Tompkins Robotics unveiled a new Robots-as-a-Service (RaaS) option for customers at the MODEX 2022 show. Tompkins is partnering with Global Robotics Services (GRS) as a Robotics Service Provider (RSP) for the delivery of the Tompkins solutions with a RaaS contract.
This model is ideal for 3PL’s and other fast growing business would prefer to finance their equipment as an operating expense (OPEX) rather than a capital expense (CAPEX). This changes the economics for how the equipment is amortized, and can short the time to value for installing the automation.
The new financial model provides customers with the flexibility of a subscription-based pricing and service option instead of traditional capital equipment purchase and support model. For many organizations, OPEX purchases can be made without the long validation and approval cycles of a typical CAPEX purchasing cycle.
RaaS reduces the risk for new automation customers because the service provider is now “on the hook” to meet the contracted service level agreements (SLAs), or take back the equipment.
RaaS also provides customers with the ability to scale up and down rapidly and easily in response to changing market conditions or seasonal demand such as the Holiday season, Back to School, January returns and other seasonal events.
Mike Futch, CEO of Tompkins Robotics, said, “The asset services support from our partnership with GRS will position Tompkins Robotics to implement a RaaS deployment for customers that prefer this model versus our existing capital procurement business model. In addition, our solutions have always had a reputation for being flexible, now we have the opportunity to allow financial flexibility as well.”
Tompkins Robotics and their tSort robotic solution have developed a reputation for execution of projects, rapid deployment, scalable layout design, understanding of US building codes and knowledge of logistics operations. GRS brings the financial strength and resources of a global logistics real estate investor, developer and operator. Together, Tompkins Robotics and GRS will bring new opportunities for US companies easy entry into automation and robotics.
Hongming Chen, CEO of GRS, added, “Our vision is to accelerate the adoption of automation while lowering the barrier to entry for businesses when it comes to robotics technology. The subscription-based model of RaaS creates lower upfront capital requirements, reduced fixed costs and flexible lease terms which helps bridge the automation gap for many small to mid-size enterprises. A full package of services including consulting, implementation, maintenance, systems and robotics upgrading can all be provided as part of this service. With both parties expertise and resources, we look forward to expanding our cooperation with Tompkins in greater depth and breadth to provide a more holistic solution to our customers.”