Chapter 9

Conclusion

Abstract

This chapter brings together the automation equipment, applications, and project stages discussed in the previous chapters. The development of an automation strategy is discussed, including the relationship between automation and lean manufacturing. The benefits of such an automation strategy are identified and discussed. The chapter concludes with a view of the future together with some key points all manufacturing companies should consider in relation to their investment plans for robot systems.

Keywords

Lean manufacturing

Automation strategy

Early automation systems were dedicated to specific products. These were suited to high volumes with a limited range of product variants and were expensive to modify for changes in products and volumes. The advent of robots has provided the opportunity to develop and implement flexible automation systems that are better suited to current production requirements; that is, the ability to cater for a larger range of product variants, shorter product life, and also variation in volumes.

Robots are a form of automation that embodies the highest levels of flexibility. They were initially seen as having the capability to be reconfigured not only for different products but also for completely different applications. Robots still have this capability, although they are not often reconfigured in this way. With the exception of some specialist applications such as painting, a particular design of robot can be applied to a range of applications. The basic configurations of robots and the key issues involved in selecting the most appropriate machine for a particular requirement were reviewed in Chapter 2.

Robot software has become increasingly important. The enhanced capability of current controls has provided significantly improved robot performance and has made the systems much simpler to develop, install, and operate. Dedicated application software has become an increasingly important element of the system, providing the ability to configure and control application equipment as well as operator interfaces specifically designed for the application.

As robot technology has been enhanced, additional devices have been developed as standard products, such as positioners and tracks, to provide the robots with increased capability for specific applications. In addition, function packages have been developed to provide application capabilities, fully integrated with the robot, both mechanically and as part of the control functionality. These function packages reduce the need for the design and development of bespoke solutions and thereby reduce the time required to produce a robot system as well as providing more cost-effective solutions and increasing the reliability of the robot system.

Robots have become proven elements of a flexible automation solution. However, it is important to note that the robot is only one element of a complete solution and on its own can accomplish very little. A complete system requires other equipment to provide the robot with the capability to integrate within the overall manufacturing operation and perform the required tasks. Some of the more common elements of an automation system were reviewed in Chapter 3. The applications of robots to the more common applications and the specific needs of these applications were reviewed in Chapter 4.

The development of an appropriate concept for a robot solution to a manufacturing problem may initially appear complex but it is really a set of steps that are no different than any other capital investment project; therefore, it can be handled by any competent engineer. First, the requirements of the project must be defined including parts, tasks, and production rate. It is then possible to define the main elements of the system, including the selection of the robot type and the numbers of robots required. The basic layout can then be configured, including the part in-feed and out-feed as well as the operator interface and the outline of the safety system. This process was discussed in more detail in Chapter 5.

At this stage the financial aspects of the project can be considered both in terms of the costs for the implementation of the concept and also the cost benefits that may accrue from its implementation. The cost-benefit analysis will then determine if the project may be viable or should be reconsidered to improve the likely justification. These initial stages for the justification were reviewed in Chapter 7.

If the project appears to be viable, more detailed work can be undertaken. This may well involve external suppliers and, at this point, it is important that the detailed specification be prepared to ensure there is a clear and common understanding of the requirements for the project. This was discussed in Chapter 6, and it should again be stressed that the time invested in the specification is very worthwhile and can avoid significant problems and potential costs later in the execution of the project.

The final internal hurdle before a project is given approval to proceed is almost always the financial justification for the project. All companies require some form of return for any investment, and all projects must meet this requirement. It is again worthwhile investing time during the development of the financial justification to ensure all potential benefits are identified and expressed in financial terms (see Chapter 7). This work will ensure the appropriate budget is available, which will in turn enable the purchase of the necessary equipment and services to achieve what is planned.

Although appropriate financing is a key element to any project, it is also necessary to execute the project correctly to ensure all the work on the equipment selection, concept development, and financial justification does achieve the required result. The key elements of this process, including some problems that can be avoided, were discussed in Chapter 8. If the appropriate budget has been defined, this will enable the purchase of the correct equipment and necessary services. If the project is then executed correctly with the appropriate planning and interaction between supplier and customer staff, the resulting system will then perform as required. As a result, the benefits will be produced as anticipated and the planned financial returns will be achieved. The project will then be a success.

It is risky to shortcut any of these stages. Without detailed work in the early stages of any project the risk of unforeseen issues increases and the impact both on the cost and timing of a project increases the longer these issues remain. So, it is worthwhile investing time, resources, and sometimes money to ensure all risks are understood early and solutions to those risks are identified. Likewise, detailed study to ensure the financial analysis is correct will also be highly beneficial. In some cases projects may not proceed, due to technical risk or the lack of an appropriate financial return. These projects may not be viable in the short-term, but over a couple of years the cost-benefit may improve or new solutions may become available. It is better to wait and achieve a successful project in the future than to execute a project that is destined to fail in some way.

