How the ROI is calculated
Hours saved per month = runs per month × minutes ÷ 60 × share automated
Monthly saving = hours saved × hourly cost + errors avoided − running cost − maintenance hours × hourly cost
Payback (months) = build cost ÷ monthly saving
First-year ROI = (12 × monthly saving − build cost) ÷ build cost
Weekly figures are converted using 4.33 weeks a month, and daily figures using 21.7 working days a month.
Getting the inputs right
- Time per task: time it properly for a week rather than guessing. Include checking, chasing and fixing, not just the main steps.
- Share automated: rarely 100%. Exceptions, approvals and reviews remain. 50–80% is typical for well-defined admin processes.
- Hourly cost: include employer costs and overheads, not just the wage. If the time saved will not be used productively, the real saving is lower.
- Maintenance: software changes, APIs update and edge cases appear. Budgeting an hour or two a month is realistic for most small automations.
Beyond the numbers
Some benefits are real but hard to price: faster response to customers, fewer dropped balls, staff doing more interesting work. Some costs are hidden: the risk of an automation quietly failing, or customers noticing a robotic process. Check a process is suitable before building with the Automation Suitability Scorecard, and read how much business automation costs for typical build and running costs.