The basic framework of a school is pretty easy to get behind - a principal and their administration running the school’s daily operations supported by teachers taking care of the decorum of the classroom and teaching the students the subjects prescribed in the curriculum. This is a pretty standard setup across the board, with teachers also taking up a portion of the administrative roles where and when required. However, people often overlook the fact that every educational institution is essentially a business, and its growth is dependent on the efficiency of the management running it. This can be influenced by several factors, from the decisions made by the school management to the efficiency of the teachers taking the classes. There are a lot of factors involved in the success of the school, but what really matters is the ROI (Return on Investment) that the school gets at the end of the day. Let us understand what ROI is and what it means for schools.
What is ROI
ROI stands for Return on Investment. It is a term used in the realm of finance to measure the efficiency of an investment, i.e. how profitable the investment can be. In other words, the ROI measures the amount that a particular investment yields when compared to the initial cost of the investment.
ROI is mathematically represented by the following formula:
Now that the formal definition of Return on Investment is out of the way, now comes a more nuanced question - what does ROI mean for a school? Keeping the basic definition of what ROI means in mind, let us extrapolate. Return on Investment with respect to a school would mean the profit that the school makes as a business in relation to the initial investment made by the school management - or in other words, the financial growth of the school. So what does improving the ROI of a school signify? Given below are some of the implications of checking the ROI of a school.
Greater Enrollment Numbers
Extrapolating from the definition given above, the financial growth of a school would only result from better enrollment of students in the school. The more the amount of money flowing in from the students in the form of fees, the greater the income of the school, and hence, the greater will be the ROI.
Visibility and Brand Image
When looking for a school, a parent would always look for a school that is popular and higher in demand. They would look for a school with better infrastructure, both on the traditional as well as the digital front. With better visual appeal, both offline and online, parents will not have to think much before choosing which school they want their child to go to. This improves the ROI of the school by aiding in the enrollment process of the school.
With the current internet era digital revolution, the amount of workforce required to keep track of the school’s functioning is shrinking rapidly. With the help of online tools, it is possible to make the functioning of a school seamless and efficient. This is the perfect segue into the topic of school ERP.
What is School ERP
School ERP can be defined as a set of online tools that help make the process of administration of a school much easier. A school ERP has all the necessary features to run a school smoothly. Here is a list of ERP features that Teachmint provides as a part of its integrated school platform:
- Fee Management Software
- Admission Management Software
- Library Management Software
- Transport Management Software
- Attendance Management Software
- Leave Management Software
- Certificate Generator
- Student Information System
- Hostel Management Software
How School ERP can Improve ROI
Now that we have clearly understood what school ERP is, what ROI is, and how they fit together, let us get a clear picture of what school ERP can do to improve the ROI of a school:
Greatly Reduces Paperwork
One of the biggest problems that schools face when it comes to working out costs and profits is the immense amount of paperwork that goes into calculating it. However, with the help of a school ERP this can be reduced manifold. For example, let us take the example of fee collection. Traditionally, the staff members had to cross check the amount paid by the student the previous time to get an idea of how much fees is left to be paid. When using a fee management software, however, all of these tasks can be automated, hence reducing the workforce required and consequently improving the ROI and efficiency of the school.
This is one of the most important aspects of using a school ERP. Since the entire operation of the school moves online and automated, the end result is that the productivity of the school on rhe whole improves manifold. This means that the productivity of each and every student will also be positively affected.
Effective Use of Innovation
Innovation is just theory until it is put to use in the right context. School ERP is the perfect example of that. Just because there is innovation does not mean that there is any particular use for it. Here in this case, the school ERP pushes the ROI of the school forward by what it brings to the forefront.
The ROI of a school is what drives it forward, both monetarily as well as intellectually. It is the innocuous combination of different technologies that had led humankind to develop the technological marvels that exist today. School ERP is at the cutting edge of the education revolution, and missing out on it would be a wasted opportunity. Teachmint offers the best ERP software solutions for schools there is - check out all the features we offer!
Suggested Read - How LMS and ERP can Solve Teachers' Problems