Automation in Mid-Sized Factories: How to Scale Effectively

Are you a mid-sized manufacturing company looking to improve operations, boost productivity, and gain a competitive edge? Many businesses, especially smaller businesses, grapple with the complexities of growth and the fear of lost productivity in implementing change. 

The good news is that automation is no longer an impossible concept for smaller businesses, and is no longer reserved only for large corporations with massive capital. In fact, many of our small business customers are already using automation as a powerful way to grow and capture new opportunities. With the right approach, strategic planning, and a clear understanding of the return on investment, you can also achieve scalable automation that encourages efficient, profitable expansion.

This guide will provide you with a comprehensive understanding of how to effectively implement small scale automation, tailored to the specific challenges and opportunities faced by small and medium-sized enterprises (SMEs).

Key Takeaways

• Scalable automation refers to automation systems that can be easily expanded or modified to meet the changing demands of your business.
• Small business automation is achievable and advantageous for SMEs, regardless of size.
• Scalable automation ensures your technology can grow with your business, providing long-term value.
• A phased approach with a focus on ROI and an automation assessment helps you minimize risk and maximize success.
• Partnering with automation experts like DEVELOP LLC is crucial for effective integration.

Understanding the Unique Challenges of Mid-Sized Factories (and SMEs)

While the desire to automate small business operations is certainly present, the path for SMEs can be more complex than for larger counterparts. Unlike large corporations with extensive resources, SMEs often face specific limitations:

• Limited Capital: Finding cost-effective automation solutions with a clear and measurable ROI is critical. Every capital expenditure is a major decision for an SME.
• Smaller Teams and Personnel: SMEs often lack dedicated automation personnel, making implementation appear daunting and requiring the outside expertise of automation integrators.
• Technical Expertise Gaps: Integrating complex automation systems with existing infrastructure can be challenging without in-house engineers or technical experts.
• Scalability Needs: The need for scalable automation is paramount, as solutions should grow with your company and avoid becoming obsolete quickly. You should be future proofing your company with automation.
• Flexibility Requirements: Mid-sized businesses frequently handle a variety of product lines and require flexible automation that can adapt to changing production demands. It should also allow for new products as your business grows.

The Compelling Benefits of Automation for SMEs

Despite the challenges, SME automation offers truly transformative benefits, setting you apart from your competitors. When you automate your small business, you can experience significant improvements in all aspects of your operations:

• Increased Productivity and Output: Small scale automation, such as for material handling and assembly lines, can optimize your processes, reduce bottlenecks, and drastically improve your production cycle times. The result is higher output without requiring excessive overhead costs.
• Improved Product Quality and Consistency: By minimizing human error and variations, automated systems ensure consistent and high-quality results. This reduces defects and increases customer satisfaction, saving on rework and recalls.
• Reduced Operational Costs: Automation reduces labor costs, minimizes waste, improves resource utilization, and cuts down on maintenance. These efficiencies lead to substantial savings and a healthier bottom line.
• Enhanced Employee Safety: By automating dangerous and repetitive tasks, you improve worker safety, reduce workplace injuries, and create a more secure work environment.
• A Stronger Competitive Edge: For small businesses, automation is essential to compete effectively with both larger companies and more nimble startups, giving you an edge and attracting more business.
• Improved Employee Morale and Retention: By freeing workers from mundane, repetitive tasks, automation enables them to focus on more challenging and rewarding roles. That leads to better job satisfaction and lower employee turnover.

Key Areas of Automation for Mid-Sized Factories

The route to scalable automation requires strategically implementing automation across crucial areas. These solutions should help you achieve greater efficiency:

• Robotic Process Automation (RPA): Robots can take over a variety of tasks such as materials handling, assembly, machine tending, packaging and more, providing increased consistency and greater throughput.
• Machine Vision Systems: Machine vision enhances your quality control, detects defects with precision, and allows for real-time process monitoring, providing valuable insights into your operation.
• Data Analytics and Process Monitoring: Continuous data collection and analysis helps you pinpoint bottlenecks, track performance, and identify areas for improvement, allowing for better management decisions.
• Custom Control Systems: Systems like PLCs, HMIs, and other industrial controls allow you to manage complex processes effectively, providing robust control over your equipment and processes.
• Flexible Manufacturing Systems (FMS): FMS solutions provide scalable automation by enabling you to quickly respond to fluctuating demands and product variations, and provide greater control over the changes in your production.

