Microsoft Dynamics NAV Benefits Calculator

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The Benefits Estimator is designed to calculate the potential annual savings you could achieve using Microsoft Dynamics ERP solutions. After identifying your industry sector, you can drill down into the key benefits as identified by current customers and determine the estimated savings for your organization. The tables below summarize the input and estimated annual savings your organization could achieve with Microsoft Dynamics ERP.
Estimated Annual Savings:	$50.00

Increased Productivity	$
Role-based views, RoleTailored home pages, and integration with Microsoft Office, Microsoft SharePoint Server, and Microsoft Dynamics helps to reduce the time spent searching for and inputting information, driving increased productivity for both users and non-users accessing data.		"It saves us, across all our different departments, 10 to 20 hours per week. We’re saving as much as a week per month over what we would be doing if we didn’t have it." - Customer quote from Nucleus Research
How many employees will be using Microsoft Dynamics?				How many employees do you expect to use Microsoft Dynamics ERP?
What is the average fully loaded annual salary of an employee?	$			What is the total cost of each employee? The total cost includes salary, overhead, taxes, and other benefits. If you are unsure, a reasonable estimate is to use the average employee salary plus 35 percent.
How much more productive do you estimate they will be?			%	Nucleus Research analysts concluded that organizations moving from disparate systems or paper-based processes could expect to increase user productivity by 20 to 50 percent.

Reduced IT Costs	$
Companies deploying Microsoft Dynamics ERP found its integration with other systems reduced overall costs for support in and some cases allowed organizations to eliminate hardware and re-devote IT support resources.		“In Microsoft Dynamics, there is integrated business intelligence that just isn’t in other ERP applications. And because it supports web services, we can connect to custom applications―we don’t need to use just one technology or one vendor.” - Customer quote from Nucleus Research
Estimated reduction in IT support costs	$	Lorem ipsum dolor sit amet, consectetur adipiscing elit. Maecenas quis turpis nisi. In blandit ultricies erat et condimentum. Donec pharetra.
Elimination of hardware maintenance costs	$	Lorem ipsum dolor sit amet, consectetur adipiscing elit.
Reduction in system integration costs	$	Lorem ipsum dolor sit amet, consectetur adipiscing elit. Maecenas quis turpis nisi. In blandit ultricies erat et condimentum.

Improved Visibility	$
Nucleus found greater visibility into business operations was a common benefit Microsoft Dynamics ERP customers recognized, particularly those who were moving from disparate systems or individually owned paper or Microsoft Excel files. Reduced time spent building and running reports was the primary quantifiable benefit.			“We don’t produce the volume of reports we used to with the old legacy system. Most of the information in Microsoft Dynamics is available on the screen in just a few clicks. Users can access a lot of information on their own.” - Customer quote from Nucleus Research
How many hours are spent each month building reports?			This is the total number of hours spent, on average, each month building reports and assembling information.
What is the average annual salary of employees involved in reporting?	$		What is the total cost of each employee? The total cost includes salary, overhead, taxes, and other benefits. If you are unsure, a reasonable estimate is to use the average employee salary plus 35 percent.
What percentage of that time can they save by using Microsoft Dynamics?		%	Having a central source of data, enabling users to have their own role-based views of information, and providing access to real-time data and user-friendly analytical and reporting tools gives organizations deploying Microsoft Dynamics greater visibility into their business. Nucleus Research analysts found organizations could dramatically reduce, and in many cases eliminate entirely, their custom reports.

Reduced Administrative Overhead	$
Ready access to information and a better way to share information across the organization enable Microsoft Dynamics customers to reduce the amount of administrative staff needed to manage and report on business processes and manually reconcile information between systems.			“We dropped our collections group to two, and it was as large as nine, at one point. We haven’t had to add people as work has grown—and in fact, we reduced our staff time spent on reconciling cash in different systems by 50 percent.” - Customer quote from Nucleus Research
How large is your administrative staff?			One of the job duties of administrative support staff is supporting information gathering and reporting. What is the total number of administrative support staff in your organization?
What is the average fully loaded annual salary of an admin?	$		What is the total cost of each employee? The total cost includes salary, overhead, taxes, and other benefits. If you are unsure, a reasonable estimate is to use the average employee salary plus 35 percent.
By what percentage can you reduce or redeploy this staff?		%	In addition to broad increases in employee productivity, many Microsoft Dynamics ERP customers find they can completely automate processes that were supported by administrative staff before and redeploy those resources entirely.

Reduced Cost of Goods Sold	$
Features such as sales configuration, order processing, and bills of materials management enable Microsoft Dynamics ERP users to track both materials and labor resources needed for specific production runs to optimize manufacturing runs while minimizing costs.			“Our bills of materials (BOMs) are all online and available to our operators, and if an error is found in a BOM, it can be fixed very quickly. There’s not a lot of paper shuffling back and forth. We were tracking a 5% per-year reduction in COGS, and we’ve done that.” - Customer quote from Nucleus Research
What are your total annual sales?	$		What is the total sales revenue for your organization?
What is your BOM as a percentage of sales (or per unit)?		%	What is your total bill of materials percentage?
By what percentage can you reduce the BOM cost?		%	Features such as sales configuration, order processing, and bills of materials management enable Microsoft Dynamics users to track both materials and labor resources needed for specific operations. Nucleus Research analysts found reductions in BOM percentages ranged from 5 to 50 percent with initial benefits of 10 to 15 percent and long-term benefits averaging 25 percent.

