Overcoming the myth that

the value of geospatial

can’t be measured

Keith Wishart,

Public Sector Strategist

ESRI (UK)

• Measuring the benefits

Overview

About me

Keith Wishart

Business Strategist

ESRI (UK)

kwishart@esriuk.com

@keith_wishart

My presentation

Extend the business case:

• Intangibles

• Extended ROI

• Case studies

My message to you:

“measuring intangibles is not so much a

problem to be overcome as an

opportunity to be seized”

• Measuring the benefits

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Budgetary constraints

Difficulty in building a business case due to a lack of demonstrable financial benefits

Lack of awareness and support from senior decision makers

Benefits of using more GIS don't seem to outweigh the cash costs

Benefits of using more GIS don't seem to outweigh the operational costs

Limited scalability of existing technology

Lack of internal demand for making greater use of GIS

Cash costs of procuring external data

Difficulty in building a business case due to a lack of demonstrable non-financial …

Lack of GIS champions

Your organisation's IT is not evolving to make greater use of enterprise systems

Internal operating costs of generating and maintaining your own spatial data

Your organisation's IT is not evolving to make greater use of web services and …

Strong negative influence Some negative influence No influence

ROI of the beholder

• Measuring the benefits“businesses that place a high

importance on managing the

economic value of their intangible

assets consistently outperform basic

economic measures”

“they are the sources of competitive

advantages and above normal

financial returns".

Intangibles

Intangible benefits of GI:

• Better decision making

• Improved customer service

• Easier access to data

• Improved data quality

Intangible Describable Detectable Measurable “Costable”

Intangible Benefit Expected Outcomes Possible Metrics

Better decision making Fewer wrong decisions Number of appeals

Speed of process

Improved customer

service

Less complaints Volume of contacts

in CRM system

Revenue/customer

Easier access to data Quicker compilation of

reports

Staff time spend

compiling reports

Improved data quality Less errors in data Data audit

Measurement

Extended ROI

Measures of Social ROI Measures of Political ROI

• Improved education

• Lower unemployment

• Reduced crime

• Better health outcomes

• Improved public trust

• Positive media

coverage

• Political capital

• Improved CPA/CAA

rating

Green IT

Carbon accounting, ROI & payback

Innovative use of GIS

• Measuring the benefits

Benefits “Spectrum”

Lower

Costs

Raise

Revenues

Increase

Satisfaction

Improve

Quality

Increase

Efficiency

Decrease

Risk

Increase

Capacity

Increase

Productivity

Geographic

Information

Customer complaints

System usage

Defects reported

Rework avoided

Less waste

Time saved

Decrease in process appealsVolume of information served

Amount of reuse

of input information

Data consolidation

Income generated

• Measuring the benefits

Intangibles “Target”

Structural Capital

Processes

Systems

Data

Geographic

Information

• Measuring the benefits

Extended ROI “Prism”

Environmental

Emissions Waste Pollution Conservation

Geographic

Information

• Measuring the benefits

Improve Quality

Decrease Risk

Lower Costs

Strategic

Objectives

Better decision

making

Accurate

Felling

Faster Planning

Business

Metrics

Business

Visualisation

Contract Maps

Design Plans

Business

Projects

Data

Visualisation

Tools

Map Production

System

Data Capture

&

Database

Technology

Projects

How?

Why?

The value of GI to UKplc

Improving customer service

• Customer Access

Strategy developed

through geographic

analysis and resident

profiling

• New services will

precisely meet the

needs and

preferences of

residents

• £4m pa savings

16

Mapping Consolidated Demand Index

arising from drugs misuse:

1) DAAT Needle Exchange volumes

2) NHS Business Authority - Opiate

Dependence prescriptions spend

3) Police Data – drug possession

offenders

4) Probation Service OASys – drug

offenders with Criminogenic Need

5) Demographic Propensity - derived

from ACORN profile of drug

offenders

6) The team identified:

1) £53m in savings to the NHS

2) £42m to Criminal Justice

3) £5m to benefits

Birmingham

Total Place pilot

The value of GI to UKplc

Times up!

Intangibles are the real value drivers

Extend your business case

Thanks!