Workflow cost calculator
A broken workflow costs three things: the labor that runs it, the rework when it fails, and the opportunities it drops. This calculator totals all three from your own numbers — people involved, hours per week, loaded hourly cost, rework incidents and hours per fix, missed opportunities and the gross profit each one was worth.
How the math works
Labor is people times hours per week times 52 times the loaded hourly rate. Rework is incidents per month times hours per fix times the rate times 12. Missed opportunities are the monthly count times gross profit per opportunity times 12. The sum is the annual cost of the workflow; a realistic build removes 40 to 80 percent of it, and that share is the recoverable value a project should be judged against.
Worked example: 8 people at 7 hours a week and a $47 loaded rate is $136,864 of labor a year. 22 rework incidents a month at 1.5 hours each adds $18,612. Three missed opportunities a month at $4,800 gross profit each adds $172,800. Total: $328,276 a year — and at a 60 percent recovery rate, $196,966 a year of recoverable value.
What to do with the number
If the total is well below the cost of building a fix, do not hire us — change the process or buy off-the-shelf software. If it is multiples of the build cost, the next step is measuring the workflow where it runs; that is the first week of an engagement, and it either confirms the number or corrects it.
Get in touch
Email solutions@ikonic303.dev to start with the measurement. ikonic303 is based in Colorado and works with clients nationwide.