Total Economic Impact
Cost Savings And Business Benefits Enabled By Daily Management System
A FORRESTER TOTAL ECONOMIC IMPACT STUDY COMMISSIONED BY FABRIQ, January 2026
Total Economic Impact
A FORRESTER TOTAL ECONOMIC IMPACT STUDY COMMISSIONED BY FABRIQ, January 2026
Large manufacturing organizations have implemented quick response quality control (QRQC) and animation à interval court (AIC) methodologies to efficiently manage production issues. By replacing manual whiteboard-based approaches and legacy digital solutions with Fabriq’s Daily Management System, not only is time saved every day through more efficient meeting preparation, but issues can also be detected and resolved more quickly. Faster issue resolution results in improved performance, time savings, and enhanced employee experience. By implementing additional use cases, such as project management, the system can deliver additional value.
Fabriq’s Daily Management System is a SaaS solution that enables shop floor and related teams to meet more efficiently, resolve issues faster, and improve site performance. Lean routines, including the management of QRQC and AIC methodologies, are streamlined at large manufacturing sites.
Fabriq commissioned Forrester Consulting to conduct a Total Economic Impact™ (TEI) study and examine the potential return on investment (ROI) enterprises may realize by deploying Daily Management System.1 The purpose of this study is to provide readers with a framework to evaluate the potential financial impact of Daily Management System on their organizations.
To better understand the benefits, costs, and risks associated with this investment, Forrester interviewed five decision-makers at various sites in a large manufacturing enterprise who have experience using Fabriq. Forrester used this experience to project a five-year financial analysis.
The interviewees said that prior to using Fabriq, their organizations used physical whiteboards to manage these meetings, track metrics, and discuss issues. Meeting preparation time was inefficient, and issue resolution was not as fast as it could be. Furthermore, data could be lost and/or erroneous using physical processes.
After the investment in Daily Management System, their organizations were better able to manage meetings, track KPIs, manage projects, and more quickly identify root cause and resolve issues. As a result, they became much more efficient, were able to improve performance (such as higher first pass yield), and reduce costs.
Quantified benefits. Five-year, risk-adjusted present value (PV) quantified benefits for the composite organization include:
Meeting efficiencies of €30.6 million. The largest benefit, accounting for 77% of total benefits over the five-year period, is more efficient meetings. In particular, the composite sees reduced meeting preparation time, saving all team administrators 30 minutes every day.
Improved first pass yield amounting to €3.6 million. As the composite organization resolves issues faster, performance and quality improve. As a result, less time is required for rework, and the amount of wasted materials is reduced. Faster issue resolution may also avoid damage to machinery, which can be costly and impact production.
Faster issue resolution worth €3.3 million. The Fabriq system enables teams to meet faster to find the root cause of issues and agree on how to resolve them. On average, this saves 15 the composite minutes per issue.
Legacy platform cost savings of €195K. The composite sees cost savings because Fabriq replaces alternative digital tools on some sites.
Unquantified benefits. Benefits that are not quantified for this study include:
Continued QRQC and AIC maturity development. QRQC metrics and use of AIC continue to improve with the use of the Fabriq system, ensuring continued maturation of these methodologies.
Ease of use. The Fabriq daily management system is intuitive and easy to use, helping to ensure widespread adoption.
Improved employee experience. With the increased effectiveness and efficiency enabled by Fabriq, the employee experience improves, which can impact employee productivity and reduce attrition.
Enhanced organizational alignment. By using a single tool across all sites and tiers acts like a common language, collaboration improves.
Scalability and adaptability. As a SaaS service, Fabriq is highly scalable and able to easily accommodate more sites, teams, and users. It is also adaptable for use with a number of different use cases and in diverse divisions of the organization. Furthermore, it requires no infrastructure-related investment, such as server procurement and maintenance, that an on-premises approach would.
Costs. Five-year, risk-adjusted PV costs for the composite organization include:
SaaS subscription fees of €2.8 million. Fabriq charges for the solution based on the level of adoption.
New hardware, implementation, and site setup costs of €1.4 million. This includes costs of new digital screens, smartphones, the initial software setup, as well as costs associated with setting up new sites.
Training costs of €4.4 million. All new users need to be trained on the system, while both team and site administrators need to be trained annually to ensure continued optimal use of the platform.
Maintenance and governance costs of just under €10,000. The composite expends minimal resources annually for the maintenance and governance of Fabriq.
The financial analysis that is based on the interviews found that the composite organization experiences benefits of €37.6 million over five years versus costs of €8.7 million, adding up to a net present value (NPV) of €29.0 million and an ROI of 335%.
