Estimate whether a repetitive process is worth automating without pretending every hour saved becomes cash saved.
The model first estimates annual manual labor time, then applies the share you believe can actually be automated. It deliberately separates capacity value from realized cash savings, because reclaimed employee time often creates capacity rather than an immediate payroll reduction.
Payback compares implementation cost with modeled monthly net value. Three-year value applies the annual net value for three years and subtracts the initial build cost.
For a defensible estimate, use observed workflow frequency and loaded labor cost, then reduce the automatable share for exceptions, approvals and human review. If the automation mainly gives people time back rather than eliminating cost, keep the realized-cash percentage conservative.
Planning estimate only. Real outcomes depend on implementation quality, adoption, exception rates, downtime and whether recovered capacity turns into measurable economic value.