KEVOS® WORKOS · Improvement

Automation Business Case

Is this repetitive work worth automating?

Estimates the net annual benefit and payback of automating manual work.

Open the calculatorRuns in your browser. No account needed.

How this tool works

Inputs, units and where to find them

InputUnitTypical source
Manual hours / weekhrManual hours per week on the task (time study)
Loaded labour rate$/hrLoaded labour rate
Working weeksweeksWorking weeks per year
Automation investment$Quoted installed cost of the automation
Annual automation cost$Annual maintenance, support and licence cost
Expected manual effort reduction%Expected reduction in manual effort from the supplier or a pilot

Method and formulas

  1. Manual cost = hours per week × rate × weeks
  2. Net benefit = manual cost × reduction − annual automation cost
  3. Payback = investment ÷ net benefit

Limitations

  • Excludes downtime of the automation, quality changes and redeployment costs

Typical uses

  • Robot, jig or software automation proposals

Who it is for

  • Engineering and operations managers

What you get

  • AUTOMATION CASE EXISTS or WEAK AUTOMATION CASE
  • Net annual benefit and payback

Interpreting the result

  • Automate a stable process; check safety and change management first

References

  • Safe Work Australia, Model Code of Practice: Managing the risks of plant in the workplace

WORKOS tools are screening and decision-support utilities. Verify important financial, engineering, safety, legal or operational decisions using appropriate professional standards and your organisation’s approved data.

Open the Automation Business Case calculator