Total hours saved in meeting preparation time in Year 3
On a per site basis, the payback period is shorter given that many of the costs are sunk. Forrester analyzed site level data, which shows that the payback period for different site sizes are as follows:
Small site (~250 users): four to five months
Medium site (~500 users): three to four months
Large site (~750 users): <3.5 months
Return on investment (ROI)
Benefits PV
Net present value (NPV)
Payback
| Role | Level | Fabriq Perspective |
|---|---|---|
| VP, manufacturing 4.0 | Group | Technology leadership |
| Domain leader | Group | Group operations |
| Director of operations | Site | Site director |
| Transformation project leader | Team | QRQC management |
| Lean Six Sigma master | Team | QRQC management |
Before the investment, the organization primarily used physical whiteboards to manage the daily meetings.
The interviewee noted how their organization struggled with challenges, including:
Slow problem resolution lead times. One of the biggest challenges, exacerbated by the COVID-19 global pandemic, was that not all experts, such as support engineers and managers, were physically present on the shop floor. When issues arose, it took time to bring in these experts, who are needed to help find the root cause and resolution. Furthermore, it took time to explain the issue, and it might take a few meetings for full alignment across the relevant team, thus delaying fixing issues.
Inefficient manual processes. The whiteboards that were previously used required team administrators to manually prepare for the meeting, which included managing data between a computer and the whiteboard. After the meeting, the team administrator also had to gather the data, bring it to their computer and input it. Materials such as pens, sticky notes, magnets and so on also need to be managed. Not only is such a manual process sub-optimal, it can also result in human error.
Lack of data storage. Managing data on physical whiteboards is challenging, it can get lost, mistakes can be made and it is not easy to bring together historical information. Lack of historical data also makes looking at trends more difficult and resolutions and approaches used previously can be lost and so have to be reworked from scratch.
The primary use case for the Fabriq system at the organization is for managing daily meetings. The organization uses QRQC and AIC in all of its sites and wanted a digital solution that supported this methodology, in particular to manage key metrics: Safety, Quality, Cost, Delivery (SQCD). These are lean manufacturing and quality management methodologies used for performance tracking and problem-solving. Additional use cases are also implemented, notably first-level maintenance, project management and 5S for lean manufacturing. Adoption of the tool is shown in the table below.
| Metric | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 |
|---|---|---|---|---|---|
| Divisions | 1 | 5 | 9 | 9 | 9 |
| Live sites | 4 | 34 | 62 | 75 | 80 |
| Teams | 33 | 958 | 3,505 | 5,738 | 7,143 |
| Users | 105 | 3,881 | 18,606 | 35,000 | 50,000 |
For this use case, Forrester has modeled benefits and costs over five years.
Based on the interviews, Forrester constructed a TEI framework, a composite company, and an ROI analysis that illustrates the areas financially affected. The composite organization is representative of the interviewees’ organizations, and it is used to present the aggregate financial analysis in the next section. The composite organization has the following characteristics:
Description of composite. It is a large global manufacturer with approximately 100,000 employees, approximately €28 billion in revenue, and 11 divisions and offering a range of products and services.
Deployment characteristics. Prior to the investment, the composite was already mature in terms of its QRQC capability, use of the AIC methodology and related skill level across its footprint. It mostly used whiteboards and manual processes for managing daily meetings, but also had implemented an alternative digital tool for approximately 10% of sites. The primary use case was for managing daily meetings across all manufacturing sites. The composite is also adopting additional use cases, including project management, equipment maintenance, and 5S manufacturing.
100,000 employees
€28 billion revenue
178 R&D and production sites
11 divisions
| Ref. | Benefit | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Total | Present Value |
|---|---|---|---|---|---|---|---|---|
| Atr | Meeting efficiencies | €85,536 | €2,483,136 | €9,084,960 | €14,872,896 | €18,514,656 | €45,041,184 | €30,610,136 |
| Btr | Improved first pass yield | €9,965 | €289,602 | €1,058,760 | €1,733,252 | €2,158,002 | €5,249,581 | €3,567,646 |
| Ctr | Faster issue resolution | €9,120 | €264,845 | €969,000 | €1,586,333 | €1,974,776 | €4,804,074 | €3,264,862 |
| Dtr | Legacy platform cost savings | €0 | €0 | €95,040 | €95,040 | €95,040 | €285,120 | €195,331 |
| Total benefits (risk-adjusted) | $104,621 | $3,037,583 | $11,207,760 | $18,287,521 | $22,742,474 | $55,379,959 | $37,637,975 |
Evidence and data. The interviewees explained that their teams experienced significant time savings in the preparation for daily meetings.
The transformation project leader at team level, said, “Using Fabriq for the QRQC meeting is very quick now, and we save a lot of time compared to the paper method [we used] previously.”
The director of operations at site level, said, “Now that the meeting preparation time takes less than 5 minutes, you have the information, and you can prepare meetings very quickly.”
The director of operations at site level, shared: “It gives us a frame to use the philosophy of QRQC more easily on the shop floor. I think it’s a good tool with this routine system. [It] is very, very helpful and useful.”
