Labor Costs and Automated Assembly Machines

Recently the manufacturing industry has come across a new innovation that may change everything: automated assembly machinery. Automated assembly machines can offer several benefits for manufacturers.

One of these benefits is reduced labor cost. Automated assembly machines can greatly benefit manufacturers by seriously cutting the cost of labor.

Automated Assembly machines

Automated assembly machines offer the opportunity for both direct and indirect labor cost savings.

The direct savings to be had are very clear. Whenever something can be automated, it frees up employees. They no longer have to perform the task, which in turn allows them to do something else that will benefit the company. The employees are given the time and the opportunity to perform tasks for the company that are not able to be automated.

The indirect savings, while not as clear as the direct savings, are still incredibly beneficial. These can be easily overlooked when a company turns to automated assembly machines but they are just as important.

Switching to automated assembly machines can reduce material handling and component orientation time. It can also reduce in-process inventory when replacing batch operations and finished product inventory. Additionally, automated assembly machines work to reduce scrap, defective pieces, and personnel training. All of these reductions help to keep the cost of assembly low but they are not considered in cost savings calculations.