value of their ServiceNow investments. By following this structured approach, we help clients achieve significant ROI, align IT initiatives with business objectives, and ensure continuous value delivery. 

The CASE Value Realisation Advantage

The CASE value realisation process mirrors the principles of the Project Management standard business case, balancing costs (CASE hours) against the resultant business benefits. This process involves calculating the CASE hours required to perform the work and the corresponding business benefits achieved. What sets the CASE value realisation process apart is its commitment to continuous alignment and visibility. 

• Alignment with Business Goals: Your dedicated CASE Lead will work closely with you to understand and confirm that the work performed aligns with your specific business goals. This ensures the ServiceNow investment directly contributes to achieving your desired outcomes. 
• Extensive Repository of Examples: CASE leverages a comprehensive repository of value realisation examples from previous engagements. This not only expedites the benefits forecasting process but also ensures the accuracy and relevance of the benefits identified for your unique needs. While this repository provides a valuable starting point, CASE validates these examples for each customer to avoid the pitfalls of generic industry averages. 
• Continuous Visibility and Reporting: CASE prioritises transparency throughout the engagement. The CASE Portal provides real-time visibility into the value realisation achieved for each project. Additionally, quarterly reports are delivered to key stakeholders, keeping everyone informed on progress and ROI. 
  
  

Maximising Your ROI with CASE

The CASE value realisation process is designed to maximise your return on investment in ServiceNow. With a focus on alignment, accurate forecasting, and continuous monitoring, CASE ensures that your ServiceNow investment delivers tangible results and drives strategic value for your organisation. Our ultimate goal is to achieve a 150% return on investment against your annual CASE spend, demonstrating the significant value proposition of partnering with CASE. This target exceeds typical industry benchmarks for ROI on ServiceNow implementations, highlighting CASE's commitment to exceptional value. 


Conclusion

Measuring the ROI of your ServiceNow investment isn't just a financial exercise; it's about validating and securing the strategic value your business derives from this powerful platform. By embracing a thorough benefits realisation approach, exemplified by the CASE value realisation process, businesses can ensure their ServiceNow investments are not only justified but also optimally aligned with their long-term goals. Are you ready to unlock the full potential of your ServiceNow investment? Explore CASE today and experience the power of benefits realisation in action. 

Ready to see the true value of your ServiceNow investment? Book a session with us today for a free consultation or benefits realisation assessment. Let CASE help you maximise your ROI and achieve your strategic goals.