The Lean Six Sigma master at team level, said, “It’s easy to share information on the mobile app or tablet while on the shop floor.”
Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:
Each team has one meeting per day.
Fabriq saves team members 30 minutes in meeting prep time.
The average fully burdened hourly rate for a team administrator is €48.
A standard 50% productivity capture rate is applied, as not all time savings are repurposed for productive work.
Given the total time savings, it is likely that the organization can make reductions in the size of its workforce over time, such as avoiding backfill of employees who leave.
Risks. This benefit can vary from organization to organization due to the following factors:
Meeting frequency.
The hourly rate for a team administrator.
Results. To account for these risks, Forrester adjusted this benefit downward by 10%, yielding a five-year, risk-adjusted total PV (discounted at 10%) of €30.6 million.
Meeting preparation time savings
| Ref. | Metric | Source | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|---|---|
| A1 | Total teams | Interviews | 33 | 958 | 3,505 | 5,738 | 7,143 | |
| A2 | Meetings per year | 48*5*A1 | 7,920 | 229,920 | 841,200 | 1,377,120 | 1,714,320 | |
| A3 | Team administrator meeting prep time savings per meeting (hours) | Interviews | 0.5 | 0.5 | 0.5 | 0.5 | 0.5 | |
| A4 | Total meeting prep time savings (hours) | A2*A3 | 3,960 | 114,960 | 420,600 | 688,560 | 857,160 | |
| A5 | Average fully burdened hourly rate for a team administrator | Composite | €48 | €48 | €48 | €48 | €48 | |
| A6 | Percentage of time savings applied to productive work | TEI methodology | 50% | 50% | 50% | 50% | 50% | |
| At | Meeting efficiencies | A4*A5*A6 | €95,040 | €2,759,040 | €10,094,400 | €16,525,440 | €20,571,840 | |
| Risk adjustment | ↓10% | |||||||
| Atr | Meeting efficiencies (risk-adjusted) | €85,536 | €2,483,136 | €9,084,960 | €14,872,896 | €18,514,656 | ||
| Five-year total: €45,041,184 | Five-year present value: €30,610,136 | |||||||
Evidence and data. The interviewees explained that with the Fabriq daily management system, issues could be resolved more quickly.
The Transformation project leader at team level, shared that they experienced 170,000 issues in Year 3 and that 1% of these were critical issues. By being able to more quickly identify, understand, and resolve such issues, they were able to improve first pass yield and in turn, reduce the amount of rework required and waste.
Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:
Forrester estimates that critical issues constitute 1% of all issues for the composite each year during the five-year study period.
Forrester assumes that 25% of the rework required for these critical issues can be avoided after deploying Fabriq.
The composite avoids an average of 16 hours of rework per year.
The average fully burdened hourly rate for a team administrator performing this work is €48.
Ten percent of the waste from critical issues can be avoided after deploying Fabriq.
The average cost of waste per critical issue is €5,000.
Risks. The expected financial impact is subject to risks and variation based on several factors:
The number of critical issues per year.
The portion of issues avoiding rework time and/or waste.
The average amount of rework effort and cost of waste.
Results. To account for these risks, Forrester adjusted this benefit downward by 10%, yielding a five-year, risk-adjusted total PV (discounted at 10%) of €3.6 million.
Portion of critical issues avoiding additional rework time from improved first pass yield
| Ref. | Metric | Source | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|---|---|
| B1 | Total issues per year | Interviews | 1,601 | 46,465 | 170,000 | 278,305 | 346,451 | |
| B2 | Percentage of issues deemed critical (i.e., potentially impacting production) | Interviews | 1% | 1% | 1% | 1% | 1% | |
| B3 | Critical issues per year | B1*B2 | 16 | 465 | 1,700 | 2,783 | 3,465 | |
| B4 | Percentage of critical issues requiring additional rework time avoided from improved first pass yield | Interviews | 25% | 25% | 25% | 25% | 25% | |
| B5 | Average rework time avoided per critical issue (hours) | Interviews | 16 | 16 | 16 | 16 | 16 | |
| B6 | Average fully burdened hourly rate for a team administrator | A5 | €48 | €48 | €48 | €48 | €48 | |
| B7 | Avoided critical issue rework time savings | B3*B4*B5*B6 | €3,072 | €89,280 | €326,400 | €534,336 | €665,280 | |
| B8 | Percentage of critical issues with reduced waste from improved first pass yield | Interviews | 10% | 10% | 10% | 10% | 10% | |
| B9 | Average avoided cost of wasted materials per critical issue | Interviews | €5,000 | €5,000 | €5,000 | €5,000 | €5,000 | |
| B10 | Reduced waste | B3*B8*B9 | €8,000 | €232,500 | €850,000 | €1,391,500 | €1,732,500 | |
| Bt | Improved first pass yield | B7+B10 | €11,072 | €321,780 | €1,176,400 | €1,925,836 | €2,397,780 | |
| Risk adjustment | ↓10% | |||||||
| Btr | Improved first pass yield (risk-adjusted) | €9,965 | €289,602 | €1,058,760 | €1,733,252 | €2,158,002 | ||
| Five-year total: €5,249,581 | Five-year present value: €3,567,646 | |||||||
Evidence and data. All the interviewees highlighted that an important benefit of Fabriq was its reduction in the time needed to resolve issues.
