ROI Calculator for AGVs and AMRs

Find out how long it might take for an investment in internal transportation automation to pay for itself. The calculator compares the cost of your current process with the option of implementing AGVs or AMRs, taking into account CAPEX, operating costs, labor savings, and the payback period.

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Gross remuneration cost including pension, accident, disability and Labor Fund contributions
The additional cost includes: leaves, L4 and replacements, training, rotation, onboarding/recruitment, loss of productivity, station equipment
The cost of long-term rental of an electric guided trolley / pallet truck with a capacity of up to 2 tons, on average for 1 shift, is PLN 1,000 - 1,500

How does the ROI calculator work?

The calculator shows the approximate return on investment for an internal transportation process. Based on a few input values, it estimates the implementation cost, annual savings, and the period after which the investment begins to generate financial benefits.

The result helps you assess whether automation makes financial sense in your specific scenario. This is not just a simple robot price calculator, but a tool for conducting a business assessment of the entire process.

What Data Is Needed

To calculate ROI, you need data on the number of shifts, transport volume, operator labor costs, the current operating model, and the planned scope of automation. The higher the quality of the input data, the more reliable the result and the better the basis for discussions with finance, production, and maintenance.

In practice, for detailed calculations, it’s also helpful to prepare a floor plan (in DWG format), information on downtime, transport errors, and the maintenance costs of the current solution. Such data helps to better estimate the full cost of the current process and compare it with the automated option.

What costs does the model consider?

The model compares the cost of the current process with the cost of implementing an AGV or AMR system. It considers the purchase of the solution, integration, service, energy, operator labor, and selected costs associated with maintaining the manual process.

As a result, the outcome is not based solely on the price of the robot. It provides a comprehensive economic picture, which is important for those analyzing CAPEX and OPEX.

How should you interpret the result?

A short payback period does not automatically mean it’s the best decision, but it is a strong economic indicator. It’s worth analyzing the result alongside its impact on productivity, safety, process stability, and the risk of labor costs in subsequent years.

In practice, the calculator’s result should serve as a starting point for discussion. This allows the management team to evaluate the investment not only through the lens of a single metric, but through the lens of the entire business model.

When Does the Investment Make Sense?

Internal transport automation typically yields the best results in situations where the process is repetitive, involves frequent shifts, and is prone to downtime or errors. In such cases, the ROI is not only numerically attractive but also operationally justified.

The greatest potential lies in processes where transportation is constant, volume is predictable, and the cost of labor and downtime is rising faster than the cost of automation. It is precisely these scenarios that most often stand up to financial analysis.

Assumptions and Limitations

The calculator provides an approximate result and is based on assumptions regarding usage, maintenance, labor costs, and the scope of the process. The final model may need to be adjusted if the process involves high variability or has unusual integration requirements.

This is important because decision-makers need not only the result but also information about what that result is based on. Transparency regarding the assumptions increases trust in the tool and facilitates communication between operations, finance, and sales.

Calculation Example

Suppose a company operates its internal transportation in three shifts, and the cost of the current process includes operator labor, downtime, and manual handling. After implementing AGVs or AMRs, some of these costs are eliminated, while others remain in the form of system service and maintenance.

If the annual savings exceed the operating costs and the payback period falls within an acceptable investment horizon, the project has a strong business case. However, the exact result depends on the input data and the scope of automation.

FAQ

How does the ROI calculator work?

The calculator compares the cost of the current process with the option of implementing AGVs or AMRs. Based on several input parameters, it estimates the implementation cost, annual savings, and approximate payback period.

What data is needed?

Most commonly, you’ll need: the number of shifts, transport volume, operator labor costs, the current operating model, and the scope of the process to be automated.

What is CAPEX?

CAPEX stands for capital expenditure, which refers to the costs incurred to purchase and implement a solution. For AGVs or AMRs, this typically includes the purchase of robots, software, integration, commissioning, and the necessary infrastructure.

What is OPEX?

OPEX refers to operating expenses — that is, ongoing costs associated with using the solution. These may include service, maintenance, energy, technical support, and other operating costs related to the system’s day-to-day operation.

Does the calculator take service and maintenance into account?

Yes, the model can account for service, maintenance, energy, and other operating costs to ensure the result is closer to the actual cost of the solution.

How does ROI differ from TCO?

ROI (Return on Investment) shows the return on investment, while TCO (Total Cost of Ownership) covers the total cost of ownership. ROI helps assess profitability, while TCO provides a more complete picture of costs over time.

How long does it take for the investment to make sense?

It depends on the scale of the process, the number of changes, labor costs, and the extent of automation. Most often, investments make the most sense when the process is repetitive and involves fixed costs.

Is the result accurate?

The result is approximate and depends on the quality of the input data and the assumptions made. It’s a good starting point for investment discussions and process audits.

Who is this calculator for?

It’s for business owners, executives, and operations, production, and finance managers who want to quickly assess the profitability of automating internal material handling.

How should a short payback period be interpreted?

A short payback period is a strong economic indicator, but the decision should also be evaluated in terms of productivity, safety, process stability, and operational risks.

Want to calculate the ROI for your process? Fill out the calculator and see if automating your internal transportation makes financial sense for your business.