Recently, I was speaking with the CEO of a large media company who shared with me the challenges of justifying deploying iPads in business. She asked the IT department to purchase roughly 100 iPads for her outside sales team, arguing that they needed to show customers what ads would look like when displayed on the tablet. Even though the sales justification seemed obvious, the CFO pushed back, arguing that he really couldn’t see the business case. In the end, she had to pull rank to get the iPads purchased.
Most of us, of course, don’t have the clout to tell the organization to make this kind of investment. When it comes to getting executive buy-in, we have to build a business case that demonstrates the ROI. All too often, CFOs like the one in the example will resist a “soft ROI”, based on metrics like increased productivity, so I thought it would be useful to share a few of the “hard ROI” justifications that help everyone in the organization better understand the total value of iPads in business.
Before getting to the hard ROI list, it’s worthwhile to discuss why the soft ROI shouldn’t be ignored. There’s a device most of you already have in your corporate environment that illustrates it perfectly: the Blackberry. I recall, years ago, that companies first looked at Blackberrys and decided that they made no financial sense. For CFOs and other execs, Blackberry represented a new cost that didn’t increase revenue, and further created a perceived security risk. Fast forward and we all know now that the thinking was myopic; millions of workers the world over have discovered that any time, anywhere connectivity has significantly reduced the friction incumbent in desktop (or even laptop) workflows and greatly increased productivity, which has a real impact on the bottom line. Taking this a step further and going back to iPad specifically, the soft ROI argument only becomes stronger with the full access to corporate resources afforded by the tablet form factor.
With that background, here are three of the key hard ROI concepts that I’ve seen at my enterprise customers:
Extended computer refresh cycle
On average, our customers seem to replace employee computers every three to four years. By giving users iPads, I’ve seen them extend the life cycle by another year. The reduced complexity and closed nature of the device result in an annual support rate that’s lower than a year’s worth of depreciation on a laptop. If you include the reduction in the annualized total laptop replacement costs, including IT provisioning and user downtime, it’s a pretty compelling argument.
Reduced theft/loss write-offs
Most mobile users carry company-supplied laptops. Unfortunately, the mobile nature of the devices ensures that a large user population will have some amount of ongoing loss or theft, resulting in the purchase of a new computer. However, if the employees spend more time carrying the lighter iPads, leaving their PCs secured at the office, the inevitable loss will be a $400 iPad instead of a $1200 PC. The further associated replacement/mitigation costs are also reduced, given that the iPad includes a very significant feature missing on PCs: remote wipe.
Laptop replacement
For those companies willing to embrace a new style of work, significant rewards can be realized by eliminating laptops altogether, replacing them with iPads. Some workers, of course, absolutely require the tools that are only available on a full scale computer. However, many employees would be very productive, and happier, using an iPad. This applies at both sides of the corporate hierarchy: I know CEOs who almost entirely rely on their iPads, relegating their laptops to a dusty corner of the office. Simultaneously, the low cost of the device allows the benefits of computerization to be extended to job roles that would not warrant the expense of a laptop.
Each of these concepts can be used to build a very specific, and compelling hard ROI that shows real dollars saved through iPad deployments. Further, as the devices become incorporated into the enterprise, the employees will begin to devise new workflows and ways to automate business process that fully leverage the devices. As those optimizations come on line, then the real returns begin.
Helping to build a very specific and compelling hard ROI case shows executives across industries the real dollars saved through iPad deployments. When coupled with the soft ROI productivity enhancement of constant information access, the business justification is clear.
We’re always curious to hear how others are finding ROI in their organization and we’d love to hear about them: please email your ideas to me at michael@iongrid.com.