The VP, manufacturing 4.0 at group level, explained: “The first action is done during the meeting, immediately. We have one meeting with all the relevant people, and they all understand the problem. [For everyone] to understand correctly, it’s very, very important.”
The Lean Six Sigma Master at team level, said, “Now with Fabriq, it’s very easy to get all the people together to quickly complete the root cause analysis.” He also explained that different issues required different people, and with the digital tool, it was much easier to share the problem details and be able to quickly meet and agree on a plan to resolve the issue.
The transformation project leader at team level, shared: “We lost a lot of time because when you need to share some data, you would share it and wait for an answer. With Fabriq, you immediately see the action of another team for support, and you can see directly if they have responded and completed the action.”
Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:
The total issues (event tickets) is estimated for each of the five years during the period.
The total hours saved was calculated, based on the 15 minute saving per issue.
The average fully burdened annual salary of a team administrator is €100,000,
A standard 50% productivity capture rate is applied, as not all time savings are repurposed for productive work.
Risks. The expected financial impact is subject to risks and variation based on several factors:
The number of issues experienced.
The hourly rate for a team administrator.
Results. To account for these risks, Forrester adjusted this benefit downward by 5%, yielding a five-year, risk-adjusted total PV (discounted at 10%) of €3.3 million.
Reduction in issue resolution time
| Ref. | Metric | Source | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|---|---|
| C1 | Total issues | B1 | 1,601 | 46,465 | 170,000 | 278,305 | 346,451 | |
| C2 | Average time savings per issue (hours) | Interviews | 0.25 | 0.25 | 0.25 | 0.25 | 0.25 | |
| C3 | Total time savings (hours) | C1*C2 | 400 | 11,616 | 42,500 | 69,576 | 86,613 | |
| C4 | Average fully burdened hourly rate for a team administrator | Composite | €48 | €48 | €48 | €48 | €48 | |
| C5 | Percentage of time savings applied to productive work | TEI methodology | 50% | 50% | 50% | 50% | 50% | |
| Ct | Faster issue resolution | C3*C4*C5 | €9,600 | €278,784 | €1,020,000 | €1,669,824 | €2,078,712 | |
| Risk adjustment | ↓5% | |||||||
| Ctr | Faster issue resolution (risk-adjusted) | €9,120 | €264,845 | €969,000 | €1,586,333 | €1,974,776 | ||
| Five-year total: €4,804,074 | Five-year present value: €3,264,862 | |||||||
Evidence and data. The interviewees highlighted that they were experienced some cost savings with Fabriq replacing legacy digital tools at some of the sites.
Prior to the Fabriq investment, one in 10 sites had implemented an alternative digital tool.
Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:
The 10% of sites with an existing digital tool in place are replaced in Year 3, making a total of eight.
The cost of the legacy tool is €12,000 per site per year.
There is also a 10% maintenance cost saving in terms of the resources no longer required to manage these legacy tools.
Risks. The expected financial impact is subject to risks and variation based on several factors:
The rate of adoption and replacement of existing digital tools.
The cost of the legacy tools.
Results. To account for these risks, Forrester adjusted this benefit downward by 10%, yielding a five-year, risk-adjusted total PV (discounted at 10%) of €195,331.
Per site legacy tool platform cost savings
| Ref. | Metric | Source | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|---|---|
| D1 | Decommissioned sites with legacy platform | Interviews | 0 | 0 | 8 | 8 | 8 | |
| D2 | Legacy platform vendor cost (per site) | Interviews | 0 | 0 | €12,000 | €12,000 | €12,000 | |
| D3 | Legacy platform maintenance cost | D1*D2*10% | €0 | €0 | €9,600 | €9,600 | €9,600 | |
| Dt | Legacy platform cost savings | (D1*D2)+D3 | €0 | €0 | €105,600 | €105,600 | €105,600 | |
| Risk adjustment | ↓10% | |||||||
| Dtr | Legacy platform cost savings (risk-adjusted) | €0 | €0 | €95,040 | €95,040 | €95,040 | ||
| Five-year total: €285,120 | Five-year present value: €195,331 | |||||||
Interviewees mentioned the following additional benefits that their organizations experienced, but they were not able to quantify:
Continued QRQC and AIC maturity development. While the interviewees’ organizations are already mature in terms of their adoption of the QRQC and AIC methodologies before implementing Fabriq, by digitizing the data and improving efficiency, they were able to continue this journey, enabling stronger adherence to the QRQC group standard, more efficient AIC routines and accelerating problem-solving.
