{"id":6553,"date":"2026-04-14T12:21:53","date_gmt":"2026-04-14T10:21:53","guid":{"rendered":"https:\/\/silvermonitor.eu\/?p=6553"},"modified":"2026-04-14T12:35:56","modified_gmt":"2026-04-14T10:35:56","slug":"koliko-kosta-ne-digitalizirati-dom-za-starije","status":"publish","type":"post","link":"https:\/\/silvermonitor.eu\/en\/2026\/04\/14\/koliko-kosta-ne-digitalizirati-dom-za-starije\/","title":{"rendered":"How much does it cost NOT to digitalize a care home?"},"content":{"rendered":"

Every director or manager of a care home considering the introduction of a digital monitoring system faces the same question: will it actually be worth it? Understandable. Every investment in technology must have a clear justification \u2014 to management, to founders, to the bodies that fund the institution's operations.<\/h4>\n

\"We will modernise\" is not a sufficient argument when you have a limited budget and a team that is already overworked. In this article, we provide a concrete calculation framework\u2014 with real numbers you can verify and apply to your own institution.<\/p>\n

What does return on investment actually mean in the context of a care home?<\/b><\/strong><\/h2>\n

Return on investment in a for-profit company is calculated simply: revenue minus cost. In social and healthcare, the equation is somewhat more complex \u2014 because the benefits are often invisible on the balance sheet but deeply real.<\/p>\n

Za sustav digitalizacije postoje dvije kategorije povrata:<\/p>\n\n\n\n\n
Tangible return (measured in euros)<\/b><\/strong><\/td>\nIntangible return (measured in quality)<\/b><\/strong><\/td>\n<\/tr>\n
Reduced number of unnecessary emergency interventions<\/p>\n

Lower administration costs (less manual record-keeping)<\/p>\n

\u2022 Optimisation of staff round scheduling<\/p>\n

\u2022 Faster incident detection \u2192 less damage<\/p>\n

\u2022 Reduced liability costs in the event of an incident<\/td>\n

\u2022 Greater satisfaction among residents' families<\/p>\n

\u2022 Greater staff satisfaction and reduced burnout<\/p>\n

\u2022 Institution's reputation as modern and safe<\/p>\n

\u2022 Easier recruitment of new staff<\/p>\n

\u2022 Greater confidence from regulators and inspectors<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

In the following, we will focus on tangible return<\/strong> \u2014 because that is what gets through the budget committee.<\/p>\n

How much does a single undetected incident actually cost?<\/b><\/strong><\/h2>\n

Before we calculate the benefits, we need to understand the real cost of situations that a digital system like Silver Monitor PRO<\/strong> <\/a>can prevent or accelerate. These are costs that many institutions never record anywhere as a separate line item \u2014 but they are real.<\/p>\n\n\n\n\n\n\n\n\n
Expense<\/b><\/strong><\/td>\nLow estimate<\/b><\/strong><\/td>\nHigh estimate<\/b><\/strong><\/td>\n<\/tr>\n
Emergency medical intervention<\/td>\n500 \u20ac<\/td>\n2.000 \u20ac<\/td>\n<\/tr>\n
Hospital hospitalisation (3\u201310 days)<\/td>\n1.500 \u20ac<\/td>\n8.000 \u20ac<\/td>\n<\/tr>\n
Administrative processing of the incident<\/td>\n200 \u20ac<\/td>\n500 \u20ac<\/td>\n<\/tr>\n
Potential institutional liability<\/td>\n0 \u20ac<\/td>\n10.000 \u20ac+<\/td>\n<\/tr>\n
TOTAL per incident<\/b><\/strong><\/td>\n2.200 \u20ac<\/b><\/strong><\/td>\n20.500 \u20ac<\/b><\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

The average care home with 80 residents statistically records 8\u201315 falls per year that require medical intervention. Even if automatic detection prevents or accelerates response in just 3 of those cases \u2014 that is between \u20ac6,600 and \u20ac61,500 per year in avoided costs.<\/p>\n

 <\/p>\n

Staff overtime due to manual rounds<\/b><\/strong><\/p>\n

In a care home with 60 residents, the standard night round protocol requires 3\u20134 rounds per resident. With 2 night shifts and an average hourly rate of \u20ac9\u201311:<\/p>\n\n\n\n\n\n\n\n
Item<\/b><\/strong><\/td>\nWithout digitalisation<\/b><\/strong><\/p>\n

