Taking a look at the pros and cons of AGV’s

We recently explored the benefits of Autonomous Mobile Robots (AMRs) and their potential to transform warehouses and distribution centers in the long term. However, many businesses remain hesitant to invest in costly technology due to the uncertainty of Brexit. For some companies, a strong business case for integrating such technology into their supply chain may not exist, regardless of the economic climate.

Automated Guided Vehicles (AGVs) have been around for nearly 70 years, sparking debate over their continued use. Below, we discuss their benefits and drawbacks.

Pros

Reduction of Labor Costs

Every business aims to boost productivity and efficiency. AGVs contribute significantly to these goals thanks to their reliability and long-term cost-effectiveness. Unlike humans, AGVs do not tire or require breaks. They deliver higher task accuracy and handle repetitive tasks, reducing the risk of injury over time.

Modular Growth

You can start using AGVs with just one unit, and expand the fleet as demand increases. Their operations can scale up or down to meet your needs, streamlining your operational flow. Additionally, you can adapt AGVs with robotic attachments, providing a cost-effective entry into advanced technology.

Predictability and Safety

AGVs offer reliable and safe transportation of goods throughout distribution and warehouse centers. They operate away from human workers, minimizing safety concerns. AGVs excel in extreme temperatures and can handle heavy loads while reducing the risk of staff injuries.

Disadvantages

High Initial Cost

Investing in new technology involves a significant initial cost. Companies must balance long-term returns against the purchasing period and savings from reduced labor costs. During this period, extra maintenance expenses may arise. Remember that no machine is perfect; factor in potential downtime and operational disruptions when considering costs.

Singular Use

The predictability of AGVs can be a double-edged sword. To maximize their effectiveness, you need to capitalize on their strengths. AGVs excel in repetitive tasks, so if your operations don’t require this, you might not achieve a strong return on investment.

Lack of Flexibility

If you need to change paths or routes due to a new layout or unexpected issues, it can take time to halt operations and reprogram the AGV. A well-functioning distribution center operates like a well-oiled machine, but rapid changes in warehouse demands may necessitate a quick response. If your operations require frequent changes, AGVs may not be the best fit. However, they work effectively for repetitive tasks.