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Real-World Examples of Generative AI in EMS

While generative AI is still evolving, some electronics manufacturers are already reaping the benefits. This blog covers some real-world examples of Generative AI in EMS., To get an introduction to Generative AI use cases in EMS read our previous blog here.

Examples of Generative AI in EMS

1. Synthetic Data for Flaw Detection

Chip manufacturers like Nvidia are utilizing generative AI to create massive datasets of images containing various types of defects on circuit boards. This synthetic data is then used to train AI-powered visual inspection systems, allowing them to identify real-world defects with higher accuracy and efficiency [Forbes article on generative AI in electronics manufacturing]. Read how Delta Electronics is using Digital Twins and Synthetic data to redefine production lines using Nvidia Omniverse.

2. AI-powered Design Optimization

Samsung is exploring generative AI for optimizing the design of printed circuit boards (PCBs). The AI analyzes existing PCB layouts and performance data to suggest improvements, such as minimizing component placement for shorter signal paths and better heat dissipation. This translates to more efficient and reliable electronics.

Autodesk is a leader in providing software solutions for design and manufacturing industries. Their generative design software, such as Autodesk Generative Design, is widely used in electronics manufacturing to optimize designs for various components like PCBs, antennas, and mechanical parts. By inputting design constraints and performance objectives, users can harness generative AI algorithms to explore a vast design space and generate innovative solutions.

Ansys offers simulation software that incorporates generative design capabilities to optimize designs and simulate performance across various industries, including electronics manufacturing. Their software allows engineers to explore design alternatives for electronic components and systems, considering factors such as thermal management, signal integrity, and electromagnetic interference.

Generative AI Design
Generative AI Design

3. Predictive Maintenance in Action

Bosch is piloting a generative AI program that analyzes sensor data from their factory machines. The AI can predict potential equipment failures well in advance, allowing for preventative maintenance and avoiding costly downtime. This ensures a smooth production flow and reduces maintenance costs.

4. Generative AI for Aftermarket Support

Several electronics companies are experimenting with generative AI to create personalized user manuals and troubleshooting guides. The AI analyzes customer data and product usage patterns to generate targeted instructions, improving the customer experience and reducing support calls.

These are just a few examples, and as generative AI matures, we can expect even more innovative applications to emerge across the electronics manufacturing landscape.

Generative AI for support
Generative AI for support
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Generative AI in Electronics Manufacturing

The electronics manufacturing industry is a powerhouse of innovation, constantly pushing the boundaries of miniaturization, performance, and efficiency. But in this ever-competitive landscape, manufacturers are seeking new ways to optimize processes, reduce costs, and accelerate product development. Enter generative AI, a revolutionary technology poised to transform the electronics manufacturing landscape. In this blog you will learn how Generative AI can be used in electronics manufacturing.

Generative AI, unlike traditional AI focused on analysis, excels at creating entirely new data or content. This unique ability unlocks a treasure trove of possibilities for electronics manufacturers.

PCB Assembly Facility

Revolutionizing Quality Control

Flawlessly inspecting intricate electronics components is a significant challenge. Generative AI can create vast amounts of synthetic data depicting various defects on PCBs (Printed Circuit Boards). This data can then be used to train deep learning algorithms for visual quality inspection (VQI) systems. These AI-powered systems can identify even the subtlest anomalies with superhuman accuracy, significantly improving product quality and reducing scrap rates. . Landing AI is a company that makes building Computer Vision applications using Generative AI very easy.

Predictive Maintenance for Maximum Uptime

Unplanned equipment downtime can cripple production schedules and eat into profits. Generative AI can analyze sensor data from machines to identify subtle patterns that signal potential failures. By predicting these issues before they occur, manufacturers can schedule proactive maintenance, minimizing downtime and maximizing equipment lifespan. Read about the 100 top predictive maintenance companies here. 

Generative AI Visual Inspection
Visual Inspection for Quality Control
Generative AI Preventive Maintenance
Preventive Maintenance

Optimizing the Power of Digital Twins

Digital twins, virtual replicas of physical systems, are becoming increasingly valuable for electronics manufacturers. Generative AI can take digital twins a step further. By creating realistic simulations of various production scenarios, manufacturers can identify bottlenecks, test new configurations, and optimize production processes without ever disrupting the actual assembly line.

