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Calculating the ROI of a SOA Project

ROI is gaining momentum as many sponsors are finding hard to justify SOA initiatives without ROI. ROI often comes as a bottleneck or a barricade in justifying SOA initiative. ROI can be calculated to a fairest degree; however it fails to be accurate. Not accurate because it is spread over a period of time. SOA is not an immediate pain killer that gives temporary relief, but is solving the problems from the root. The ROI process is challenging and requires a lot of home work.

ROI is no doubt is a key concept to come to a decision, but for SOA initiatives the companies should not focus ROI ahead of time. SOA is a concept and the ROI calculated in most of the cases is low compared to the benefits it brings. It's a mindset of doing things. ROI should be used as a facilitation tool not a road blocker thing. Because the intangible benefits for the future would be far more than the ROI calculated with the tangible things in the current environment.

This paper describes various aspects of ROI for SOA project/initiative, also various questions like why ROI? Is ROI possible for initiatives like SOA that are more intangible in nature? If yes, how shall we go ahead?


Piyush Thakuria Senior Architect, Wipro Technologies The author has about 11 years of experience in architecting, designing and developing complex Enterprise IT Applications for Fortune 500 companies. Last 4 years have been focused in giving consultation around SOA. He has authored many papers on SOA and Enterprise web services.
27 Jun 2008
01 Jan 2007
15 Page(s)
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