How to Calculate Labor Savings
"How many people will this machine save me?" is one of the questions we're asked most often. We can't guarantee you a number, because it depends on your product, output, shift schedule, and on-site setup. But the method can be explained clearly, and the result is only accurate when you plug in your own numbers.
How Many People Can One Machine Save?
What you need to calculate is labor hours, not headcount. Steps:
- Record labor hours before the machine: For one to two weeks straight, record how many people and how many hours go into each step every day. For example, encrusting: 3 people × 4 hours = 12 labor hours.
- List what still needs people after the machine: Machines don't refill themselves, move trays, or clean.
- Estimate labor hours after the machine: Using the speed measured in the trial run and your output, estimate how long each task will take.
- Subtract: labor hours before − labor hours after = labor hours saved per day.
Who Still Needs to Tend the Machine?
Tasks often left out of the calculation after bringing in a machine:
- Ingredient prep and refilling: Dough and filling must be continuously fed into the hopper, which may need a dedicated person at high volume.
- Tending and adjusting: Adjusting weight and ratio at start-up, and spot-checking weight and appearance during production.
- Discharge and tray arranging: Without automatic tray arranging, someone has to receive finished pieces and arrange them on trays.
- Cleaning: Disassembling and washing food-contact parts at the end of every shift may take 30 minutes to over an hour depending on the model.
- Maintenance: Regular inspection, lubrication, and replacement of wear parts.
All of this time has to be added back to get the labor hours you truly save.
Hypothetical Example
All of the following numbers are assumptions, only to demonstrate the method:
Before (handmade steamed buns):
- Encrusting and forming: 4 people × 5 hours = 20 labor hours
- Tray arranging: already included in the encrusting staff's work
After (automatic bun machine):
- Refilling and tending the machine: 1 person × 4 hours = 4 labor hours
- Receiving pieces and tray arranging: 1 person × 4 hours = 4 labor hours
- Start-up adjustment and end-of-shift cleaning: 1 person × 1.5 hours = 1.5 labor hours
- Total: 9.5 labor hours
That's 20 − 9.5 = 10.5 labor hours saved per day, roughly 1.3 full-time workers (based on 8 hours per day).
Note that this covers only the encrusting section. If output goes up, downstream steaming and packaging may actually need more people, so calculate them together.
What Can the Saved Labor Do?
In Japan's RHEON FAQ, whether a machine can solve labor shortages is also listed among the questions customers ask most. In practice, after bringing in a machine, the saved labor hours are often shifted to:
- Quality control: Spot-checking weight, appearance, and temperature, and keeping records.
- Packaging and shipping: As volume grows, packaging often becomes the new bottleneck.
- New product development: Skilled workers freed from repetitive encrusting work can refine recipes and create new flavors.
- Higher output: The same staff produce more and take on more orders.
- Less overtime and scheduling pressure: No more rushing every day, and staff turnover may fall too.
Be Honest When Calculating
- Don't calculate using the catalog's top speed; use the speed actually measured with your product in the trial run.
- Don't forget backup staff for leave, training, and machine downtime.
- Use the actual labor cost including labor insurance, health insurance, and pension contributions, not just wages.
Converting the saved labor hours into money lets you go on to calculate payback.
How Dong-Yih Machinery Can Help
Dong-Yih Machinery's models list output ranges; for example, the DY-201 Automatic Steamed Bun and Mantou Machine is rated at 2,000–12,000 pieces per hour. How many it can actually make per hour depends on your product. You're welcome to call with your labor records and product styles (06-257-4644).
FAQ
Q: How many fewer people will I need if I buy a bun machine?
A: Calculate it from your labor records: labor hours before, minus the hours for refilling, tending, tray arranging, and cleaning after, is what you save.
Q: Once I buy the machine, does it no longer need anyone to tend it?
A: It still does. Refilling, adjusting, spot-checking, cleaning, and maintenance all need people.
Q: Do the people saved have to be laid off?
A: Not necessarily. Many producers shift the saved hours to quality control, packaging, new product development, or higher output.
Q: Can you give me a rough percentage of savings?
A: Products and setups vary so much that there's no universal number; we recommend calculating from your own records and trial-run results.