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The ROI of a
Safety Management System

The value of the health and safety of your human capital is priceless and hence the ROI, infinite! But we understand you need trustworthy numbers for your CFO, and so let’s calculate the ROI of a Safety Management Software.

Liberty Mutual estimated in its 2021 Workplace Safety Index report that U.S. employers paid more than $58 billion… yes, billion… as direct workers’ compensation costs for disabling, non-fatal workplace injuries. That’s more than $1 billion for every single week of the year! And these direct costs don’t even include several indirect costs, like training replacement employees, investigations, implementation of corrective measures, lost productivity, repairs of damaged equipment and property, and costs associated with lower employee morale and absenteeism.

In fact, according to the National Safety Council, for every $1 invested towards worker safety, organizations get returns in the range of $2 to $6. Yes, that’s 2x to 6x ROI!

Now, let’s do a quick back-of-the-envelope ROI calculation for your EHS investment. Enter your average input data below and complete the form to view your estimated ROI, instantly.  

One Final Step Before
We Show the ROI Details

Glossary of Financial Terms

Total Saving for 3 Years: Potential savings achieved over a three-year period by transitioning from manual processes and/or the current system to the ProcessMAP.

ROI for 3 Years (%): Return on Investment (ROI) is a measure of how much value/ returns your investment (by adopting the ProcessMAP platform) generates relative to its cost.

Net Present Value (NPV) for 3 Years – Net present value, or NPV, is used to calculate the current total value of a future stream of payments. If the NPV of a project or investment is positive, it means that the project or investment is attractive/ profitable.

Cost to Delay per month: The cost to delay per month is the net present value divided by the total number of months in analysis. This indicates the opportunity cost of not making an investment decision immediately.

New Revenues Equivalent for 3 Years: New Revenue equivalent is the additional revenue you must generate over a three-year period to account for the financial costs of having an inadequate EHS system. Such costs include workers’ compensation claims, regulatory penalties, etc.

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