How the Calculator Works

Understand how we calculate your potential ROI with Microsoft 365 Copilot

Overview

The Copilot ROI Calculator helps you understand the potential financial and productivity benefits of implementing Microsoft 365 Copilot for your organization. This tool takes several inputs about your specific situation and calculates the expected return on investment (ROI).

Input Parameters

Core Inputs

  1. Number of Users: The total number of employees who will use Microsoft 365 Copilot.
  2. Average Annual Salary: The average yearly salary for your employees in your selected currency.
  3. Hours Saved Per Week: The estimated time each employee will save weekly by using Microsoft 365 Copilot. This typically ranges from 0.5 to 10 hours.
  4. Currency: Your preferred currency for calculations.

Advanced Inputs

  1. Percentage of Work that is Repetitive: Choose how much of your employees' work involves repetitive tasks:
    • Low (20%)
    • Medium (40%)
    • High (60%)
  2. Time Reinvested into Productive Work: The percentage of saved time that will be effectively used for productive, revenue-generating tasks.

How We Calculate ROI

1. Annual License Cost

We calculate your total annual investment in Microsoft 365 Copilot licenses based on your number of users and selected currency, taking into account the monthly per-user license fee.

2. Annual Time Savings Value

To determine the financial value of time saved, we consider:

  • Your employees' effective hourly rate based on their annual salary
  • The total hours saved across all users throughout the year
  • The percentage of saved time that is reinvested into productive work

This gives us a realistic estimate of the monetary value generated from time savings when accounting for actual productive use of the saved time.

3. Return on Investment (ROI)

We compare the annual financial benefits (time savings value) against the annual investment cost to calculate your percentage return on investment. A positive ROI indicates that the benefits exceed the costs, while a negative ROI suggests the opposite.

For example, a 200% ROI means that for every $1 spent, you receive $3 in return ($1 original investment + $2 return).

4. Productivity Metrics

Productivity Improvement

We calculate overall productivity improvement by comparing the total hours saved to the standard working hours across your team. This shows you what percentage of total work time is being freed up by Microsoft 365 Copilot.

Repetitive Task Reduction

Based on your input about repetitive work percentage, we calculate how much of your team's repetitive task time is reduced. This helps you understand the impact specifically on routine, repetitive work.

Understanding the Results

Financial Impact

  • Annual License Cost: The yearly investment required for Microsoft 365 Copilot licenses.
  • Annual Time Savings Value: The monetary value of employee time saved.
  • Net Annual Benefit: The difference between time savings value and license cost.

Productivity Impact

  • Productivity Improvement: The percentage increase in overall team productivity.
  • Repetitive Task Time Reduction: The percentage reduction in time spent on repetitive tasks.
  • Annual Hours for High-Value Work: The total hours freed up for more complex, creative work.
  • Equivalent Workdays per Year: Time saved expressed in full workdays.

Making Decisions with the ROI Calculator

  • A positive ROI suggests Microsoft 365 Copilot is a worthwhile investment.
  • The higher the repetitive task percentage, the greater the potential benefit.
  • Time reinvestment rate is critical - saved time must be channeled into productive work.
  • Consider both financial returns and qualitative benefits like employee satisfaction and focus on high-value work.

Important Considerations

  • Results are estimates based on your inputs and assumptions.
  • Actual benefits may vary based on team composition, work types, and how effectively Microsoft 365 Copilot is adopted.
  • The calculator assumes a 48-week work year (accounting for holidays and vacation).
  • Employee experience improvements and potential productivity benefits are not directly factored into the ROI calculation but may provide additional value.

Our calculator takes into account your team's size, salary, and Copilot usage to determine your potential ROI.

We'll show you exactly how much you could save with Copilot.

Get a detailed breakdown of your team's potential savings and productivity gains.