Operational calculator · reviewed 4 September 2026
How to calculate the cost of manual business processes
Start with direct time: people × hours per week × loaded hourly cost × working weeks. Then document error correction, waiting time, missed capacity and risk separately—without pretending every hour can be eliminated.
Written by Intelidatia · Use as a planning estimate, not an accounting valuation
Editable estimate
What does this task consume in a year?
Annual time
690 h
Direct annual labour cost
€20,700
Planning estimate only. It excludes error correction, delay, opportunity cost, software fees and any implementation saving. Validate inputs with finance and the people doing the work.
Evidence checklist
1. Observe a normal week
Count the real touches, re-entry, checks and waiting—not the ideal process.
2. Use loaded cost
Include the employment cost agreed with finance, not an invented universal rate.
3. Separate cost types
Keep labour, correction, delay, risk and lost opportunity visible as different assumptions.
4. Apply a realistic capture rate
Automation rarely returns 100% of the theoretical time. People still handle exceptions and judgement.
What this number cannot tell you
A large theoretical cost does not prove that custom software is viable. Data quality, exception rates, adoption, security, integration limits and maintenance may change the answer. Validate the process before using the estimate in an investment decision.
Turn the estimate into a scoped decision