When a company decides to invest in an improvement, it is normal that doubts arise about its profitability. Calculating the ROI of Low code, the technology that is set to revolutionize the way applications are developed, is no more complicated than any other tool. If we pay attention to the following keys, we can easily estimate the advantages of betting on a low-code platform.
Defining how Low code will help us
First of all, the most advisable thing to do is to identify the objectives that the Low code should cover. Once defined, calculating the ROI of the Low code will be easier, as the most important metrics of the business’ digital strategy will have been determined.
To help identify them, setting metrics on time-to-market and adoption can be interesting in the case of application development. If the objective is a specific problem, monitoring productivity-related metrics is more interesting.
It is also important to define controls that involve the performance of the company’s digital transformation and its growth.
Determine the ROI of the Low code
Although each business is different and the specificities of each company are what make them unique, the truth is that there are common elements that can be easily controlled. Thus, to estimate the benefit of Low code adoption we can control for some characteristics that are seen in almost any company.
The software development cost is the most important. The speed of development and the adaptability of low code makes this a key point in controlling the ROI of Low code. Comparing the budget of a traditional solution and that of a Low code solution is paramount. In addition, the low code allows resources to be reallocated more quickly in the event of deviations.
The business objectives pursued with the digital transformation of a business are also a good point to monitor. Compare the current situation with how it would change with the implementation of Low code solutions. Calculate the ease of change adoption. Or track and compare implementation costs.
Finally, it is also interesting to analyze the response time to update or change needs and the impact they have on the operation of the business.
It is important to measure the ROI of the Low code. | Photo: Karolina Grabowska.
Measuring and increasing return on investment
Once you have identified all the control points that can be measured to evaluate the performance and ROI of the Low code, it is time to leverage them.
In order to maximize ROI, it will be necessary to determine which friction points have been detected. Those elements that can be improved can be enhanced and will serve as key points to increase ROI.
In addition, with the study carried out in the analysis of the defined metrics, it will be very easy to determine the value of the advantages in the adoption of Low code solutions.
So, as we have seen, defining, evaluating and enhancing the elements that can control the ROI of the Low code is very easy. Deciding to adopt a technology that can be a business booster is easier if we can estimate the advantages it entails.