How to Use the ROI Calculator
You have a task or a series of tasks that you’re considering automating.
Enter the number of days this work takes into the form.
Then enter the salary of the employee/s currently doing the work. An average of several is fine.
The straightforward equation behind the form then tells you the current cost to your business of getting this job done. (Do bear in mind that full employee costs are typically 1.2x to 1.5x salary so your actual internal costs are likely to be slightly higher. We’re using basic salary for clarity!)
With this figure as a basis, the calculator compares our standard automation development, implementation, maintenance and enhancement costs, and gives you four very useful figures.
Your Yr1 automation cost - including development, implementation, maintenance and enhancement
Your Yr 2 automation cost - maintenance and enhancement
And your Yr1 and Yr2 savings.
If you would like a more detailed breakdown please contact our team.
We have two examples below the calculator if you require additional clarification.
Example 1 - Employee Onboarding
Bringing a new employee into a business involves lots of moving parts and touch points into several departments.
A simple process might include:
- Preparing, approving and sending contracts, plus chasing approval and signatures on those contracts (2hrs)
- Setting up IT systems based on role and seniority, from email to Photoshop and everything between (2hrs)
- Adding to payroll and arranging benefits (1.5hrs)
- Arranging training, inductions and introductions (3 hrs)
In a business we work with, adding a single employee took at least one day.
And notifying/reminding employees to complete tasks added another full day.
Automation resolves both the complicated work and the chasing, which is why looking at immediate ROI only touches on the tangible benefits.
A real midsized, growing business we worked with was employing 3 - 5 new people per week, and spending roughly 7.5 man/people days per week onboarding them.
According to the ROI calculator, this was costing them £79,773 annually
The cost to develop an automated solution was £38,250 (including year one support and enhancements) saving the business £41,423 in the first year alone.
Ongoing savings (after year one) are £52,773 every year. This includes monitoring and adapting the process as the business develops, matures and continues to grow.
These savings allow existing employees to work on higher value activities to generate more revenue and, perhaps more importantly, reduce stress across the organisation.
Example 2 - Complex Tendering Process
This is a very real problem in a building contracting firm who build highly complex data centres.
Although a highly efficient business, some of the systems they work on are old and problematic.
When a tender for new work arrives in the business, the document controllers need to set up a project.
There are several hundred initial project folders and file templates that need to be set up - all manually. And a significant number of different professionals are required to provide input.
As the tender progresses, new revisions of documents and designs (often provided as images) are prepared and updated. Keeping track of all these documents requires that the document controller builds and maintains a register. Unfortunately, with hundreds of files being produced the document controller has to log each of them by hand.
Using automation we were able to extract all the required information from both documents and images (using an AI driven image reader) saving hundreds of hours each tender.
To quantify this.
Each time a new revision is generated, roughly once per week, the document controllers build and update the registers. This takes roughly 2 days each time. As the business is working on 2 - 3 tenders at any time the work required is roughly 4 person days per week.
With an average salary of £35k just updating tender registers constitutes a full-time person.
Putting those numbers into the ROI calculator:
Running this process has been costing the company £41,364 annually
The costs to develop an automated solution was £25,500 (including year one support and enhancements) saving the business £15,864 in the first year alone.
Ongoing savings (after year one) are £23,364 every year. This includes monitoring and adapting the process as the business develops, matures and continues to grow.