Business insiders have determined that even limited automation and robotics in pallet production efficiency significantly reduce labor costs. Even so, some manufacturers are hesitant to introduce pallet production automation. Others would love to jump on board but worry about finding the best robots for palletizing. Still others simply do not know where to start. Let's talk about it.
To be fair, there is an up-front cost involved. Robotic systems, sensors, and conveyors represent a capital investment. The return on investment (ROI) depends on your company's overall business volume. The smaller the business, the longer it takes for a company to see any ROI. Using basic nailers, jigs, and saws is more cost-effective; however, you will incur higher labor costs and variable output.
Another sticking point is the need for varied pallet production based on customer orders. Automation indeed excels particularly with standardized processes. You may need to reprogram the machines for specialty runs. Of course, this is where your staff comes in. By moving them from production to technical oversight, retooling is quick. Moreover, the production speed that automation brings to your facility more than makes up for the short downtime that reprogramming presents.
The "we have always done it this way" factor may stand in the way of automation and robotics in pallet production efficiency. Longtime employees worry about their job security. Remember that automation does not mean you are firing your workforce. Instead, you shift them from hands-on labor to technical control. Moreover, they are still needed for specialty orders that are too small to justify reprogramming a machine. You will lose your dependence on the labor market and the expenses associated with finding good workers who will stay on.
Automation is an amorphous term. What specifically does it mean? As it turns out, there are plenty of automation options. Let's look at a few of them.
These robotic systems are ideal for the end-of-production packaging. They stack pallets and handle repetitive processes safely and efficiently. Industry insiders call it a cell because it is a self-contained work station for a preprogrammed activity. Larger robotic palletizers rely on articulated robot arms. Smaller collaborative (Cobot) palletizers work alongside staff members. Cobots for palletizing are well-suited for smaller manufacturers.
When you do not have identical products to load on pallets, you may need to switch to different stock-keeping units (SKUs). Alternatively, invest in technology equipped with sensors to automate this process. Artificial intelligence (AI) will guide the loading process to maximize load stability and optimize truck space. This investment makes sense when you regularly produce various pallets for your customers.
The end of the arm is the attachment mounted to a robotic arm. There are different types, depending on the functions you need them to perform. For example, magnetic grippers are well-suited for lifting metal parts. Plate grippers slide under the completed pallets and stack them. Clamp grippers are needed when the robotic arm moves heavy stacks of raw materials. EOAT will increase assembly speed and precision. Aside, it also minimizes the potential for worker injuries.
When creating a smart factory environment, SCADA/WMS integration is a sensible approach. Supervisory control and data acquisition (SCADA) offers the benefit of real-time pallet production. Examples include machine status, production counts, and even energy usage. A warehouse management system (WMS) controls inventory management, logistics, and shipping schedules. The pallet automation benefits for mid-sized operations are the connections between the factory and warehouse floors.
Cobot palletizing is the ideal choice for small to medium-sized packaging lines. Employees work alongside robots. No fencing is needed because cobots have sensors and other safety equipment. Industrial robot palletizing is fully automated and ideal for large operations that may run around the clock. They operate at high speeds and are typically kept behind cage fencing to prevent employees from being injured. Additionally, you need quite a bit of space for these robots.
An offshoot of robot palletizing is the use of autonomous mobile robots (AMRs). These robots are not stationary but move independently of workers inside your warehouse. These options include transporting lumber from storage to production, moving finished products to wrapping or storage, and fulfilling any tasks determined necessary by SCADA/WMS.
Understanding how robotic palletizers work makes it clear that they are not a one-size-fits-all choice. Small and mid-sized operations can mix and match the technologies they need that appeal to them for scalability or that they want to invest in now. The driving factor should be throughput improvement.
AMRs in pallet handling to achieve labor cost reduction is only one facet. The real test of the ROI of palletizing automation is increased throughput. This term refers to the number of pallets produced within a specified time frame. For example, when considering cobots to work alongside employees, you might be looking at the number of pallets produced during a shift. If you are weighing the integration of robotic manufacturing, you might measure throughput as the number of pallets made per hour.
In manual manufacturing, downtime, bottlenecks, human error, and waste often affect throughput. When automation is involved, the focus must be on machine speed, material handling, bottlenecks, and the time required for end-of-arm tooling. When measuring throughput, you might actually get ideas for technology to involve.
Automation and robotics in pallet production are expected to improve throughput. Whether this involves producing more pallets, manufacturing them more efficiently, or maintaining a consistent workflow, technology is available to assist with these tasks.
Business insiders have developed a formula. It is supposed to measure the payback period after integrating technology. They suggest calculating the total automation investment and dividing it by the annual net savings. These savings are any reduction in downtime, waste, labor costs, and injuries, while simultaneously increasing throughput and product quality.
In simplest terms, if you have four employees who work a standard eight hours per day for 250 days out of the year, and if you pay them $25 per hour, you are looking at labor costs of $200,000 for one year. (Obviously, this is somewhat unrealistic because of holiday pay, overtime, and similar expenses, but let's work with a simplified set of numbers.) If you automate any part of your manufacturing and can now make do with two employees, you reduce labor costs by $100,000 per year. If the equipment costs $300,000, the formula suggests a payback period of three years.
This model does not account for the increase in productivity you are most likely looking for. For example, where you previously manufactured 500 pallets per day, automation may enable you to produce 1,000 pallets each workday. By incorporating these calculations into your payback period, you can significantly reduce it. However, these calculations only work if the machines you use are well-maintained and there are no unplanned downtimes.
What causes unexpected work stoppages of your AMR pallet movers, robots, or cobots?
Palletizing software optimization, automated depalletizing, mixed-case palletizing, integration with WMS, and the need to reduce labor costs are just a few of the issues you are addressing. Besides these, scalability is needed, as is reducing unplanned downtimes and increasing output. And let's not forget that many small—to mid-sized manufacturers are also looking at ways to make their processes more eco-friendly. Is automation worth it with all these considerations, goals, and choices?
The answer is: It depends. First, determine your annual production volume, labor costs, pallet mix, and long-term objectives. Once you have these fully defined, you can weigh the pros and cons of investing in automation.
Integrating machines will increase your throughput, reduce waste, and minimize mistakes like misaligned boards. You will need fewer workers and can save money on workers' compensation claims because machines can handle tasks that have previously led to employee injuries. Automation on the planning side makes operations predictable and prevents overbuying raw materials that you have to store. Focus on the long-term ROI that any automation offers.
There is little doubt that automation is expensive. Depending on the number of processes you want to automate, you may incur significant front-end costs. Remember to account for preventative maintenance expenses to prevent unplanned downtimes. If you are a small operation specializing in a variety of pallet designs, automation may not give you the throughput increases you are looking for because your employees will spend a lot of time retooling. While you will save on labor costs, you may need to retrain employees and eventually compensate them more for taking on technical oversight tasks.
Start small. You do not have to automate your entire production. Instead, focus on one manufacturing process area that could improve throughput. Whether this involves conveyors, cobots, or stacking robots depends on your unique needs. Partial automation is also a good idea if your manufacturing processes involve many variations.
Integrate SCADA/WMS systems when determining automation and robotics in pallet production efficiency. It is an added expense, but automating the manufacturing line and planning makes sense. You will automate efficiency by reducing labor and material costs. You do not have to go for the software with the most bells and whistles. Remember to select something that works with your current production setup. However, keep an eye on scalability that aligns with your corporate goals.
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