In partnership with a Fortune 500 customer, DSC Logistics will pilot the use of AGVs, automated vehicles that travel between destinations without a human operator. At a large plant buffer location that receives product from a manufacturing site via a conveyor belt, the AGVs will travel the length of the facility, pulling product on tugger carts from the conveyor to the storage location.
Having explored this innovative technology since 2014, DSC believes that navigational system improvements and ROI make this the optimal time to use it in a distribution environment. The use of AGVs is expected to drive down labor costs, increase efficiencies and help DSC meet customer requirements when the labor market is tight.
“DSC continually explores solutions to drive improvements in our customers’ supply chains,” said Michelle Dilley, Chief Supply Chain Transformation Officer. “We’re excited about the possibilities with AGVs. Partnering with our customer on this pilot project will help us test the waters and determine future applications for our network that will help us to further reduce total system costs and transform business processes for our customers.”