Discover Cost-Saving Benefits of Using AGVs and AMRs to automate Your Warehouse Processes

Discover Cost-Saving Benefits of Using AGVs and AMRs to automate Your Warehouse Processes

Implementing Automated Guided Vehicles (AGVs) and Autonomous Mobile Robots (AMRs) in a warehouse can potentially lead to several cost-saving benefits. Here are some ways in which AGVs and AMRs can contribute to cost reduction:

Labor Costs and Shortages: AGVs and AMRs can automate material handling tasks previously performed manually by human workers. By replacing or reducing the need for manual labor, companies can save on labor costs, including wages, benefits, and training expenses. Additionally, AGVs and AMRs can operate continuously without breaks, increasing productivity. You can also upskill these workers by investing in developing employees’ skills and knowledge; companies can reap several benefits, including increased efficiency, improved employee morale, and a competitive edge.

Increased Efficiency: AGVs and AMRs can optimize workflows and reduce inefficiencies in warehouse operations. They can navigate predefined routes, pick up and deliver goods, and transport them to the appropriate locations, all without human intervention. This streamlined process can reduce cycle times, eliminate errors, and improve operational efficiency.

Space Utilization: AGVs and AMRs are designed to operate in compact spaces and can navigate narrow aisles, optimizing the use of warehouse space. AGVs and AMRs can help maximize storage capacity and reduce the need for additional storage facilities or warehouse expansion by utilizing vertical storage systems and efficiently moving goods within the warehouse.

Improved Inventory Management: AGVs and AMRs can be integrated with inventory management systems, allowing for real-time tracking and monitoring of inventory levels. This enables better inventory accuracy, reduces stockouts, and minimizes the risk of overstocking, leading to cost savings associated with inventory carrying costs and obsolescence.

Reduced Product Damage: AGVs and AMRs are equipped with sensors and collision avoidance systems, reducing the risk of product damage during material handling. This can lower costs associated with damaged goods, returns, and customer dissatisfaction.

Energy Efficiency: AGVs and AMRs are often designed to be energy efficient. They can be powered by rechargeable batteries and optimized for minimal energy consumption. Companies can achieve long-term cost savings on energy bills by reducing energy usage compared to traditional material handling equipment, such as forklifts or conveyor belts.

Scalability and Flexibility: AGVs and AMRs offer scalability and flexibility in warehouse operations. They can be easily reprogrammed or reconfigured to adapt to changing operational needs, such as adjusting routes, adding or removing robots, or integrating with new systems. This scalability and flexibility enable efficient resource allocation and minimize the need for significant infrastructure changes or capital expenditures.

It’s important to note that the actual cost savings achieved through the implementation of AGVs and AMRs can vary depending on factors such as the, size of the warehouse, the nature of operations, the specific tasks automated, the initial investment costs, and the level of integration with existing systems. A thorough cost-benefit analysis should be conducted to assess the potential return on investment (ROI) before implementing AGVs and AMRs in a warehouse. Click below for a cost-benefit analysis and see how ABCO can help you determine your cost savings with AGVs, AMRs and a diverse array of Warehouse Automation solutions. 


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Shannan Newsome

Shannan Newsome

Sr. Vice-President of Sales

Shannan has over two decades of Warehouse, Transportation, Logistics, Supply Chain, and Robotic Automation experience. She has broad and focused functional experience in the global arena, including Supply Chain Management and Global Logistics across multiple industries, modes of transportation, and systems working with clients across North America and Europe.

Increase Efficiency and Reduce Costs in Your Warehouse with Automation Technologies

Increase Efficiency and Reduce Costs in Your Warehouse with Automation Technologies

Automated Storage and Retrieval Systems (AS/RS)

One of the most significant pieces of automation technology that ABCO Systems offers is AS/RS. AS/RS is a system that can store and retrieve items quickly and efficiently. These systems use robots and conveyors to move items from one location to another, eliminating the need for human intervention. They can also store items in a smaller space than traditional storage methods, freeing up valuable square footage in your warehouse. By implementing AS/RS, you can significantly increase the speed and accuracy of your inventory management. 


Conveyor systems are another type of automation technology that can help improve your warehouse’s efficiency. Instead of manually moving items from one location to another, conveyors can transport them automatically. This eliminates the need for human intervention, reducing the potential for errors and increasing the speed of your operations. ABCO Systems offers a range of conveyor systems, including gravity, belt, and roller, each of which is designed to maximize efficiency and reduce costs. 


Robotic technology has come a long way in recent years, and ABCO Systems has taken advantage of these advancements. They offer a range of robotic solutions designed to streamline warehouse operations and increase efficiency. For example, robotic palletizers can help reduce the physical burden on your staff while also improving safety and accuracy. Similarly, robotic assembly bots can help speed up the production process while reducing errors. 


