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WMS ROI Calculator - Logiwa

The document provides instructions for using a ROI calculator spreadsheet to estimate the potential cost savings and return on investment from implementing a warehouse management system (WMS). It describes the different sheets in the spreadsheet for inputting operational data and costs, calculating current costs versus potential costs with a WMS, and determining the total savings and break-even period. The user is directed to input data on the first sheet to calculate their customized ROI and potential savings from WMS implementation.

Uploaded by

Jose De Leon
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
191 views11 pages

WMS ROI Calculator - Logiwa

The document provides instructions for using a ROI calculator spreadsheet to estimate the potential cost savings and return on investment from implementing a warehouse management system (WMS). It describes the different sheets in the spreadsheet for inputting operational data and costs, calculating current costs versus potential costs with a WMS, and determining the total savings and break-even period. The user is directed to input data on the first sheet to calculate their customized ROI and potential savings from WMS implementation.

Uploaded by

Jose De Leon
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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Congratulations on taking the next step to optimizing your warehouse and i

The ROI Calculator helps Supply Chain professionals, like yourself, calculate

Let's take a look at how each sheet works:

First Sheet:

Second Sheet:

Let's begin! Click on the Data Input sheet to start adding data and begin calc
ons on taking the next step to optimizing your warehouse and increasing your ROI!
ulator helps Supply Chain professionals, like yourself, calculate the ROI they should

ook at how each sheet works:

Data Input has all required fields to calculate your ROI with a WMS. The Data

The Current Cost vs Total Savings takes a deep dive into 5 main processes to h

Click on the Data Input sheet to start adding data and begin calculating your ROI.
Data Input: On this sheet, please Input all data, in order to calculate your RO

Operational Inputs Value


Average warehouse worker hourly burdened wage $ 15.00
Average number of shipment orders per day 300
Average number of units per order 2
Number of pickers/packers 10
Number of receivers 3
Number of customer service reps 2
Number of cycle counts per year 2
Number of cycle count days 3
Average number of miss-shipments per day 3
Average cost per miss-shipment $ 40.00
Average working days per month 22
Average working hours per day 8

*Pro Tip! Take a look at the red arrow next to each Data Input entry point for

Next, go to the Current Cost vs Total Savings sheet for an in-depth breakdown
This sheet will calculate your total current cost and your potential savings with
calculate your ROI with WMS Implementation.

Cloud WMS Expenses


Setup Fee
Monthly Subscription Fee
Total cost per year

ut entry point for an in-depth explanation

-depth breakdown of the 5 Main Processes.


ential savings with a WMS.
tation.

Value
$ 8,000.00
$ 2,000.00
$ 24,000.00

es.
Current Cost vs Total Savings: On this sheet, we take a deep dive into 5 main

Current Warehousing Cost Structure


Process Cost/Day Cost/Year Cost Per Order
Outbound $ 1,200.00 $ 316,800.00 $ 4.00
Inbound/Other $ 360.00 $ 95,040.00 $ 1.20
Customer Service $ 240.00 $ 63,360.00 $ 0.80
Count $ 1,560.00 $ 9,360.00 $ 0.12
Shipment Errors $ 120.00 $ 31,680.00 $ 0.40
Total Cost Per Day
Total Cost Per Year
Total Cost Per Order
Total Cost Per Unit

Potential Warehousing Cost Structure after WMS Implementati


Process Improvement Cost/Day Cost/Year
Outbound 31% $ 828.36 $ 218,686.07
Inbound/Other 10% $ 322.38 $ 85,109.21
Customer Service 11% $ 214.66 $ 56,670.91
Count 33% $ 1,040.67 $ 6,244.03
Shipment Errors 100% $ - $ -
Total Cost Per Day
Total Cost Per Year
Total Cost Per Order
Total Cost Per Unit

Total Savings with WMS Partnership


Savings Per Day
Savings Per Year
Savings Per Order
Savings Per Unit
eep dive into 5 main processes to help determine the savings on operational cost by

ructure Break-even
Cost Per Unit $1,000,000.00
$ 2.00
$900,000.00
$ 0.60
$ 1.60 $800,000.00
$ 0.06
$700,000.00
$ 0.20
$ 3,480.00 $600,000.00
$ 516,240.00 $500,000.00
$ 6.52
$ 3.26 $400,000.00

$300,000.00

$200,000.00
WMS Implementation $100,000.00
Cost Per OrderCost Per Unit
$-
$ 2.76 $ 1.38 1 2 3 4 5
$ 1.07 $ 0.54
$ 0.72 $ 0.36 Accumulated Cost Be
$ 0.01 $ 0.01
$ - $ - Thanks for using our ROI Calculator! F
Total Cost Per Day $ 2,406.07
personalized demo tailored to your n
Total Cost Per Year $ 366,710.22
Total Cost Per Order $ 4.56
Total Cost Per Unit $ 2.28

nership
Savings Per Day $ 1,073.93
Savings Per Year $ 149,529.78
Savings Per Order $ 1.95
Savings Per Unit $ 0.98
erational cost by implementing a WMS.

Break-even Graph(12 Months)

3 4 5 6 7 8 9 10 11 12

Accumulated Cost Before WMS Accumulated Cost After WMS

ROI Calculator! For more information, click here to receive a


ilored to your needs by one of our supply chain experts.

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