Improved QRQC KPIs. Following the Fabriq deployment, interviewees continued to improve QRQC-related KPIs. This is illustrated in the following table, which shows the proportion of data points within the four categories where targets were achieved between 2024 and 2025. For example, on average, quality KPIs saw a +2.1 percentage point increase in data points meeting their targets during this period.
| KPI | Safety | Quality | Cost | Delivery |
|---|---|---|---|---|
| Percentage of data points achieving targets (average) | 2.0% | 2.1% | 1.2% | 0.5% |
Ease of use. All the interviewees agreed that Fabriq is easy to use, so adoption was quick and high. While their organizations allocated resources to ensure that all users were familiar with and adept at using the tool, the time required was minimal, ensuring significant time savings and faster issue resolution. Team and site administrators continue to hold annual training to ensure optimal use and demonstrate upgrades and new features.
Enhanced organizational alignment. The interviewees highlighted the impact of using the same tool from the shop floor to leadership, serving as a common language across the organization. The domain leader at group level, explained, “It’s important in terms of change that we put it at the same levels: the CEO, for example, an operator with the same tool, and the process of escalation.” Escalations were faster and meetings more effective when all tier levels spoke a common language.
Improved employee experience. The employee experience also improved following the Fabriq investment, as employees from all levels were able to share ideas and information easily and efficiently. Employees were more efficient and able to focus on strategic and higher-level work. Improved employee experience can result in benefits such as higher productivity, easier talent acquisition, and increased tenure.
The value of flexibility is unique to each customer. There are multiple scenarios in which a customer might implement Daily Management System and later realize additional uses and business opportunities, including:
Scalability of SaaS. Fabriq is delivered as a SaaS and can be scaled as needed, with some customization. The customer organization was able to grow its adoption as required, with the number of sites growing to 62 over three years across different divisions, regions, and site types. Furthermore, the number of users and teams continues to grow on a per site basis as needed.
Use case adaptability. Not only were interviewees’ organizations able to scale the solution as required, they were also able to increase the number of use cases, thus increasing value. While Fabriq’s primary use case is managing daily meetings and tracking QRQC indicators, the tool is also increasingly being used for additional use cases, such as project management, first-level maintenance checks, and 5S manufacturing.
No IT infrastructure-related costs. As a SaaS solution, Fabriq does not require any infrastructure-related costs, such as server procurement, facilities, hardware setup, and related maintenance.
Flexibility would also be quantified when evaluated as part of a specific project (described in more detail in Total Economic Impact Approach).
| Ref. | Cost | Initial | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Total | Present Value |
|---|---|---|---|---|---|---|---|---|---|
| Etr | SaaS subscription fees | €0 | €62,076 | €527,646 | €962,178 | €1,163,925 | €1,241,520 | €3,957,345 | €2,781,265 |
| Ftr | New hardware, implementation, and site setup costs | €61,295 | €21,746 | €335,876 | €652,571 | €529,870 | €362,192 | €1,963,550 | €1,435,735 |
| Gtr | Training costs | €845 | €14,520 | €419,654 | €1,550,472 | €2,117,069 | €2,342,842 | €6,445,402 | €4,426,466 |
| Htr | Maintenance and governance costs | €0 | €1,478 | €2,323 | €3,168 | €3,168 | €3,168 | €13,306 | €9,775 |
| Total costs (risk-adjusted) | $62,140 | $99,820 | $1,285,500 | $3,168,389 | $3,814,032 | $3,949,721 | $12,379,602 | $8,653,241 |
Evidence and data. Fabriq charges an annual SaaS fee based on the number of sites. Pricing may vary. Contact Fabriq for additional details.
Modeling and assumptions. Based on the interviews, Forrester assumes that as Fabriq is increasingly adopted by the composite organization, its SaaS subscription fees grow year over year.
Risks. The expected financial impact is subject to risks and variation based on several factors:
The organization’s region.
The timing of the implementation.
The volume of issues experienced.
Results. To account for these risks, Forrester adjusted this cost upward by 5%, yielding a five-year, risk-adjusted total PV (discounted at 10%) of €2.8 million.
| Ref. | Metric | Source | Initial | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|---|---|---|
| Et | SaaS subscription fees | Interviews | €0 | €59,120 | €502,520 | €916,360 | €1,108,500 | €1,182,400 | |
| Risk adjustment | ↑5% | ||||||||
| Etr | SaaS subscription fees (risk-adjusted) | €0 | €62,076 | €527,646 | €962,178 | €1,163,925 | €1,241,520 | ||
| Five-year total: €3,957,345 | Five-year present value: €2,781,265 | ||||||||
Evidence and data. The interviewees explained that there were several costs associated with the deployment of Fabriq:
Implementation required new hardware investments, specifically for digital screens and smartphones.
