Smart manufacturing: the solution to the UK’s productivity puzzle?

Often, a major obstacle to improving productivity levels is the need for rework or recalls, which inevitably occur as a result of human error. In contrast, by their nature, robotic systems are highly accurate and consistent in their output, however, the use of such technologies requires specialist skills for implementation, maintenance and core programming. Enabling robots and humans to collaborate closely in an automated manufacturing environment, “smart factories” effectively allow businesses to combine the best of both worlds. This idea is key to Industry 5.0, which centres around robots and humans working together in a harmonious way

A smart factory is defined as a digitised and highly automated manufacturing facility that uses connected devices, machinery and production systems to continuously collect and share data. This data is then used to improve processes as well as proactively address any issues that may arise along the production line. Smart factories are enabled by a variety of technologies, including artificial intelligence (AI), big data analytics, cloud computing and the industrial Internet of Things (IoT).  

One significant benefit of smart factories is that automation provides manufacturers with the ability to take greater control over the assembly line. For example, many manufacturing businesses are facing a perfect storm of ever-growing complexity, such as the need to introduce different product mixes, and adapt to fast-changing market conditions. Smart manufacturing processes allow businesses to take back control by introducing flexibility, enabling them to better adapt to new customer demands, while improving productivity, operational quality and scalability.

Developing smarter factories can also help manufacturers on their mission to become more sustainable. The industrial sector accounts for roughly one fifth of global greenhouse gas emissions and for customers, employees, partners and stakeholders alike, sustainability is becoming increasingly important. By gaining more control over the assembly process, automation enables manufacturers to do more with less, while minimising the likelihood of reworks and recalls. As a result, materials and energy are used more efficiently and unnecessary waste is minimised, lowering operational costs and improving ROI. At the same time, regular data insights enable more predictive maintenance, further reducing resource waste.

However, investment in automation can also deliver social value, improving working conditions for employees. By automating tiresome, hazardous and high-risk tasks, manufacturers can free up humans to work on more rewarding, value-add activity while creating a safer working environment.

In many cases, the transition to smart manufacturing may be held back by fears that it may be a complex and costly process. With this in mind, collaborating with an established industrial productivity partner from the start of the project is key to ensuring the implementation goes “right first time”. To make the most of investments in automation and ensure the transition runs smoothly, securing the right smart manufacturing talent or upskilling existing employees is also essential.

As a region where industrial heritage and emerging tech capabilities collide, the West Midlands region has the potential to lead the UK on its journey towards a more productive smart manufacturing future. As well as being the UK’s fastest-growing tech sector, the region is home to a Government-backed Advanced Manufacturing Investment Zone, which is set to turbocharge commercial opportunities for international businesses.

Located in one of the region’s three thriving cities – Wolverhampton – Atlas Copco’s state-of-the-art Smart Factory Innovation Centre exemplifies this potential. The UK-first facility features a replica factory production environment, serving as a showcase and training hub for its industry-leading smart manufacturing solutions, designed to deliver real-time production efficiencies for customers.

In order to successfully solve the UK’s productivity puzzle and become truly globally competitive, manufacturers must step up their investment in automation and the West Midlands is ideally placed to set the example. By making the transition to smart factories, businesses can effectively do more with less by creating an environment where robots and humans work hand in hand. This will enable them to realise efficiencies, meet their sustainability targets and retain talent by creating a safer workplace for their people.  

In simple terms, productivity is a measure of how efficiently an economy turns its inputs, such as labour and capital, into outputs, such as goods and services. The UK’s chronic lack of productivity growth and gap with other international markets has only increased since the global financial crisis. For manufacturers, raising productivity over time allows them to produce more goods with the same number of workers, while also contributing towards a sustainable and resilient UK economy.

James McAllister is General Manager for Tools & Industrial Assembly Solutions at

Often, a major obstacle to improving productivity levels is the need for rework or recalls, which inevitably occur as a result of human error. In contrast, by their nature, robotic systems are highly accurate and consistent in their output, however, the use of such technologies requires specialist skills for implementation, maintenance and core programming. Enabling robots and humans to collaborate closely in an automated manufacturing environment, “smart factories” effectively allow businesses to combine the best of both worlds. This idea is key to Industry 5.0, which centres around robots and humans working together in a harmonious way

A smart factory is defined as a digitised and highly automated manufacturing facility that uses connected devices, machinery and production systems to continuously collect and share data. This data is then used to improve processes as well as proactively address any issues that may arise along the production line. Smart factories are enabled by a variety of technologies, including artificial intelligence (AI), big data analytics, cloud computing and the industrial Internet of Things (IoT).  

One significant benefit of smart factories is that automation provides manufacturers with the ability to take greater control over the assembly line. For example, many manufacturing businesses are facing a perfect storm of ever-growing complexity, such as the need to introduce different product mixes, and adapt to fast-changing market conditions. Smart manufacturing processes allow businesses to take back control by introducing flexibility, enabling them to better adapt to new customer demands, while improving productivity, operational quality and scalability.