9.1 Automation Strategy

All the above steps are a necessary part of the conception and execution of every robot project. It is possible to bring in external resources to assist at various stages. This may be via suppliers or, alternatively, independent consultants who may provide a more balanced approach as they have no specific interest in any decisions made at any stage. However, it is better to enhance the capabilities of the internal staff so they are able to perform this work independent of external support. Training of staff, both for the initial stages of the project and also the operation and maintenance of robot systems, is very beneficial. It provides greater self-sufficiency and, therefore, reduces the likelihood and impact of any problems. This investment in staff is not often achieved if projects are considered only as one-offs. A more strategic approach to automation is required.

Most organisations have developed and implemented business plans. These consider issues such as product development, growth targets, and financial resources. To achieve the best from automation it is beneficial to develop and implement an automation strategy. This may form an element of the overall business plan or could be a stand-alone strategy for the improvement of the manufacturing operation.

One key aspect of any manufacturing operation is the effectiveness and efficiency of the activities within the operation. Lean manufacturing as a philosophy was initially developed in Toyota. The objective of lean manufacturing is to improve the operation by focusing on the seven manufacturing-related wastes (Womack and Jones, 2003):

1. Overproduction.

2. Excessive movement throughout a process that is not required to build an item.

3. Delays between production steps.

4. Excess inventory.

5. Excessive movement of people or equipment that is required in the processing of a part.

6. Overprocessing of parts.

7. Finding and fixing defects.

Automation may assist in addressing some of the above wastes but conversely, if badly planned or implemented, it can actually increase the waste and thereby negatively impact profitability. Therefore, it is always worthwhile to consider the basic principles of lean manufacturing when developing an automation strategy. In many cases it may be beneficial to embark on the lean journey and make initial progress before considering any form of automation. There may well be limited value in the automation of one specific step in the manufacturing process, particularly if all this does is generate greater problems elsewhere.

The real benefits of automation will be realised if the overall manufacturing strategy encompasses both lean manufacturing as well as a longer-term automation strategy. This automation strategy should include a longer-term plan, possibly as many as 10 years hence, with a goal defined as to what the manufacturing operation might look like at the end of that period. This may be considered too difficult or subject to too many variables, including technology changes, to be worthwhile. But if you do not know where you are going, how will you get there? If it is possible to develop a business plan based on an assessment of the future, it is also possible to achieve the same for manufacturing and the automation to be used within it.

An automation strategy provides the opportunity to address longer-term issues that often impede the implementation of automation. The first of these is training and skills of both the workforce and the engineering teams. A strategy assists in defining the longer-term needs and providing a direction for the training to achieve these needs. First, the engineering resource tasked with identifying opportunities for automation and then developing concepts and implementing the automation solutions will benefit from training on project implementation and management, as well as more specialised training on automation and robotics. This resource would also benefit significantly by removal from production activities and given the time to develop their expertise and proposals without the pressure of normal day-to-day activities. This investment in time and focus on a small group of staff, perhaps a single person, will pay dividends in the long run.

The shop floor also benefits from some training. In particular the supervision and maintenance staff can benefit, as it is their role to ensure that the automation continues to operate once installed. There is often merit in training a small number of staff to become the machine minders to take responsibility for the day-to-day operation as well as programming for future products and also enhancement of the existing systems. With the correct skills these staff can become key employees ensuring the best output from existing automation as well as contributing to the development of new systems.

It is beneficial to communicate major changes to all production staff. Automation can be seen as a threat to jobs as it often does replace some job functions. This can be achieved on a project-by-project basis but is much easier to achieve if there is a longer-term strategy that demonstrates how the business intends to grow. Therefore, the automation, rather than being a threat, is seen as positive both for the current staff and future employment.

The second main hurdle, which an automation strategy can help to address, is that of financial justification. Many projects do not get approved because they do not meet the financial criteria required. In some cases, simple projects cannot be implemented for the same reason. Many companies have had to undertake more complex projects because these were the only ones that could meet the payback requirements of the business. This approach causes two problems. First, projects that would provide benefit are not being implemented. The payback may be longer than required but if the equipment will provide value for a number of years, often over 10 years, than the business would be improved as a result of the implementation. Second, it is much easier and less risky to implement the simple projects, which are often much more likely to succeed. They also provide valuable learning opportunities for the staff, whom can then move on, having gained the necessary expertise, to more complex projects. For these reasons, an automation strategy provides a vehicle by which the business can be improved, having convinced senior management of the longer-term benefits of automation and the need to take appropriate steps towards achieving the end goal.