Some business and IT resources had to be allocated initially in order to plan, test, and set up the software.
Setup costs also were incurred on a per site basis.
Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:
For every five new teams, a new digital screen is installed. Each screen costs €3,000, but only 25% of this cost is attributed to Fabriq, given that the screens are used for other purposes.
The team administrator requires a smartphone for every 10 users. Each smartphone costs €200, but only 25% of this cost is attributed to Fabriq.
Digital screens need to be replaced every five years and smartphones every three years.
For the initial setup, two business FTEs and two IT FTEs work for eight months, with the former needing to allocate 20% of their time and the latter 10% of their time.
The average fully burdened annual salary for the business and IT FTEs implementing the platform is €125,000.
For every new site, the setup effort is 40 hours and requires a €3,000 setup fee.
Risks. The expected financial impact is subject to risks and variation based on several factors:
The cost of hardware and/or their attribution to Fabriq.
The initial implementation time required.
The average hourly rates for FTEs involved in setup work.
Planned or on-going digital transformation initiatives
Results. To account for these risks, Forrester adjusted this cost upward by 10%, yielding a five-year, risk-adjusted total PV (discounted at 10%) of €1.4 million.
Setup time per new site
| Ref. | Metric | Source | Initial | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| F1 | Total teams | Interviews | 1 | 33 | 958 | 3,505 | 5,738 | 7,143 | ||
| F2 | New teams | F1year(n)-F1year(n-1) | 1 | 32 | 925 | 2,547 | 2,233 | 1,405 | ||
| F3 | New digital screens | F2/5 | 1 | 6 | 185 | 509 | 447 | 281 | ||
| F4 | Cost of new digital screens | F3*€3,000 | €3,000 | €18,000 | €555,000 | €1,527,000 | €1,341,000 | €843,000 | ||
| F5 | Digital screen cost attributed to Fabriq | Interviews | 25% | 25% | 25% | 25% | 25% | 25% | ||
| F6 | Total users | Interviews | 2 | 105 | 3,881 | 18,606 | 35,000 | 50,000 | ||
| F7 | New users | F5year(n)-F5year(n-1) | 2 | 103 | 3,776 | 14,725 | 16,394 | 15,000 | ||
| F8 | New smartphones | (F7/10)+three-year renewal | 1 | 10 | 378 | 1,473 | 1,649 | 1,878 | ||
| F9 | Cost of new smartphones (€200 each) | F7*€200 | €200 | €2,000 | €75,600 | €294,600 | €329,800 | €375,600 | ||
| F10 | Smartphone cost attributed to Fabriq | Interviews | 25% | 25% | 25% | 25% | 25% | 25% | ||
| F11 | New hardware costs | (F4*F5)+(F9*F10) | €800 | €5,000 | €157,650 | €455,400 | €417,700 | €304,650 | ||
| F12 | Business FTEs for initial implementation | Interviews | 2 | |||||||
| F13 | IT FTEs for initial implementation | Interviews | 2 | |||||||
| F14 | Length of initial implementation (months) | Interviews | 8 | |||||||
| F15 | Average percentage of business FTE time spent on implementation | Interviews | 20% | |||||||
| F16 | Average percentage of IT FTE time spent on implementation | Interviews | 10% | |||||||
| F17 | Average fully burdened annual salary for an implementation FTE | Interviews | €125,000 | |||||||
| F18 | Implementation costs | ((F12*F15)+(F13*F16))*F14*F17/12 | €50,000 | |||||||
| F19 | New live sites | E2year(n)-E2year(n-1) | 1 | 3 | 30 | 28 | 13 | 5 | ||
| F20 | Implementation hours/new site | Composite | 40 | 40 | 40 | 40 | 40 | 40 | ||
| F21 | Average fully burdened hourly rate for a team administrator | A5 | €48 | €48 | €48 | €48 | €48 | €48 | ||
| F22 | New site setup cost per site | Fabriq | €3,000 | €3,000 | €3,000 | €3,000 | €3,000 | €3,000 | ||
| F23 | New site implementation and setup costs | (F19*F20*F21)+(F19*F22) | €4,923 | €14,769 | €147,692 | €137,846 | €64,000 | €24,615 | ||
| Ft | New hardware, implementation, and site setup costs | F11+F18+F23 | €55,723 | €19,769 | €305,342 | €593,246 | €481,700 | €329,265 | ||
| Risk adjustment | ↑10% | |||||||||
| Ftr | New hardware, implementation, and site setup costs (risk-adjusted) | €61,295 | €21,746 | €335,876 | €652,571 | €529,870 | €362,192 | |||
| Five-year total: €1,963,550 | Five-year present value: €1,435,735 | |||||||||
Evidence and data. Training makes up the largest category (more than 50%) of total costs. Interviewees made clear that to ensure the best value from the Fabriq system, users and administrators needed to be familiar with Fabriq’s capabilities, how to use it, and changes, additions, and upgrades. This includes implementing effective change management to ensure smooth transition and successful adoption of the new system. One of the key benefits of the system is that everyone uses it in a standard and consistent way.