Developing smarter factories can also help manufacturers on their mission to become more sustainable. The industrial sector accounts for roughly one fifth of global greenhouse gas emissions and for customers, employees, partners and stakeholders alike, sustainability is becoming increasingly important. By gaining more control over the assembly process, automation enables manufacturers to do more with less, while minimising the likelihood of reworks and recalls. As a result, materials and energy are used more efficiently and unnecessary waste is minimised, lowering operational costs and improving ROI. At the same time, regular data insights enable more predictive maintenance, further reducing resource waste.

However, investment in automation can also deliver social value, improving working conditions for employees. By automating tiresome, hazardous and high-risk tasks, manufacturers can free up humans to work on more rewarding, value-add activity while creating a safer working environment.

In many cases, the transition to smart manufacturing may be held back by fears that it may be a complex and costly process. With this in mind, collaborating with an established industrial productivity partner from the start of the project is key to ensuring the implementation goes “right first time”. To make the most of investments in automation and ensure the transition runs smoothly, securing the right smart manufacturing talent or upskilling existing employees is also essential.

As a region where industrial heritage and emerging tech capabilities collide, the West Midlands region has the potential to lead the UK on its journey towards a more productive smart manufacturing future. As well as being the UK’s fastest-growing tech sector, the region is home to a Government-backed Advanced Manufacturing Investment Zone, which is set to turbocharge commercial opportunities for international businesses.

Located in one of the region’s three thriving cities – Wolverhampton – Atlas Copco’s state-of-the-art Smart Factory Innovation Centre exemplifies this potential. The UK-first facility features a replica factory production environment, serving as a showcase and training hub for its industry-leading smart manufacturing solutions, designed to deliver real-time production efficiencies for customers.

In order to successfully solve the UK’s productivity puzzle and become truly globally competitive, manufacturers must step up their investment in automation and the West Midlands is ideally placed to set the example. By making the transition to smart factories, businesses can effectively do more with less by creating an environment where robots and humans work hand in hand. This will enable them to realise efficiencies, meet their sustainability targets and retain talent by creating a safer workplace for their people.  

In simple terms, productivity is a measure of how efficiently an economy turns its inputs, such as labour and capital, into outputs, such as goods and services. The UK’s chronic lack of productivity growth and gap with other international markets has only increased since the global financial crisis. For manufacturers, raising productivity over time allows them to produce more goods with the same number of workers, while also contributing towards a sustainable and resilient UK economy.

James McAllister is General Manager for Tools & Industrial Assembly Solutions at

Often, a major obstacle to improving productivity levels is the need for rework or recalls, which inevitably occur as a result of human error. In contrast, by their nature, robotic systems are highly accurate and consistent in their output, however, the use of such technologies requires specialist skills for implementation, maintenance and core programming. Enabling robots and humans to collaborate closely in an automated manufacturing environment, “smart factories” effectively allow businesses to combine the best of both worlds. This idea is key to Industry 5.0, which centres around robots and humans working together in a harmonious way

A smart factory is defined as a digitised and highly automated manufacturing facility that uses connected devices, machinery and production systems to continuously collect and share data. This data is then used to improve processes as well as proactively address any issues that may arise along the production line. Smart factories are enabled by a variety of technologies, including artificial intelligence (AI), big data analytics, cloud computing and the industrial Internet of Things (IoT).  

One significant benefit of smart factories is that automation provides manufacturers with the ability to take greater control over the assembly line. For example, many manufacturing businesses are facing a perfect storm of ever-growing complexity, such as the need to introduce different product mixes, and adapt to fast-changing market conditions. Smart manufacturing processes allow businesses to take back control by introducing flexibility, enabling them to better adapt to new customer demands, while improving productivity, operational quality and scalability.

Developing smarter factories can also help manufacturers on their mission to become more sustainable. The industrial sector accounts for roughly one fifth of global greenhouse gas emissions and for customers, employees, partners and stakeholders alike, sustainability is becoming increasingly important. By gaining more control over the assembly process, automation enables manufacturers to do more with less, while minimising the likelihood of reworks and recalls. As a result, materials and energy are used more efficiently and unnecessary waste is minimised, lowering operational costs and improving ROI. At the same time, regular data insights enable more predictive maintenance, further reducing resource waste.

However, investment in automation can also deliver social value, improving working conditions for employees. By automating tiresome, hazardous and high-risk tasks, manufacturers can free up humans to work on more rewarding, value-add activity while creating a safer working environment.

In many cases, the transition to smart manufacturing may be held back by fears that it may be a complex and costly process. With this in mind, collaborating with an established industrial productivity partner from the start of the project is key to ensuring the implementation goes “right first time”. To make the most of investments in automation and ensure the transition runs smoothly, securing the right smart manufacturing talent or upskilling existing employees is also essential.

As a region where industrial heritage and emerging tech capabilities collide, the West Midlands region has the potential to lead the UK on its journey towards a more productive smart manufacturing future. As well as being the UK’s fastest-growing tech sector, the region is home to a Government-backed Advanced Manufacturing Investment Zone, which is set to turbocharge commercial opportunities for international businesses.