Related to the finance issue, if the business is seeking external financing to implement an automation solution, it can be beneficial to be able to demonstrate that the investment forms an element of a longer-term plan. Financial institutions are much more likely to provide financing to companies that can demonstrate they have a coherent plan. An automation strategy, demonstrating how the business intends to improve competitiveness and profitability, can be a valuable aspect of such a plan.

An automation strategy can also be beneficial when competing for new business with either new or existing customers. If the company is able to demonstrate how it is planning to improve its manufacturing operation over the coming years it is more likely to win business, possibly at a price premium, particularly if the company can also demonstrate how its customer will benefit. Many companies are faced with the need to implement automation systems when they have just won a new job. This can be achieved if the company has the necessary experience and can execute a project quickly. It can be very challenging for those companies undertaking automation for the first time. It is, therefore, better to already have experience with automation and be prepared, rather than to attempt to install automation once a job is already won. An automation strategy can address this issue, particularly if it is developed in conjunction with the overall business plan.

A further aspect of such a strategy is the opportunity to develop long-term partnerships with suppliers. Understanding the longer-term needs of the company, rather than simply selecting suppliers on a project-by-project basis, provides the opportunity for much stronger relationships and mutual understanding. This, then, delivers better results for both parties. Communicating some aspects of the strategy to key suppliers provides them with an understanding of the company’s future needs and potentially helps them ensure they are prepared to meet those needs, in terms of products and services, as and when they are required.

An automation strategy can be very beneficial. It must be closely aligned with the overall business strategy and so does need the agreement of senior management. This may take time to develop but once completed the clarity of the longer-term plan and the steps to be implemented make it much easier for a company to develop their automation on a step-by-step basis, improving skills, expertise, and competitiveness as the plan develops. Similar to any business plan, the automation strategy should be reviewed on a regular basis to ensure it meets the needs of the company and also to ensure it takes account of technology changes.

9.2 The Way Forward

At the time this book was written, in 2014, the industrial robot was, in the main, a single-arm device and needed to be isolated from manual workers with safety guarding. This situation was about to change with the imminent launch of dual-arm robots that could work alongside and in collaboration with humans. It was anticipated that this could herald a new era for industrial robots, opening up new applications, particularly in assembly applications and operations. There has also been significant interest in the development of robots that are easier to use and programme, particularly for smaller businesses. Both these developments could have a significant impact on the scale of the industrial robot market, particularly if the overall system pricing is not dissimilar to the cost of hiring workers.

There continues to be significant developments in the service robot sector. Robot technologies continue to be developed to provide greater capability to handle unstructured environments, to provide safe interaction with humans and to improve ease of interaction with humans. The developments within the service robot sector will be of benefit to the industrial robot sector; partly from the development of new technologies, but more importantly from the scale that will be achieved from the commercialisation of these technologies. Service robots, for the general consumer, will be sold in much larger volumes than industrial robots and, therefore, the production of these machines and devices will provide significant economies of scale and lower costs. If the same technologies can be applied to industrial robots, there will be significant cost-benefit for users of industrial robots.

These developments could lead to a step change in the number of robots being sold into the manufacturing sector. The benefits of flexible automation will include increased competitiveness and profitability for any company that has taken the appropriate steps to utilise robots within its manufacturing operations. Such companies will succeed and grow. It is, therefore, important for all manufacturing businesses to investigate robot technologies, to assess the suitability for their manufacturing operations, and to develop a strategy to implement flexible automation solutions where appropriate.

Taking a lesson from Henry Ford:

If you need a machine and don’t buy it, then you will ultimately find that you have paid for it, but don’t have it.

Basically, if you are spending the money anyway you should buy the machine. With flexible automation this sometimes requires longer-term thinking but in the long run provides the best result for the business.

Also a word of warning from John Ruskin:

It’s unwise to pay too much, but it’s worse to pay too little. When you pay too much, you lose a little money – that's all. When you pay too little, you sometimes lose everything, because the thing you bought was incapable of doing the thing it was bought to do.

The common law of business balance prohibits paying a little and getting a lot – it can’t be done. If you deal with the lowest bidder, it is well to add something for the risk you run, and if you do that you will have enough to pay for something better

Please remember the cheapest solution is not necessarily the best, and always select suppliers very carefully with detailed reviews of their proposal, experience, and expertise.

Finally, a plea to all manufacturing companies that have yet to fully embrace the benefits of robots and flexible automation. I believe there are three pillars which form the foundation of a successful manufacturing business:

 Product and process innovation.

 Effective organisation (lean manufacturing).

 Capital investment in equipment.

The best and most competitive businesses have considered all three pillars and have plans in place to continually improve all three aspects of their business. Each one is important, but the pillar that often has the least attention is the investment in equipment. In today’s world, flexibility is key and, therefore, robots should form an important element of every manufacturing business.

References

Womack JP, Jones DT. Lean Thinking: Banish Waste and Create Wealth in Your Corporation. New York: Simon & Schuster; 2003.


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