Return on Investment in CNC Machine Automation

Two Sources of Return

  1. Labor Savings by Reducing Head Count
  2. Incremental Profit by Increasing Rate of Production

Example:

Toellner automated loader/unloader installation on three lathes. Two shifts/day, 5 days/week.

 

Labor Savings

Operators Redeployed by Automation
Shifts Per Day
Hours Per Shift
Operator Hourly Rate Including Benefits
Labor Hours Saved Per Day (2*2*8)

Labor Savings Per Year ($22*32*5*52)

2
2
8
$22
32 Hours

$183,040

 
 

Incremental Profit by Increasing Rate of Production

Current Production Rate Per Hour (3 machines)
Fixed Overhead Shop Rate Per Unit (Current Prod. Rate)
Profit Per Unit
Current Profit/Hour (180*$.22)
Current Profit/Year ($39.60*24*5*52)
180 Units
$.19/Unit
$.22/Unit
$39.60
$247,104

 

Production Rate w/Toellner Automation (Assuming a 30% increase in throughput)
Incremental Units w/Toellner/Hour (234-180)
Profit & Overhead Savings/Hour w/Toellner ((234*$.22)+(54*$.19))
Annual Profit + Savings w/Toellner ($61.74*24*5*52)
234 Units
54
$61.74
$385,258

 

Incremental Profit from Increased Throughput w/ Toellner ($385,258 – $247,104)

$138,154

 

Total Annual Return with Toellner Systems

Investment for Toellner loader systems in this example

Return on Investment ($168,000/$321,194)

$321,194

$168,000*

6.3 Months

 

 
 

*Estimate – varies depending on application and location

 


 

At an installed cost that is typically less than 50% that of a conventional robot and 60% that of a gantry system, we routinely provide ROI’s for our customers in six to nine months.

 

Generate some excitement in the front office! Achieve an unprecedented increase in production throughput and a drastic decrease in overhead by installing Toellner Systems automated loaders to your CNC lathes or mills. Estimate the R.O.I. on your next loader/unloader project by using our Interactive R.O.I. Calculator. Provide us with your email address and we’ll send you the password with the link to the R.O.I (Payback) Calculator so you can estimate the impact installing Toellner Systems loaders/unloaders will have on your bottom line.

 

 

Automatically load/unload your CNC machine in half the time at half the cost. | Increase part throughput 30% – 50% with lower labor costs. | Documented Results…some words from our customers.