ROI (Return on Investment)

Return on investment (ROI) is a business ratio that indicates the relationship between profit and investment costs. ROI enables companies to assess the profitability of investments and make informed decisions about future investments.
In the production environment, ROI is often used to assess investments in new machines, software solutions such as MES, training or process optimization.

Example:
A manufacturer of plastic parts invests in an MES solution. After 18 months, the ROI analysis shows that the investment has already been fully amortized thanks to reduced downtimes and improved reject rates.