Rack Column Repair vs. Replacement
ROI Calculator

Calculate the Return on Investment for Your Warehouse

Simulate the 10-year ROI of repairing damaged rack frames with rack repair kits versus replacing them with OEM frames. Follow the instructions below to learn more about filling each form field and understanding the results.

Your Warehouse Info

 

Rack Replacement Info

Calculate Your ROI

Rack Repair Info
All costs are per frame. How are costs calculated?


    
 

 

Rack Repair vs. Replacement ROI Report
(10-Year Simulation)

Year Rack Replacement Rack Repair Total ROI ($)
Frames Replaced Total Costs ($) Total Frame-Weeks Downtime Lost Revenue due to Downtime ($) Frames Repaired Total Costs ($) Total Frame-Weeks Downtime Lost Revenue due to Downtime ($)
 

Other Rack Repair Benefits over Replacement

Lifetime Warranty

Get peace of mind knowing your Damotech engineered rack repair kit is backed by a comprehensive warranty. Our DAMO PRO comes with a lifetime warranty against impact, no questions asked!

Protects from Future Damage

Repair Kits are made from heavy-duty steel and are much more resistant to frontal and lateral impacts than original cold-formed racks. Repair Kits significantly reduce the chance of future forklift damage, promoting a safer work environment.

Restores Original Load Capacity

Damotech's engineered rack repair kits fully restore your racks' load capacities and replicate the original brace design configuration so that structural engineering is maintained.

Fast Installation

Our kits are usually installed in 30-45 minutes. Swift and safe, our proprietary lifting equipment greatly facilitates the installation of repair kits by supporting the rack during the repair. Best of all, no unloading of merchandise is required in most situations.

Works on All Types of Racks

Damotech kits are custom-designed to be compatible with a wide range of pallet rack systems from any manufacturer, ensuring a perfect fit for your warehouse. Even if your racks can no longer be manufactured, we can fix them.

Short Lead Time

Damotech's state-of-the-art automated facility ensures the fastest production times in the industry, minimizing wait times for your repairs. All our custom repair kits can be shipped in a matter of weeks.

Learn More on Rack Repair Kits

How to Calculate Replacement & Repair Costs

Rack Replacement Costs

When evaluating the cost of replacing racks, it’s essential to consider more than just the price of an upright frame. Several additional costs contribute to the total replacement expense. For example, to replace an upright frame, you must first unload each beam level on both sides of the damaged frame. Only then can you dismantle the rack and proceed with the frame replacement. This process requires labor and equipment, both of which add to the overall cost.

Here’s a breakdown of the typical costs associated with frame replacement (default value used in the calculator):

OEM Frame Cost: $290
Freight: $1,200
Rental (Scissor Lift): $300
Unloading & Reloading: $60
Dismantling: $120
Installation: $150
Total Replacement Cost: $2,120

Rack Repair Costs

Like replacements, rack repairs also come with associated costs. However, in most situations, repairs don’t require unloading, dismantling, or reinstalling racks, resulting in significant labor savings. Since repair kits are installed using proprietary equipment, no rentals are needed. Also, installation generally takes under an hour, minimizing operational disruption and downtime. Best of all, engineered rack repair means you'll most likely never have to fix a repaired location ever again.

Here’s a breakdown of the typical costs associated with frame repair (default value used in the calculator):

Rack Repair Kit Cost: $440
Freight: $500
Rental (Scissor Lift): $0
Unloading & Reloading: $0
Dismantling: $0
Installation: $125
Total Repair Cost: $1,065

How to use the ROI Calculator

Calculator Input Fields

Total number of frames in your warehouse:

This field represents the total number of pallet rack frames in your warehouse. A rack frame, also known as an upright frame, consists of two vertical columns (posts) connected by horizontal and diagonal braces. This number is used to calculate the number of frames damaged each year in your warehouse.

Average percentage of frames damaged per year (%):

This is the average percentage of frames in the warehouse that are typically damaged annually. It helps estimate how many frames need to be repaired or replaced annually.

Lost revenue for downtime per frame per week ($):

This input represents the estimated financial loss incurred each week that a pallet rack frame is out of operation due to damage. When a frame is unavailable, it can disrupt warehouse operations, resulting in lost revenue, delays in product handling, and inefficiencies. This value should reflect the impact of having reduced storage capacity or operational efficiency for each damaged frame. The number entered here is multiplied by the weeks it takes to replace or repair the frame to calculate the total lost revenue due to downtime when the frame is non-functional. Enter 0$ if there is no financial impact for downtime in your warehouse.

Costs:

The default amounts reflect the figures used in our rack column repair vs. replacement infographic..