The interviewees shared that there are various training requirements at different levels of the organization:
New users of the system require 1 hour of training.
Team administrators require 4 hours of training per year.
Site administrators require 10 hours of training per year.
Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:
The training time for new users, team administrators, and site administrators is as the interviewees described above.
Users, team administrators, and site administrators have an average, fully burdened hourly rate of €48.
Risks. The expected financial impact is subject to risks and variation based on several factors:
The amount of training time could be higher, for instance given lower skill levels.
The average hourly rate could be higher.
Results. To account for these risks, Forrester adjusted this cost upward by 10%, yielding a five-year, risk-adjusted total PV (discounted at 10%) of €4.4 million.
Training time per new system user
| Ref. | Metric | Source | Initial | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|---|---|---|
| G1 | New users per year | F6 | 2 | 103 | 3,776 | 14,725 | 16,394 | 15,000 | |
| G2 | Annual user training time | G1*1 | 2 | 103 | 3,776 | 14,725 | 16,394 | 15,000 | |
| G3 | Team administrators | F1*1 | 1 | 33 | 958 | 3,505 | 5,738 | 7,143 | |
| G4 | Team administrator training time (4 hours annually) | G3*4 | 4 | 132 | 3,832 | 14,020 | 2 | 28,572 | |
| G5 | Site administrators | E2*1 | 1 | 4 | 34 | 62 | 75 | 80 | |
| G6 | Site administrator training time (hours) | G5*10 | 10 | 40 | 340 | 620 | 750 | 800 | |
| G7 | Total training time (hours) | G2+G4+G6 | 16 | 275 | 7,948 | 29,365 | 40,096 | 44,372 | |
| G8 | Average fully burdened hourly rate for users and administrators | A5 | €48 | €48 | €48 | €48 | €48 | €48 | |
| Gt | Training costs | G7*G8 | €768 | €13,200 | €381,504 | €1,409,520 | €1,924,608 | €2,129,856 | |
| Risk adjustment | ↑10% | ||||||||
| Gtr | Training costs (risk-adjusted) | €845 | €14,520 | €419,654 | €1,550,472 | €2,117,069 | €2,342,842 | ||
| Five-year total: €6,445,402 | Five-year present value: €4,426,466 | ||||||||
Evidence and data. The interviewees’ organizations incurred additional costs associated with the governance and maintenance of the platform.
The domain leader at group level, explained that their organization allocated some resources to the maintenance and governance of the Fabriq platform.
Maintenance resources total 1 hour per division that is live per quarter, plus an additional 24 hours overall.
Modeling and assumptions. Based on the interviews, Forrester assumes the following about the composite organization:
The number of live divisions grows from one in Year 1 to nine from Year 3 onward.
The group level maintenance and governance requires 24 hours annually, plus 4 hours per live division.
The average hourly rate for FTEs performing maintenance and governance work is €48.
Risks. The expected financial impact is subject to risks and variation based on several factors:
The level of maintenance and governance resource effort.
The hourly rate for employees performing maintenance and governance tasks.
Results. To account for these risks, Forrester adjusted this cost upward by 10%, yielding a five-year, risk-adjusted total PV (discounted at 10%) of €9,800.
| Ref. | Metric | Source | Initial | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|---|---|---|---|
| H1 | Divisions | Interviews | 1 | 5 | 9 | 9 | 9 | ||
| H2 | Maintenance and governance time | H1*24+4 | 28 | 44 | 60 | 60 | 60 | ||
| H3 | Average fully burdened hourly rate for a team administrator | A5 | €48 | €48 | €48 | €48 | €48 | ||
| Ht | Maintenance and governance costs | H2*H3 | €0 | €1,344 | €2,112 | €2,880 | €2,880 | €2,880 | |
| Risk adjustment | ↑10% | ||||||||
| Htr | Maintenance and governance costs (risk-adjusted) | €0 | €1,478 | €2,323 | €3,168 | €3,168 | €3,168 | ||
| Five-year total: €13,306 | Five-year present value: €9,775 | ||||||||
| Initial | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Total | Present Value | |
|---|---|---|---|---|---|---|---|---|
| Total costs | (€62,140) | (€99,820) | (€1,285,500) | (€3,168,389) | (€3,814,032) | (€3,949,721) | (€12,379,602) | (€8,653,241) |
| Total benefits | €0 | €104,621 | €3,037,583 | €11,207,760 | €18,287,521 | €22,742,474 | €55,379,959 | €37,637,975 |
| Net benefits | (€62,140) | €4,801 | €1,752,083 | €8,039,371 | €14,473,489 | €18,792,753 | €43,000,358 | €28,984,734 |
| ROI | 335% | |||||||
| Payback | 13 months |
| Site Size | Total Users | Payback |
|---|---|---|
| Small | 250 | 4 to 5 months |
| Medium | 500 | 3 to 4 months |
| Large | 750 | <3.5 months |
The financial results calculated in the Benefits and Costs sections can be used to determine the ROI, NPV, and payback period for the organization’s investment. Forrester assumes a yearly discount rate of 10% for this analysis.
