IIoT Monitoring Offers Predictive Maintenance

4 minutes to read

IIoT Monitoring Offers Predictive Maintenance

MODEX 2018 Series: Intersection of AGVs and 24/7 IIoT Monitoring – Part 2


by John Hayes, VP Marketing and Sales


By connecting equipment, companies can capture increased volumes of data from sensor-based technologies and other connected devices. Incorporating a robust  IIoT monitoring system in a connected environment provides a means for additional condition monitoring and predictive maintenance and creates the opportunity to identify issues before causing unplanned downtime. Reducing predictable problems adds reliability to an operation and can result in significant cost savings.

Forklift Costs Per Hour

To better understand the value of predictive maintenance let us consider the typical economics of a forklift.

To determine your forklift costs per hour, begin by considering the operation time for a forklift. On average, this is 1,500 hours per year. Throughout the year, every forklift requires maintenance. This maintenance needs to be calculated into a cost per hour. Maintenance may include (depending on forklift type) length of time in service, regular planned maintenance, repairs, and replacement parts, and labor involved in service and repair.

The cost per hour for a brand-new forklift is going to be $0 for the first few months – minus any fuel requirements. As time goes on, planned maintenance costs add up quickly.

The first year has minor planned maintenance estimated for every 150 to 200 hours of use. If service costs $89.99, not including any part replacements, if average use per year is 1,500 hours then $89.99 x 7.5 (completed every 200 hours) = $674.92; divided by 1,500 hours = $0.45/hour. The second year will require a major interval service coming up every 2,000 hours of use and costs on average $1,399. However, this is also not considering the wear-and-tear of tires. All in all, $6.29 (7 minor planned maintenance services) + $1,399 = $2.028.93; then, divided by 1,500 hours = $1.35/hour.

The third year will require another major interval of service, another round of minor planned maintenance services, and a new set of tires. It is also likely that manufacturers and distribution centers will replace forks. $2,028.93 + $800 (tires) + $400 (forks) = $3,228.93; divided by 1,500 hours = $2.15/hour. It is recommended that when maintenance cost passes $4 per hour, it is time to retire a forklift and replace it. This data shows that the “real costs” of forklifts vs. AGVs are comparable.

IIoT Monitoring offers Predictive Maintenance for AGVs

Maintenance is not a sexy topic when it comes to AGVs or tuggers. Few AGV vendors want to discuss the costs associated with maintenance, yet it cannot be ignored or neglected.

Maintenance issues often occur with competing systems, rendering the vehicle inoperable; plant floor managers must notify maintenance persons of the problem, locate the vehicle in the facility, travel to the vehicle, assess, and address the issue. This additional cost, combined with downtime, is never part of other vendor ROI calculations. Omitting this real cost is naïve at best and irresponsible at worst.

The issues commonly associated with vehicle maintenance is precisely why  Vecna Robotics includes 24/7 IIoT Monitoring of all AGVs; the error can be assessed and addressed, thereby reducing maintenance labor costs associated with nuisance errors and providing significant savings to the company.

Companies should get pre-approved for leasing Vecna Robotics AGVs with 24/7 IIoT Monitoring now to begin moving more and to move ahead by putting our advanced

systems to work for you.


Learn more about Vecna Robotics 24/7 IIoT Monitoring.

Get pre-approved now for our hassle-free and straightforward leasing program by visiting our Leasing page.

About this Series

The robotic element of AGVs has captured massive media attention.  Many companies, from 3PLs to fast-growing e-commerce organizations, are hunting for the best solution. Until this year, the idea of combining IIoT (Industrial Internet of Things) data and AGVs was futuristic.  All the data captured by automated guided vehicles has never been available and actionable in predictive analytics, maintenance, safety, and best-practice lean manufacturing value proposition. That has changed, thanks to Vecna Robotics. Vecna Robotics has created a series of blogs to discuss the critical role of IIoT Monitoring and AGVs. Vecna Robotics is pleased and proud to be the only AGV exhibitor at MODEX 2018 displaying exactly how this technology works.

Author Profile

John Hayes, Vice President of Marketing and Sales for Vecna Robotics, is a widely respected thought leader for the manufacturing, distribution, and material handling industries and a Supply & Demand Chain Executive “Pros to Know” recipient. For more than twenty years he has been evaluating, designing, developing, and implementing innovative software and hardware solutions with a particular focus in the AGV (automated guided vehicle) space. Contact John at john.hayes@vecna.com.