As industrial manufacturers strive to cut costs, enhance production lines, and make operations more sustainable, they have begun to embark on digital transformation journeys. Leveraging technologies such as the digital twin and AI, factories can improve the automation capabilities of their equipment, addressing ongoing challenges such as labor shortages and high costs.

Siemens’ electronics factory in Erlangen, Germany, stands as our flagship factory that has seen the benefits of digitalization and automation. Erlangen successfully actualized the advantages of advanced robotics by digitally transforming its PCB assembly production and has been rewarded with considerable and continued benefits, solidifying itself as a role model for its peers.

During an episode about advancements in robotics on our Digital Transformation podcast series, Siemens experts Rahul Garg, Vice President for industrial machinery vertical software strategy at Siemens Digital Industries software, and Maximillian Metzner, leader of the module autonomous manufacturing systems for the plant network in Siemens Digital Industries, spoke on how Erlangen utilized simulation and AI to achieve the benefits of automation.

The path to automation

Manufacturers must digitize their current production setups to remain profitable and competitive. However, modernization doesn’t always mean swapping out old equipment for brand-new machinery. The factory at Erlangen had to contend with its many legacy plants, which operated a diverse pool of machinery. Much of their equipment was antiquated, lacking the more advanced capabilities of more modern machines such as IoT connectivity and AI integration.

To move into the modern age of manufacturing, Erlangen leveraged the digital twin for virtual commissioning and production planning. Through the digital twin, Erlangen created a 3D layout of their factories, helping them properly implement new equipment such as cobots. As well, the digital twin also simulated their production systems, enabling the factory to forecast human interactions with automated systems, improving ergonomic design and safety. Deploying these factors, Erlangen was able to introduce new, state-of-the-art equipment only where the factory needed it, quickly and at low cost.

In conjunction with the digital twin, Erlangen implemented AI to further their automation goals. Utilizing AI, Erlangen could improve the industrial robots’ sensing capabilities and decision-making processes, enabling them to enhance functionality. Solutions such as SIMATIC Robot Pick AI take advantage of virtual training and computer vision to prepare robots to handle unpredictable tasks with over 98% accuracy.

Returns and benefits

Besides not knowing where to start, many organizations become intimidated by the costs of preparing their factories for automation. And especially in the industrial manufacturing sphere, saving costs is king. Luckily, digitization and automation normally keep costs low in the long run.  Automation projects at Erlangen typically pay for themselves within two years by significantly reducing the number of operators needed while maintaining or improving production output.

Not only that, automation helps with ongoing labor shortages that may only be exacerbated as the demand for manufactured goods increases. However, this doesn’t mean that current human labor should be completely replaced. Here at Siemens, we see automation as an opportunity for upskilling employees rather than a threat to jobs. Employees are trained to handle higher-skilled tasks, improving their job quality and pay.

Jumpstarting automation

Many factories are reluctant to jumpstart their digitization journeys as profit margins become tighter, costs become higher, and demand becomes greater. However, digitalization addresses these concerns while making operations more efficient and adaptable. With the digital twin and AI, companies can forge a path toward smarter, more flexible factories through automation.

The digital twin enables virtual commissioning, which makes the implementation of new equipment and the optimization of old equipment easier. And through integrating AI into robots, factories can achieve greater levels of autonomy. Automation is pursued strategically to enhance efficiency and flexibility in production, with a focus on integrating advanced technologies and upskilling the workforce.

To learn more about increasing your factory’s automation capabilities using cobots, AI, and the digital twin, be sure to check out our podcast in which our experts detail how brownfields can begin on their digital transformation journeys.

Siemens Digital Industries Software helps organizations of all sizes digitally transform using software, hardware and services from the Siemens Xcelerator business platform. Siemens’ software and the comprehensive digital twin enable companies to optimize their design, engineering and manufacturing processes to turn today’s ideas into the sustainable products of the future. From chips to entire systems, from product to process, across all industries. Siemens Digital Industries Software – Accelerating transformation.