Comments on: ROI Calculation for PPM Tools: How to Make Informed Investment Decisions (with Sample Calculation and Excel Download) https://www.theprojectgroup.com/blog/en/roi-calculation-ppm-tool/ TPG The Project Group provides a blog for project management experts, covering subjects like PPM, integration, ressource management and similar. Wed, 10 Dec 2025 14:52:20 +0000 hourly 1 https://wordpress.org/?v=6.4.7 By: Bettina von Staden https://www.theprojectgroup.com/blog/en/roi-calculation-ppm-tool/#comment-52698 Thu, 23 Oct 2025 14:23:23 +0000 https://www.theprojectgroup.com/blog/en/?p=8737#comment-52698 In reply to Dave Devenish.

Thanks a lot for your comment! Find an answer from Dr. Thomas Henkelmann below:

3 years was chosen as an example, because experience has shown that the benefits of a PPM solution only occur from 6-9 months after implementation. You can certainly take 4 or 5 years, but that doesn’t make much difference.

Calculating the IRR ABSOLUTELY needs a period of time (as opposed to ROI) and assumptions about WHEN the investment will be made and when the benefits will occur. For the example in the article, let’s take the three years with investment at the beginning and benefits in years 2 and 3. This results in an IRR of 146%:

Answer to IRR question

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By: Dave Devenish https://www.theprojectgroup.com/blog/en/roi-calculation-ppm-tool/#comment-52606 Sat, 18 Oct 2025 08:29:21 +0000 https://www.theprojectgroup.com/blog/en/?p=8737#comment-52606 Why have you selected a 3-year term? Is not IRR a better measure of project worth?

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