Metropolitan Transportation Authority

Long Island Rail Road: Automated Warehouse Systems at the Holban/Hillside Complex

The Complex was expected to increase worker productivity through better equipment and technology. We examined certain automated systems for controlling parts at the Complex. We estimated that the cost of purchasing and maintaining the systems will exceed expected savings in labor costs. We also identified a significant amount of excess capacity in the systems and noted that the systems did not deliver the expected quality of service. We also identified internal control weaknesses in system operations that could expose railroad car parts to an increased risk of theft. 93-S-94