Programs That Pay For Themselves

ROI CS 3  

ROI CASE STUDY #3 - SAFETY/ATTENDANCE PROGRAMS

Most common safety and attendance objectives:
* Accident free days, weeks, months. etc.
* Reduction of lost time days or accidents
* Attendance improvement over a base period
* Combination of accident free days and attendance

A large national home builder wanted to reduce the number of lost work days over a six month period from 97 to 80. An internal audit had determined that it cost the company $2,500.00 per lost work day. Questions asked – What are the reasons for the absences? How much is it worth per lost day?

Each worker was provided with a brochure that featured products that could be purchased with points. Points were earned with each month of perfect attendance. Points doubled each month as the worker accumulated consistent perfect attendance months. Points were also awarded to everyone for accident free months.

Through this program, the company was able to reduce their lost days to 80 in that six month window. With an average lost day cost of $2,500.00, the following can be determined:

Investment - $25,000. This was the investment in merchandise, brochure and management of the program.
Cost Savings – $42,500. Lost days in six month window down to 80 from 97 after implementation of the program.

ROI - $17,500

SJM Promotional Marketing Agency
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