March 27, 2024 Empowering SMMs to Automate for Long-Term Success

Scalable robotics enable small & mid-sized manufacturers to boost productivity, cut costs, overcome labor gaps, and remain competitive.

For smaller manufacturing companies, the idea of implementing automation has long felt intimidating. Worries about upfront costs, the complicated technologies involved, and the potential impact on their workforce overshadowed any potential advantages. Challenged by a lack of available labor and rising costs of raw materials and other supplies, small and mid-sized manufacturing businesses (SMMs) are considering newly affordable DIY or “do-it-yourself” automation solutions to gain an advantage in the marketplace.

Today, vendors offer cloud-based robotics and automation platforms tailored to this audience. Rather than requiring substantial upfront capital investments and overly complex solutions, these platforms enable SMMs to adopt automation through flexible, modular, and easy-to-use technology. This allows them to own more of their automation processes in-house and quickly adapt their capabilities to fluctuating market demands.

The advantages of automation extend far beyond immediate cost savings. By strategically integrating robotics, artificial intelligence, and other advanced systems into their operations, SMMs can significantly enhance productivity, increase output quality, optimize workflows, and reduce dependence on manual labor. This positions them to effectively mitigate labor shortages’ impacts while boosting profitability and competitiveness.

This is just one example of the potential of automation to modernize the average small manufacturer. Rather than threatening human employment, automation empowers SMMs to upskill their employees, optimize their operations, enhance efficiency, and position themselves for long-term success in an ever-evolving industry landscape.

Automation brings a competitive edge

As big manufacturers continue to invest in the latest automation technologies, smaller companies that don’t adopt automation risk getting left behind. By tapping into accessible automated systems tailored to their needs, these smaller players can maintain an edge over competitors and set themselves up for long-term success in a rapidly evolving industry.

It will take a coordinated effort from industry groups, government agencies, and technology vendors to make automation more widely accessible to smaller manufacturers. It is essential to educate SMMs about available solutions and share best practices for implementing automation on their factory floor. Hands-on workshops, training and education resources, government subsidies, and real-world case studies can help demystify automation and provide manufacturers with the tools needed to start automating.

The truth is that the urgency for SMMs to embrace automation has never been greater. By seizing the opportunities automation presents and fostering a culture of continuous innovation, these vital U.S. businesses have a chance to revolutionize their operations.

A strategic approach is needed

To truly capitalize on the opportunities automation presents, SMMs need to take a strategic approach to implementation. That means carefully identifying which processes and tasks are prime candidates for automation based on factors such as repetitiveness, volume, and complexity. When considering a first automation project, most industry leaders will advise SMMs to start simple with a process that provides a “quick win.” Approaching automation one step at a time prevents manufacturers from getting buried in change. In addition, communicating the vision, objectives, and implications to employees and stakeholders will ensure successful projects and alleviate resistance to change.

Selecting innovative automation solutions providers is key. These providers will offer a comprehensive solution that enables SMMs to achieve objectives while retaining control over processes. Their expertise helps ensure automation gets implemented efficiently while minimizing disruptions.

Leveraging automation necessitates a culture shift. Leadership should embrace continuous improvement and data-driven decision-making while empowering frontline workers to transition to new roles. This human-centered approach enables smaller manufacturers to stay competitive and future-proof their operations, enhancing productivity and morale without compromising staffing levels.

About the Author:
Etienne Lacroix is a business leader and entrepreneur building and turning around engineering-intensive businesses; he is currently the founder and CEO of Vention, a Manufacturing Automation Platform that democratizes access to industrial automation.

Before Vention, Etienne spent five years at McKinsey & Company as an Associate Partner with the Operations and Product Development Practices. In this role, he led enterprise-wide strategic, operational, and turnaround programs at global industrial and high-tech companies. Before joining McKinsey, he held various positions in product management, product development, and supply-chain operations at General Electric as part of the Technical Leadership Program. Etienne holds an MBA from Harvard Business School and a Bachelor of Mechanical Engineering from the École de Technologie Supérieure.

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