One of the biggest advantages of working with ABCO Systems is their ability to integrate different automation technologies into a single, cohesive system. By combining AS/RS, conveyors, robotics, and other automation technologies, warehouse managers can create a customized solution that is tailored to their specific needs. This integration can help reduce costs, improve efficiency, and maximize the use of available space. 


Of course, the ultimate goal of implementing automation technology in your warehouse is to drive results. And, when you work with ABCO Systems, you can expect to see significant improvements in your operations. By reducing the need for human intervention, you can reduce the potential for errors and increase the speed of your operation. This, in turn, can lead to lower costs, improved customer satisfaction, and increased revenue. 


If you’re looking to maximize the efficiency and profitability of your warehouse operations, automation technology is the way to go. And, if you’re looking for a partner to help you achieve these goals, look no further than ABCO Systems. From AS/RS to robotics, conveyor systems to integration, ABCO Systems has the knowledge and experience to help you create a customized solution that meets your specific needs. So, if you’re ready to take your warehouse to the next level, contact ABCO Systems today. 


  • ABCO Systems offers automation technology to increase warehouse efficiency and reduce costs 
  • Automated Storage and Retrieval Systems (AS/RS) allow for quick and accurate inventory management with robots and conveyors 
  • Conveyor systems transport items automatically, reducing the need for human intervention and potential for errors 
  • Robotics, such as palletizers and assembly bots, streamline operations and improve safety and accuracy 
  • Integration of different automation technologies creates a customized solution for specific needs, maximizing available space and reducing costs 
  • Implementation of automation technology leads to lowered costs, improved customer satisfaction, and increased revenue 
  • ABCO Systems has the knowledge and experience to help create a customized solution for warehouse needs 


*AS/RS image courtesy of Interlake Mecalux

**Robotics image courtesy of Addverb

Streamline Your Warehouse Distribution and Reduce Costs With Automated Storage and Retrieval Solutions From ABCO Systems

Streamline Your Warehouse Distribution and Reduce Costs With Automated Storage and Retrieval Solutions From ABCO Systems

As a supply chain and logistics professional, you understand the importance of efficient warehouse management. Time and cost are of the essence when it comes to the smooth functioning of your distribution center. If your warehouse still relies on manual labor for storage and retrieval, it is time to consider embracing automation. Automating warehousing tasks can help streamline operations and pave the way for a more optimized supply chain. This blog post will discuss how ABCO Systems can help you find the automated storage and retrieval solution that will reduce costs and improve productivity.

Increased Storage Capacity

Increased storage capacity is one of the most significant advantages of automated storage and retrieval systems. With automated systems, you can maximize your warehouse space while optimizing the storage process. The systems can help store goods more compactly and efficiently, freeing up much-needed space. With more space comes more inventory, which can lead to an increase in revenue.

Improved Order Accuracy

Automated storage and retrieval systems not only increase storage capacity but also ensure accuracy in order fulfillment. Manually picking and packing items can lead to human errors, such as picking the wrong item or a lower quantity of the item. An automated system makes the picking process largely mechanized, minimizing human errors. This leads to improved order accuracy and customer satisfaction.

Increased Productivity

Automated storage and retrieval solutions help improve productivity in your warehouse. By mechanizing processes, the solutions allow for quick storage and retrieval times, which leads to increased efficiency. Automated systems can also help eliminate time-consuming and labor-intensive tasks such as moving heavy items from one end of the warehouse to the other. These solutions can help employees focus on more value-added tasks, boosting productivity in the long run.

Cost Savings

Implementing automated storage and retrieval systems can lead to significant cost savings in the long run. With systems in place, you can reduce the amount of space required to store your inventory, thus saving on real-estate costs. The solutions also eliminate the need for additional personnel to pick and pack items, leading to reduced labor costs. Finally, the solutions help reduce human errors that can lead to costly returns and order fulfillment delays.


As your business grows and evolves, so does your demand for warehousing. Automated storage and retrieval solutions from ABCO systems are scalable and can accommodate the ever-increasing storage and retrieval needs of your business. You can expand the system as needed without incurring significant upgrade costs or downtime.

ABCO Systems has extensive experience in ASRS solutions as well as partnerships with the leading technology companies in this area. By working closely with our customers and Partners, we focus on finding the right solution for you and your specific situation. ASRS solutions can help you optimize your warehouse operations, reduce costs, and increase productivity. With these solutions, you can streamline warehouse storage and retrieval activities, improve accuracy and order fulfillment, and increase storage capacity. Automated solutions also help save costs and are scalable, ensuring your warehouse management needs are always met. By embracing automation, you can adapt to the changing needs of your business and stay ahead in the competitive world of supply chain and logistics.

