Accession Number:

ADA248195

Title:

A Comparative Cost Analysis of Material Handling Equipment for the Connector Building Complex

Descriptive Note:

Final rept.

Corporate Author:

DEFENSE LOGISTICS AGENCY ALEXANDRIA VA OPERATIONS RESEARCH AND ECONOMIC ANALYSIS OFFICE

Personal Author(s):

Report Date:

1991-10-01

Pagination or Media Count:

40.0

Abstract:

This study compares the cost of implementing an automated guided vehicle system to the cost Of utilizing conventional equipment for the functions in the Connector Building Complex CBC at Defense Depot Richmond, Virginia DDRV. The original concept for the connector Building complex included an automated guided vehicle system to be installed throughout. Due to depot consolidation efforts in progress throughout DLA, the mission of DDRV may be changing. It was therefore necessary to perform an analysis to determine if an AGV system or an alternate type of equipment would be most cost effective for the CBC. Ihe results of the study indicate that an AGV system system would not be cost effective at any foreseeable workload level. Implementation of a full scale AGV system, which would handle a workload similar to that which DDRV currently handles, would have a 10-year life cycle cost of 8.4 million in discounted dollars. This study recommends using forklifts and transporters to handle the same workload, at a cost of 2.2 million in discounted dollars, over the same life cycle. Selection of this alternative would result in a cost savings to DLA of 6.2 million in discounted dollars over the AGV system. Analysis, Automated guided vehicle, Material handling equipment.

Subject Categories:

  • Economics and Cost Analysis
  • Machinery and Tools
  • Logistics, Military Facilities and Supplies

Distribution Statement:

APPROVED FOR PUBLIC RELEASE