Return on Time Invested (ROTI)
Return on Time Invested (ROTI) is a metric used by product managers to measure the value of time spent on a particular project or task. It helps in determining whether the time invested in a project is worth it or not.
ROTI can be calculated by dividing the benefits of a project by the time and resources invested in it. This metric provides insight into how effectively the time was utilized, and whether it resulted in positive outcomes for the company.
ROTI can be measured in different ways, depending on the project type and goals. For example, if the goal of a project is to increase revenue, ROTI can be calculated by dividing the revenue generated by the time and resources invested in the project. Similarly, if the goal is to reduce costs, ROTI can be calculated by dividing the cost savings by the time and resources invested.
ROTI is an essential metric for product managers to evaluate the success of their projects and make data-driven decisions. It helps in prioritizing tasks, identifying areas that require improvement, and optimizing resource allocation.
However, it is important to note that ROTI is not the only metric that should be considered when evaluating a project's success. Other factors such as customer satisfaction, market share, and brand reputation should also be taken into account.
In conclusion, ROTI is a valuable tool for product managers to measure the value of time invested in a project. It provides insights into the effectiveness of resource allocation and helps in making data-driven decisions.