Still trying to figure out ASRS solutions? Download our infographic on “5 Reasons to Purchase an ASRS”.

Efficiency and Cost Cutting with Goods to Person Systems

Efficiency and Cost Cutting with Goods to Person Systems

Technology has transformed how goods are transported and tracked in logistics and supply chain management. Customers demand a fast, efficient, and cost-effective supply chain, which is why the supply chain industry has seen the rise of Goods to Person (GTP) technology.

GTP technology is a revolutionary concept in logistics and supply chain management that has transformed the delivery process by bringing goods directly to the pickers rather than the other way around. In this blog post, we explore Goods to Person (GTP) technology in more detail and discuss how it can help solve many problems supply chain professionals face. This innovative technology presents numerous benefits to supply chain and logistics professionals, enabling them to simultaneously handle more orders and reduce costs. This blog post will explore the benefits of using GTP technology and how it can help businesses increase efficiency and reduce operational costs.

The Rise of Goods to Person (GTP) Technology

Goods to Person (GTP) technology has been around for quite some time but has continued to gain traction in the logistics and supply chain industry. This technology has revolutionized how goods are transported and delivered, providing numerous benefits to supply chain professionals.

GTP technology uses automated systems to bring goods directly to the pickers rather than requiring pickers to travel across the warehouse to retrieve the goods. This technology allows quicker and more efficient processes, resulting in faster delivery times.

The Benefits of Goods to Person (GTP) Technology

GTP technology provides numerous benefits to logistics and supply chain professionals. For instance, it helps to eliminate the need for manual handling, thereby reducing the risk of workplace injuries. Additionally, GTP technology improves accuracy and reduces the time to pick and pack products, ultimately leading to efficient and cost-effective supply chain solutions.

Moreover, GTP technology reduces the time wasted walking through warehouses. Because the machine can do the heavy lifting, workers can be utilized for other essential tasks, such as quality control or customer service. As a result, GTP technology helps supply chain companies improve productivity, cut costs, and increase profitability.

Improved Efficiency in Picking and Order Fulfillment

Traditionally, the picking process in warehouses and distribution centers has been a manual task where workers walk around the warehouse searching for products. This process can be time-consuming and can lead to errors that result in delays and misplaced orders. GTP technology automates the picking process, allowing workers to remain in one place while products are brought to them. The result is improved efficiency in picking, eliminating errors, and speeding up order fulfillment.

Cost Savings in Labor

GTP technology dramatically reduces the number of workers needed to handle products. With GTP technology, workers can take more orders quickly, saving labor costs. In addition, the technology can work 24/7 without needing breaks or rest, reducing the cost of shift work.

Increased Safety

GTP technology eliminates the need for workers to move around the warehouse or distribution center, reducing the risk of accidents and injuries. Providing a safer and more secure working environment reduces the risk of legal action or compensation claims.

More Efficient Use of Warehouse Space

GTP technology maximizes the use of warehouse space by storing products in compact carousels, shelves, and bins, optimizing the use of space and increasing storage in smaller areas. Companies can save on rental space, reduce their carbon footprint, and reduce their environmental impact by reducing their warehouse size.

Improved Productivity and Customer Satisfaction

With GTP technology, companies can handle more orders in a shorter time, leading to improved productivity, faster order delivery, reduced customer waiting time, and improved customer satisfaction. Improved customer satisfaction can lead to increased orders, repeat business, and higher revenue.

Integrating GTP Technology with Other Transport Solutions

GTP technology can be easily integrated with other transport solutions like automated guided vehicles (AGVs) and automated storage and retrieval systems (ASRS) to provide even better results. By integrating GTP technology with other transport solutions, suppliers can streamline their supply chains and accelerate the delivery of products altogether.

Moreover, GTP technology can be integrated with other technologies, such as Radio Frequency Identification (RFID) tags, picking modules, and warehouse management systems (WMS) to fully optimize the supply chain delivery process.

The Future of GTP Technology

GTP technology is relatively new in the logistics and supply chain industry and is still evolving. However, experts predict that it is one of the most promising technologies in the industry. Automated technology will likely play a more significant role in supply chain management due to its effectiveness in reducing costs and increasing productivity.

What Does This Mean For Me?

Goods to Person (GTP) technology has revolutionized warehouse and distribution center operations, reducing operational costs, improving efficiency, and increasing worker safety. By providing advanced solutions for the picking and transporting of products in warehouses and factories, GTP technology is changing the way supply chain processes work. The benefits of GTP technology are numerous, including increased accuracy, reduced risk of workplace injuries, increased productivity, cost savings, and, ultimately, faster delivery times. Companies implementing GTP technology into their supply chains stand the best chance of maintaining a sustainable competitive advantage in the market as technology continues to evolve.

