Intelligent Automation Software

OEE ROI Calculator

Business value calculator to see where and how FREEDOM® AI can help your bottom line.

Factory Operating Costs.

What is the average labor cost per hour per machine? *In USD($). This is the wage plus fringe benefit hourly rate.

What is the average overhead cost per hour per machine? *In USD($). This includes items such as depreciation, repair & maintenance, supplies, tools, utilities.

How many hours per week is a machine scheduled to operate? *This is the hours per shift x scheduled shifts per week.

Labor Cost Per Machine Per Week

This is (labor cost per hour per machine + average overhead cost per hour per machine) x how many hours per week is a machine scheduled to operate.

How many weeks per year is a machine scheduled to operate? *

Total Operating Costs per Machine per Year

This is the labor cost per machine per week x how many weeks per year is a machine scheduled to operate.

How many machines do you plan to monitor? *

Total Operating Cost of Monitored Machines

This is total operating cost per machine per year x number of machines you plan to monitor.

Estimated OEE.

What is your Estimated Availability Rate? *Percentage [%]. This is operating time / scheduled time.

What is your Estimated Performance Rate? *Percentage [%]. This is (parts produced x ideal cycle time) / operating time.

What is your Estimated Quality Rate? *Percentage [%]. This is (units produced - defective units) / units produced.

Estimated OEE

This is availability x performance x quality.

Total Productive Costs per Year.

Estimated OEE x total operating cost of monitored machines.

Total Un-Productive Costs per Year.

Total operating cost of monitored machines - total productive costs per year.

Increase in OEE Required to Achieve ROI

Value of 1% Increase in OEE.

Total operating cost of monitored machines x 0.01

Estimated Investment in FREEDOM eLOG®.

This is calculated based on the number of machines targeted for monitoring. It assumes that half of them will require a hardware appliance.

Increase in OEE Required for 100% ROI.

This is (estimated investment in Freedom / value of 1% increase in OEE ) / 100

Return on Investment

Discount Rate (%)The rate of return used in a discounted cash flow analysis to determine the present value of future cash flows.

OEE Percentage Point Increase in YEAR 1 (%) *

Year 1 Monetized Value.

OEE Percentage Point Increase in YEAR 2 (%) *

Year 2 Monetized Value.

2 Year Monetized Value.

2 Year Net Present Value (NPV).

2 Year Rate of Return (IRR)

A metric used for measuring the profitability of potential investments.

Payback (Months)

Intelligent Automation Software

OEE ROI Calculator

Factory Operating Costs.

Estimated OEE.

Increase in OEE Required to Achieve ROI

Return on Investment

Put your process
to the test.

Run FREEDOM^® AI Free for 60 days and start gaining the insights your business needs.

Platform

Industry Applications

Resources

About Us

The Latest

Machine Utilization: How It Works to Optimize Performance

Measure & Optimize Your Machine Productivity

Freedom IOT, LLC
910 Madison Ave. Covington, KY 41011

Intelligent Automation Software

OEE ROI Calculator

Factory Operating Costs.

Estimated OEE.

Increase in OEE Required to Achieve ROI

Return on Investment

Put your processto the test.

Run FREEDOM® AI Free for 60 days and start gaining the insights your business needs.

Platform

Industry Applications

Resources

About Us

The Latest

Machine Utilization: How It Works to Optimize Performance

Measure & Optimize Your Machine Productivity

Freedom IOT, LLC 910 Madison Ave. Covington, KY 41011

Put your process
to the test.

Run FREEDOM^® AI Free for 60 days and start gaining the insights your business needs.

Freedom IOT, LLC
910 Madison Ave. Covington, KY 41011