Pick-to-Light ROI Calculator

Calculate Savings, Payback Period & Productivity Gains

Implementing a Pick-to-Light system is a strategic decision that directly impacts labour productivity, picking accuracy, and operational cost.
However, estimating the financial return often becomes difficult without a structured analysis.

The Pick-to-Light ROI Calculator helps you quickly estimate the business impact and payback period of deploying Pick-to-Light in your warehouse or assembly line.

 

Calculate Your Pick-to-Light ROI

What This Calculator Helps You Evaluate

  • Annual labour cost savings from productivity improvement

  • Reduction in picking errors and rework cost

  • Investment required based on number of Pick-to-Light modules

  • Manual vs Pick-to-Light operational cost comparison

  • Payback period in months

This tool is suitable for manufacturing plants, warehouses, distribution centres, and assembly lines.

 

Why Pick-to-Light Delivers Measurable ROI

Pick-to-Light is a visual guidance system that directs operators to the right part, right location, and right quantity using illuminated indicators.

Operational benefits that drive ROI include:

  • Faster picking by reducing search and decision time

  • Significant reduction in human picking errors

  • Faster onboarding of new operators

  • Consistent performance across shifts

  • Improved material traceability

These improvements translate directly into quantifiable financial benefits, which this calculator helps you estimate.

Pick-to-Light ROI Calculator

Estimate annual savings and payback period using indicative industry assumptions and your operational data.

Assumptions & Industry Background

The default values used in this calculator are based on industry-typical ranges observed across multiple Pick-to-Light and guided picking deployments globally. These values are intended to provide a reasonable starting point for evaluation.

Typical industry observations:
• Guided picking systems commonly deliver 25–40% productivity improvement by reducing search time and operator decision effort.
• Error reduction of 80–99% is frequently observed due to visual guidance and confirmation at the pick location.
• Manual picking environments often operate with 0.5–2% error rates, depending on SKU mix and order complexity.

Industry background reading:
• Interlake Mecalux – Pick-to-Light overview: https://www.interlakemecalux.com/blog/pick-to-light
• Honeywell – Guided picking solutions: https://sps.honeywell.com/us/en/products/productivity/voice
• DHL Logistics Trend Radar: https://www.dhl.com/global-en/home/insights-and-innovation/thought-leadership/trend-reports/logistics-trend-radar.html

Note: Actual results depend on process design, SKU characteristics, operator skill levels, and warehouse layout. Users are encouraged to modify inputs to reflect their real operational conditions.

How to Use the Pick-to-Light ROI Calculator

  1. Select your region to apply local currency and cost assumptions

  2. Enter the number of operators involved in picking or assembly

  3. Enter the number of Pick-to-Light modules (bins or picking locations)

  4. Review or adjust default assumptions such as productivity improvement and error reduction

  5. Click Calculate Benefits to view:

    • Annual cost comparison

    • Savings and payback period

  6. Download the ROI report as a PDF for internal discussion or approvals

All values are editable to reflect your actual operation.

 

Assumptions & Industry Background

The default values used in this calculator are based on industry-typical observations from Pick-to-Light and guided picking deployments across manufacturing and warehousing environments.

Typical ranges observed in practice:

  • Productivity improvement: 25–40%

  • Error reduction: 80–99%

  • Manual picking error rate: 0.5–2%

  • Working days per year: 260–310 days

These values are indicative, not guaranteed.
Actual results depend on SKU mix, order complexity, operator skill, and warehouse layout.

Users are encouraged to adjust inputs to match their real operating conditions.

 

Where Pick-to-Light Is Most Effective

Pick-to-Light systems are especially effective in:

  • Assembly line material picking

  • Kitting and line-side stores

  • Component picking for manufacturing

  • High-mix, low-volume environments

  • Spare parts and maintenance stores

  • Warehouses with frequent order picking

If your operation faces picking errors, slow picking speed, or heavy dependency on experienced operators, Pick-to-Light typically delivers fast ROI.

 

How to Use the Pick-to-Light ROI Calculator

  1. Select your region to apply local currency and cost assumptions

  2. Enter the number of operators involved in picking or assembly

  3. Enter the number of Pick-to-Light modules (bins or picking locations)

  4. Review or adjust default assumptions such as productivity improvement and error reduction

  5. Click Calculate Benefits to view:

    • Annual cost comparison

    • Savings and payback period

  6. Download the ROI report as a PDF for internal discussion or approvals

All values are editable to reflect your actual operation.

 

Frequently Asked Questions

Is this Pick-to-Light ROI calculator free to use?

Yes. The calculator is completely free and can be used independently.

How accurate are the ROI results?

The results are indicative and based on industry-typical assumptions. Actual ROI varies by process design and operational discipline.

How many Pick-to-Light modules are required?

Generally, one module is required per picking location or bin. The calculator allows you to adjust this value.

Can this calculator be used for assembly lines?

Yes. It is suitable for both warehouse picking and assembly line material picking.

Does Pick-to-Light require continuous internet connectivity?

No. Pick-to-Light systems typically operate locally and do not require continuous internet access.

Need a More Accurate ROI or Live Demo?

This calculator provides an indicative ROI.
For a site-specific analysis, pilot deployment, or live demo, our team can help.

Contact DFXBOT to discuss your Pick-to-Light requirements.