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Microsoft 365 · Cost management

What the Forrester Microsoft 365 study actually measures

What Forrester's Total Economic Impact study, commissioned by Microsoft, reported for small and medium-sized businesses using Microsoft 365 for Business, and how to read its figures before you rely on them.

MSP HubPublished Updated

Forrester Consulting, commissioned by Microsoft, ran a Total Economic Impact (TEI) study of Microsoft 365 for Business in small and medium-sized businesses. It modelled what a composite organisation might gain by moving onto the suite. This piece summarises what the study reported and how to read it.

How to read the figures

Every number below is Forrester's, for a composite organisation built from interviews, in a study Microsoft paid for. They describe that model, not your business and not a result MSP Hub promises. Use them to decide what to measure in your own estate.

Collaboration and file storage

The study credits Word, Excel and PowerPoint working with OneDrive, SharePoint, Teams and Loop for better internal and external communication. Forrester reported each business user saving 1.5 hours a week through collaboration and cloud file storage, worth over $519,000 over three years for the composite organisation.

IT specialists' time

With device management in Intune, the study reported fewer help desk tickets and less time spent on updates and patching: 686 hours a year for IT specialists, worth $97,000 over three years. Remote wipe of lost devices and updates scheduled outside working hours were among the reasons given.

Retired legacy systems

Retiring a separate conference-call service, antivirus product, on-premises Exchange server and FTP server was reported as saving $297,000 over three years for the composite organisation.

Benefits the study did not price

Forrester also described benefits it did not put a number on: Power Automate workflows that cut administrative time, and Power BI reporting that supports decisions.

The headline result

For the composite organisation, the study reported a three-year return on investment of 223% and a net present value of $631,000.

What to do with this

The study's categories are a useful checklist for your own review:

  • Plans. Business Premium, E3 and E5 carry different security and compliance entitlements. Compare the exact SKUs, whether Teams is included and any telephony add-ons before consolidating.
  • Add-ons. Look for add-ons bought for projects that have ended and tools that duplicate what your plan already includes.
  • Terms. Compare the available term prices and billing-frequency charges for each SKU; see NCE explained.

These are things to check, not outcomes anyone can promise. If you want a second pair of eyes, request a licensing quote.

Source: The Total Economic Impact of Microsoft 365 for Business (opens in a new tab), Forrester Consulting, commissioned by Microsoft (PDF hosted on msphub.com).