Supply Chain Council of European Union | Scceu.org
Warehousing

The Business Case for AMR’s in Manufacturing

OTTO Motors and PULSE Integration have partnered to implement one of the world’s largest deployments of AMR technology. The OTTO material handling platform was deployed at a billion dollar company that is a household name in consumer goods. This was in part because of the ability for the AMR platform to flexibly, reliably and safely move materials but the strength of the business case was a deciding factor in the choice to implement OTTO.

The following conclusions were drawn after a detailed analysis of the OTTO platform vs alternative material handling methods for the customers. When compared for productivity and costs:

OTTO was 10% the cost of a full-time equivalent for manual cart movement

OTTO was 50% of the costs associated with a driver and a forklift.

OTTO was 66% the cost of an AGV equivalent

OTTO was 50% the cost of a conveyor equivalent

When the customer began its work with PULSE to transform its operations, four methods of material transport were considered. The customer needed a flexible, reliable and safe solution that would optimize materials movement. OTTO AMRs were found to be more flexible than a conveyor and safer than a forklift. The deployment resulted in an ROI of less than two years, and significant cost savings for the operation. The payback drivers included labor savings, increased productivity, improved safety and ergonomics for operators, lower capital costs, and a more compact facility design.

https://379.d5f.myftpupload.com/wp-content/uploads/The-Business-Case-for-AMRs.pdf

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