Top 13 Use Cases Applications of AI in Manufacturing in 2023

The commercial success of today’s aerospace industry is driven by product innovation, quality, reliability, and operational efficiency. Accelerated computing is accelerating design cycle times with robust tools for engineering design and simulation, while lowering the total cost of owning and operating high-performance computing (HPC) infrastructure. They store your data pretty cheaply, but when you start using computing resources, it becomes a lot more expensive. You want the ability to scale across different cloud providers or storage solutions, whichever is most cost effective. Industrial companies build their reputations based on the quality of their products, and innovation is key to continued growth. Winning companies are able to quickly understand the root causes of different product issues, solve them, and integrate those learnings going forward.

ai solutions in manufacturing

Using V7’s software, you can train object detection, instance segmentation and image classification models to spot defects and anomalies. But because the traditional assembly line has always relied on human beings to do their bit, it’s always been at the mercy of human error. We’ll also be highlighting a number of current AI use cases in manufacturing, and describing how companies use training data platforms (such as V7) to train and deploy AI models. As industries continue to push the boundaries of innovation, finding the right balance between the potential of AI and human expertise remains crucial. We can only unlock the true benefits of AI in these areas through a combination of technological advances, research, and collaborative efforts. While this might seem like a far-fetched idea, it is within reach, Foster asserted, and will allow companies to benefit from being able to discern key learnings without the help of specialized data scientists.

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Implementing AI solutions for one or two machines—or even just specific parts of machines—that will yield major gains is an excellent way to lay the foundation for future technologies that can further improve operations. Despite this, artificial intelligence, machine learning and cloud computing have yet to be widely adopted by industrial manufacturers. While it seems logical to control the massive amounts of complex industrial equipment needed for manufacturing with digitalization, technology is not replacing humans nearly as fast as it potentially could. With so much data being produced daily by industrial IoT and smart factories, artificial intelligence has several potential uses in manufacturing. Manufacturers are increasingly turning to artificial intelligence (AI) solutions like machine learning (ML) and deep learning neural networks to better analyse data and make decisions. By offering Microsoft Cloud for manufacturing, Microsoft aims to create a more resilient and sustainable future through open standards and ecosystems​.

Industrial companies that can rapidly innovate and bring higher-performing products to market faster are much more likely to gain market
share and win in their market segments. In 2018, we explored the $1 trillion opportunity for artificial intelligence (AI) in industrials.1Michael Chui, Nicolaus what is AI in manufacturing Henke, and Mehdi Miremadi, “Most of AI’s business uses will be in two areas,” McKinsey, March 7, 2019. As companies are recovering from the pandemic, research shows that talent, resilience, tech enablement across all areas, and organic growth are their top priorities.2What matters most?

Top 13 Use Cases / Applications of AI in Manufacturing in 2023

By scaling the technology incrementally, it can be very cost effective, so it doesn’t break the bank for smaller manufacturers. Don’t expect to build the foundation for implementing AI and see an immediate return. In the webinar, Rick described AI use cases featuring several manufacturers he has worked with including Precision Global, Metromont, Rolls-Royce, JTEKT and Elkem Silicones. Since 2017, Delta Bravo has worked on about 90 projects and has learned what works best and produces significant return on investment (ROI), especially for smaller manufacturers.

It has been a challenging year, with increasing production costs, raw material scarcity, labor shortages and supply chain disruptions. And more importantly, how does your competition plan to address these key challenges to continue growing their business? This is your opportunity to find out what other manufacturers are planning over the next 12 months. Inflation impacts more than material, production, and energy costs – it significantly influences the labour market as well. A higher cost of living naturally triggers increased wage demands from employees, a reality that manufacturers must contend with. To attract and retain skilled workers – an existing challenge in itself – businesses are obliged to raise wages.

Out-of-the-Box Applications of AI in Manufacturing

The technology enables manufacturers to build a  productive, smart factory of the future with IIoT, cloud, AI and mixed reality. General Electric (GE), a technology and financial services company, offers services including aircraft engines, power generation, water processing, medical imaging and industrial products. Diversifying into various segments such as power, renewable energy and healthcare, the company offers innovative solutions to transform each sector.

ai solutions in manufacturing

He has also led commercial growth of deep tech company Hypatos that reached a 7 digit annual recurring revenue and a 9 digit valuation from 0 within 2 years. Cem’s work in Hypatos was covered by leading technology publications like TechCrunch and Business Insider. He graduated from Bogazici University as a computer engineer and holds an MBA from Columbia Business School. A digital twin can be used to monitor and analyze the production process to identify where quality issues may occur or where the performance of the product is lower than intended. Due to the shift toward personalization in consumer demand, manufacturers can leverage digital twins to design various permutations of the product. This allows customers to purchase the product based on performance metrics rather than its design.


