Tea Talk: The True Value of Business Continuity – A paradigm shift from ROI to VOI
Speaker: Allan Lee
The True Value of Business Continuity – A paradigm shift from ROI to VOI
In the 21st century where businesses are dynamic yet volatile with the uncertainty of numerous disruptions that continue to baffle businesses, the supply chain and its operations.
What if businesses stopped and thought about the business landscape differently and see through the lens of value? In value on investment (VOI), an investment of ten thousand ringgit (RM 10,000) may yield a return tenfold or more.
Value on investment was first defined by the Gartner Group, which described it as the intangible assets that contribute heavily to an organization’s performance. The keyword there is intangible. These intangible assets include knowledge and expertise, processes, organizational structure, and the ability to collaborate – which is what Business Continuity/Disaster Recovery does.
VOI helps measure the total value of “soft”, or intangible benefits derived from continuity initiatives, in addition to those “hard” benefits measured by ROI. Its approach is critical to allow funding for continuity planning efforts that provide the competitive differentiation necessary in today’s dynamic business landscape for success of the efforts.
Areas covered in this talk:
- An ever-changing and volatile business landscape to consider
- Business Continuity – More than just the ROI
- Value On Investment – Looking beyond hard investments
- Eight concepts of VOI