We’re at it again!
Last month, Jeff and Scott covered how data is everything and how "clean" data is paramount in most (if not all) digital transformation projects in manufacturing. Turning to this month, the guys get into what everyone, it seems, is talking about ... and a transformation project that is almost totally dependent on decent production information. That is, of course, artificial intelligence.
In this episode, Jeff addresses all the attention AI is getting: “About wanting the AI hype to blow over—honestly, I don't see many companies wanting that. Everyone wants to talk about it, strategize around it, and plan for it. Not everyone is investing at the same levels, but I haven't met a single company yet—zero—that says, ‘AI, not of interest right now.’ Even the laggards are strategizing. They might be slower to implement, but they’re definitely not ignoring it. BIG difference.”
As we do in every episode, Jeff also answers questions that our listeners left on our social channels here, here, and here or sent to the program via email. So please reach out; we want to hear from you! And enjoy Episode 3 of (R)Evolutionizing Manufacturing. There aren't many topics that are more debated than this one!
Below is a partial transcript of this episode:
Scott Achelpohl: This month, for the month of August, Jeff and I are “All About AI,” and we’re going to chat about what almost certainly is the trendiest topic in manufacturing.
It’s one that we at Smart Industry are covering A LOT but also one that’s a bit of an enigma, in that use cases for companies that make and sell things are still, believe it or not, coming into focus—though 2024 already has seen an explosion of things AI can, potentially, do for you.
See also: With Gen-AI, excitement is being tempered by reality, survey finds
But AI manufacturing applications are still so new and, dare we say, relatively untested compared to some longtime plant practices and technologies. Some would argue we’ve been using forms of AI for a long time. Well … this is what we’ll discuss and debate today.
Jeff Winter: AI is the hottest topic right now, by far. It is changing how companies strategize, plan, and even invest—so we have to cover it, and I am excited to dive in!
Scott: We’ve reported on a couple of studies that point to varying levels of early (we’d even question whether it’s “early” at this point) adoption of AI in manufacturing, with one expert, Vala Afshar of Salesforce, dubbing 2024 as the “year of AI implementation” and warning everybody to get with the program on this technology in manufacturing.
Frankly, our heads are spinning about what’s going on with AI adoption: One survey from May of 508 industrial operators across 14 countries by Researchscape and a cloud ERP provider we’ve covered, Rootstock, found widespread AI adoption, with 90% using some form of it in their operations. Yet, an earlier study, released in December 2023 by Sikich Industry Pulse, found low adoption, with less than 20% of manufacturers implementing AI.
Related video: How AI can eliminate plant tasks people despise
That, let me again emphasize, was December; 2024 IS turning out to be the year of AI implementation. So, Jeff, what gives? Why is the AI landscape seemingly so exciting yet so uncertain? Is this a matter that companies maybe want the hype to blow over, let others make the mistakes and gather the lessons learned before they jump in themselves?
Jeff: So, what is total coincidence—and a bit funny—is I have read those studies—and thought the same thing myself—I even have a few more I can reference that show you the wild difference in AI adoption statistics. It all revolves around the way the questions are worded.
AI is such a ubiquitous technology that impacts people personally as much as companies—it is a technology that is sometimes salient and in-your-face, and other times hidden in the background without people knowing. That makes adoption statistics hard.
Webinar: Tons of tips from three experts on ‘Being Digital’
Why is the AI landscape so exciting? Well, it's fascinating—it’s got that science fiction allure we’ve had since we were kids. Both good and bad, many movies have predicted these capabilities. After all, AI is a quest to replicate human intelligence.
We are mesmerized by its potential and drawn towards its promise. Any new technology brings uncertainty, but this one is different. We can already tell it will permeate every part of every function of every company—and our personal lives, too. Few technologies have that level of reach and impact. It’s exciting yet scary.
