Track: Supply Chain and Logisitcs Competition

Abstract

Augmented reality (AR) has a strong potential for success in improving supply chain operations and can impact how the manufacturing and distribution sectors are handled. The application of AR devices can reduce cost, time, and error rates as well as increase usability of a system and productivity. There is a need for augmented reality within inventory management to help order picking, assess product damage, and display inventory instructions. AR technology can be applied to improve the following networks within supply chains: it can instruct workers on where to find inventory within a warehouse and help to reduce time, workers could identify objects quicker without having to scan or type codes, and products can be sorted faster with lower error rates. Further, manufacturing tool maintenance can be more easily monitored and addressed remotely. Standard picking and packing procedures can be displayed for workers increasing worker safety and efficiency, and fewer workers would be needed to achieve inventory goals. These improvements can result in a decrease in the cost of labor and production time, increased accuracy, and expanded production capacity for companies. The purpose of this paper is to review current case studies regarding the use of AR technology in supply chain operations, specifically in inventory management, and showcase the potential cost reductions by applying AR to these operations.