AI Is Changing Manufacturing: A Practical Path to Industrial AI and Automation

AI Is Changing Manufacturing: A Practical Path to Industrial AI and Automation

By Rich Hobbs, President & CEO
Manufacturers Resource Center (MRC)

Artificial intelligence, robotics, automation, and other advanced technologies are changing the manufacturing landscape. For manufacturers, these developments bring exciting possibilities, but they also raise practical questions. Where should we begin? What makes sense for our business? How do we prepare our people? And how do we know whether an investment will make a difference?

These questions matter, especially for small and mid-sized manufacturers balancing customer demands, workforce needs, production schedules, and the cost of doing business.

My view is straightforward: the goal isn’t to adopt technology for its own sake. The goal is to build a stronger, more capable business.

At the Manufacturers Resource Center (MRC), we believe that progress begins with understanding the business, identifying opportunities, and bringing the right people and solutions together. Technology can be an important part of that process, but it works best when it supports a clear business need.

Start With the Challenge, Not the Technology

It’s easy to become caught up in the latest technology headlines. AI can analyze information, robotics can automate certain tasks, and connected systems can give manufacturers greater visibility into their operations. But not every technology is right for every company, and not every challenge requires a high-tech solution.

Before making an investment, manufacturers should ask some basic questions:

  • Where are we losing time, capacity, or productivity?
  • Are quality issues, rework, or inconsistent processes affecting performance?
  • What information do we need to make better decisions?
  • Which tasks could benefit from automation, and which still depend on human judgment and experience?
  • What capabilities will our employees need as our operations evolve?

The answers help establish priorities. A company may discover that improving a process or making better use of existing information is the right first step. Another may identify a strong opportunity for automation or a more advanced digital solution.

The important thing is to understand the problem before selecting the tool.

People and Processes Still Matter

As manufacturing technology advances, it’s tempting to focus on equipment, software, and systems. Yet successful improvement also depends on the people who use them and the processes in which they operate.

Employees understand the realities of the shop floor. They often know where bottlenecks occur, which workarounds have become routine, and what prevents a process from running as well as it could. Involving them early can help manufacturers identify the right problems to solve and prepare for changes ahead.

Technology adoption may also require new skills, adjustments to responsibilities, and different ways of making decisions. Leaders must help employees understand why changes are being considered, how the changes affect their work, and what support they will receive.

This is why workforce development and process improvement remain essential even as manufacturing becomes more digital.

A useful way to think about readiness is to consider four connected areas:

  • People: Do employees and leaders have the skills, knowledge, and support they need?
  • Process: Are workflows understood, consistent, and ready to improve?
  • Data and technology: Do we have reliable information and the right tools for the problem?
  • Leadership: Is there a clear purpose, ownership, and a way to evaluate progress?

These areas influence one another. New technology cannot automatically correct an unclear process, and sophisticated software is only as useful as the information and decisions that support it.

AI and Smart Manufacturing: Opportunity With a Purpose

AI is becoming an increasingly important part of the manufacturing conversation. Potential applications include identifying patterns in production data, supporting quality analysis, anticipating equipment maintenance needs, and helping organizations make more informed decisions.

The National Institute of Standards and Technology (NIST) highlighted both these opportunities and the challenges in its 2026 Roadmap on Artificial Intelligence and Machine Learning for Smart Manufacturing. Among the issues manufacturers must consider are data management, integration with existing systems, and the need for reliable, trustworthy results.

For manufacturers exploring AI, the practical questions are just as important as the technology itself:

  • Is the problem clearly defined?
  • Is the necessary data available and reliable?
  • Can the proposed solution work with existing equipment and systems?
  • Are cybersecurity, safety, and data privacy being considered?
  • How will we measure whether the solution improves performance?

Manufacturers do not need to answer every question at once, nor do they need to transform an entire operation overnight. A focused, manageable starting point can help a company evaluate an opportunity, learn what is required, and make better-informed decisions about what comes next.

The same principle applies to robotics, automation, additive manufacturing, and other advanced capabilities. The objective is to find the right fit for the business, not to pursue technology simply because it is new.

Turning Opportunity Into Progress

Recognizing an opportunity is one thing. Turning it into a lasting improvement takes planning, follow-through, and the willingness to learn along the way.

A practical approach includes:

  1. Assess the current situation. Understand the business need, existing processes, workforce capabilities, and available information.
  2. Prioritize the opportunity. Identify where an improvement could make a meaningful difference to operations or business performance.
  3. Prepare the people and processes. Address skills, leadership, workflow, and implementation needs before introducing a solution.
  4. Evaluate and learn. Establish how progress will be measured, review the results, and adjust as needed.
  5. Build on what works. Use what the organization learns to guide its next improvement or technology investment.

This approach helps keep decisions connected to business goals. It also recognizes that improvement is rarely a single event. Companies build capability over time, learning from experience and strengthening the way they operate.

Where MRC Makes a Difference

Manufacturers don’t have to navigate every challenge alone. Our work brings together process improvement, leadership development, workforce training, and solutions tailored to a manufacturer’s needs. That combination matters because lasting progress often requires more than one change. A process improvement may reveal a need for new skills. Leadership development may help a team put those improvements into practice. And a business challenge may point toward an opportunity to evaluate automation or another advanced technology.

Our role is to help manufacturers understand where they are, determine where they want to go, and identify practical steps to move forward.

Training remains an important part of MRC’s work. What matters most is what happens next: employees put new skills into practice, teams strengthen their processes, and manufacturers build the capability to improve performance and respond to new challenges. That is how learning becomes lasting business improvement.

As manufacturing continues to evolve, MRC will continue helping companies build the capabilities they need, whether that means strengthening the fundamentals, preparing employees for new responsibilities, or exploring opportunities in advanced manufacturing.

Preparing for What’s Next Starts Today

The future of manufacturing will not look the same for every company. Each manufacturer has its own customers, workforce, capabilities, challenges, and goals. There is no single technology or formula that will meet every need.

What every company can do is take a thoughtful look at its business, involve the people who understand the work, and make informed decisions about where to improve.

At MRC, we believe that is how meaningful progress begins: with a clear understanding of the challenge, a commitment to people and continuous improvement, and the right solutions brought together at the right time.

Preparing for what’s next starts with what matters most to your business today. MRC works alongside manufacturers to identify opportunities, build capabilities, and put practical solutions into action.

Let’s talk about what’s next for your business.

Take the next step: Contact Diane Lewis, VP Manufacturing Solutions & Center Operations, at diane.lewis@mrcpa.org or (610) 554-5196 to start the conversation with MRC.

About the author

Rich Hobbs, President & CEO of MRC

Rich Hobbs

 

 

 

Rich Hobbs brings a wealth of experience as MRC’s President and CEO, with a proven track record of driving success in manufacturing and distribution. His career spans engineering, management, and senior leadership roles, with expertise in multi-plant operations across domestic and international markets.

At MRC, Rich provides visionary leadership, guiding the organization’s strategic direction and daily operations. As a passionate advocate for small and mid-sized manufacturers, he champions their growth through innovative consulting, education, and partnerships that empower them to compete and succeed.

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