The advent of 5G wireless technology, as well as the growing acceptance of Industry 4.0, are increasing the demand for automation solutions in recent times. Industrial IoT, Augmented Reality (AR), and digital twins are expected to be key indicators of global industrial automation market growth.
Industrial automation is the use of control systems, such as computers or robots, and information technologies to replace humans in various processes and machineries in an industry. An Oxford report states that the integration of industrial automation in the manufacturing industry could increase $4.9 trillion every year by 2030.
In July 2021, Rockwell Automation Inc. collaborated with Kezzler AS, a cloud-based product digitalization and traceability platform to improve productivity. The collaboration aims to enable manufacturers to document their product’s end-to-end journey from raw material suppliers to point of sale or beyond by utilizing cloud-based chain technologies.
Industrial automation enables swift decision-making processes and increased operational activities. The manufacturing sector has witnessed rapid adoption of technologically advanced systems to augment networking architectures. With these transformations, the demand for industrial automation in workplaces has become essential for factories to improve operational efficiency.
Digital Twins, AR Propelling Growth For Industrial Automation
During the COVID-19 pandemic, the government imposed various travel restrictions and factory shut-downs. A large industrial organization provided automation technology solutions to fulfill consumer demands and mitigate material shortages.
For instance, Emerson Electric Co. has developed virtual capabilities such as Virtual Factory Acceptance Tests (vFATs), cloud engineering, and MyEmerson digital tools to reduce team travel in the automation sector. These virtual solutions provide virtual meetings and remote collaboration to the organization’s contacts.
Research analysts at Extrapolate have stated that the global industrial automation market was valued at USD 191.89 billion in 2021 and is projected to reach USD 395.09 billion in 2028 at a compound annual growth rate of 9.8% during the forecast period.
A digital twin can help organizations assess feasibility, predict potential improvements, and reduce risk during deployment. With the development of the industrial Internet of Things (IoT), such as smart sensors and cloud systems, digital twin implementation and maintenance have become more manageable. The world can save approximately 749 billion working hours if industrial automation is integrated in 64%t of manufacturing tasks.
Organizations are implementing digital twin technology in their operations to reduce the likelihood of equipment failure. It also helps with automatic repair scheduling by simulating the procedure. Increasing adoption of augmented reality and digital twin technology is expected to boost the market for industrial automation. It is estimated that 7 out of 10 workers wish to opt for automation in workspaces for creating lucrative opportunities in higher-skilled jobs.
Industry 4.0 Promising Collaborations For Effective Industrial Automation Solutions
Industrial revolution or Industry 4.0 has completely transformed the digital supply chain. The “fourth industrial revolution” includes the advancement of the Industrial Internet of Things, and is frequently associated with industrial automation (IIoT).
Here are the few advantages of industrial automation, relevant in the semiconductor and electronics industries:
- Improves Productivity: Industrial automation aims to fulfill productivity parameters to allow smooth and efficient functioning of the manufacturing plant. Since actual workers are able to perform just 8-9 hours a day, industrial automation is an all-time operational process which significantly improves productivity of the company.
- High Quality: Automation reduces the possibility of human error. Furthermore, unlike humans, robots do not experience fatigue, resulting in products of uniform quality manufactured at different times.
- Increased Flexibility: Introducing a new task to the assembly line necessitates training with a human operator; however, robots can be programmed to perform any task. This increases the manufacturing process’s flexibility.
- High Rate of Information Accuracy: By incorporating automated data collection, you can collect critical production information, improve data accuracy, and lower data collection costs. This gives you the information you need to make sound decisions about reducing waste and improving your processes.
- Enhanced Safety: By deploying robots to handle hazardous conditions, industrial automation can make the production line safer for employees.
Industry 4.0 combines IIoT and industrial software and hardware to improve manufacturing processes through internet-enabled devices, resulting in a more reliable, consistent, and efficient manufacturing platform.
Hindrances Witnessed In Industrial Automation
Although industrial automation processes are deemed to be cost-effective solutions, the initial capital cost required for the installation and implementation of this technology alongside providing training to employees is significantly high. The return of investment (ROI) cannot be estimated accurately since this is mainly dependent on the nature of the business. Furthermore, high upfront costs and unforeseen ROI can result in resistance to adoption from small or medium-sized enterprises.
Despite the fact that industrial automation procedures are cost-effective, the initial capital investment required for technology implementation and staff training is significant. Furthermore, due to the market’s fragmentation, the return on investment (ROI) cannot be predicted. Because of the high upfront costs and uncertain return on investment, small and medium-sized businesses (SMEs) are wary of adopting technology.
In the near future, smart manufacturing and government initiatives such as the Government of India’s MSME company financing scheme and the Make in India campaign are expected to remove this barrier and open up markets for the solutions.
Industrial Automation Establishing Lucrative Opportunities With Unlimited Productivity
Industrial automation has become an important part of various industries with its multiple benefits including increased productivity, quality and safety at cost-effective solutions. The internet-enabled and AI-based devices are set to create improved manufacturing processes for end-user industries.
In July 2021, Kezzler AS, a cloud-based product digitalization and traceability platform, collaborated with Rockwell Automation Inc. with cloud-based chain technologies. The partnership aims to enable manufacturers to document their product’s end-to-end journey from raw material suppliers to point of sale or beyond.
There are various types of industrial automation including programmable automation for improving uptimes, flexible automation for in-demand production and integrated automation for increasing customization. With the onset of IIoT and Industry 4.0, machines and production lines have begun to amplify production and boost revenue streams exponentially.
For instance, JR Automation, a Hitachi Group Company, continues to develop various machines for industrial automation. Some of these include filmless X-ray inspection machines, flexible manufacturing systems, turnkey automated swage machines and many more. These are to improve overall efficiency and increase real-time production.
According to research analysts at Extrapolate, North America and Asia Pacific are expected to experience a boost in the demand for industrial automation improvements owing to the rising presence of robotics players in the regions. For instance, China is a key manufacturer of sensors, microchips, batteries, etc. to assist brands in improving productivity.
