Despite the transformative potential of artificial intelligence, many small to medium manufacturing businesses in Australia find themselves grappling with substantial challenges that hinder widespread implementation.
To delve deeper into these challenges and explore potential solutions, Australian Manufacturing spoke with Jannat Maqbool, manager of industry programs at Advanced Robotics for Manufacturing Hub.
Maqbool shares her insights on the current landscape of AI adoption in Australian manufacturing and discusses how emerging models like AI-as-a-Service could revolutionize operations for manufacturing SMEs in the country.
Key AI hurdles for Australian manufacturers
According to Maqbool, one of the primary obstacles is the lack of high-quality, well-organized data, which is a crucial foundation for effective AI systems.
“AI relies heavily on good data, and many smaller, or even medium, manufacturers either don’t have the right data or, more commonly, they haven’t organised it effectively.” This data deficiency can severely limit the effectiveness of AI implementations, regardless of the AI tools’ sophistication.
Resource constraints also play a significant role, with many manufacturing SMEs in the country finding themselves unable to afford large AI teams or expensive technology solutions.
Beyond that, expertise also emerges as a big hurdle.
“AI can seem complex, and without the right knowledge, it’s hard for businesses to know where to begin,” Maqbool points out. “Integrating AI into their existing systems can also be daunting, especially when they worry about disrupting current operations.”
This knowledge gap not only makes it difficult for SMEs to initiate AI projects but also complicates the process of integrating AI into existing systems without disrupting current operations — a concern that further slows adoption rates.
What is AI-as-a-Service?
AI-as-a-Service represents a paradigm shift in how businesses, particularly manufacturing SMEs, can access and utilise AI technologies.
Maqbool defines it as “a cloud-based solution where businesses can access AI tools and services on a subscription or pay-as-you-go” basis. This model stands in contrast to traditional AI implementation approaches, which often require significant upfront investments in infrastructure, software, and personnel.
Take the ARM Hub Data and AI-as-a-Service, for instance, which has been specifically designed for manufacturers.
“(The solution) offers pre-built AI services that companies can apply to their unique business and tap into as needed,” she explained. This approach eliminates the need for extensive in-house technical expertise or large capital investments, making AI more attainable for SMEs with limited resources.
“With the required data, infrastructure, and governance available, businesses can then focus on leveraging AI across their business to drive productivity and underpin innovation including integrating AI with other technologies, such as robotics, and enhance their customers’ experience,” Maqbool noted.
Levelling the playing field
According to the industry expert from ARM Hub, AI-as-a-Service is revolutionising operations for manufacturing SMEs, offering several key benefits:
- Cost-effectiveness: AI-as-a-service eliminates the need for expensive infrastructure or full-time AI specialists, making advanced AI technologies accessible to businesses with tighter budgets.
- Rapid deployment: SMEs can implement AI solutions quickly, seeing results much sooner than with traditional AI implementations.
- Scalability: As businesses grow or face new challenges, AI-as-a-service can scale accordingly. This flexibility ensures that AI solutions evolve with the business without requiring major overhauls or investments.
- Access to advanced tools: AI-as-a-service provides SMEs with affordable access to cutting-edge AI technologies previously available only to larger corporations. This access can lead to greater efficiencies, improved competitiveness, and enhanced market sustainability.
By democratising access to AI technologies, smaller businesses can harness the power of AI to improve their operations, boost productivity, and stay competitive in an increasingly technology-driven market.
Embracing AI-as-a-Service – A roadmap for Australian manufacturing SMEs
As Australian manufacturing SMEs increasingly adopt AI-as-a-service models, a strategic approach is crucial for success. Maqbool suggests starting small, identifying specific processes where AI can make an immediate impact, and scaling up gradually. Close collaboration with AI providers is also crucial.
Data management also emerges as a critical factor.
“AI is only as good as the data it uses, so SMEs should prioritise organising and cleaning their data,” Maqbool said. “This is where we primarily focus our attention at the ARM Hub AI Adopt Centre in co-designing AI roadmaps with SMEs, helping them understand how they can set up for long-term success with AI.”
Finally, equally important is preparing the workforce to work alongside AI systems.
“AI isn’t about replacing jobs—it’s about enhancing human capabilities, so make sure your workforce is ready to collaborate with AI systems,” Maqbool noted.
To learn more about ARM Hub’s efforts to design AI systems for Australian manufacturing SMEs, visit aiadopt.ai.
