Using AMR technology, these automated inventory tracking and management robots are programmed to traverse warehouse environments and scan stored inventory in shelves.  These cycle counting robots are typically equipped with:

• >30’ High Masts – in order to satisfy the goal of scanning goods stored in 3 meter high racks, these inventory counting robots need to include dauntingly tall posts that provide a line of sight to the highest warehouse shelves. These masts are typically collapsable and include extendable telescopic components that form a towering post of cameras.  Like any mechanized moving parts, these telescopic towers are subject to ablation.

• Wide Mobile Bases – to prevent the extra tall masts from toppling, these AMR cycle counting bots include very heavy and extra wide bases.  These bots travel through warehouse aisles using a variety of single and omni-directional wheeled bases.  While these larges bases prevent disastrous toppling, they also prevent the AMRs from cycle counting very narrow aisles (VNAs).  Deep within the lithium battery powered mobile unit is a highly sophisticated server responsible for collecting and processing cycle counting data. Unfortunately, these robotic bases are prone to software glitches and wear and tear that cause unexpected behavior and complete failures.
• Scanners – masts are equipped with several cameras and lights that span the entire height of these towers.  These automated cycle counting robots can have up to 20 different sets of cameras and lights to capture shelf stored inventory.   This multitude of devices introduces a multitude points of data capture failure   If any one of these components ceases to function, the inventory audit missions are compromised.  
• Data Reporting Applications – instead of transferring inventory information to the warehouse WMS, automated inventory management and tracking robot providers prefer to keep audit data in their own reporting portals.  These applications will provide a comprehensive view of the data captured by the cycle counting robots, but this results in warehouse information residing in two different platforms.  Integrating with WM systems can be time consuming and that’s why solution providers prefer not to offer this as a service.  Vimaan on the other hand offers WMS integration as part of our standard service offering, in addition to providing one of the industry’s leading inventory visualization tools in ViewDECK.

Along with improving efficiencies, the ultimate goal in any warehouse automation solution like inventory tracking robots is to demonstrate a fast and long-lasting ROI.  The primary drivers for ROI include the ability to reduce warehouse shrinkage and high labor costs.

• Inventory Shrinkage – when inventory goes missing and needs to be written off, it is included in the warehouse shrinkage data.  Several factors contribute to shrinkage including theft, administrative errors, supplier fraud, or damage during transit. In a warehouse setting, inventory shrinkage undermines inventory accuracy, leading to mismatches between recorded stock levels and actual physical inventory. This creates significant operational challenges, as warehouses rely on accurate inventory data to manage stock levels, fulfill orders, and plan replenishment effectively.  The annual shrinkage rate across various industries can range from 1.4% to 2% of total inventory value.
• Labor Costs – anywhere from 50 to 70% of warehouse expenses are labor related.  This includes wages, salaries and benefits making it the largest operating cost in warehouse management. The more a warehouse can automate routine tasks like cycle counting the greater the chance they can reduce these high costs.
• Inventory Cycle Counting Robot’s ROI – of all the cycle count automation options available, automated inventory management and tracking robots are the most expensive option on the market.  These towering robots are comprised of the most sophisticated and costly electronics found in a warehouse.  Reported costs to deploy cycle counting robots warehouse can include:
  • Install Set Up – depending on the size of the warehouse, these onetime costs can vary from $25,000 to $50,000 (and even higher).
• • Subscription – once installed, warehouses are then charged $20,000 to $30,000 a month.
  • Typical Automated Warehouse Cycle Counting Robot Costs – On average, warehouses can expect to spend $300,000 to $500,000 a year on inventory scanning robots. Based on these costs, achieving an ROI on this investment would be extremely difficult.  Alternatively on average warehouses that use StorTRACK to automate their cycle counting experience an ROI in 6 – 8 months (and often less).
• Even with the high costs associated with deploying cycle counting robots in the warehouse, the solution providers still lose money on each deployment.  In an effort to break into the cycle counting market, these companies are charging customers less than their actual costs and are willing to lose money with each project. While the short-term advantages to this may appear worth it, if their gamble does not pay off than warehouses could lose their massive investments in these inventory cycle counting robots.