Can Cobots Achieve ROI in Just 195 Days?

Can a cobot really pay for itself in just 195 days? That’s what Universal Robots claim, but let’s look at the full picture. If you’re considering automation, ROI is likely one of your biggest concerns. You want to know how fast your investment will start saving or making you money. In this article, we break down the real numbers behind cobot payback time. From cost savings to investment factors, you’ll learn how to calculate ROI and what can speed it up or slow it down. We’ll help you figure out if 195 days is realistic for your manufacturing line.

Understanding ROI in Automation:

What is ROI in Automation?

ROI, or Return on Investment, shows how fast your automation project pays off. It tells you whether your cobot investment is worth it. For project engineers like you, it’s one of the key numbers to watch when planning upgrades to your manufacturing line.

How to Calculate ROI:

The formula is simple:

ROI (%) = (Net Gain from Investment ÷ Cost of Investment) × 100

Net Gain includes the money you save and the extra value your cobot adds. Cost of Investment covers everything you spend to get the cobot running.

What Affects Your ROI?

ROI depends on your specific setup. If labor is expensive, your savings will be higher. If your production runs 24/7, your payback time will be shorter. You should also consider downtime, scrap rates, and how easy it is to set up and maintain your cobot.

The better your setup, the faster you’ll see a return on your investment.

What’s Behind the 195-Day Claim?

Universal Robots say their cobots can achieve ROI in just 195 days. ^[1]That number comes from real customer data collected across different industries. It’s based on reduced labor costs, faster production, and minimal setup time. Their cobots are known for being easy to integrate and quick to deliver results.

Who’s Getting ROI That Fast?

Many small and medium-sized manufacturers report payback in under a year. For example, companies using cobots for machine tending or packaging often see results in just a few months. These tasks are repetitive, time-consuming, and easy to automate, which makes them perfect for quick ROI.

Where Does It Work Best?

Industries like metalworking, plastics, food, and electronics benefit the most. These sectors often run multiple shifts and deal with rising labor costs. If you’re in one of these industries and have clear, repetitive tasks, a 195-day ROI might be within reach for your line too.

Collaborative Robot Investment:

What Will Your Cobot Setup Cost?

To understand ROI, you need to know the full cost of your cobot setup. It’s more than just the robot itself. Here’s the basic formula:

Investment = Cobot [€/year] + Gripper [€/year] + Fixture [€/year] + Implementation [€/year] + Maintenance [€/year]

Cobot: is the base unit. That’s your collaborative robot.
Gripper: is the tool that picks up and handles your parts.
Fixture: is how you position parts for the cobot to access them. It can be a tray, mold, or holder.
Implementation: includes setup, integration, and programming. This is where things like ease of use can really reduce costs.
Maintenance: covers ongoing servicing and support over time.

Cobots are designed to be simple. You can often set them up without coding and train operators quickly. That means fewer surprises after installation.

Keep all these costs in mind when comparing models. A cheaper cobot isn’t always the most affordable in the long run.

How Do Cobots Compare to Traditional Robots?

Traditional industrial robots often come with higher setup costs. Here’s the full investment formula to keep in mind:

Investment = Robot [€] + Gripper [€] + Fixture [€] + Implementation [€] + Maintenance [€] + Fencing [€] + Custom automation [€]

Robot: is your main unit, just like with a cobot.
Gripper and Fixture: are needed for handling and positioning parts.
Implementation: includes programming, integration, and system setup.
Maintenance: is your ongoing servicing cost.
Fencing: is physical safety guarding, often required to keep operators away from high-speed movement.
Custom automation: includes extra tools like force sensors, conveyors, or automatic doors.

These extras can quickly add thousands to your project. Cobots often skip them. Built-in safety features reduce or eliminate the need for fencing. Many cobots can also be programmed by hand, without writing a line of code.

If your application allows it, cobots usually offer a more affordable and flexible automation path.

How to Calculate Yearly Cost Savings?

Know Where Your Savings Come From:

Yearly cost savings are the biggest part of your cobot’s ROI. They come from doing more with less. Here’s the formula you can use:

Potential yearly savings = FTE [Unit] * Shifts [Unit] * Salary [€/year] + Downtime [€/year] + Scrap [€/year] + Recruitment and training [€/year] + Social cost [€/year]

Let’s break that down:

FTE: is how much operator time a cobot replaces. If your cobot saves half an operator’s time, FTE is 0.5.
Shifts: is how many shifts your plant runs per day.
Salary: is the average yearly wage for an operator.
Downtime: is money saved by keeping machines running longer.
Scrap: is what you save by reducing waste.
Recruitment and training: costs go down when you rely less on hiring new operators.
Social costs: include insurance and injury-related expenses you avoid by improving ergonomics.

Add it all up, and you’ll see where most of your cobot payback comes from.

Can Cobots Boost Revenue Too?

Cobots don’t just save money. In some cases, they also help you make more. If your production line is already running at full capacity, a cobot can keep things moving when human workers stop. Think nights, weekends, or lunch breaks. That’s extra output without adding more staff.

When Does This Apply?

This benefit is most noticeable in factories that run multiple shifts or want to increase throughput. If you’re hitting production limits or struggling to keep up with demand, adding a cobot could open the door to more units produced per year.

How It Impacts ROI:

More output means more revenue, which can lower your payback time. It’s not guaranteed for every setup, but it’s a real advantage if your operations are already lean.

Talk to your cobot supplier about this potential. They can help you estimate how much extra value your process might generate with longer uptime.

Payback Time:

When Will You Break Even?

Payback time tells you how long it takes for your cobot to pay for itself. After this point, everything it earns is profit. Here’s the basic formula:

Payback time = Investment [€] / (Yearly cost savings [€/year] + Yearly income increase [€/year])

What’s in the Investment?

Your total cost includes the cobot, gripper, fixture, setup, and maintenance.

Where the Gains Come From:

Savings come from lower labor costs, fewer errors, and less downtime. Extra income can come from running more shifts or increasing output.

Why Cobots Pay Off Faster:

Cobots usually break even faster than traditional robots. They cost less to install, are easier to program, and don’t need fencing or custom automation.

Why This Matters:

Knowing your payback time helps you plan smarter. It sets a clear target and shows when your cobot starts delivering real value.

Want Help Making the Right Call?

Planning a cobot project? Qviro makes it easier to get started and find your ROI fast.

Use Qviro to Simplify ROI:

Start with Qviro Match. You’ll define your automation needs with a short checklist, and within 48 hours, you’ll get matched with relevant suppliers or system integrators—at no cost to you.

Get Expert Support with Alina:

Need to estimate costs or calculate ROI? Chat with Alina, Qviro’s multilingual automation assistant. Alina can answer questions like:

Can I automate my process?
How much will my project cost?
What is the ROI of my project?

You don’t need an account to try it.

Conclusion:

You might reach a 195-day ROI with a cobot if it fits your setup. If you’re running multiple shifts or have repetitive tasks, you’re on the right track. High labor costs and production bottlenecks make the case even stronger. To be sure, break down your full investment. Include the cobot, gripper, setup, and maintenance. Then calculate your yearly savings from lower labor costs, less downtime, and fewer scrap parts. If output increases, that’s a bonus. Not sure where to start? Use Qviro and Alina. We’ll help you estimate your payback and connect you with the right suppliers.

References:

Universal Robots. (n.d.). Meet the cobots that are running strong year after year after year. Retrieved September 23, 2023, from https://blog.universal-robots.com/meet-the-cobots-that-are-running-strong-year-after-year-after-year

Cobots, Industrial (Articulated) Robots