AI & Digital Manufacturing Analytics worked example

Automated Root Cause Savings at 50% automated root-cause capture share: a worked example

This worked example runs the automated root cause savings numbers for a tougher week than the baseline: 50% automated root-cause capture share instead of the typical 70%. Estimate savings from automated root-cause analytics from investigation hours avoided, loaded engineering rate, capture share, and platform cost.

The inputs for this scenario

  • Root-cause investigation hours avoided: 1,550 hr / yr (held at the documented default)
  • Loaded engineering or quality rate: 78 $ / hr (held at the documented default)
  • Automated root-cause capture share: 50 % (the input this scenario stresses; the baseline uses 70)
  • Fixed RCA analytics cost: -18,000 $ (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Captured investigation labor savings = investigation hours avoided × loaded rate × capture share.
  • Net automated root-cause savings works out to 60,450 $ savings at these inputs, and this is the headline figure for the scenario.
  • Loaded investigation labor rate works out to 39 $ / piece at these inputs.
  • Captured investigation labor savings works out to 60,450 $ at these inputs.
  • Fixed RCA analytics cost works out to 0 $ at these inputs.

How this compares with the baseline

  • Against the tool's baseline example, where automated root-cause capture share sits at 70% and the headline result is 84,630 $ savings, this scenario comes in 28.57% below the baseline at 60,450 $ savings.
  • Use it when evaluating or renewing an AI-RCA or analytics platform, or when building the business case for automating defect and downtime investigations. A result at this level usually justifies acting on the stressed input before touching anything else, because every other figure in the table is downstream of it.

Results at a glance

  • Net automated root-cause savings: 60,450 $ savings (headline result)
  • Loaded investigation labor rate: 39 $ / piece
  • Captured investigation labor savings: 60,450 $
  • Fixed RCA analytics cost: 0 $

Run it with your numbers

  • To rerun this with your own numbers, open the live Automated Root Cause Savings calculator, set automated root-cause capture share to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.