How do you measure the ROI of your HMI SCADA system?

1 Define your goals

To measure the ROI of your HMI SCADA system, you must first define your goals and objectives. Consider how the system aligns with your business strategy and performance indicators. Common goals for HMI SCADA systems include improving productivity and efficiency, reducing downtime and maintenance costs, enhancing quality and safety, increasing customer satisfaction and loyalty, optimizing energy and resource consumption, and supporting innovation and growth. To track the impact of your HMI SCADA system, translate these goals into measurable metrics such as production output and throughput, operating time and availability, mean time between failures (MTBF) and mean time to repair (MTTR), scrap and rework rates, error and defect rates, customer retention and satisfaction rates, energy and resource usage and costs, and revenue and profit margins.

2 Estimate your costs

The next step to measure the ROI of your HMI SCADA system is to estimate your costs. You need to consider both the initial and ongoing costs, such as hardware and software acquisition and installation, licensing and maintenance fees, training and support costs, integration and customization costs, upgrades and updates costs, and security and compliance costs. Additionally, you should account for the opportunity costs of your HMI SCADA system - the benefits that you could have gained from investing in other alternatives. This could include expanding capacity, hiring more staff, or developing new products.

3 Calculate your benefits

The third step to measure the ROI of your HMI SCADA system is to calculate your benefits. You need to quantify the value of your HMI SCADA system in terms of reduced operating and maintenance costs, increased production and efficiency, improved quality and safety, enhanced customer satisfaction and loyalty, optimized energy and resource consumption, and supported innovation and growth. Additionally, there are intangible benefits that are difficult to measure but still important for your business such as improved employee morale and engagement, increased competitive advantage and market share, strengthened brand reputation and image, and reduced risk and uncertainty.

4 Compare your costs and benefits

To measure the ROI of your HMI SCADA system, compare your costs and benefits to assess how much you gain or lose over a certain period of time. Use suitable methods and formulas to calculate your ROI, such as Simple ROI, Annualized ROI, Net Present Value (NPV), and Internal Rate of Return (IRR). Additionally, compare your ROI with your expectations and benchmarks. Evaluate how your ROI matches your goals and objectives, compare it with other HMI SCADA systems or investments, and consider how it varies depending on different scenarios and assumptions.