return on time invested

{{AI-generated|date=January 2025}}

Return on Time Invested (ROTI) is a metric employed to assess the productivity and efficiency of time spent on a specific activity, project, or product. The concept is similar to return on investment (ROI), but instead of financial capital, ROTI measures the qualitative and quantitative outcomes derived from the time invested. The metric is relevant in contexts where time is a significant resource, including product management, personal productivity, business process optimization, and education or training evaluation.{{Cite web|url=https://www.forbes.com/2008/02/28/economics-time-price-oped-time08-cx_pm_0229maidment.html|title=The Price Of Time |last=Maidment|first=Paul|website=Forbes|date=29 February 2008|language=en-US|access-date=10 June 2024}}

Calculation

While the specific calculation of ROTI can vary depending on the context, a general formula can be expressed as: ROTI = Total value or Output obtained / Total time invested.{{cn|date=August 2024}}

File:Return-on-time-invested.svg

=After a meeting=

Some organizations use the ROTI method to evaluate meetings.{{Cite web|url=https://www.businesstimes.com.sg/incoming/strategy-deal-disruption |title=A strategy to deal with disruption |date=22 October 2018 |access-date=14 August 2024}}

Areas

=Project management=

ROTI is a metric used in product management to evaluate the efficiency of time allocation across various tasks and development phases. Product managers employ ROTI calculations to identify areas where time is being used effectively and those that may require optimization. This approach aids in resource allocation and productivity improvement efforts.{{Cite web|url=https://hbr.org/2022/03/dear-manager-youre-holding-too-many-meetings |title=Dear Manager, You're Holding Too Many Meetings |last1=Laker |first1=Benjamin |last2=Pereira |first2=Vijay |last3=MalikAshish Malik |first3=Ashish |last4=Soga |first4=Lebene |website=Forbes |date=9 March 2023 |access-date=14 August 2024}}

=Personal productivity=

Individuals use ROTI to enhance personal productivity by evaluating how their time is spent on different activities. This helps in prioritizing tasks that offer higher returns on time invested and minimizing time spent on low-value activities. Media outlets like Inc. frequently offer tips on maximizing personal productivity, often referencing the principles behind ROTI.{{Cite web|url=https://www.inc.com/john-eades/why-you-should-be-more-worried-about-your-return-on-time-instead-on-investment.html|title=Why You Should Be More Worried About Your 'Return on Time' Instead of Investment|last=Eades|first=John|website=Inc.|date=10 September 2018|language=en-US|access-date=10 June 2024}}

=Business process optimization=

Organizations leverage ROTI to improve overall efficiency by analyzing how employee time contributes to business goals. By understanding the ROTI of different processes and functions, organizations can streamline operations and allocate resources more effectively. Reports in Harvard Business Review have highlighted case studies where businesses improved their efficiency through better time management and ROTI assessments.{{Cite journal|url=https://hbr.org/2023/05/how-to-read-a-business-book|title=How to Read a Business Book|last=Clark|first=Timothy|journal=Harvard Business Review|date=17 May 2023|language=en-US|access-date=10 June 2024}}{{Cite web|url=https://www.law.com/therecorder/2021/06/28/getting-real-return-on-legal-marketing-and-client-development-efforts/?slreturn=20240510075952|title=Getting Real Return on Legal Marketing and Client Development Efforts|last=Torres|first=Vanessa|website=Law.com|date=28 June 2021|language=en-US|access-date=10 June 2024}}

See also

Further reading

  • {{Cite book |last=Tracy |first=Brian |title=Time Power: A Proven System for Getting More Done in Less Time Than You Ever Thought Possible |year=2007 |publisher=AMACOM |isbn= 978-0814474709}}
  • {{Cite book |last=Chernev |first=Alexander |title= The Marketing Plan Handbook |year=2014 |publisher= Cerebellum Press |isbn= 978-1936572397}}
  • {{Cite book |last=Vaden |first=Rory |title= Procrastinate on Purpose: 5 Permissions to Multiply Your Time |year=2015 |publisher= Penguin Publishing Group |isbn= 978-0399170638}}
  • {{Cite book |last=Fryrear |first=Andrea |title= Mastering Marketing Agility: Transform Your Marketing Teams and Evolve Your Organization |year=2020 |publisher= Berrett-Koehler Publishers |isbn= 978-1523090983}}
  • {{Cite book |last=Robache |first=Maxime |title= Mettre en place et manager le télétravail : 20 outils pour co-construire la performance collective et la qualité de vie |year=2020 |publisher=EYROLLES |isbn= 978-2212574937}}

References

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{{Management}}

Category:Management

Category:Investment