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Augmented Reality in the Packing Process: A Model for Analyzing Economic Efficiency

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Dynamics in Logistics (LDIC 2020)

Part of the book series: Lecture Notes in Logistics ((LNLO))

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Abstract

The use of augmented reality (AR) in outbound logistics is associated with potentially strong stimuli for cost savings and throughput time. Nevertheless, the benefits of AR compared to conventional methods require a holistic analysis for investment decision making. Until now, research has only assessed case-study-related potentials and selected aspects of the technology. This paper answers the following research questions: How can the economic efficiency of AR in the packing process be quantified by utilizing a holistic model of value drivers? How can AR be technically implemented for packing processes in outbound logistics? What economic profit results from the use of AR technology in a case company’s packing process?

The presented model enables the investment decision to be supported based on economic value added (EVA), thereby providing an assessment of value drivers in packing systems. Cost drivers are identified on the basis of the Supply Chain Operations Reference (SCOR) process model. The technical and economic validation of the model was carried out by means of an empirical study: Expert interviews were conducted for validating the model elements. Data collection by a prototype at a mechanical-engineering company was used to calculate the value contribution. The mapping of cause-effect relationships within the framework of EVA driver trees has proven itself in both the expert interviews and the prototype validation. The field experiment at the case company demonstrated a positive value contribution of AR, in particular regarding employee productivity, length and variance of throughput time, quality aspects, volume utilization, and quantity of packing material used.

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Authors and Affiliations

  1. University of Applied Sciences Münster, Münster, Germany

    Tim Woltering, Andre Sardoux Klasen & Carsten Feldmann

Authors
  1. Tim Woltering
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  2. Andre Sardoux Klasen
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  3. Carsten Feldmann
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Corresponding author

Correspondence to Carsten Feldmann .

Editor information

Editors and Affiliations

  1. BIBA - Bremer Institut für Produktion und Logistik GmbH, Bremen, Germany

    Michael Freitag

  2. Maritime Business and Logistics, University of Bremen, Bremen, Germany

    Hans-Dietrich Haasis

  3. Logistics Management, University of Bremen, Bremen, Germany

    Herbert Kotzab

  4. Department of Production Engineering, Universität Bremen, Bremen, Germany

    Jürgen Pannek

Appendix 1

Appendix 1

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Woltering, T., Sardoux Klasen, A., Feldmann, C. (2020). Augmented Reality in the Packing Process: A Model for Analyzing Economic Efficiency. In: Freitag, M., Haasis, HD., Kotzab, H., Pannek, J. (eds) Dynamics in Logistics. LDIC 2020. Lecture Notes in Logistics. Springer, Cham. https://doi.org/10.1007/978-3-030-44783-0_46

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  • DOI: https://doi.org/10.1007/978-3-030-44783-0_46

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  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-030-44782-3

  • Online ISBN: 978-3-030-44783-0

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