Located in one of the region’s three thriving cities – Wolverhampton – Atlas Copco’s state-of-the-art Smart Factory Innovation Centre exemplifies this potential. The UK-first facility features a replica factory production environment, serving as a showcase and training hub for its industry-leading smart manufacturing solutions, designed to deliver real-time production efficiencies for customers.

In order to successfully solve the UK’s productivity puzzle and become truly globally competitive, manufacturers must step up their investment in automation and the West Midlands is ideally placed to set the example. By making the transition to smart factories, businesses can effectively do more with less by creating an environment where robots and humans work hand in hand. This will enable them to realise efficiencies, meet their sustainability targets and retain talent by creating a safer workplace for their people.  

In simple terms, productivity is a measure of how efficiently an economy turns its inputs, such as labour and capital, into outputs, such as goods and services. The UK’s chronic lack of productivity growth and gap with other international markets has only increased since the global financial crisis. For manufacturers, raising productivity over time allows them to produce more goods with the same number of workers, while also contributing towards a sustainable and resilient UK economy.

James McAllister is General Manager for Tools & Industrial Assembly Solutions at

Often, a major obstacle to improving productivity levels is the need for rework or recalls, which inevitably occur as a result of human error. In contrast, by their nature, robotic systems are highly accurate and consistent in their output, however, the use of such technologies requires specialist skills for implementation, maintenance and core programming. Enabling robots and humans to collaborate closely in an automated manufacturing environment, “smart factories” effectively allow businesses to combine the best of both worlds. This idea is key to Industry 5.0, which centres around robots and humans working together in a harmonious way

A smart factory is defined as a digitised and highly automated manufacturing facility that uses connected devices, machinery and production systems to continuously collect and share data. This data is then used to improve processes as well as proactively address any issues that may arise along the production line. Smart factories are enabled by a variety of technologies, including artificial intelligence (AI), big data analytics, cloud computing and the industrial Internet of Things (IoT).  

One significant benefit of smart factories is that automation provides manufacturers with the ability to take greater control over the assembly line. For example, many manufacturing businesses are facing a perfect storm of ever-growing complexity, such as the need to introduce different product mixes, and adapt to fast-changing market conditions. Smart manufacturing processes allow businesses to take back control by introducing flexibility, enabling them to better adapt to new customer demands, while improving productivity, operational quality and scalability.

Developing smarter factories can also help manufacturers on their mission to become more sustainable. The industrial sector accounts for roughly one fifth of global greenhouse gas emissions and for customers, employees, partners and stakeholders alike, sustainability is becoming increasingly important. By gaining more control over the assembly process, automation enables manufacturers to do more with less, while minimising the likelihood of reworks and recalls. As a result, materials and energy are used more efficiently and unnecessary waste is minimised, lowering operational costs and improving ROI. At the same time, regular data insights enable more predictive maintenance, further reducing resource waste.

However, investment in automation can also deliver social value, improving working conditions for employees. By automating tiresome, hazardous and high-risk tasks, manufacturers can free up humans to work on more rewarding, value-add activity while creating a safer working environment.

In many cases, the transition to smart manufacturing may be held back by fears that it may be a complex and costly process. With this in mind, collaborating with an established industrial productivity partner from the start of the project is key to ensuring the implementation goes “right first time”. To make the most of investments in automation and ensure the transition runs smoothly, securing the right smart manufacturing talent or upskilling existing employees is also essential.

As a region where industrial heritage and emerging tech capabilities collide, the West Midlands region has the potential to lead the UK on its journey towards a more productive smart manufacturing future. As well as being the UK’s fastest-growing tech sector, the region is home to a Government-backed Advanced Manufacturing Investment Zone, which is set to turbocharge commercial opportunities for international businesses.

Located in one of the region’s three thriving cities – Wolverhampton – Atlas Copco’s state-of-the-art Smart Factory Innovation Centre exemplifies this potential. The UK-first facility features a replica factory production environment, serving as a showcase and training hub for its industry-leading smart manufacturing solutions, designed to deliver real-time production efficiencies for customers.

In order to successfully solve the UK’s productivity puzzle and become truly globally competitive, manufacturers must step up their investment in automation and the West Midlands is ideally placed to set the example. By making the transition to smart factories, businesses can effectively do more with less by creating an environment where robots and humans work hand in hand. This will enable them to realise efficiencies, meet their sustainability targets and retain talent by creating a safer workplace for their people.  

In simple terms, productivity is a measure of how efficiently an economy turns its inputs, such as labour and capital, into outputs, such as goods and services. The UK’s chronic lack of productivity growth and gap with other international markets has only increased since the global financial crisis. For manufacturers, raising productivity over time allows them to produce more goods with the same number of workers, while also contributing towards a sustainable and resilient UK economy.

James McAllister is General Manager for Tools & Industrial Assembly Solutions at Atlas Copco.