KUALA LUMPUR: Padini Holdings Bhd has signed a memorandum of understanding (MoU) with XTS Technologies Sdn Bhd and Huawei Technologies (M) Sdn Bhd for a warehouse automation solution using automated guided vehicles (AGVs) valued at RM1mil.

       In a statement, Padini said its subsidiary, Padini Dot Com Sdn Bhd signed the agreement with XTS and Huawei.

       XTS is a specialist in the design and build of factory automation solutions while Huawei is a global provider of information and communications technology (ICT) infrastructure and smart devices.

       The warehouse automation solution enables Padini to use AGVs of the reach truck type to assist in warehouse inbound and outbound picking of goods from the current manual system in which the reach truck driver needs to search for the required products on pallets from numerous racks in different locations in the warehouse.

       With AGV reach trucks, data stored within the Huawei cloud storage system enables the automated reach trucks to accurately pinpoint where the goods are for picking, with the reach trucks able to navigate their way automatically in the warehouse.

       XTS managing director Xteven Teoh said, “We are proposing through this MoU to design and build the warehouse automation solution using AGVs that can assist and streamline Padini in its warehouse operations. This is also our first warehouse automation solution project utilising AGVs.”

       Teoh said the AGVs would replace Padini’s two-manual reach trucks and two drivers per floor in its warehouse operations.

       “The AGVs will mitigate the risks of human error as time is saved from having to search for the required pallets and there is less risk of goods and other properties being damaged. It is overall more efficient and with consistent outcomes,” he added.

       Meanwhile, Padini general managing (Operation) Andrew Yong said the collaboration of this project with Huawei and XTS would certainly be a push to modernise the operations of the warehouse in relation to its push for IR 4.0 adoption in Padini.

       “The scope of this project is a small portion of the operations with minimum units to be deployed in the warehouse.

       “During this trial phase, we hope to achieve better productivity, efficiency and safety. We hope that this trial will be able to prove better consistency in our warehouse throughput, saving time and maintaining or improving the throughput of our operations and the working environment in our warehouse. We will be looking forward to this collaboration,” Yong said.