Results

The main benefits from the AGVs in the elimination of unnecessary work. The time that was used to manually transport the products can now be used in assembly. It directly leads to increasing number of products.

84 𝑁𝑒𝑤 𝑛𝑢𝑚𝑏𝑒𝑟 𝑜𝑓 𝑝𝑟𝑜𝑑𝑢𝑐𝑡𝑠

=𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑛𝑢𝑚𝑏𝑒𝑟 𝑜𝑓 𝑝𝑟𝑜𝑑𝑢𝑐𝑡𝑠 + 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑛𝑢𝑚𝑏𝑒𝑟 𝑜𝑓 𝑝𝑟𝑜𝑑𝑢𝑐𝑡𝑠 × (𝐻𝑜𝑢𝑟𝑠 𝑠𝑎𝑣𝑒𝑑 𝑝𝑒𝑟 𝑝𝑟𝑜𝑑𝑢𝑐𝑡) 𝑃𝑟𝑜𝑑𝑢𝑐𝑡 𝑎𝑟𝑟𝑖𝑣𝑎𝑙 𝑟𝑎𝑡𝑒

Table 15. Number of products per month

Figure 32. Number of products per month manually versus automatically.

The AGV is a reasonable investment after evaluating its productivity and financial effects. AGV is financially profitable with excellent Net Present Value (NPV), Return on Investment (ROI) and Payback time numbers.

Table 16. AGV financial numbers Product Manual Automated

R6 100,00 % 109,95 %

R8 100,00 % 106,77 %

R11 100,00 % 107,81 %

R10_11 100,00 % 100,00 %

Net Present Value 76,34 % Return on Investment 76,34 %

Payback Time 2,71

85

It also adds safety, flexibility and predictability to the processes. Challenges with the current routes is the utility rate. The production lines are far away from each other so it could be wise to use different AGVs for each line. However, the utility rate would be too low for it to be efficient. One option would be to use different AGVs for different production lines so that their utility rates are increased with additional tasks in material handling.

86

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