The Cost of Digital Friction formula
With a worked example you can run against your own numbers.
A work week may have five days, but one of those days, every week, goes into admin. Employees apply for leave, look for the right approval screen, enter the same data into two systems, or raise a ticket to ask something the policy document already answers.
We call this the Silent Tax. It does not appear anywhere as a line item, yet you pay for it in every salary. It comes straight out of your EBITDA. As your company grows, your people increase, your rules change, and your systems accumulate more friction.
The paper puts a number to that cost and shows what recovering it could look like. The model uses four numbers your finance team already has, so you can rebuild the calculation yourself.
And while that cost keeps accumulating, 61 per cent of HR leaders are already well into AI deployment, compared with 19 per cent two years ago.
Your HR team was hired for the work that needs judgement. Right now, too much of their week goes to work that systems can run.