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Calculating the ROI of an
Employee Performance
Management System

If you have experience managing talent, you already understand that an employee performance
management (EPM) system will help your organization cut costs or improve profits. But how do
you show that return-on-investment (ROI) to others? The more clearly you can show how an EPM
system will positively affect your bottom-line; the easier it will be to get company buy-in.
In most organizations, at least 70% of expenses are paid out in employee salaries. Even so,
mass adoption of tools that help diagnose, develop and enhance these assets is a recent
phenomenon. It doesn’t make sense if you think about it—rarely does a company’s supply chain
process go without automated monitoring tools and rarely do IT assets go unmonitored. So why
not use technology to help optimize your organization’s people?
For that reason, this whitepaper will focus primarily on areas where EPM systems will reduce
costs and increase productivi
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