Automation Savings Calculator

Prioritize the highest-volume, most repetitive processes with the highest error cost: invoice processing, email follow-up sequences, data entry and enrichment, report generation, appointment scheduling, and payment reminders. Automating these typically saves 5-20 hours per employee per week. Focus first on processes where manual errors have costly downstream consequences.

Automation savings equal (hours saved per week times hourly labor cost times 52 weeks) plus error reduction savings, minus (tool cost plus implementation time cost). Include error reduction: manual processes average 1-5% error rates while automated processes achieve under 0.1%. McKinsey data shows automation reduces process costs by 40-75% with ROI typically achieved within 6 months.

Automation projects should target 200-500% ROI within the first year according to McKinsey data. Simple workflow automations (e.g. Zapier integrations) often achieve 1,000%+ ROI due to low implementation cost. Payback periods under 3 months are common for process automation.

Start with the highest-volume, most repetitive tasks: invoice processing, email follow-ups, data entry, report generation, and appointment scheduling. These typically save 5-20 hours per week per employee. Prioritize tasks where errors have costly consequences.

Calculate: (Hours saved per week × Hourly cost of employee × 52 weeks) − (Automation tool cost + Implementation time cost). Include error reduction savings, manual processes average 1-5% error rates, while automated processes achieve less than 0.1%.

Review quarterly as new tools emerge and your processes evolve. Ask team members monthly: "What repetitive task wastes the most of your time?" Track hours saved by existing automations to build the business case for further investment.

Process automation uses technology to perform repetitive tasks without human intervention. It matters because it reduces costs by 40-75%, eliminates human error, scales without adding headcount, and frees employees to focus on high-value work that drives growth.

Build custom software only when it provides a genuine competitive advantage that cannot be replicated by off-the-shelf tools, when your requirements are so unique that existing solutions cover less than 50% of your needs, or when regulatory or security requirements mandate full control.

ROI (Return on Investment) measures profitability as a percentage: ((Gain minus Cost) divided by Cost) times 100.

Start with cost-plus pricing as your floor (all costs plus a 40-60% margin minimum), research competitor pricing for market context, then test value-based pricing anchored on the economic value you deliver.

The six most important SaaS benchmarks are MRR growth rate, monthly churn, LTV:CAC ratio, net revenue retention, gross margin, and CAC payback period.

43% of cyber attacks target small businesses.