New 'Agentic Value Model' urges broader ROI for agentic automation
The article introduces the Agentic Value Model, arguing that the RPA-era ROI formula (hours saved × labor cost − build cost) misses much of the value produced by agentic automation. It recommends measuring four value dimensions—time savings, exception handling, decision quality, and change resilience/maintenance—and requiring defined mechanisms and accountable owners to convert operational gains into P&L results; it cites McKinsey’s 1:3:5 spending pattern and uses a claims-triage example to show freed hours often don’t translate to immediate cost savings.