CNC Automation ROI Calculator

How the CNC Automation ROI Calculator Works

CNC automation, including robotic machine tending, can increase machine utilization, reduce manual handling, and create additional productive capacity. Use this CNC automation ROI calculator to evaluate the potential financial impact of adding automation to your manufacturing process. Enter your estimated investment, labor costs, and production gains to calculate:

The results provide an initial estimate for evaluating a project and serves as a starting discussion point with the Precision360 Automation Team. Actual costs, savings, production gains, and payback will depend on the application and integration requirements.

This calculator is intended for projects involving one CNC machine and one robot without auxiliary processes such as deburring, washing, inspection, or gauging. Projects involving multiple machines, multiple robots, or additional processes require a more detailed application review.

Learn more about Precision360 CNC automation solutions or contact the Precision360 Automation Team to discuss your application.

Your Estimate Will Include

• Estimated annual labor savings

• Added contribution margin from increased machine utilization

• Total annual financial benefit

• Estimated investment payback period

• Simple annual return on investment

Step 1 Operations Data
Hourly billable rate (revenue) for the CNC machine-tool
per hour
Hourly operator wages plus burden and overtime blend.
per hour
Typical range is 240 to 260.
days
Step 2 Utilization and Labor: Without Automation
How many hours per day is there an operator on the machine-tool? Consider total hours across all shifts in a single day (i.e. 6-hours/day in a 1-shift shop, or 12-hours/day in a 2-shift shop)
hours/day
4 hrs
How many hours per day is the machine-tool running and producing parts? Take into consideration regular down-time due to job setups, etc.
hours/day
8 hrs
Step 3 Utilization and Labor: With Automation
How many hours per day is there an operator on the machine-tool + automation? Take into consideration that manual intervention will still be needed, even with automation, to refill parts, setup the machine, inspect, etc. This number should be less than the hours input within Box D., but still should be at least 0.5 hours per day.
hours/day
2 hrs
How many hours per day is the machine-tool running and producing parts? Typically, automation will tend the machine tool during normal business hours and also after-hours. Take into consideration regular down-time due to job setups, etc. Also consider how many parts that can be queued inside the automation system and the cutting cycle time per part, which will factor into the total hours of machine utilization. Inquire with your local Precision360 account manager about specs of the automation. This number should be more than the hours input into Box E.
hours/day
16 hrs
Full investment cost including automation system, installation, machine options, tooling, etc.

Daily operating profile

Manual and Automated Hours

A shared 24-hour view of operator demand and productive machine time.

Manual

Automated

Dynamic comparison

Profit With and Without Automation

View chart values
Cumulative profit comparison at selected months
MonthWithout automationWith automation

Understanding Your Results

The results provide an initial estimate for evaluating a project and serve as a starting point for discussion with the Precision360 Automation Team. Actual costs, savings, production gains, and payback will depend on the application and integration requirements.

This calculator is intended for projects involving one CNC machine and one robot without auxiliary processes such as deburring, washing, inspection, or gauging. Projects involving multiple machines, multiple robots, or additional processes require a more detailed application review.

Learn more about Precision360 CNC automation solutions or contact the Precision360 Automation Team to discuss your application.

Discuss Your Automation Application

The calculator provides an initial estimate. Precision360 can review your parts, workflow, production requirements, and integration scope to determine whether the projected ROI is realistic for your application.

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