  • Cost of the OEM replacement frame rack or rack repair kit ($)
    Purchase price of the parts and materials needed to obtain the replacement upright frame or rack repair kit.
  • Freight/Shipping cost ($)
    Cost of delivering the rack frame or repair kit to your site.
  • Equipment rental cost ($)
    Rates for any lifting equipment or platforms required for the operation.
  • Unloading & reloading cost ($)
    Fees and labor associated with unloading and reloading the materials onto the rack.
  • Dismantling cost $)
    Labor cost for dismantling the rack and removing the damaged components before installing the new ones.
  • Installation or reinstallation cost ($)
    Cost related to reinstalling the dismantled rack or installing the repair kit.

Lead time for an OEM frame replacement (weeks):

The number of weeks it takes to get a damaged frame delivered from an OEM manufacturer. This value helps calculate the lost revenue due to downtime caused by the replacement process.

Lead time for a Damotech repair kit (weeks):

The number of weeks it takes to get a pallet rack frame repair kit delivered from Damotech. This value is used to calculate the lost revenue due to downtime during the repair process.

 

ROI Report Table

Year:

This column represents the year of the analysis, from 1 to 10.

Frames Replaced:

This column shows the number of pallet rack frames replaced in a year. This value is calculated as a fixed percentage of the total number of frames in the warehouse, as damaged frames that are replaced can still get damaged again in subsequent years.

Total Costs for Replacement ($):

This column represents the total direct costs of replacing the damaged frames for that year. This includes all component parts, freight, rentals, unloading, dismantling, and installation. The amount reflects the numbers from our rack repair vs. replacement infographic.

Total Frame-Weeks of Downtime:

This represents the cumulative impact of downtime on racking. It considers the number of frames out of service and their duration of unavailability. It helps assess the impact of downtime in warehouse efficiency.

Lost Revenue for Replacement ($):

This column represents the financial losses caused by downtime while waiting to replace damaged frames with OEM replacements. The lost revenue is calculated based on the lead time for replacement and the cost of downtime per week.

Frames Repaired:

This column shows the number of frames repaired using Damotech repair kits for that year. As frames are repaired, they will no longer need to be repaired in the future, so the number of frames eligible for repair decreases over time.

Total Costs for Repair ($):

This column represents the direct costs associated with repairing damaged frames using Damotech repair kits for that year. This includes repair costs, freight, and installation. The amount reflects the numbers from our rack repair vs. replacement infographic.

Lost Revenue for Repair ($):

This column represents the financial losses caused by downtime while waiting to repair damaged frames using Damotech repair kits. The lost revenue is calculated based on the repair lead time and the weekly downtime cost.

Total ROI ($):

This column calculates the total return on investment (ROI) realized by repairing damaged frames with Damotech kits instead of replacing them with OEM frames. It is the difference between the total costs for replacement plus associated lost revenue, and the total costs for repair plus associated lost revenue. Positive values indicate cost savings from opting for repairs over replacements.

FAQ

Questions related to the ROI Calculator

What does ROI stand for, and what is its meaning?
FAQ arrow

ROI stands for "Return on Investment." It measures the profitability of an investment, in this case, the investment in rack column repairs versus replacements.

This ROI Calculator specifically helps warehouse managers understand how repairing racks with Damotech engineered repair kits can generate cost savings and improve overall financial performance compared to replacement alternatives, especially over the long term.

What exactly does the Rack Column Repair ROI Calculator do?
FAQ arrow

The Rack Column Repair ROI Calculator helps warehouse managers and facility owners compare the financial benefits of repairing damaged pallet rack columns using engineered repair kits versus replacing them entirely with new OEM parts. By inputting basic data such as the number of frames in your warehouse, damage rate, and associated maintenance costs, users can easily see potential savings over 10 years in a detailed simulation table. Learn how to slash your maintenance costs by 85%.

Who is this ROI Calculator for?
FAQ arrow

This tool is particularly beneficial for warehouse managers, maintenance supervisors, and logistics professionals throughout the United States and Canada who are responsible for facility safety, budgeting, and operational efficiency. It aids in decision-making regarding pallet rack maintenance, rack repair, and safety investments.

How does the calculator factor in 'Lost Revenue'?
FAQ arrow

Lost revenue" refers to the financial impact of downtime caused by damaged pallet racks that cannot be used. This is especially important for 3PLs (third-party logistics providers) who rent rack space, as damaged racks represent unbillable space and thus missed revenue opportunities.

The ROI Calculator uses downtime estimates based on typical or user-defined lead times for both repairs and replacements. It multiplies this downtime by your entered value for lost revenue per frame-week to calculate potential revenue loss resulting from disrupted warehouse operations.