(annually)<\/b><\/strong><\/td>\n

With a digital monitoring system<\/b><\/strong><\/td>\n<\/tr>\n
Night rounds (average)<\/td>\n6 hours\/night<\/td>\n3\u20134 hours\/night<\/td>\n<\/tr>\n
Manual recording of vital signs<\/td>\n45 min\/shift<\/td>\n0\u201310 minutes per shift<\/td>\n<\/tr>\n
Estimated manual labour cost<\/td>\n~18.000 \u20ac\/per year<\/td>\n~10.000 \u20ac\/per year<\/td>\n<\/tr>\n
Annual saving<\/b><\/strong><\/td>\n\u2014<\/td>\n~8.000 \u20ac\/per year<\/b><\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Important note:<\/b><\/strong><\/p>\n

Digitalisation and a monitoring system do not mean fewer staff\u2014 it means that what staff do becomes more meaningful. Automatic monitoring relieves the team from routine checks and frees up capacity for actual care, conversation, and intervention when it is truly needed.<\/p><\/blockquote>\n

Return on investment calculator for your institution<\/b><\/strong><\/h2>\n

The following framework can be adapted to the real numbers of your institution. This is not a marketing projection \u2014 it is a conservative estimate based on data from Silver Monitor pilot projects in five Croatian cities.<\/p>\n

 <\/p>\n

Step 1 \u2014 Implementation cost (example for 60 residents, PRO package)<\/b><\/strong><\/p>\n\n\n\n\n\n\n\n
Cost item<\/b><\/strong><\/td>\nMjese\u010dno<\/b><\/strong><\/td>\nGodi\u0161nje<\/b><\/strong><\/td>\n<\/tr>\n
Subscription (60 users \u00d7 \u20ac27\/month \u2014 10% volume discount)<\/td>\n1.620 \u20ac<\/td>\n19.440 \u20ac<\/td>\n<\/tr>\n
Implementation and staff training (one-time cost)<\/td>\n\u2014<\/td>\n0 \u20ac *<\/td>\n<\/tr>\n
SIM cards and network costs (included in subscription)<\/td>\n0 \u20ac<\/td>\n0 \u20ac<\/td>\n<\/tr>\n
TOTAL ANNUAL COST<\/b><\/strong><\/td>\n1.620 \u20ac<\/b><\/strong><\/td>\n19.440 \u20ac<\/b><\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

* Staff training is included for partner institutions in the pilot programme.<\/p>\n

 <\/p>\n

Step 2 \u2014 Annual savings (conservative estimate, 60 residents)<\/b><\/strong><\/p>\n\n\n\n\n\n\n\n\n
Source of savings<\/b><\/strong><\/td>\nEstimated annual savings<\/b><\/strong><\/td>\n<\/tr>\n
Reduction of manual recording and administration<\/td>\n4.000 \u2013 6.000 \u20ac<\/td>\n<\/tr>\n
Optimization of night rounds (1\u20132 hours less per night)<\/td>\n5.000 \u2013 8.000 \u20ac<\/td>\n<\/tr>\n
Avoided \/ faster resolved incidents (min. 3\/year)<\/td>\n6.600 \u2013 15.000 \u20ac<\/td>\n<\/tr>\n
Reduced overtime due to reactive situations<\/td>\n2.000 \u2013 4.000 \u20ac<\/td>\n<\/tr>\n
TOTAL ANNUAL SAVINGS<\/b><\/strong><\/td>\n17.600 \u2013 33.000 \u20ac<\/b><\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n

Step 3 \u2014 Return on investment calculation<\/b><\/strong><\/p>\n\n\n\n\n\n\n\n
<\/td>\nConservative scenario<\/b><\/strong><\/td>\nOptimistic scenario<\/b><\/strong><\/td>\n<\/tr>\n
Annual savings<\/td>\n17.600 \u20ac<\/td>\n33.000 \u20ac<\/td>\n<\/tr>\n
Annual subscription cost<\/td>\n19.440 \u20ac<\/td>\n19.440 \u20ac<\/td>\n<\/tr>\n
Net annual benefit<\/td>\n\u2013 1.840 \u20ac<\/td>\n+ 13.560 \u20ac<\/td>\n<\/tr>\n
Return on investment<\/b><\/strong><\/td>\n\u2013 9% (break-even year 2)<\/td>\n+ 70% per year<\/b><\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

What these numbers actually mean:<\/b><\/strong><\/p>\n

Even in a conservative scenario \u2014 where you realise minimal savings \u2014 the system pays itself off by the end of the second year. Under real conditions, our pilots show that savings are closer to the optimistic scenario, because effects such as reduced staff burnout and increased satisfaction among residents' families bring indirect financial benefits that are not easy to quantify, but are visible in lower staff turnover and better occupancy rates.<\/p><\/blockquote>\n

What do institutions that went through the pilot say?<\/b><\/strong><\/h2>\n

Silver Monitor was piloted with a total of 100 residents across five Croatian cities \u2014 Zagreb, Split, \u0160ibenik, \u010cakovec and Nova Gradi\u0161ka \u2014 in collaboration with three types of institutions:<\/p>\n