Antiquated Addiction in Business–the Old Adding Machine

Avoid bad habits in business by just dumping old technology–such as paper adding machines.

The mechanical adding machine paper tape setting business on the desks next to expensive personal computers are not normally considered an excessive cost. In fact, it is my experience that these mechanical machines are considered by society as a necessity. Nothing, in my opinion, could be further from the truth on both counts. These old-fashioned, mechanical dinosaurs may actually be a very expensive and unnecessary dependence there is an economical alternative. 

Hypothesis 

My guess is that the addition of a strip of paper mechanical calculating machines or printing, are no longer viable for office equipment when they are sitting next to a personal computer. Pencil and paper virtually disappeared shortly after the advent of personal computers. This migration of spreadsheet software was seen as a move makes perfect sense from the spreadsheet provided many more features in a large format, easy to use. 

A similar migration, in my opinion, has long been the addition of mechanical paper tape machines. With the availability of feature-rich programs, adding machine, as myOwn10-Key, it no longer makes sense to continue using the expensive mechanical devices feature private. The addition of electronic machines, such as spreadsheet, offer many more features in a large format, easy to use. electronic ribbons also contribute significantly to the bottom line with respect to the computers of old-fashioned printing. 

Factors of analysis 

To test my hypothesis, I did an analysis of ROI conversion myOwn10-Key for United Parcel Service. Why Brown? Since the UPS website shows very detailed technical information for the company. The number I needed was a count of a personal computer to the UPS. From Sunday, August 5, 2007, the number of LAN workstations in use at UPS was listed on their website as 149,000. This was the starting point for my calculations. 

Here are other scenarios that I needed to complete the analysis. I tried to be conservative on the side for all these factors. 

* Percentage of personal computer with a calculator printer sitting next to it – 30%. 
* Price of paper rolls – $ 8.48 / 12 pk. 
* How often a new roll of paper is installed on every computer printing – every 2 months (6 / year). 
* Price of cartridges for printers – EA $ 3.00. 
* How many printer cartridges are consumed on each computer printing – 1 / year. 
* Percentage of printing calculators replaced the year – 10% 

The cost for the purchase of the paper web mechanical machines for the addition of new employees is not considered in this analysis. In addition, not considered in the additional cost of the power required to operate the machines mechanical adding. 

Annual cost of the Dinosaurs 

For this analysis, I created a etape ROI analysis with myOwn10-Key. You can view the entire etape analysis in another browser window or tab, clicking on “etape link” View the resource area at the end of this article. 

The Etape calculates the annual cost of maintaining an estimated population of mechanical adding machines the first time on line 4. As seen in the first part of the Etape (lines 1 to 33), the annual cost of maintenance of computer printing, is, in my opinion, reveals something much more mundane. On line 33 you can see that the annual fee to maintain all mechanical adding machines Those tape on the desk next to a personal computer is just under $ 550,000. 

The next question is what would happen if those antiquated dinosaurs have been replaced with a machine program as a full featured adding myOwn10-Key? The rest of the Etape ROI analysis answers this question. 

Cost of conversion to myOwn10-Key 

On lines 35 through 50 of the Etape a quote is calculated for a site license for myOwn10-Key. I based this calculation on my 60-40 plan, available to large enterprises. Under this plan, the price is based on 60% of personal computers licensed. 40% discount is applied. The site license is then released for the PC 100% of the population in question. 

For this analysis, I’m assuming that UPS would like a site license only for the personal computer in which a fellow mechanical calculator was replaced with myOwn10-Key. Corporate PCs that do not have a computer print-mate are not included in the site license. 

As seen on line 48 of the Etape ROI, conversion to electronic tapes myOwn10-Key has a very attractive once the price of just over $ 320,000. The ROI period works out to about 7 months. This analysis shows that the savings achieved by the conversion myOwn10-Key can be substantial. Remember, these numbers are based on conservative analysis of factors. Actual savings could be much longer. The annual amounts fall directly to the bottom line. 

* Savings first year – $ 226.093. 
* Minimum Savings of each year thereafter – $ 547.128. 

In addition to these savings in dollars, there are also environmental benefits. Do not buy paper tape and strips of cardboard packaging means less pressure on our forests. And do not throw away the empty cartridge-operated machines and tape means fewer non-degradable plastics going into our landfills. 

Make your analysis 

These savings potentially larger, the environmental benefits of conversion from the paper web mechanical machines for the addition of myOwn10-Key are available for any large corporation. To find out what kind of savings your company can create, download myOwn10-Key etape ROI analysis (link below) and connect its own values ​​on the lines below the belt. (The plan assumes a population of at least several hundred PC 60-40. There a different program discount for small populations.) 

2 – Total population of the PC 
3 – Percent of PCs with printing calculators sitting next to them 
7 – price to pay for every roll of paper 12 pack 
13 – Average number of rolls of paper consumed annually by each computer 
19 – Average number of tape cartridges installed in each computer of each year 
20 – price to pay for each printer cartridge 
25 – Estimated percentage of your computers that are replaced each year 
26 – Estimated cost you pay for new printing calculators 

When any of the above values ​​are changed on the Etape, the entire etape is recalculated. The lines on etape that are highlighted in blue and green (when the etape opens in myOwn10-Key) are Master / derived values. These lines are connected in such a way that cascade updated subtotals following sections on the Etape. 

(If you do not have a copy of myOwn10-Key, download a copy from my web site. You can use the free program in evaluation mode for 30 days.) 

Conclusion 

In my opinion, the addition of mechanical paper tape machines are an expensive, outdated dependency. Migration functionality of the machine by adding electronic calculator software, as myOwn10-Key, has excellent business sense and in the cost and environmental perspectives. I think it’s now the dinosaur mechanical paper tape faded off into the sunset where the same pencil and paper disappeared almost 30 years ago.

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