There is still a lot of apprehension towards embracing automation in the warehousing and intralogistics industry. To many it is simply the trepidation of the unknown, but often it comes down to the fact that robotics are seen to be very expensive. But how expensive are automated forklifts and carriers really?
The simulation in Graph 1 shows the costing of one AMR carrier (Autonomous Mobile Robot) and compact fork-over AGV (Automated Guided Vehicle) in relation to a double shift of repeatable warehouse trolley and forklift movements. The AMR carrier returns a saving in labour costs of $1,811,800 over 10 years and is paid off in the second year. The compact AGV becomes a paid asset within the third year and saves $1,668,000 in direct labour costs over a 10 year forecast.
The savings are further compounded when implementing a larger system. As shown in Graph 2, a fleet of three AMR carriers replacing six shifts saves $5,640,360 in labour costs over a 10 year forecast and the AGVs return a saving of $5,504,000 and are paid off before the end of the second year.
*The average annual warehouse staff wage used above is $60,000 plus a 20% on cost, plus annual entitlements, and 3.5% annual wage increase. An annual cost of $10k has also been included to simulate the leasing of a forklift with inclusive maintenance costs. (Ongoing maintenance costs of the AMR and AGV units are estimated at $7-9k per year, per unit.)
AGVs and AMRs
AGVs and AMRs are the most effective solution for repeatable pallet and cart transport and can easily be managed using the in-built, best-in-class MAXAGV windows-based WMS (Warehouse Management System).
There are many different models available, however this costing simulation uses a compact fork over AGV capable of lifting 1 tonne loaded pallets up to 2.8m high and an AMR carrier designed to transport loaded pallets up to 1.3 tonne.
The many benefits of warehouse automation
- Increased workplace safety, efficiency, and productivity.
- Reduced labour, operational costs, and human errors.
- Reduced handling and storage costs.
- Improved client experience and employee satisfaction.
- Eliminate damage to machinery, products, and infrastructure.
- Optimised warehouse space.
Am I ready for automation?
Deciding when to automate your business depends on a host of factors. Begin by evaluating processes and procedures, source a local and experience proven integrator to identify the more immediately areas to focus on whilst keeping future proofing and continuous improvement in mind.
It is important to note that an automated system is only as good as the guidance and continuous support provided by the integrator. Choosing an experienced integrator with reliable service and support is integral to the success of any system.
The team at Robotic Automation™ is here to help you determine the suitability of implementing automation into your warehouse environment.
