ERP ROI: how to model working capital, cost savings and compliance value

An ERP investment delivers ROI across three vectors: working capital release (-20-30% stock), operational savings (-15% admin cost) and compliance value (ANAF SAF-T, e-Factura, e-Transport). Worked example: 80-user manufacturer, €220k invested, €1.4M returned in 3 years.

The 3 vectors

Working capital: better forecasting cuts safety stock 20-30% (on €5M inventory = €1M cash unlocked). Operational: -15% back-office FTE cost. Compliance: SAF-T, e-Factura, e-Transport, D394 automated — avoids €5k-€100k fines.

Worked example

80-user manufacturer: €220k invested year 1 → €1.4M cumulative return by end of year 3. Payback: 14 months. Payback 12-24 months for distribution/manufacturing; 18-30 for services with less stock.