7 ways to maximize your ServiceNow ROI

ServiceNow return on investment (ROI) can be puzzling because you don’t get instant results with a click of a button. But when it comes to ServiceNow, there are many ways to get that ROI. 

ROI is the indicator of result, combining the net return on both CAPEX and OPEX investments. But the realization of ROI should be part of every ServiceNow initiative, right from the start. 

The discussion around ServiceNow ROI is ongoing and fueled by the decreasing availability of project funds, and the difficulty to measure outcomes in a volatile environment. The inherent adaptability of ServiceNow as a flow engine means that it became the ultimate driver for continuous improvement in many organizations. As a result, benefits are realized instantaneously, while the ROI baseline becomes blurred due to the many factors influencing the outcomes big and small.   

The biggest benefit of ServiceNow is that it streamlines and automates repetitive tasks and makes work flow. People can spend more time on customers, outcomes and complex cases, which leads to higher productivity and customer satisfaction. Another immediate benefit of ServiceNow is that it increases the level of control in organizations by offering deep insights on process data, resulting in real-time dashboards. This enables managers to drive organization maturity and positive outcomes faster.  

Factors affecting ServiceNow ROI

1. Work Volume – Since automates processes, certain modules work better for processes ServiceNow with high throughput. For example, HRSD (HR Service Delivery) offers extensive automation solutions for onboarding people. The ROI of the implementation and maintenance will be higher in organizations that onboard +100 people per month compared to smaller, stable organizations that onboard only a handful of people per month. 
2. Geography – global organizations with operations all over the world, will have to deal with cultural and legislative differences. ServiceNow standardization can be a challenge due to those local requirements. Therefore, it’s important to start with a sound platform architecture to avoid this complexity becoming a burden.
   
   
3. Data protection and classification – Data is a valuable resource, and it’s important to manage it carefully. Data classification, governance and retention policies should be part of the ROI analysis.
   
   
4. Level of complexity– ServiceNow is a powerful tool suitable for a wide range of businesses and a variety of integrated processes. The ROI of ServiceNow will increase with the degree of integration between different processes, systems and departments as it removes boundaries that hinder efficiency and effectiveness.
   

Tip 1: Buy wisely

ServiceNow offers many modules or solutions that serve different functions. The implementation time for these modules varies based on the level of complexity. That’s why buy wisely so that you can implement quickly. And, if you need our help, you know what to do. 

Tip 2: Avoid initial customizations

Since ServiceNow is so customizable, you can easily spend a lot of time molding it to fit your business needs. But, to generate ServiceNow ROI quickly, avoid customizations and focus on creating a minimum viable product (MVP) that has the basic features of your envisioned product. That way you can implement faster and keep improving the product and strategy.

Tip 3: Strongly adhere to CSDM

ServiceNow is centered around the Common Service Data Model (CSDM). Therefore, it’s important to follow the CSDM framework as it ensures ServiceNow application data is correctly mapped to the appropriate CMDB tables. Failure to follow the CSDM will result in limited platform ROI and benefits. 

Tip 4: Have a strong data foundation

For the best experience with ServiceNow, have a single way of structuring and classifying your data. It not only helps you implement faster and integrate smoothly but also makes it easier to switch platforms if needed.  

Additionally, a strong or well-maintained data structure also makes it easier for ServiceNow to keep track and gather information.  

Tip 5: Research about the strengths and weaknesses of different modules

Certain modules are designed to boost ServiceNow ROI. So, it’s important to research their strengths and limitations before deciding where to invest. For example, Strategic Portfolio Management (SPM) gives you a detailed overview for project tracking or viewing the entire portfolio. This makes it easy for CEOs to decide and explain where the value lies.  

However, certain modules, such as Flow Designer and App Engine benefit all organizations.  

Tip 6: Align company goals with the platform

To generate maximum ServiceNow ROI, it’s important to align the platform goals with the company goals and strategy. This way, you can easily shape the platform to fit your strategic goals instead of wasting time trying to figure out how to use ServiceNow as your company grows and policies change. 

Tip 7: Have good governance

Often businesses get lost in the process instead of focusing on objectives. Therefore, make sure to keep a close eye on your objectives, define them and set them up in a dashboard.  

Bonus tips for executives

1. Be fast and be bold. Stay connected, set clear goals, and focus on MVPs first. 
2. Make sure to have a good adoption plan that includes details of “why, what, how, when and who”
3. Don’t be wary of new technology as ServiceNow can adapt and change over time. 
4. Start with the end in mind: make dashboards part of your projects from the beginning