Cost analysis and comparison of tray container style storage and stackable tote style storage

Abstract

With the emerging interest in automated distribution centers, shelves operated by mobile robots are also rising in importance. This paper focuses on comparing the cost of two potential shelf designs for storing product in an automated distribution center, a tray container style shelf and a stackable tote style shelf. Tray container style shelf has lower manufacturing costs, assembly cost and time, while stackable tote style shelf had competitive edge on packaging and shipping costs, and space utilization. The manufacturing cost, packaging cost, and shipping costs $174.44, $59.77, and $39.04 respectively for tray container shelf, and $380.83, $25.98, and $16.9 for stackable tote shelf. The assembly time and space utilization were 8 minutes and 81.5% for tray container shelf, and 17.2 minutes and 84.4% for stackable totes. Overall, stackable tote shelves cost 55% more, but have 2.9% space utilization advantage, which can have more cost savings in an urban distribution center.