Calculation
| Summary | - One person stands at each of three presses for about 2,500 hours per year, 7,500 operator hours in all.
- We count 25 percent of them as freed when one person tends two presses, which is 1,875 hours.
- At $30 per hour that is about $56,300 per year, and about $55,400 after upkeep.
- It is operator time, and it is cash only if overtime falls or a hire is not made.
|
| Operator hours per year at these presses | 3 presses x 2,500 hours = 7,500 |
| Hours freed per year when one person tends two presses | 7,500 hours x 25 percent = 1,875 |
| What those hours cost per year | 1,875 hours x $30 per hour = $56,250 |
| Less the upkeep of the chutes, belts and counters | 3 presses x $300 per year = $900 |
| What fixing it could save per year | $56,250 - $900 = $55,350 |
Not counted
- The job log shows six presses that ran jobs of a week or more.
- Only three presses are counted, and the rest are in the upper figure alone.
- Parts dropped or scuffed by hand are not counted.
- Press hours are not counted: the presses run the same hours as today.
- A robot at one press would take about 1,375 operator hours per year off it, about $41,000 by our estimate.
- It is not in the figure or in the cost to fix, and neither are the gate work and the picker arm.
Illustrative sample. The plant, the walk and the footage are synthetic.