โ
๐ Calculation Formulas
๐ผ Productivity Gains Block 1
Productivity gains = aรbร(dโc)รe
a=Matters/yr ยท b=Admin hrs/matter/yr ยท c=Current automation% ยท d=Target automation% ยท e=Labor cost/hr
Value of time saved when staff can automate matter management through workflows and shared data, reducing manual processes.
Current result โ
๐ฐ External Spend Reduction Block 2
External spend reduction = fร(g+h)
f=Total external counsel spend ยท g=Spend reduction% ยท h=Invoice credit%
Direct savings from reduced reliance on external law firms through better budget tracking, vendor selection, guideline adherence, and recovery of billing errors.
Current result โ
๐ฏ Total & ROI Final
Total annual benefit = (Productivity gains + External spend reduction) ร Conservative factor%
Year 1 ROI = (Total โ (License + Services)) รท (License + Services) ร 100
Hours saved per year = aรbร(dโc)
Year 1 ROI includes one-off implementation costs. Conservative factor reduces all benefit estimates to reflect uncertainty.
Total annual benefit โ