The Strategic Implementation of Scalable Automation

Implementing automation for small businesses effectively is crucial for maximizing your ROI. Here’s how to approach automation with a focus on success:

• Phased Approach & Long-Term Planning: Don’t feel the need to do it all at once. Begin with smaller pilot projects to validate the solutions and build expertise. At DEVELOP LLC, we understand that automation is not always a one-time fix. We use a stage-gate project approach, allowing us to break large projects into manageable phases. During our Automation Assessment, we can help chart a risk-mitigated path towards automation, potentially spanning years and multiple projects, all tailored to your specific needs. This phased approach allows for adaptation, minimizes risk, and maximizes your long-term success.
• Right-Sizing Your Technology: Choose automation solutions that fit your unique requirements and budget. Avoid over-investment, and take advantage of solutions designed for companies of your size.
• Employee Involvement: Involve your team in the entire automation process and provide comprehensive training on new technologies and processes. You’ll generate buy-in from your employees, and will help their performance with the new technologies.
• ROI Analysis: The justification for any automation project should focus on its ROI. DEVELOP LLC provides an ROI Calculator to help you analyze the potential return on your investment. We want to take you beyond cost containment, beyond the bare justification of costs, and beyond the present-day assumptions derived from today’s business potential.

We want our customers to succeed. Our goal is for you to see your automation integration as the stepping stone to business growth, increased profit, capacity for new sales and customers, and a higher level of competition. Calculate your ROI and translate those savings into growth, and scale your business potential with DEVELOP LLC.

• Automation Assessment: Before starting any automation project, an assessment is absolutely essential. At DEVELOP LLC, we provide both virtual and on-site automation assessments tailored to your unique business needs:
  • Virtual Assessment: We begin with a free Automation Assessment Questionnaire to determine if automation is right for your business. Following this, we move onto a free, 30-minute Virtual Opportunity Discussion to better understand your goals. Should we both determine automation is the correct step forward, we offer an in-depth, 2-4 hour virtual assessment that focuses on a single project and analyzes your budget, ROI timelines, pictures, and video walkthroughs of your production floor.
    Following the automation assessment, we provide a scoped project proposal designed to meet your targets. We’ll also be upfront with you if we don’t think automation is the right choice for you at this time.
  • On-Site Assessment: For a company-wide analysis of your automation opportunities, our team will visit your facility, collaborate with your business and manufacturing professionals and use your in-house knowledge to design your perfect machine. We measure the concerns of the CEO against the ideals of machine operators and processing targets. Next, we’ll map low-risk, high-ROI options against a scatterplot of potential project options compared to your budget, timelines, and goals.
    We’ll then assess your facility for your volume, tolerances, workforce integration, engineering lift, and throughput, and transform those targets into a project capable of swift ROI.

• Partnering with Experienced Automation Integrators: Working with experienced automation integrators like DEVELOP LLC allows you to capitalize on our engineering expertise, industry knowledge, vertical integration, and project experience. Choosing the right automation integrator reduces risk while helping to ensure the long-term success of your automation investments.

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The Future of Automation for SMEs

The future of manufacturing and small business automation is being driven by technologies like artificial intelligence, machine learning, cloud connectivity, and the principles of Industry 4.0. These advancements will continue to refine efficiency, productivity, and competitiveness for businesses of all sizes. By taking the first steps in small scale automation, you are positioning yourself to apply these technologies for continued success and business growth in the future.

Automation for small businesses isn’t a luxury for the few, it’s an indispensable strategy for sustainable growth and enhanced competitiveness in the modern market. You do not need to be a large corporation to earn these benefits. By embracing a thoughtful and strategic approach, you can automate your small business and achieve scalable automation, unlocking your company’s true potential.

Contact DEVELOP LLC today for a free consultation and let us guide you through the process of transforming your business with SME automation.

About the Author:

Matt Moseman leads as President of DEVELOP, with a strong foundation from the Milwaukee School of Engineering, where he earned both a Bachelor’s and a Master’s in New Product Management. Moseman’s career highlights include his pivotal role in founding NodeUDesign, innovating in automation hardware, and driving DEVELOP LLC to the forefront of industrial robotics with a focus on enhancing productivity and efficiency.