TY - GEN
T1 - A system dynamics-based technological archetype for the economics of leasing capital-intensive industrial robots
AU - Elizondo-Noriega, A.
AU - Tiruvengadam, N.
AU - Guemes-Castorena, D.
AU - Tercero-Gomez, V. G.
AU - Beruvides, M. G.
PY - 2019/8
Y1 - 2019/8
N2 - Over the past decade, leasing, as opposed to purchasing, has gained prominence regarding acquiring capital-intensive industrial robots. Investments in plant automation have seen significant growth over this time given the increasing need for higher productivity and quality. To offset the concomitant rise in automation equipment costs, organizations are increasingly relying on leasing such equipment. The leasing approach allows companies to reduce both the risks associated with and costs of new equipment acquisition. Initial automation efforts typically tend to be experimental, and the leasing of equipment allows organizations to test the efficacy of such efforts before committing to a final leasing/purchasing decision without expending heavily. Despite there being vast extant literature on automation through the use of industrial robots, the dynamics and effects of leasing decisions still need to be understood better. Simulation based on System Dynamics (SD) has been used in this study given that it has been demonstrated to be robust to information scarcity, a problem typically associated with data underpinning leasing decisions. A new dynamic archetype based on SD, which is an upgrade of a previously established static technological archetype, modeling the economic effects of leasing an industrial robot for a manufacturing facility is proposed.
AB - Over the past decade, leasing, as opposed to purchasing, has gained prominence regarding acquiring capital-intensive industrial robots. Investments in plant automation have seen significant growth over this time given the increasing need for higher productivity and quality. To offset the concomitant rise in automation equipment costs, organizations are increasingly relying on leasing such equipment. The leasing approach allows companies to reduce both the risks associated with and costs of new equipment acquisition. Initial automation efforts typically tend to be experimental, and the leasing of equipment allows organizations to test the efficacy of such efforts before committing to a final leasing/purchasing decision without expending heavily. Despite there being vast extant literature on automation through the use of industrial robots, the dynamics and effects of leasing decisions still need to be understood better. Simulation based on System Dynamics (SD) has been used in this study given that it has been demonstrated to be robust to information scarcity, a problem typically associated with data underpinning leasing decisions. A new dynamic archetype based on SD, which is an upgrade of a previously established static technological archetype, modeling the economic effects of leasing an industrial robot for a manufacturing facility is proposed.
UR - http://www.scopus.com/inward/record.url?scp=85075637815&partnerID=8YFLogxK
U2 - 10.23919/PICMET.2019.8893916
DO - 10.23919/PICMET.2019.8893916
M3 - Conference contribution
T3 - PICMET 2019 - Portland International Conference on Management of Engineering and Technology: Technology Management in the World of Intelligent Systems, Proceedings
BT - PICMET 2019 - Portland International Conference on Management of Engineering and Technology
A2 - Kocaoglu, Dundar F.
A2 - Anderson, Timothy R.
A2 - Kozanoglu, Dilek Cetindamar
A2 - Niwa, Kiyoshi
A2 - Steenhuis, Harm-Jan
PB - Institute of Electrical and Electronics Engineers Inc.
T2 - 2019 Portland International Conference on Management of Engineering and Technology, PICMET 2019
Y2 - 25 August 2019 through 29 August 2019
ER -