Since the beginning of the year, our Supply Chain & Operations team at Hunter Campbell has been actively sharing our Supply Chain Mastery document with clients. The response has been overwhelmingly positive, sparking meaningful conversations across the industry.
In my role focusing on MAKE—recruiting across production, manufacturing, and engineering—discussions frequently gravitate toward AI and IoT (Internet of Things). Common questions include: What trends am I observing in the market? What are other companies implementing? How can organisations integrate these technologies into existing facilities without commissioning new machinery or constructing new plants? And the inevitable question: Don’t these initiatives require enormous CAPEX budgets?
These conversations inspired me to share my thoughts on AI and IoT applications in production and manufacturing. While implementation costs can range from hundreds to millions of dollars, I want to focus on entry-level opportunities. Where can businesses find quick, cost-effective wins?
For those beginning their digital transformation journey, I recommend focusing on four key areas:
- Improved machinery efficiency through data analytics
- Reduced materials wastage
- Lower energy consumption
- Shifting from reactive to proactive maintenance—reducing breakdowns and unplanned downtime
All this WITHOUT significant investment in new equipment. Yes, retrofit solutions exist that can be implemented in your current environment.
Starting small with sensors
Basic IoT sensors offer an excellent low-risk starting point, eliminating the need for large capital investments. These can monitor temperature, pressure, and vibration while providing real-time data. “Plug and play” sensor kits are surprisingly affordable—sensors range from $90 to $700, with monitoring platforms costing between $1,300 and $5,000.
Material wastage reduction presents another opportunity. Sensors measuring flow rates, weight, and levels can deliver immediate insights. Paddle wheel flow meters are excellent retrofit options, ranging from $300 to $1,000. Level sensors show the widest price range, with solutions spanning from basic float mechanisms to sophisticated radar and optical sensors—$300 to $2,000 depending on requirements.
Real-time production tracking
Replacing traditional pen-and-paper processes with tablets or touchscreen devices enables real-time production tracking and delivers substantial time savings. These systems provide immediate insights into critical KPIs like overall equipment effectiveness, downtime vs. uptime, and production rates and yields. Displaying this information on the production floor keeps all staff informed and engaged, increasing buy-in through enhanced visibility.
I hope this inspires you to explore the world of AI and IoT. It’s not all about robotic arms, dark warehouses, and zero-staff operations. It’s about creating efficiencies and accelerating access to relevant, important data and eliminating mundane tasks to focus on revenue-generating or cost-reducing activities. After all, isn’t that what it’s all about?
