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How KINEXON SafeZone Saves Money by Protecting Employees

An employee infected with COVID-19 can lead to a complete stop of the entire operation. The financial damage can reach millions after just 10 days. This calculation example shows the importance of effective protective measures — for the health of both the employees and the company.

MunichJul 01, 2020

It is a scenario that no entrepreneur wants to imagine: operations gradually start up again and suddenly the message appears that a COVID-19 infection has been detected within the company. Immediate action to protect the employees is required, not a minute must be lost.

Latest news from mass infections in companies show us how quickly a complete operation can be brought to a shutdown all at once.

Everyone knows that protective measures of all kinds are important. In these times, the realization that an investment in sustainable and efficient technology like KINEXON SafeZone pays off economically becomes clear when you go through a few sample calculations.

We have calculated this using the example of a company with 500 employees — without claiming to be universally valid or representative, but as a suggestion on how to approximately determine your own financial risk:

Take, for example, as mentioned above, an arbitrary company X with a workforce of 500. If it becomes known, that one of the 500 has become infected with COVID-19, then theoretically anyone who was also present during the days that the person was at the company could also have become infected.

Of course, the number can be lowered, since some employees were on vacation, others were working in completely different premises and still others were perhaps only working out of office. The first step of identifying these employees must happen within a few hours. In a best case scenario, minutes.

If this does not happen, everyone would need to be sent into quarantine. After all, the protection of employees remains the top priority.

For this entrepreneurial horror scenario we have developed KINEXON SafeZone. When this is in use, the warning function efficiently supports employees in their daily routine in keeping a safe minimum distance and thus significantly reducing the general risk of infection.

In its extended version, KINEXON SafeZone also reduces the 500 theoretical colleagues to a just a few colleagues who actually had critical contact with the infected person.

Usually, employees rarely have contact with more than 30 people in two weeks. But let’s assume 50 people for our calculation. In this case, only these people need to be sent into quarantine.

This leads to the following question, which the management has to ask: What does this personnel shortage mean in euros? As the incubation period of the COVID-19 virus can last up to 14 days, employees are therefore absent for 10 working days.

If one assumes a working week with 37.5 working hours and average labor costs per hour of 43 euros (the German average across all industries is 35.90 euros), the large discrepancy between the orders of magnitude becomes immediately apparent.

Whereas in our calculation example we end up with a lower six-digit sum”, in the worst case scenario we would quickly end up with a loss in the millions. (Or in the US: An average working week with 40 working hours and average labor costs per hour of 35 Dollars would lead to 40,000 hours and 1,400,000 Dollars per case.)

What should not be forgotten in this calculation: hours of work that are lost due to quarantine cannot always be compensated 1:1 by colleagues, assistants, temporary workers, colleagues from other locations or similar.

If about 10 % of the employees are absent – according to experts‘ estimates — up to 80 % of the working hours can be compensated. However, the more people that are absent, the more difficult this undertaking becomes. Experience from the first weeks of the coronavirus crisis showed that in most cases well over half of the lost working hours (i.e. about 60%) were lost unproductively — and thus cost money. (In the US: Up to 24,000 workings hours would be lost per one case of infection.)

Of course, it would also be possible to add up what these lost hours of productive work result in lost sales, but it is already becoming apparent:

The economic damage to a company is in a completely different dimension at dizzying speed compared to a situation when targeted quarantine measures can be taken immediately.

No company can avoid this balancing act

No compromise must be made when it comes to protecting employees from infection. Yet, at the same time, revenues must continue to increase and the economic risk must be kept as low as possible. This entrepreneurial task is new — and an investment in health, jobs and the economic future. 

Get to know the most efficient and first industrial-proven solution to protect your employees:

Get to know KINEXON SafeZone

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