These risk-adjusted ROI, NPV, and payback period values are determined by applying risk-adjustment factors to the unadjusted results in each Benefit and Cost section.
The initial investment column contains costs incurred at “time 0” or at the beginning of Year 1 that are not discounted. All other cash flows are discounted using the discount rate at the end of the year. PV calculations are calculated for each total cost and benefit estimate. NPV calculations in the summary tables are the sum of the initial investment and the discounted cash flows in each year. Sums and present value calculations of the Total Benefits, Total Costs, and Cash Flow tables may not exactly add up, as some rounding may occur.
From the information provided in the interview, Forrester constructed a Total Economic Impact™ framework for those organizations considering an investment in Daily Management System.
The objective of the framework is to identify the cost, benefit, flexibility, and risk factors that affect the investment decision. Forrester took a multistep approach to evaluate the impact that Daily Management System can have on an organization.
Interviewed FABRIQ stakeholders and Forrester analysts to gather data relative to Daily Management System.
Interviewed a decision-maker with experience using Daily Management System at their organization to obtain data about costs, benefits, and risks.
Constructed a financial model representative of the interview using the TEI methodology and risk-adjusted the financial model based on issues and concerns of the interviewee.
Employed four fundamental elements of TEI in modeling the investment impact: benefits, costs, flexibility, and risks. Given the increasing sophistication of ROI analyzes related to IT investments, Forrester’s TEI methodology provides a complete picture of the total economic impact of purchase decisions. Please see Appendix A for additional information on the TEI methodology.
Benefits represent the value the solution delivers to the business. The TEI methodology places equal weight on the measure of benefits and costs, allowing for a full examination of the solution’s effect on the entire organization.
Costs comprise all expenses necessary to deliver the proposed value, or benefits, of the solution. The methodology captures implementation and ongoing costs associated with the solution.
Flexibility represents the strategic value that can be obtained for some future additional investment building on top of the initial investment already made. The ability to capture that benefit has a PV that can be estimated.
Risks measure the uncertainty of benefit and cost estimates given: 1) the likelihood that estimates will meet original projections and 2) the likelihood that estimates will be tracked over time. TEI risk factors are based on “triangular distribution.”
The present or current value of (discounted) cost and benefit estimates given at an interest rate (the discount rate). The PV of costs and benefits feeds into the total NPV of cash flows.
The present or current value of (discounted) future net cash flows given an interest rate (the discount rate). A positive project NPV normally indicates that the investment should be made unless other projects have higher NPVs.
A project’s expected return in percentage terms. ROI is calculated by dividing net benefits (benefits less costs) by costs.
The interest rate used in cash flow analysis to take into account the time value of money. Organizations typically use discount rates between 8% and 16%.
The breakeven point for an investment. This is the point in time at which net benefits (benefits minus costs) equal initial investment or cost.
Total Economic Impact is a methodology developed by Forrester Research that enhances a company’s technology decision-making processes and assists solution providers in communicating their value proposition to clients. The TEI methodology helps companies demonstrate, justify, and realize the tangible value of business and technology initiatives to both senior management and other key stakeholders.
Related Forrester Research
The Software-Defined Factory Holds The Key To Adaptable Manufacturing, Forrester Research, Inc., March 24, 2025
The Forrester Tech Tide™: Smart Manufacturing, Q2 2025, Forrester Research, Inc., May 28, 2025
1 Total Economic Impact is a methodology developed by Forrester Research that enhances a company’s technology decision-making processes and assists solution providers in communicating their value proposition to clients. The TEI methodology helps companies demonstrate, justify, and realize the tangible value of business and technology initiatives to both senior management and other key stakeholders.
Readers should be aware of the following:
This study is commissioned by Fabriq and delivered by Forrester Consulting. It is not meant to be used as a competitive analysis.
Forrester makes no assumptions as to the potential ROI that other organizations will receive. Forrester strongly advises that readers use their own estimates within the framework provided in the study to determine the appropriateness of an investment in Daily Management System.
Fabriq reviewed and provided feedback to Forrester, but Forrester maintains editorial control over the study and its findings and does not accept changes to the study that contradict Forrester’s findings or obscure the meaning of the study.
Fabriq provided the customer name for the interview but did not participate in the interview.
Jan Sythoff
Bradley Lai
January 2026
https://mainstayadvisor.com/go/mainstay/gdpr/policy.html