Greater efficiencies, lower costs, improved quality and reduced downtime are just some of the potential benefits. High-value, cost-effective AI solutions are more accessible than many smaller manufacturers realize. Some of the most difficult challenges for industrial companies are scheduling complex manufacturing lines, maximizing throughput while minimizing changeover costs, and ensuring on-time delivery of products to customers. AI can help through its ability to consider a multitude of variables at once to identify the optimal solution. For example, in one metals manufacturing plant, an AI scheduling agent was able to reduce yield losses by 20 to 40 percent while significantly improving on-time delivery for customers. A lot of traditional optimization techniques look at more general approaches to part optimization.

  • Computer vision also assists operators with Standard Operating Procedures when the operators have to switch products numerous times in one day.
  • To reap the benefits of ai in manufacturing, it is essential to incorporate AI as soon as possible.
  • Industrial manufacturers rethink product design, adding services and software-defined components for a connected world.
  • They can maintain – and even improve – productivity levels, keep their prices competitive, and continue to deliver high-quality products.
  • Once you’ve equipped your shop floor with sensors, AI can go to work analyzing their performance, understanding warning signs of failure, and even proactively scheduling maintenance before issues occur.
  • Since variations in operators’ qualifications can affect not only performance but also profits, AI’s ability to preserve, improve, and standardize knowledge is all the more important.

It helps you solve a particular problem by taking historic evidence in the data to tell you the probabilities between various choices and which choice clearly worked better in the past. It tells you the relevance of all this, the probabilities of certain outcomes and the future likelihood of these outcomes. For companies with volatile margins and capital-market pressures, the stakes and the opportunity cost of not adapting are high. Activating AI boosted asset performance and profit per hour for both the vertical mill and the kiln, while adhering to set-point constraints in a precise and secure manner.

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AI tools can design optimal routing strategies, considering factors such as fuel costs, traffic patterns, and delivery timelines. This results in not only reduced transportation costs but also faster and more reliable delivery of materials. With respect to operational improvement and dynamic adaptability, artificial intelligence can outperform conventional decision-support technologies. AI can fully automate complex tasks and provide consistent and precise optimum set points in autopilot mode. It requires less manpower to maintain, and—equally important—it can be adjusted quickly when management revises manufacturing strategy and production plans. AI can play a role in improving production efficiency, thereby reducing per-unit costs.

ai solutions in manufacturing

HPC and AI enable new levels of collaboration and efficiency in product design, engineering, simulation, and prototyping. Digital twins optimize design and operational flow in factories, warehouses, and distribution centers. Accelerated data science unlocks deeper insights for intelligent forecasting and decision-making. And Technician dispatch and vehicle routing can be dynamically optimized to improve efficiency. Since the complexity of products and operating conditions has exploded, engineers are struggling to identify root causes and track solutions.

Inventory Management

While this has greatly improved visualizations for operators, most companies with heavy assets have not kept up with the latest advances in analytics and in decision-support solutions that apply AI. He is a part of the Autodesk Industry Futures team and leads the R&D effort for this group. Harris has a background in aerospace, automotive, and materials science with 15 years of experience in this area. He has a master’s degree in aerospace engineering and a doctorate in materials science from the University of Surrey. At Autodesk, Harris works directly with industrial partners and universities to provide innovative solutions. The feedback would help the manufacturer understand exactly what parameters were used to make those parts and then, from the sensor data, see where there are defects.


For some companies, using AI and ML begins and ends with predictive maintenance, leaving the vast potential of their use cases untapped. Learning how to identify and deploy AI solutions comes with its own challenges, requiring a smart strategy to invest in the right tools and resources aligned with business goals. A more advanced application of AI involves turning tasks that have generally required years of experience into more exact, scientific procedures that lead to the right outcomes. Think of, for instance, how only an experienced operator has been able to manipulate a machine into just the right shape. It will be difficult for manufacturing executives to capture AI value if they’re unclear about what the technology is.

Computer vision helps manufacturers with detection inspection via automated optical inspection (AOI). Using multi-cameras, it more easily identifies missing pieces, dents, cracks, scratches and overall damage, with the images spanning millions of data points, depending on the capability of the camera. Foster explained that when an algorithm is created using AI, Plex might see trends from one customer that match those of other customers in different areas.