The ROI Myopia in Commercial Lending

The Challenge with Traditional ROI Calculations

Traditional return on investment (ROI) calculation models consid­er the direct benefits and costs associated with implementing a lending technology. These models are based on the conventional role of IT in the lending business, which is that of a business enabler.

What is ROI Myopia?

ROI calculations are fairly complex and can be subject to context. ROI Myopia in retail lending refers to a narrow view of the impact of a loan origination system (LOS) on lending. Lenders need an ROI model that is relevant to their digital demands.

A Digital Model for ROI Calculations

Lending is on its way to digital transformation. In order to truly assess the ROI, lenders need an ROI model that considers the digital costs and benefits of technology. There are three key elements that differentiate a digital ROI model from a traditional one. Read this whitepaper to learn about these.