GTP is only one of the myriad of technologies that ABCO Systems offers as a Systems Integrator for warehouse automation. Download our GTP infographic that summarizes the various aspects of GTP technology. You can also see this technology in person by scheduling a visit to our Showroom and Training Center.


Image courtesy of Exotec

Increase Efficiency and Reduce Costs in Your Warehouse with Automation Technologies

The Perks of Investing in Warehouse Automation in 2023 for Tax Benefits

As a supply chain or logistics professional, we know you’re always looking for ways to boost efficiency, cut costs, and stay competitive. Did you know that there are tax benefits to investing in warehouse automation? Warehouse automation refers to using automated systems and software to improve the efficiency and productivity of warehouse operations. This technology includes automated storage and retrieval systems, conveyor systems, sortation systems, and robotics. Thanks to recent tax code changes, 2023 is an ideal time to upgrade your operations with automated solutions. Here’s what you should know about how investing in warehouse automation can streamline your operations, reduce labor costs, increase accuracy, and reduce your tax burden.

What are the benefits of investing in warehouse automation in 2023?

One of the key benefits of investing in warehouse automation in 2023 is the availability of bonus depreciation. First, let’s define bonus depreciation. Essentially, this is a tax incentive for businesses to invest in capital assets like equipment, machinery, and technology. This bonus allows you to deduct a more significant portion of the asset’s cost in the year it is placed in service, thereby reducing your taxable income. Plus, you can claim bonus depreciation in addition to standard depreciation, resulting in even more significant write-offs that can help you realize a faster ROI on your automation investment.

Why is this so important now?

In 2023, bonus depreciation rates will be at their most generous, thanks to the Tax Cuts and Jobs Act passed in 2017. You’ll be able to deduct 100% of the cost of most assets (including automation technology) in the year they are placed in service. The property must be new and utilized in the business to qualify for bonus depreciation. Used property and property that has been previously leased do not qualify for bonus depreciation. In addition, the property must have a recovery period of 20 years or less, including the equipment’s cost in the year it is placed in service, rather than depreciating it over several years.

How significant are these benefits?

The tax benefits of bonus depreciation can be significant. For example, if a business invests $1 million in warehouse automation in 2023, it can deduct the full amount of $1 million in the year it is placed in service. This can result in a substantial reduction in the business’s taxable income for the year, which can, in turn, lower its tax liability. The tax savings can be used to reinvest in the business, pay down debt, or distribute to shareholders. This rate will start to decline in 2024 and then phase out over the next few years. So, timing is key if you want to maximize your tax savings by investing in warehouse automation.

What other benefits are there to warehouse automation?

In addition to the tax benefits, investing in warehouse automation can provide numerous operational benefits for your business. Warehouse automation can increase productivity by streamlining processes, increasing efficiency, reducing manual labor, improving order accuracy, and increasing inventory management capabilities, thereby saving money in areas such as labor costs and inventory management. With advanced technologies like machine learning and AI, you can also gain valuable insights into your operations and make data-driven decisions that improve your overall supply chain performance.

Can you give me an example?

For example, an automated storage and retrieval system can locate and retrieve products more quickly and accurately than a worker can manually, increasing order fulfillment rates and customer satisfaction. A conveyor system can transport products more efficiently and safely than workers, which can reduce the risk of workplace injuries and accidents. By investing in warehouse automation, businesses can also reduce their dependence on human labor, which can be helpful in times of labor scarcity or economic uncertainty.

What about the upfront costs?

Still, you may be wondering about the upfront costs of automation. While it’s true that significant up-front investments are often required, keep in mind that tax incentives and long-term cost savings can make the ROI more attractive than you might think.

So, what do I do now?

Investing in warehouse automation now can provide great bonus depreciation tax benefits for your business, but it’s also important to consider other factors. Whether you’re looking to cut labor costs, reduce errors, or gain valuable insights into your operations, automation can be a game-changer for your supply chain. By taking advantage of tax incentives and evaluating your options carefully, you can make the most of your investment and position your business for success in the years ahead.

When considering an investment in warehouse automation, you should carefully evaluate your needs and goals. ABCO Systems can assist you and your team in assessing the current and future production requirements, inventory management needs, and workforce capabilities. We will help you understand the costs and benefits of different types of automation solutions, such as the upfront purchase price, maintenance costs, and potential energy savings. Consider consulting with tax advisors to ensure you take full advantage of available tax incentives. ABCO Systems will ensure you get the best equipment to meet your needs.

Drop us a note for more information on Automation solutions for your Warehouse.