Business case · Executive summary

The First Year Does Not Pay for Itself

A Finance-Ready Business Case for Municipal GIS

For Finance Directors, Budget Officers, City and County Managers, Council Members, GIS Managers and Public Works Directors.

The First Year Does Not Pay for Itself report cover

Asset Mapping Evidence Standard

  • Sources verified
  • Claims checked
  • Evidence critically assessed
  • Conclusions evidence-rated

Executive summary

Return on investment compares the monetized value of what a system produces against the cost of everything fed into it. It is a legitimate discipline — and a narrow one. Three specific distortions apply when it is pointed at a twelve-month GIS pilot.

Data conversion, metadata, workflow redesign and training are consumed in year one and paid back over many. Charging the full conversion cost against twelve months of partial adoption guarantees a negative result no matter how sound the project is. This report builds a finance-ready business case for municipal GIS: what it costs, what it returns, why a negative year-one ROI can still be rational, and how to present the investment to a finance department on its own terms.

Contents

  1. 01Executive Summary
  2. 02The problem: what a first-year ROI test actually measures
  3. 03The numbers: what it costs and what it returns
  4. 04Why a negative year-one ROI can still be rational
  5. 05Where GIS value actually comes from
  6. 06The GIS Investment Test
  7. 07Recommendation
  8. 08Build the case for your municipality
  9. 09Research & Methodology
  10. 10Method, scope, and assumptions
  11. 11Scenario analysis
  12. 12Volume test: does the demand actually exist?
  13. 13Implementation sequence
  14. 14Risks and failure modes
  15. 15Evidence Framework
  16. 16Bibliography
  17. 17Note on evidence quality