Tips to overcome manufacturing labor shortages

The United States is experiencing a significant labor shortage. The US Chamber of Commerce reports that there are over 10 million job openings in the US but 5.7 million unemployed workers. If every unemployed person in the country were to find a job, there would still be four million open jobs to be filled. The manufacturing sector is among the affected industries. According to a report by the National Association of Manufacturers, nearly 76% of manufacturing executives face labor shortages, and the industry is struggling to fill more than 700,000 job openings.

The consequences of labor shortages are severe. Shortage of labor means that manufacturers cannot meet production demands, resulting in longer lead times and lower production. This leads to an increase in consumer prices, bringing about a loss of revenue for businesses. Businesses are also forced to offer higher wages and better benefits to attract and retain workers, which can be particularly challenging for smaller businesses to remain competitive. In addition, labor shortages hinder innovation in the manufacturing sector.

What are possible responses to this crisis? The following provides an overview of how artificial intelligence and robotics can help manufacturing companies overcome the labor gap and stay in business.

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‍Robots and artificial intelligence are key

Automation with robots and AI is emerging as a promising solution to help manufacturing companies overcome some of these challenges. By automating certain tasks, companies can reduce their reliance on human labor and thereby operate more efficiently and effectively. A study by Accenture found that automation could increase labor productivity in the manufacturing sector by as much as 25%. According to a report by the International Federation of Robotics, the US had 35,000 industrial robots already installed in 2021, ranking third in the world. The US is a pioneer in automation. This development must be fostered, and automation must be made available to all manufacturing companies and sectors. New technologies such as collaborative robots and artificial intelligence are democratizing automation and making it accessible to more businesses.

Artificial intelligence holds great potential for robotics and offers a range of benefits in manufacturing. Machine learning plays an important role in areas such as process optimization, predictive maintenance, and vision-guided robotics." The latter is particularly important in times of labor shortages. AI-controlled robots, which can react to their environment and possess the crucial hand-eye coordination for many tasks, can be profitably employed for tasks that were previously performed manually. They relieve the existing workforce and ensure uninterrupted production processes.

A UR robot equipped with the AI-powered MIRAI system.

‍Make use of user-friendly collaborative robots in your production

Collaborative robots, also known as cobots, have been democratizing robotics for over 10 years, making automation accessible to companies of all sizes. The lightweight robots have clear advantages over traditional industrial robots for both SMEs and corporations:

• Easy programming: Unlike conventional industrial robots, cobots no longer require trained robot programmers. The programming of cobots can be learned without prior knowledge and can also be taken over by employees from other departments.

• No protective fences: After going through a risk assessment, cobots work next to their human colleagues without protective fencing. This makes them space-saving and allows them to be integrated quickly and flexibly into existing production lines.

• Flexibility: The lightweight design and easy programming allow users to set up their cobots for new tasks within minutes. Unlike industrial robots, which excel at very specific applications, cobots are flexible all-rounders and take over where needed.

• Faster ROI: Due to their size and simpler installation, cobots are usually cheaper than industrial robots. This advantage is reflected in a quick return on investment (ROI). Estimates suggest that the average ROI for cobots ranges from five to 18 months.

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Combine robots with artificial intelligence and automate complex manual tasks

User-friendly and space-saving cobots are suitable for both beginners and experienced automation professionals. However, they can only automate applications that are absolutely predictable — a general problem with robots. Even cobots cannot handle unforeseen changes in their environment. Advances in artificial intelligence solve this problem. Vision and AI-supported controls give robots hand-eye coordination, allowing them to cope with changes in their work environment. But there are additional benefits of using AI in industrial settings:

• Deal with production variance: Robots equipped with AI controllers can react independently and in real-time to variance. Variance can occur in different forms in the workplace. There can be reflective or flexible components. There can be unforeseen placement or shapes of workpieces. There can be changing light conditions. Thanks to AI and cameras, even complex tasks that require overcoming such variances can be robustly automated.

• Train intuitively instead of program: Employees can train and adapt AI-supported robots for new requirements in a few hours. One need not have knowledge of AI.

• Save on engineering and hardware costs: Thanks to the intuitive training, employees can deploy robots for a wide range of tasks. This includes different applications as well as new workpieces. For manufacturers that produce a variety of products, this is a tremendous advantage. They save both engineering and hardware costs.

• Build internal expertise and reduce complexity: With technologies like intelligent robot controllers, companies can build internal AI expertise and secure their independence in the long term. Cobot setups with AI controllers also reduce complexity. Workpiece carriers, mechanical alignments, and special solutions for position determination become obsolete.

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Use new technologies to incentivize employees and new hires

The use of new technologies can also pay off for recruiting and the satisfaction of the core workforce. AI training can be integrated into everyday work as a value-added activity, and as an innovative component in training for junior talent to attract and retain new employees. The use of AI-guided robots frees up the workforce from monotonous, physically demanding tasks and gives them the opportunity to further their education and take on new responsibilities, such as planning and commissioning robot applications.

AI technologies can attract young talent.

Utilizing AI-powered robotics to overcome manufacturing labor shortages

The labor shortage in the US is a serious risk for the manufacturing sector. Companies need to invest in innovative automation solutions to remain competitive and, ultimately, viable. AI-driven robots are one possible answer to increase the level of automation and compensate for a lack of labor.

Do you want to see how AI-powered robotics is being used in manufacturing? See some use cases here.