How to measure time saved and project value

Time the complete task

Measure from receiving the task until the information has been checked and the result is ready to use. Finding records, reviewing output, correcting errors and handling exceptions all count as work.

Choose a period that represents normal activity. Record task volume and time spent, then use the same start and finish points after implementation. Also note changes in volume so the comparison can distinguish a better process from a quieter month.

A budget example using stated assumptions

These assumptions estimate staff time released and its value at an hourly cost:

• 240 documents a month at 12 minutes each take 48 hours.
• A new workflow uses 3 minutes for processing and 2 minutes for review per document, totalling 20 hours.
• Another 4 hours of exception handling brings the new total to 24 hours.
• The workflow releases 24 hours a month. At an assumed NZ$50 per hour, the capacity value is NZ$1,200.

Staff can use those hours for other work. The business still needs to identify useful tasks, confirm that demand exists and check what the additional work achieves.

Include operating costs in the same calculation

Continue with an assumed NZ$400 monthly software and operating cost. Subtracting that amount from the capacity estimate leaves NZ$800 a month. Compare the initial implementation fee with the expected period of use and future workload.

If the process also needs NZ$1,500 a month of advisory, monthly outgoings reach NZ$1,900, above the NZ$1,200 time value in this example. At that workload, time savings alone do not support the arrangement. It needs a smaller support scope or another measurable benefit.

Record cash changes and service quality separately

Cash savings show up in reduced overtime, outsourced processing or other actual expenditure. If existing staff handle more work within the same hours, record the additional capacity and track what they complete.

Service measures might include errors, completion rates, customer response time or on-time delivery. Give each a consistent definition. Review those records alongside operating costs and checking time to decide whether to keep the workflow, adjust it or stop the investment.