Reduced Inventory	$
Using Microsoft Dynamics ERP organizations can track inventory received from purchase orders at individual stores, automatically update inventory data, provide central visibility into all transactions at individual stores, and analyze inventory trends to reduce overall inventory and inventory carrying costs.			“We’re not using all the heavy MRP yet, but we cut our inventory an average of 25 percent because of improvements in the supply chain.” - Customer quote from Nucleus Research
What is your average inventory value?	$		What is your your average inventory level on an ongoing basis?
What is your cost of capital?		%	What is your current cost of capital? If unsure a reasonable estimate would be to use the current borrowing rate for your organization.
By what percentage can you reduce your current inventory?		%	Greater visibility across warehousing and manufacturing, supply planning capabilities, and up-to-date inventory information enable Microsoft Dynamics ERP users to reduce their inventory while maintaining or even improving the ability to deliver to customers. This often results in a combination of reduced shrinkage as well as reduced cost of goods sold.

Improved Supply Chain	$
Companies allowing access to Microsoft Dynamics ERP data through the business portal reported that they were better able to communicate and set expectations down the supply chain, reducing overall partner management costs.			“With suppliers, we have a clear picture on a monthly basis and run cash flow on a weekly basis. We’re much more aware of payables and receivable and have been able to maintain or improve our terms on receivables.” - Customer quote from Nucleus Research
How much do you spend supporting your supply chain?	$		What are the total costs to support the customer service component of your supply chain? This includes costs such as customer service agents, marketing materials, training, travel, and other support-related activities.
By what percentage can you reduce this cost?		%	The ability to synchronize demand data with supplier and production availability enables manufacturers to reduce time managing suppliers and instead focus on opportunities to gain greater supply chain efficiencies on an ongoing basis. Nucleus Research analysts found that the average organization could reduce its supply chain support costs by 30 percent.

Reduced Customer Service Expense	$
Streamlining support tasks can enable managers to focus on providing high levels of customer service at minimal cost.			“Before, orders were entered manually. That could take a week and a half. Now, point of sales is tied into ERP, so there’s no need for human intervention.” - Customer quote from Nucleus Research
How many total hours per week is spent on customer service?			How many hours does your organization spend on customer service activities? This includes responding to customer inquiries, returns, and sales support.
What is the average annual fully loaded salary of an employee?	$		What is the total cost of each employee? The total cost includes salary, overhead, taxes, and other benefits. If you are unsure, a reasonable estimate is to use the average employee salary plus 35 percent.
By what percentage can you decrease customer service time using Microsoft Dynamics?		%	Automating the management of campaigns and prices and streamlining other administrative tasks can enable managers to focus on providing high levels of customer service at minimal cost. Nucleus Research analysts found that the average retail organization could reduce its customer service expense by 30 percent.

Improved Expense Management	$
Account management down to the program, fund, division, or cost center, and the ability to drill down to segment details, enables managers to quickly gain a detailed view of expenditures.			“Before Microsoft Dynamics, the number one problem was that people couldn’t get information about their budgets in a timely manner―if they overspent, it was because they didn’t have money they thought they had. Now, they can see immediately because all the information is in one place.” - Customer quote from Nucleus Research
What are your total annual expenses?	$		What is the average annual expense amount? This includes travel and entertainment, office supplies, and all other budgeted discretionary expenditures.
By what percentage can you reduce these expenses?		%	Nucleus Research analysts found that organizations using Microsoft Dynamics ERP had greater visibility into expenditure details. In addition, managers were able to quickly assess expenses on an ongoing basis and make corrections to future spending to bring total expenses into alignment. Not only did this reduce the frequency of expense overages, it highlighted opportunities to more efficiently control costs. The average organization was able to reduce expenses by 18 percent.

Improved Utilization	$
Greater visibility into resources and the ability to make assignments based on personnel qualifications and skills, as well as the ability to automate team calendars and timekeeping, can help managers efficiently schedule resources.			“We have shrunk, but we’re confident that when things turn around that we will be able to add capacity without adding people—largely because of Microsoft Dynamics and the efficiencies we’ve gained.” - Customer quote from Nucleus Research
What is the average number of annual hours billed by an employee?			What is the annual number of hours billed by an average employee?
How large is your professional services staff?			How many employees do you have on your professional staff? These are employees who are billing hours.
What is the average hourly billing rate for these employees?	$		What is the average billing rate for a member of the professional staff? If there is a wide rage of billing rates, use the weighted average hourly billing rate for your organization.
By what percentage can you increase billable hours with Microsoft Dynamics?		%	For professional services organizations, increased visibility and project scheduling allowed for more accurate allocation of resources, resulting in increased billable, or working hours.

Reduced Accounting and Audit Costs	$
Organizations using an outside firm or auditor to audit their books will find the ability to readily access information, report on data, and develop custom dashboards in ERP will accelerate the accounting review process and likely reduce audit cost and risk.			“Our staff is more productive because they can focus on what needs to get done. In accounting, we’ve reduced our workload by 20 to 30 percent.” - Customer quote from Nucleus Research
What is your annual audit cost?	$		What is your total cost for your annual accounting audit?
By what percentage can you reduce this cost?		%	Often overlooked as a benefit, Nucleus Research analysts found that the use of Microsoft Dynamics ERP could reduce the time needed to generate reports and answer inquires during the annual audit. Over a period of a few years, many companies noted a slight reduction in audit fees due to the reduced burden on the outside audit staff.

This tool is based on direct analyst interviews and research on Microsoft Dynamics published by Nucleus Research. Nucleus Research is a global provider of investigative, case-based technology research and advisory services that provide real-world insight into maximizing technology value. For more information, visit NucleusResearch.com.