BIZOMAT Tools · Improvement
Jig and Fixture Return on Investment
Is this jig or fixture worth building?
Calculates payback and first-year return of a jig or fixture from time, scrap and maintenance effects.
Open the calculatorRuns in your browser. No account needed.
How this tool works
Inputs, units and where to find them
| Input | Unit | Typical source |
|---|---|---|
| Design and build investment | $ | Design and build cost |
| Time saved / run | min | Time saved per run (trial or estimate) |
| Runs / month | runs | Runs per month from the schedule |
| Labour rate | $/hr | Loaded labour rate |
| Monthly scrap and rework savings | $ | Monthly scrap and rework reduction |
| Fixture maintenance / month | $ | Monthly fixture maintenance and calibration |
What each input means
Open an input to see what it is, its units, the worked example and the common mistakes, with a small diagram.
What this means: Design and build investment
- What it is
- The one-off cost to design, build and prove the jig or fixture, including materials, machining and try-out time.
- Units and format
- Enter a number in $: an amount of money; use one currency for every money input. The form accepts $0 or more.
- Example
- The form opens with $6000 as a worked example. It is an illustration, not a recommended value: replace it with your own figure.
- Effect on the result
- Payback in months rises in proportion; first-year ROI falls.
- Get it right
- Include design time and first-article checks, not just materials and machining.
What this means: Time saved / run
- What it is
- The labour time the fixture saves each time the job is run, compared with the current method, from a trial or estimate.
- Units and format
- Enter a number in min: minutes. The form accepts 0 min or more.
- Example
- The form opens with 20 min as a worked example. It is an illustration, not a recommended value: replace it with your own figure.
- Effect on the result
- Labour saving rises in proportion.
- Get it right
- Enter minutes per run, not per part, unless each run is one part.
What this means: Runs / month
- What it is
- How many times a month the job that uses the fixture is run, from the production schedule.
- Units and format
- Enter a number in runs: runs. The form accepts 0 runs or more.
- Example
- The form opens with 80 runs as a worked example. It is an illustration, not a recommended value: replace it with your own figure.
- Effect on the result
- Labour saving rises in proportion.
- Get it right
- Use the expected usage over the fixture’s life, not a single busy month.
What this means: Labour rate
- What it is
- The full hourly cost of the operator whose time is saved, including on-costs such as superannuation, leave and payroll tax.
- Units and format
- Enter a number in $/hr: money per hour. The form accepts $0/hr or more.
- Example
- The form opens with $55/hr as a worked example. It is an illustration, not a recommended value: replace it with your own figure.
- Effect on the result
- Labour saving rises in proportion.
- Get it right
- Use the loaded rate from finance.
What this means: Monthly scrap and rework savings
- What it is
- The monthly cost of scrap and rework the fixture is expected to avoid through better location and repeatability.
- Units and format
- Enter a number in $: an amount of money; use one currency for every money input. The form accepts $0 or more.
- Example
- The form opens with $400 as a worked example. It is an illustration, not a recommended value: replace it with your own figure.
- Effect on the result
- Adds directly to the monthly benefit.
- Get it right
- Base it on current scrap records for the job; leave it at 0 if no improvement is expected.
What this means: Fixture maintenance / month
- What it is
- The monthly cost of keeping the fixture in service: inspection, calibration, wear parts and repairs.
- Units and format
- Enter a number in $: an amount of money; use one currency for every money input. The form accepts $0 or more.
- Example
- The form opens with $50 as a worked example. It is an illustration, not a recommended value: replace it with your own figure.
- Effect on the result
- Subtracted from the monthly benefit.
- Get it right
- Spread annual calibration costs over 12 months.
Method and formulas
- Monthly benefit = time saved ÷ 60 × runs × rate + scrap saving − maintenance
- Payback = investment ÷ monthly benefit
- Bands: up to 12 months strong, up to 24 review (tool defaults)
Limitations
- Assumes usage continues at the entered rate
Typical uses
- Approving fixture builds
- Comparing fixture designs
Who it is for
- Manufacturing engineers
- Toolroom and production managers
What you get
- STRONG CASE, REVIEW / JUSTIFY or WEAK CASE
- Payback in months and first-year ROI
Interpreting the result
- Replace the 12 and 24-month bands with your own payback policy
Learn the Concepts Behind This Tool
These BIZOMAT Library readings explain the method this tool uses, with worked examples.
Useful alongside · Library collection
Designing jigs and fixtures that pay for themselves: locating, clamping, mistake-proofing and the business case
In Manufacturing Operations and Design for Manufacture
What it covers: A good fixture makes the right way the easy way. How to locate parts on datums, clamp without distortion, build in mistake-proofing, design for welding and people, and judge the payback.
BIZOMAT tools are screening and decision-support utilities. Verify important financial, engineering, safety, legal or operational decisions using appropriate professional standards and your organisation’s approved data.