MES, MOM & Shop-Floor Data Systems worked example

MES ROI with total mes investment of 175,000 $: a worked example

This worked example runs the mes roi numbers for a tougher week than the baseline: total mes investment of 175,000 $ instead of the typical 350,000 $. Calculate the return on investment for an MES system by comparing total project cost against net annual savings from reduced scrap, labor, and downtime.

The inputs for this scenario

  • Total MES investment: 175,000 $ (the input this scenario stresses; the baseline uses 350,000)
  • Annual savings from MES: 145,000 $ / yr (held at the documented default)
  • Annual MES operating cost: 42,000 $ / yr (held at the documented default)

Working through the calculation

  • The calculation starts from the formula this tool documents: Net annual savings = annual savings from MES - annual MES operating cost.
  • MES payback period works out to 1.7 yr at these inputs, and this is the headline figure for the scenario.
  • Net annual MES savings works out to 103,000 $ / yr at these inputs.
  • Total MES investment works out to 175,000 $ at these inputs.
  • Five-year net MES value works out to 340,000 $ at these inputs.

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 50% below the baseline at 1.7 yr.
  • Use it during the MES business case and capital-approval stage, before issuing an RFP or signing an SOW. 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

  • MES payback period: 1.7 yr (headline result)
  • Net annual MES savings: 103,000 $ / yr
  • Total MES investment: 175,000 $
  • Five-year net MES value: 340,000 $

Run it with your numbers

  • To rerun this with your own numbers, open the live MES ROI calculator, set total mes investment to your actual value, and adjust the remaining inputs to match your operation.

Last reviewed 2026-05-12.