To, Mart Doyle
From, Abhay Kshirsagar
Subject: Microsoft SharePoint
Our company will substantially increase the billable hours by 400 hours/year per PMP and revenue by
$1.8 million by implementing Microsoft SharePoint framework for our PMPs. Currently, our PMPs are finding it
cumbersome to manage project documents, which is reducing their billable hours, affecting our company’s overall
productivity. SharePoint will be an intelligent investment as it will allow our PMPs to share multiple versions of
project documents easily and also handle them effectively.
SharePoint specializes in providing collaboration space that is necessary for an efficient and a smooth
work environment. The key capability of SharePoint is collaboration, which allows members to easily utilize and
edit documents at the same time, and share their changes with each other. Currently, our PMPs are spending
a considerable amount of time just to share and manage documents with other members and clients; SharePoint’s
key capability will allow better collaboration amongst PMPs and also between PMPs and clients. For example,
in a scenario where PMPs have to share project documents over emails with clients, rather than engaging in the
inconvenient task of exchanging multiple emails, documents can be shared and edited simultaneously by PMPs
and clients on a single platform.
By investing in SharePoint our company will gain the net benefit of $1,846,250 over the period of three
years. Our company will incur the total cost of $150,000 over the period of three years, which includes hardware,
software and maintenance costs (Refer Table #2). Implementing SharePoint will increase our billable hours by
400hours/year per PMP, resulting in total increase of 3810 hours/year for all PMPs. Our resulting benefit over
the period of three years will be $2,000,250 (Refer Table #1). It is a viable opportunity for our company to increase
the productivity significantly by reducing the struggle of the PMPs and increase the billable hours.
Table #1
Revenue
Current
Billable
Hours
New
Billable
Hours
Total
Billable
Hrs.
Number
Of
PMPs
Price
Per
Hour
Revenue
Total
Revenue
Total
Revenue in
3 years
1500
10
$175
$2,625,000
$2,625,000
$7,875,000
1900
9
$175
$2,992,500
$3,291,1750 $9,875,250
1710
1
$175
$299,250
1 PMP will spend 190 hours to support the system (1900 – 190 = 1710).
Benefit = $9,875,250 - $7,875,000 = $ 2,000,250
Table #2
Costs
Year 1
Year 2
Year 3
Hardware +
Software Costs
$100,000
$0
$0
Maintenance
$18,000
$18,000
$18,000
$118,000
$18,000
$18,000
Total
Net Benefit = $2,000,250 - $154,000 = $1,846,250
Total Cost in
3 years
$154,000
References
"Microsoft SharePoint Hosting - Why SharePoint ?" Sherweb. Sherweb. Web. 20 Oct. 2014.
<http://www.sherweb.com/en-eu/sharepoint/why-sharepoint>.
Wheeler, Ashley. "SharePoint Collaboration Features." PhoenixTs. PhoenixTs. Web. 20 Oct. 2014.
<http://www.phoenixts.com/blog/sharepoint-collaboration-features/>.
Treumann, Robert. "Top 10 Benefits of Microsoft SharePoint Server." EScribe. EScribe, 1 May 2013. Web. 20
Oct. 2014. <http://www.escribecorporate.com/blog/2013/meeting-management/top-10-benefits-of-microsoftsharepoint-server>.