People-Friction Calculator™ · For manufacturers

What is people-friction costing your plant every year?

Seven numbers from your HR records. Two minutes. A conservative, research-based estimate of what staff turnover, absenteeism and leadership friction cost your business, and what you could realistically save.

Built on published researchEvery formula shownYour numbers stay on your screen until you ask for your report

Your numbers

We've filled in typical values for a 180-person manufacturer. Replace them with your own.

1 · Your workforce
people
R
Total cost-to-company divided by headcount: salary, overtime, benefits and UIF/SDL. Your payroll report has this.
leaders
R
2 · Staff turnover
leavers
Resignations and dismissals, not retirements or planned contract ends.
3 · Absenteeism
days
Sick days and unplanned absence. Leave out annual leave. Total days absent ÷ headcount.
4 · Leadership friction
hrs
Unresolved conflict, firefighting between departments, repeating instructions, fixing misunderstandings. The research average is 2.1 hours per employee3; most supervisors lose more.
Estimated annual cost of people-friction
R0
0% of your payroll · R0 every working day

See where it leaks, and what you could save.

Enter your details to unlock your full breakdown. I'll also email you your People-Friction Report, with a link to come back to your numbers.

  • The cost of turnover, absence and friction
  • The formula behind each figure
  • Realistic saving in year one
  • Payback and return on investment
  • Skills levy you can claim back
  • Your report as an email and PDF
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Staff turnover
R0
Absenteeism
R0
Leadership friction
R0

What you could save

With stronger leaders and a team that pulls together

Fewer leavers
R0
Fewer absence days
R0
Leader hours recovered
R0
Estimated saving per year (conservative)
R0
High-Performance Team Programme
R295,000
6 months: exec team plus 20 supervisors, measured before and after
Pays for itself in
—
from the saving above
Return in year one
—
saved for every R1 invested
You already pay about R0 a year in Skills Development Levy (1% of payroll). Submit your Workplace Skills Plan and training report, and R0 of it comes back as a mandatory grant5.
Only 18% of South African employees are engaged at work4. Engagement is shaped every day by the person people report to, which is why the supervisor layer matters so much.

How we calculate

Every figure comes from a formula you can check, using published research. Where the research gives a range, we take the cautious end, and we only count costs that show up in your numbers. The real cost of people-friction is almost certainly higher.

Staff turnover

leavers × annual cost per employee × 20%

Replacing someone costs recruitment, onboarding, training, overtime while the post is vacant, and lower output while the new person learns. A review of 30 case studies found a typical cost of about 20% of annual salary for roles under senior level.1

We apply 20% to everyone, including leaders, whose real replacement cost is usually far higher.

Absenteeism

employees × days absent × daily cost × 1.28

An absent worker's day costs more than their wage, because the team around them slows down or works overtime. Research across many occupations found the median cost of an absence is 1.28 times the daily wage, and higher in team-based, time-sensitive work like production lines.2

Daily cost = monthly cost ÷ 21.67 working days. We use the median, not the higher factory multiplier.

Leadership friction

leaders × hours a week × 46 weeks × leader hourly cost

When leaders don't work as one team, their hours go to conflict, firefighting and fixing misunderstandings. A global workplace study found employees spend an average of 2.1 hours a week dealing with conflict.3

We count leaders only, not the whole workforce. Hourly cost = annual cost ÷ 2,070 working hours (46 weeks × 45 hours).

What the savings assume

  • Conservative: 10% fewer leavers, 5% fewer absence days, 15% fewer leader hours lost to friction.
  • Expected: 20% fewer leavers, 10% fewer absence days, 30% fewer leader hours lost.
  • Both are deliberately modest. A meta-analysis of 335 leadership-training studies found clear improvements in leaders' behaviour and in organisational results. The strongest effects came from programmes for frontline leaders, delivered on site over several sessions with practice.6 That is how the Programme is designed.

What we leave out (on purpose)

  • Lost output from people who are present but disengaged. Gallup finds only 18% of South African employees are engaged,4 but no one can price that reliably for your plant.
  • Quality, rework, safety incidents and missed deliveries linked to poor communication.
  • The higher replacement cost of managers and skilled artisans.
  • Your own time as MD spent resolving people issues.
Sources
  1. Boushey, H. & Glynn, S. J. (2012). There Are Significant Business Costs to Replacing Employees. Center for American Progress.
  2. Nicholson, S., Pauly, M. V. et al. (2006). Measuring the effects of work loss on productivity with team production. Health Economics (2006); NBER Working Paper 10632. Summary: Knowledge at Wharton.
  3. CPP Inc. (2008). Global Human Capital Report on workplace conflict. Summary: EHS Today.
  4. Gallup (2026). State of the Global Workplace: South Africa.
  5. Skills Development Levy, WSP and SETA mandatory grants (20% of levy paid).
  6. Lacerenza, C. N. et al. (2017). Leadership training design, delivery, and implementation: A meta-analysis. Journal of Applied Psychology, 102(12), 1686–1718.
This calculator gives an estimate based on the numbers you enter and the research above. It is not financial advice, and results will differ for every business. Your numbers stay in your browser unless you ask for your report. © The Growth Percolator