What specific costs are included in the calculator?
FAQ arrow

The ROI calculator covers comprehensive cost factors, including:

  • OEM frame costs
  • Freight costs
  • Equipment rentals
  • Loading and reloading costs
  • Installation labor costs

These inputs ensure an accurate reflection of the true financial impact of rack column repair versus replacement.

Why is repairing rack columns with Damotech kits often more cost-effective than replacements?
FAQ arrow

Damotech repair kits, such as DAMO PRO, offer significant cost savings due to:

  • Permanency: Once repaired, the exact location will most likely never need to be fixed again, which is why they come with a lifetime warranty. The more DAMO PROs are installed, the fewer racks can be damaged.
  • Quicker Lead Time: DAMO PROs are custom-manufactured in weeks, unlike OEM frames, which typically require months before delivery.
  • Quicker Installation: Installing a DAMO PRO usually takes around 30 minutes. In most situations, no unloading, reloading, or dismantling of racks is required, which reduces labor costs. How rack repair works.
  • Reduced Downtime: Less downtime means more efficient operations, and for warehouses that rent out racking space, less lost revenue.
Can the ROI data from the calculator be integrated into annual budgeting and reporting?
FAQ arrow

Absolutely. The calculator's detailed outputs can be directly used to forecast financial outcomes over several years, making it ideal for annual budgeting, internal financial reporting, or capital expenditure (CAPEX) justifications.

Does the ROI Calculator support warehouses of different sizes?
FAQ arrow

Yes, the calculator is scalable and designed to accommodate warehouses of all sizes. By adjusting the inputs, such as total frame count, percentage of frames damaged annually, and maintenance costs, warehouse managers can easily customize the calculations to match their specific facility conditions.

Who can assist in interpreting ROI Calculator results?
FAQ arrow

Damotech’s rack safety specialists can help warehouse managers and facility owners interpret the results, provide insights on potential cost savings, and recommend customized solutions for repairing and protecting rack systems.

Are you unsure about the current condition of your warehouse racks? Damotech offers specialized pallet rack inspection services that provide detailed reports on rack damage, including a prioritization level for each issue.

Questions related to rack repair

When should you repair vs. replace damaged warehouse racking?
FAQ arrow

Deciding whether to repair or replace damaged pallet racking depends on the extent of the damage, its location, and operational constraints such as downtime and cost. In most cases, repairing with a professionally engineered kit is the smarter, more cost-effective solution.

A high-quality repair kit, like Damotech’s DAMO PRO, can:

  • Restore the rack’s original load capacity
  • Offer long-term protection against future forklift impacts
  • Minimize operational disruption (no unloading of pallets in many cases)

However, not all repair kits are created equal. Some options may only address the current damage without offering protection against future incidents. That’s why choosing a repair solution engineered for durability and safety compliance is essential.

Learn more:

Do Damotech rack repair and installation technicians have certification?
FAQ arrow

Yes. All Damotech installers are trained and certified annually for proper repair kit installation. They follow detailed procedures developed by our rack engineers, are well-versed in our product line, and carry valid liability insurance. Learn more about our Orange Pros installation team.

How long does it take to repair a damaged pallet rack upright?
FAQ arrow
A standard 24" DAMO PRO rack repair kit typically takes about 30 minutes to install. Larger kits may require more time, but most repairs are completed in under an hour.
Can I, or my maintenance crews install repair kits?
FAQ arrow

Yes, but only under specific conditions. Damotech offers a limited self-installation program for large facilities and distribution centers. To qualify, companies must:

  • Meet specific eligibility criteria
  • Complete Damotech’s installation training
  • Undergo annual certification
  • Sign a liability waiver accepting full responsibility for the installation

To learn more about self-install, contact a Damotech installation expert.

I have several types of racks in my warehouse. Can Damotech repair them all?
FAQ arrow

Our repair products are compatible with almost any racking system — even those that are no longer manufactured. We’ve successfully repaired uprights and braces from many brands, including:

  • Arcan Manufacturing
  • BeamLock
  • Centennial
  • Cubic
  • Dexion
  • Federal steel
  • Frazier Industrial Co.
  • Hartman
  • Hiline
  • Husky Rack & Wire
  • Interlake Mecalux
  • Kingway
  • Mastorack
  • Maxierack
  • Pacific
  • Palmer Shile
  • Paltier
  • Penco
  • Rapid Rack
  • Redirack (Canada)
  • Republic Storage Systems
  • Ridg-U-Rak
  • Speedrack
  • Steel King
  • Sturdibuilt
  • SuperRack
  • Triple A
  • Unarco
  • USP
  • Web Press Steel
Male pallet rack safety expert

Learn more on rack repair vs. replacement

Our rack safety experts are here to help and answer any questions you might have.

Talk to an Expert
Damotech