How AI is Transforming Indian Manufacturing

IT major Wipro has witnessed a 140 per cent surge in the adoption of AI in its existing projects since the launch of its ai360 strategy in 2023. In July 2023, Wipro committed to investing USD 1 billion for advancing its AI capabilities over the next 3 years. As part of the commitment, the company introduced ai360 – which is an “AI-first innovation ecosystem”. This is aimed at integrating Artificial Intelligence into every platform, tool as well as solution that are used both internally & offered to the clients.

“Since the launch of the ai360 strategy, Wipro has seen a 65 per cent increase in AI use cases, a 140 per cent increase in AI adoption in existing engagements, and a 40 per cent increase in industry-specific AI-led solutions,” says Sanjeev Jain, chief operating officer, Wipro.

The market size of artificial intelligence (AI) in manufacturing in India is projected to reach INR 12.59 billion by 2028. Make in India, Start-up India & Industry 4.0 have encouraged Indian manufacturing companies, software firms and technology driven startups in integrating Artificial Intelligence in to their day-to-day operations. This helps in enhancing productivity, efficiency, accuracy and flexibility.

AI is revolutionizing the Indian manufacturing industry bringing unprecedented innovation, efficiencies & transformation. Artificial Intelligence is emerging as one of the critical enabler as the country aims to become a global manufacturing hub. In this article let us look at how Artificial Intelligence is reshaping the Indian manufacturing sector.

Enhancing operational efficiency

The improvement of operational efficiency is one of the most significant impacts of Artificial Intelligence on Indian manufacturing. Conventional manufacturing process most often suffers from inefficiencies owing to human error, suboptimal resource utilization & equipment downtime. The aforementioned issues can be solved using AI-driven systems and it addresses them via predictive maintenance, that utilizes sensors as well as ML algorithms for monitoring machinery in real-time. Artificial Intelligence enables proactive maintenance, reduces downtime and saves costs by predicting when a machine is likely to fail. For example, Tata Steel has leveraged AI solutions for predicting & preventing equipment failures, which will result in enhanced operational efficiency & significant cost savings.

By predicting demand more accurately & managing inventory levels more effectively Artificial Intelligence optimizes supply chain management. ML algorithms analyze current market trends & historical data for forecasting demand, helping manufacturers adjust manufacturing schedules accordingly.  This helps in reducing overproduction & underproduction, ensuring that resources are utilized efficiently. For streamlining their supply chain operations Companies such as Maruti Suzuki are leveraging AI and these are helping in achieving better inventory management & reduced lead times.

“As organizations mature in their journey towards using AI for driving business outcomes, a three-pronged approach around identification of appropriate use cases, rigour of measuring and communicating the ROI along with driving adoption and scale at the enterprise level using the framework of responsible and explainable AI will be critical,” says Sudipta Ghosh, partner and leader – data & analytics, PWC India.

Driving Quality Control & Production

AI is making a profound impact on the quality control landscape. Since conventional quality control processes are often manual, prone to errors & time consuming, utilizing AI-powered computer vision systems will help in automating the inspection process, and this helps in ensures that products meet the required standards. These systems help manufacturers in addressing quality issues immediately by leveraging advanced image recognition algorithms for detecting defects & anomalies in real-time. For instance, Mahindra & Mahindra with an aim to improve product quality as well as reducing defect rates, the company has integrated AI-based quality control systems in their manufacturing lines.

Artificial Intelligence improves manufacturing processes by using robotics & automation. Also, AI-driven robots can perform several tasks with high accuracy as well as consistency and this not only helps in reducing human error but also increasing manufacturing speed. Cobots work alongside human workers by combining the precision of automation with the flexibility of human intervention and this synergy results in higher productivity as well as better quality products. For example, Bajaj Auto employs AI-driven robots in their assembly lines, achieving greater precision & efficiency in their production processes.

Tata Motors leverages AI algorithms for predicting maintenance requirements for its vehicle fleet and this proactive approach has led to minimizing downtime & ensuring optimal performance as well. The final output and impact are that predictive maintenance has resulted in enhanced productivity.

Infinite Uptime offers a vibration monitoring solution for the manufacturing sector and the solution consists of industrial data analytics platform & industrial data enablers.

Facilitating Customization & Innovation

For staying competitive in the manufacturing sector, innovation is highly imperative and for fostering innovation Artificial Intelligence is used as one of the powerful tools. Artificial Intelligence enables manufacturing companies in analyzing humongous volumes of data for identifying patterns, insights and trends which drive innovation. Furthermore, manufacturers can also build new products, explore new business models & optimizing existing ones. For instance, Artificial Intelligence in Indian automotive sector is utilized for designing and testing new vehicle models virtually and this helps in reducing the cost & time which are associated with physical prototyping.

Artificial Intelligence facilitates mass customization by allowing manufacturing companies to manufacture customized products at scale. AI systems can recommend personalized product configurations & adjust manufacturing processes accordingly and this capability is specifically valuable in sectors which include fashion & consumer electronics, here customer preferences change rapidly. Furthermore, companies such as Titan leverage Artificial Intelligence for personalized product recommendation & customize watch designs according to an individual’s customer preferences.

Another company offering AI-enabled production solutions for the fashion sector is Fashinza. Fashinza’s platform facilitates manufacturers as well as suppliers to connect with apparel & fashion brands leveraging AI.

“The nature of AI utilization in manufacturing extends beyond mere task automation. It entails leveraging AI-driven insights to optimize processes, enhance product quality and minimize downtime. Factory floor workers serve as the frontline users of AI, translating its potential into tangible improvements in manufacturing operations,” says Diwakar Singhal, Global Business Leader, Manufacturing, Genpact.

AI is revolutionizing the manufacturing sector in India by improving operational efficiency by driving quality control & precision and facilitating customization & innovation and also addressing skill gaps & labor shortages & promoting sustainability. Although there are challenges in this industry, the future prospects are quite bright for Artificial Intelligence in the Indian manufacturing industry. Artificial Intelligence’s impact on the Indian manufacturing sector will grow as the technology continues to evolve, and this will be an indispensable tool for the future of the Indian manufacturing sector.