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Continuous Learning

ROI vs. EOSC – Evidence of Sustained Capability

This return on investment (ROI) thing is getting out of hand. There is no question that valid ROI is invaluable in justifying the decision to make [or not] key investments. I have to ask, “So what is actionable about ROI after justifying/verifying an investment decision?”  To get there, we seek event-specific evidence to confirm good or bad investment decisions; I cannot see anything else actionable. Seeking ongoing evidence that we created a sustained capability serves a better purpose. I do not know who said this, but it is so true, “The pursuit of true ROI does not yield a good ROI”. That said, if the concept of ROI falls into the wrong hands, it becomes a knee-jerk, ritualized, abused, and misapplied expectation, ultimately morphing into a ridiculous exercise I refer to as Return on Every Damn Thing (ROEDT).