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How to Calculate Whether an Automation Is Actually Worth Building

Not every task should be automated. Here is the simple arithmetic we run before quoting any automation project.

How to Calculate Whether an Automation Is Actually Worth Building

Automation is not free. It costs money to build and attention to maintain. So before we quote, we run the same arithmetic with every client.

Step one: measure the task honestly. Minutes per run, times runs per month. People consistently underestimate this - so measure for a week rather than guessing.

Step two: cost the time. Take the fully-loaded hourly cost of whoever does it, not their salary divided by hours.

Step three: add the error cost. What does a mistake in this task cost you? Missed follow-ups, wrong invoices and stockouts all carry a real number.

Step four: compare against build plus annual maintenance. Assume maintenance is roughly 15-20% of build cost per year.

If payback lands under twelve months, build it. Twelve to twenty-four months, only if the task is also error-prone or blocks growth. Beyond twenty-four months, leave it alone and automate something better first.

The common mistake is automating the most annoying task instead of the most expensive one. Those are frequently different tasks.

Automation ROI Business Strategy

Want this applied to your business?

Book a free 30-minute audit. We will map where automation would save you the most hours, with the numbers attached.