AI Vision Systems in the Pallet Industry: What You Need to Know

Artificial intelligence (AI) and vision technology are transforming the pallet industry. From quality control to productivity tracking, these innovations promise efficiency and accuracy. But which application is best for your business? After research, conversations and financial analysis, here is what we think at Fox Valley Wood Products.

How AI Vision Technology will Assist the Pallet Industry

While the scalability of AI Vision Systems feels endless, it falls into four primary areas:

Quality Control

Vision systems tailored for pallets inspect for defects such as:

  • Missing or protruding nails (shiners)
  • Cracks and knots
  • Misaligned boards
  • Incorrect dimensions

Automated checks ensure only high-quality pallets reach customers, reducing costly returns and improving brand reputation.

Automation Safeguards

As automation expands across the supply chain, pallet companies must commit to higher quality standards. Vision systems track:

  • Dimensional tolerances
  • Board placement
  • Stringer alignment
  • Lumber defects

Industry trend: Some end users now charge penalties for pallets that fail to meet specifications. 

Productivity Monitoring

AI vision systems monitor assembly lines and stations to detect:

  • Workstation downtime
  • Bottlenecks
  • Throughput limitations

Example: Cameras identify idle stations or measure pallet build/repair rates, enabling proactive adjustments.

Sorting and Grading

Vision technology grades lumber and pallets. Automated grading:

  • Improves consistency
  • Speeds up sorting

This is especially valuable in the used pallet market, where quality varies widely.

AI Vision Systems Cost Considerations: Subscription vs. One-Time Payment

AI vision platforms increasingly favor annual subscription models for maintenance and upgrades. While convenient, subscription fatigue is a concern and can be a financial loser in many formulas. 

Fox Valley Wood Products’ stance:

  • Prefer “buy once, cry once” philosophy
  • Moderate maintenance fees acceptable
  • Overreliance on subscriptions raises ROI concerns

Leading AI Vision Technology Providers

Conclusion: Supply Chain AI Has Potential

Vision technology offers significant potential for the pallet industry, but ROI evaluation remains critical. At Fox Valley Wood Products, we continue to monitor advancements while doubling down on manual quality efforts to deliver the highest standard pallets to our customers.