The energy sector is undergoing a profound transformation. Utilities face mounting challenges: integrating distributed energy resources (DERs), meeting decarbonization targets, and maintaining reliability amid growing complexity. Traditional operational models, fragmented systems, manual processes, and siloed data are no longer sustainable.
Schneider Electric’s EcoStruxure Advanced Distribution Management System (ADMS) combined with Distributed Energy Resource Management System (DERMS) offers a unified platform to modernize grid operations. An October 2025 Forrester Consulting Total Economic Impact™ (TEI) study commissioned by Schneider Electric quantified the benefits:
- 184% ROI over 5 years
- $40M Net Present Value (NPV)
- 16-month payback period
This blog explores the study’s findings, the drivers behind these results, and why ADMS with embedded DERMS is a strategic enabler for utilities.
The challenge: Legacy systems vs. modern demands
Utilities traditionally relied on disparate tools and manual workflows, leading to:
- Limited operational visibility
- Inability to accommodate DER growth
- High capital expenditures for grid upgrades
- Increased outage penalties and regulatory risk
As electrification accelerates and DER penetration rises, these limitations hinder reliability and customer satisfaction. Utilities need real-time situational awareness, predictive analytics, and flexible interconnection capabilities, all delivered through a single platform.
- The Solution: EcoStruxure ADMS with Embedded DERMS that provides: Unified operational model across all voltage levels
- Advanced analytics for load forecasting and outage management
- DER visibility and control for flexible generation and service connections
- Volt-Var Optimization (VVO) for energy efficiency and improved power quality
This holistic approach enables utilities to optimize asset utilization, defer costly upgrades, and enhance resilience.
Quantified benefits: Where value is delivered
The Forrester Consulting TEI study modeled a composite utility serving 1.2M customers with 65,000 miles (104607 km) of distribution lines. Over five years, the organization realized $61.8M in benefits against $21.8M in costs. Key benefits include:
- Field Crew Time Savings – $21.1M
- Mobile tools like Field Client reduce patrol time, streamline switching plans, and eliminate manual load checks. Crews saved 35% of their time, improving productivity and safety.
- Control Room Optimization Time Savings – $5.5M
- Operators reallocated 65% of their time spent on switching plans and outage coordination, enabling management of growing DER volumes without additional staffing.
- DER Integration Time Savings – $12.1M
- Connecting new DERs traditionally requires extensive analysis. ADMS with DERMS reduced this process by 17 hours per request, accelerating customer connections and supporting flexible interconnection agreements.
- Capital Expenditure Reduction – $18.7M
- By leveraging DER flexibility and optimizing asset utilization, utilities deferred costly grid upgrades and extended asset life.
- Outage Penalty Avoidance – $1.1M
- Faster fault isolation and automated restoration improved reliability indices, reducing regulatory penalties.
- Legacy System Retirement – $3.2M
- Replacing disparate tools and manual processes with a unified platform lowered software and infrastructure costs.
Unquantified strategic benefits
Beyond financial metrics, utilities reported:
- Enhanced customer experience through faster DER connections and better outage communication
- Reduced customer consumption Improved crew safety with digital switching and real-time location awareness
- Regulatory compliance for emerging DER control mandates
- Employee satisfaction driven by better tools and reduced operational pressure
These intangible benefits strengthen utilities’ ability to meet decarbonization targets and adapt to future grid demands.
Cost structure and investment profile
The five-year, risk-adjusted cost for the composite organization representative of interviewed customers totaled $21.8M, including:
- Software and services: $8.1M for Schneider Electric licenses, hardware, and professional services
- Implementation: $8.5M for commissioning and training
- Ongoing management: $5.2M for system administration and updates
Despite these costs, the payback period was just 16 months, underscoring justifiable value realization.
Conclusion: A platform for the future
As electrification accelerates and DER penetration grows, utilities need solutions that deliver operational efficiency, flexibility, and resilience. Schneider Electric’s EcoStruxure ADMS with embedded DERMS offers a proven path forward, combining advanced functionality with measurable economic impact.
The Forrester TEI study confirms that investing in this platform can unlock significant financial returns while positioning utilities to meet regulatory, environmental, and customer expectations. For organizations seeking to future-proof their grid, the time to act is now.
Ready to transform your grid operations? Learn more about EcoStruxure ADMS and EcoStruxure DERMS.
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