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Total Economic Impact Study Of Yammer - By Forrester Consulting
 

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  • Providing a public venue for and record of conversationsDiscussions benefit more peopleTap into “wisdom of crowds” Public dialog “not invasive” to daily workRecord of conversation, accessible referenceImproved vertical communication between leadership and employees:Top-down and bottom-upClarify corporate positions on relevant issuesDirect feedback from employees without filtersGet “pulse of company”, trends “bubble up”Jump hierarchical barriersCustomer feedback drives improvements, real resultsReinforcement of success drivers:Post daily results, get kudos for “over the top” serviceEmployees increase personal brand and influenceEmployees emerge as thought leaders or role modelsReinforce behavior that drives success, business results

Total Economic Impact Study Of Yammer - By Forrester Consulting Total Economic Impact Study Of Yammer - By Forrester Consulting Presentation Transcript

  • PRESENTATION Prepared BY:
    Tanya Loh, Engagement Strategist
    @tloh
    The Total Economic Impact of YammerA Commissioned Study by Forrester Consulting (April 2011)
  • Some yams are easy to measure
  • But what about these?
    “With Yammer, we are able to connect and collaborate with subject-matter experts in our global enterprise, we have the ability to communicate between headquarters and the field, and we have the ability to share experiences and engage leadershipin conversation.”
    “Yammer has been theonly cross-functional, cross-silo place for people to go to get their questions answered. It’s our global water cooler and it did a great job.”
    − VP of online communications
    media and technology firm
    − Director of IS Strategy and Innovation
    Fortune 500 pharmaceutical firm
    VALUE
    “The Total Economic Impact of Yammer”, April 2011,
    a commissioned study conducted by Forrester Consulting on behalf of Yammer.
  • What is the ROI of Yammer?
    Conducted by Forrester Consulting on behalf of Yammer, the purpose of this commissioned study is to:
    Provide a framework to evaluate the potential financial impact of deploying Yammer and address why companies should invest
    “With Yammer, we are able to connect and collaborate with subject-matter experts in our global enterprise, we have the ability to communicate between headquarters and the field, and we have the ability to share experiences and engage leadership in conversation.”
    − Director of IS Strategy and Innovation
    Fortune 500 pharmaceutical firm
    “The Total Economic Impact of Yammer”, April 2011,
    a commissioned study conducted by Forrester Consulting on behalf of Yammer.
  • 12 week commissioned study with Forrester Consulting
    Interviews with 4 Yammer customers (paid licenses, mature networks)
    Designed composite customer case of 7,000 users / 21,000 employees
    Based on a three-year term at list pricing, risk-adjusted ROI:
    Executive Summary
    Table 1
    Composite Organization Three-Year Risk-Adjusted ROI
    Source: Forrester Research, Inc.
    “The Total Economic Impact of Yammer”, April 2011,
    a commissioned study conducted by Forrester Consulting on behalf of Yammer.
  • Tieto, a leading IT service company in Northern Europe
    17,000 employees, 4,900 on Yammer
    A regional division of a North American automobile and travel organization
    5,000 employees, 3,700 on Yammer
    A diversified media, technology, and information services firm
    50,000 employees, 18,000 on Yammer
    A Fortune 500 multinational biopharmaceutical company
    60,000 employees, 11,000 on Yammer
    *Yammer network totals current as of time of interview
    Participating Customers
    “If you were looking to solve a technical or process problem, in the past you had limited resources. With Yammer, your resource horizon is significantly greater, and getting the answer is significantly faster.”
    − Director of IS Strategy and Innovation
    Fortune 500 pharmaceutical firm
    “The Total Economic Impact of Yammer”, April 2011,
    a commissioned study conducted by Forrester Consulting on behalf of Yammer.
  • Projected Costs
    List pricing ($5 per user per month), not including discounts
    All other costs, including admin support and oversight, implementation and training, based on customer experience
    Total Cost: $1.7 Mn for 3 year license for 7,000 users
    “Several people have said that one week on Yammer has taught them more about the organization than the years they’ve spent here.”
    − Consultant, Enterprise Content Management Department
    IT Services firm
    “The Total Economic Impact of Yammer”, April 2011,
    a commissioned study conducted by Forrester Consulting on behalf of Yammer.
  • Projected Benefits
    Project cost savings: avoiding redundant work, reorganization of processes, improved collaboration and communication
    High engagement worker: 28% of network, 1.4% productivity increase, 50% captured by company
    Medium engagement worker: 32% of network, assume 0.7% productivity increase, 50% captured by company
    Faster onboarding: assuming 5% turnover, with 2.3% to training, overall 10% reduction in new hire training costs
    Total Benefits: $10.2 Mn for 3 year license for 7,000 users
    “The Total Economic Impact of Yammer”, April 2011,
    a commissioned study conducted by Forrester Consulting on behalf of Yammer.
  • Yammer Helped Simplify, Reuse
    “The Total Economic Impact of Yammer”, April 2011,
    a commissioned study conducted by Forrester Consulting on behalf of Yammer.
  • Additional Benefits
    Improved vertical communication
    Public venue for and record of conversations
    Reinforcement of success drivers
    “Results from the company survey came out. People are saying, ‘I’m so glad we have Yammer, I feel more connected to everyone in the company. The COO, the CEO – they are listening.’”
    − Social media strategist
    North American automobile and travel organization
    “The Total Economic Impact of Yammer”, April 2011,
    a commissioned study conducted by Forrester Consulting on behalf of Yammer.
  • The Total Economic Impact of Yammer
    The data collected in this study indicates thatdeploying Yammer has the potential to provide a solid return on investment through quantifiable project cost savings, productivity benefits, and reduced training costs.The risk-adjusted ROI of 365%, along with a rapid payback period (breakeven point), raises confidence that the investment is likely to produce a positive outcome…[based] on these findings, companies looking to implement Yammer can anticipate significant productivity gains and cost savings.”
    – Forrester Consulting

    365% ROI, 4.3 month payback, $5.7 Mn NPV
    risk-adjusted, 3 year license for 7,000 users at list pricing
    “The Total Economic Impact of Yammer”, April 2011,
    a commissioned study conducted by Forrester Consulting on behalf of Yammer.