MES, MOM & Shop-Floor Data Systems worked example

MES ROI with total mes investment of 875,000 $: a worked example

Push total mes investment up to 875,000 $ and the picture changes. This example computes every intermediate figure at that operating point. Use when presenting an MES investment to a capital committee and you need a defensible payback period and five-year net value to justify the spend.

The inputs for this scenario

  • Total MES investment: 875,000 $ (raised for this scenario; the documented default is 350,000)
  • Annual savings from MES: 145,000 $ / yr (unchanged)
  • Annual MES operating cost: 42,000 $ / yr (unchanged)

Working through the calculation

  • Applying the documented formula (Net annual savings = annual savings from MES - annual MES operating cost) to the inputs above produces each figure below.
  • At this operating point the engine returns 8.5 yr for mes payback period, the number this scenario is built around.
  • At this operating point the engine returns 103,000 $ / yr for net annual mes savings.
  • At this operating point the engine returns 875,000 $ for total mes investment.
  • At this operating point the engine returns -360,000 $ for five-year net mes value.

How this compares with the baseline

  • Against the tool's baseline example, where total mes investment sits at 350,000 $ and the headline result is 3.4 yr, this scenario comes in 150% above the baseline at 8.5 yr.
  • It computes net annual MES savings, the payback period in years, and the five-year net value after subtracting the original investment. The value of this scenario is the size of the gap it exposes: that gap, priced out over a year, is the budget you can justify spending to close it.

Results at a glance

  • MES payback period: 8.5 yr (headline result)
  • Net annual MES savings: 103,000 $ / yr
  • Total MES investment: 875,000 $
  • Five-year net MES value: -360,000 $

Run it with your numbers

  • Every input above is editable in the live MES ROI calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.