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Welding automation
The adoption of collaborative robot welding (or 'cobot welding') is accelerating. The main reason is that it is hard to find people for the role. Companies that want to grow - or even maintain their size - are unable to hire the welders they need. Automation may provide a solution, even in industries with a high mix of low-volume parts.
Like any other automated piece of equipment (i.e. CNC machines), the cost depends on the business and use factors. The average initial cost can vary, but many are discovering that the ROI is shorter than expected and the intangible benefits contribute to their overall value.
In this article, we'll touch on the components of the cobot welding system, compare cobots against hiring manual welders, analyze the payback period of a cobot welding system, and touch on some long-term benefits and future scalability.
Conducting a cobot welding price assessment system requires an understanding of the key components. If you're mulling over investing in a system, you will likely need to think about these four major components:
The hardware is the most visible part of the cobot and gets the most attention. Cobot hardware includes the robotic arm and controller. There are many different robotic brands on the market, offering consistency, precision, and durability.
You will interact with the cobot software during changeovers, new product setups, and product revisions. There are many different types of software solutions available (depending on the company) with different methods of user engagement.
The cobot welding system is like a manual system. It consists of a power supply, a welding torch, and a wire feeder. The tool installed on the end of a cobot arm is called an end-effector. The end-effector for the cobot welding system is the welding torch. The welding system proves as pivotal as the robot itself because it determines the quality of the weld.
The final component (tooling) refers to any additional fixtures that may be necessary to hold and position your workpieces. Well-made tooling will help the accuracy and efficiency of your welder. Its cost will vary but often fabricators will already have a process for making tooling in-house.
Since the primary advantage of the cobot is to relieve the pinch-point of hiring manual welders, we should assess the costs of hiring human welders versus the investment in a cobot welding system. Understanding the full financial implications of this decision will aid in making a well-informed choice.
Business owners are aware that the cost of hiring a human welder isn't confined to their salary. It extends to health insurance, retirement contributions, taxes, hiring costs, training costs, and more.
The annual base salary of a welder in Europe can vary considerably between countries. This does not include associated costs such as benefits, taxes, training, and overtime. This means that the actual cost of a manual welder is higher than their actual salary.
Eurostat calculated the average employer costs for employee compensations in the EU. On average, wages only account for 75% of the employer costs. The remaining 25% of costs are related to employee benefits. For example, if a welder was employed at a base rate of € 20 per hour and worked 40 hours a week on average, then the true cost of the employee to the business would be €55,467 for that year. Subsequent years will be higher based on pay raises and benefit cost increases.
Estimated Cost of a Full-Time Welder
References: Europa.jobs and Eurostat
Admittedly, a manual welder can't work 24/7. They also need to take vacation and sick days. Furthermore, absenteeism, turnover, and productivity levels also have additional impacts on business costs.
The primary cost of a purchased cobot system includes the system price, setup fee, and ongoing maintenance requirements. However, the investment is front-loaded. This first-year investment can create significant cost savings over time, especially when considering their operational longevity. While wages increase year-over-year, the total cost of a cobot is spread over the lifecycle of the cobot. Cobots can operate around the clock. Their ability to produce high-quality welds with a near-zero error rate also reduces waste and rework costs, improving your bottom line.
Of course, each business should conduct a payback calculation.
We'll run through one example of a calculation for a theoretical fabrication company in the next section.
Once you’ve considered the cobot welding price, it's vital to analyse the return on investment by calculating the payback period. The payback period is the most common method of calculating the Return on Investment (ROI). The payback period is the length of time it takes for the cobot to pay for itself through labour cost savings (i.e. “How long until we make this money back?”). Typical ROIs for cobots range from 18-24 months. After the initial payback period, the cobot welding system continues to provide savings year after year.
Let’s revisit the manual welder example, but this time over 3 years.
Assuming:
Estimated Cost of a Full-Time Welder Over 3 Years:
Over 3 years, the manual welder costs this business over €200,000 This calculation was based on some conservative estimates, but the real situation might be much higher.
With this calculation, you can pay back the cobot welding price in less than 24 months if the cobot welder were under €140,000
There are also intangible benefits to the welder. These include consistent production quality, reduced downtime, and increased productivity. The cobot can provide a compound effect for the talent you already have on staff and shoulder the burden of repetitive tasks.
It's important to remember that the payback period can differ from one facility to another, depending on factors like utilization, weld complexity, and regional costs. That's why it is important to perform a comprehensive cost analysis for your business.
Investing in a cobot is an important decision that can deliver long-term benefits beyond the initial payback period. Here we will explore additional paths to long-term cost improvement that extend beyond the upfront financials.
As mentioned earlier, a robot can provide a steady output that can provide a multiplication effect for your business. Cobots maintain a consistent pace and a 24/7 production cycle.
Precision and repeatability are the hallmarks of cobot welding. They ensure a consistent level of quality, reducing the potential for faults or defects in your products. Cobots can repeat the same task over and over with the same degree of precision.
ESAB University has additional articles discussing general welding safety and we expand on cobot welding safety in Transform Your Welding Shop with Cobot Welding: A Comprehensive Guide. Robotic welding, like manual welding, presents certain hazards that must be mitigated to ensure the well-being of the human workforce.
Welding with a cobot can help prevent several types of hazards:
Once fully operational, a cobot requires fewer ongoing costs compared to a full-time manual welder. You won’t need to factor in salary increases, health benefits, or vacation time for cobots. They also reduce the need for overtime costs, especially during peak production periods.
One of the defining characteristics of investing in a cobot welding system is its innate scalability. This is why it is important not to view a cobot welding system as a singular cost outlay but as an investment for the growth of your business.
Unlike manual labor, when you need to scale up production, upgrading a cobot’s software is generally quicker and often more cost-effective than onboarding new people. Technology advances at a rapid pace, and cobot welding systems are no exception. As new features and enhancements become available, you can typically integrate these into existing systems for a fraction of the cost of a full replacement.
When your company is ready to broaden its production line, cobot welding systems can seamlessly integrate into new operations. Each cobot can handle a range of tasks in the welding process, enabling production to go on uninterrupted during the expansion. This flexibility stands in stark contrast to the delays we are experiencing with finding, hiring, training, and integrating new personnel.
When business is booming, a cobot welding system can extend its hours of operation. In slower economic climates, cobots can be tasked with different welds or scaled down as necessary. This degree of flexibility can protect your business from the financial strain of economic downturns, while also taking full advantage of lucrative upswings.
Cobot welding systems offer many benefits, particularly for businesses grappling with labor shortages. By understanding these costs, you can make a well-informed decision about how a cobot could fit into your operations, bolstering your business's productivity and resilience in the marketplace
Explore additional resources on ESAB University for more information on cobot welding systems, welding techniques, and more.