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Justification for the Purchase of an EHS Software solution

Cost Benefit Analysis and Return on Investment

When calculating the long term return on investment, you are forced to ask the classic question, “What is the cost of an accident that never happens as a result of having a risk management solution in place?”  In other words, how do I know the EHS software solution is worth the money if I don't know how many accidents WOULD have happened without its risk management and mitigation capabilities?  This question has plagued risk managers and EH&S professional for decades when trying to justify the cost of an enterprise risk management solution.

Since the advent of comprehensive EH&S software, the subject has gained considerable interest. For example, using data stored in an EH&S software application over a number of years, reports on cost and savings data can be generated based in part on the following:

  • Salaries from reduced staff

  • Efficiencies

  • Working smarter

  • Estimates or extrapolations of worker’s comp loss reduction due to the successful implementation of EH&S software

  • Case management

  • Savings due to improved OSHA compliance based on previous years of payouts, fines and experience

  • Estimated revenues from increased productivity due to a working EH&S information management system

  • The ability to provide new services for less money

In evaluating and deciding on an EH&S solution, management may need to be sold on the concept. Sometimes a Cost-Benefit Analysis (CBA) needs to be developed. Other times, a Return on Investment (ROI) proposal must be prepared. Whatever management’s justification preference happens to be, it is often helpful to see what others have done in the past regarding selling the concept.  The bullet points above are only some of the many possible points of savings that can be derived from the use of a complete EHS data management software solution.

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THE DATAPIPE APPROACH

Approach

The Big Picture

Define your System

License Fee

Next Few Steps

Implementation

Training

ONLINE DEMO

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Access our system and see DataPipe live as we move through various forms and reports.

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DataPipe USA is a service-disabled veteran-owned small business