Jensen Huang the CEO of Nvidia mentioned Digital Twins as one of the key use cases of AI in manufacturing in his keynote at GTC 2024. You can read about what Nvidia is doing to enable Digital Twins here.

Design Innovation at Warp Speed

The traditional product design process can be slow and iterative. Generative AI can act as a powerful design assistant. By analyzing existing product data and user preferences, generative AI can suggest entirely new design concepts or variations, accelerating innovation and helping manufacturers bring products to market faster.

Digital Twin
Digital Twin
Generative AI Design Innovation
Design Innovation

A New Era of Supply Chain Management

The complex and dynamic nature of electronics supply chains can lead to disruptions and shortages. Generative AI can analyze historical data and market trends to predict potential supply chain issues. This foresight allows manufacturers to proactively secure critical components and adjust production plans, ensuring a smooth flow of materials and a timely delivery of finished products.

The Generative AI Advantage

Beyond these specific use cases, generative AI offers several advantages for electronics manufacturers:

  • Increased Efficiency: Generative AI automates tasks, streamlines processes, and optimizes decision-making, leading to significant efficiency gains.
  • Reduced Costs: Improved quality control, predictive maintenance, and optimized production processes all contribute to substantial cost savings.
  • Enhanced Innovation: Generative AI accelerates product development and fosters a culture of innovation within manufacturing teams.
  • Improved Sustainability: By optimizing resource utilization and minimizing waste, generative AI can contribute to more sustainable manufacturing practices.
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Implementing Sustainable Manufacturing: A Blueprint for Environmental Responsibility

Actionable steps to implement sustainable manufacturing with real-world examples

Air Quality Monitoring

1. Conduct a Sustainability Assessment

Before diving into sustainable initiatives, it’s essential to assess your current practices and identify areas for improvement. Conduct a comprehensive sustainability assessment to evaluate resource usage, waste generation, energy consumption, and emissions. This will serve as a foundation for developing targeted strategies to minimize environmental impact.

Example: Toyota’s Environmental Challenge 2050 outlines six key challenges, including reducing CO2 emissions from manufacturing operations. By conducting thorough assessments and setting ambitious targets, Toyota aims to achieve zero emissions at its plants worldwide by 2050.

2. Optimize Resource Efficiency

Maximizing resource efficiency is a cornerstone of sustainable manufacturing. Identify opportunities to reduce material waste, water usage, and energy consumption throughout the production process. Implement lean manufacturing principles to streamline operations and eliminate unnecessary resource consumption.

Example: Interface’s “Mission Zero” initiative focuses on optimizing resource efficiency through innovative manufacturing processes. By redesigning products to minimize material waste and investing in energy-efficient technologies, Interface has reduced its environmental footprint while enhancing operational efficiency.

3. Embrace Renewable Energy

Transitioning to renewable energy sources is a crucial step towards sustainable manufacturing. Explore options such as solar, wind, and hydroelectric power to power your operations and reduce reliance on fossil fuels. Investing in renewable energy not only lowers carbon emissions but also ensures long-term energy security.

Example: Apple’s commitment to renewable energy is exemplified by its extensive use of solar power in manufacturing facilities. Through partnerships with renewable energy providers and onsite solar installations, Apple has achieved significant reductions in greenhouse gas emissions across its supply chain.

4. Implement Closed-Loop Systems

Closed-loop systems promote circular economy principles by reusing and recycling materials throughout the manufacturing process. Design products with recyclability in mind and establish take-back programs to reclaim and repurpose end-of-life products and materials.

Example: The circular economy model adopted by Philips Lighting emphasizes product lifecycle management and resource recovery. By collecting and refurbishing used lighting products, Philips extends product lifespan and reduces waste generation, contributing to a more sustainable manufacturing ecosystem.

5. Foster Collaboration and Transparency

Collaborate with suppliers, partners, and stakeholders to foster transparency and accountability throughout the supply chain. Establish clear sustainability standards and requirements for suppliers and work together to identify opportunities for improvement.

Example: Unilever’s Sustainable Living Plan prioritizes collaboration and transparency across its supply chain. By engaging with suppliers and implementing sustainability criteria in sourcing decisions, Unilever ensures alignment with environmental and social objectives while driving positive change throughout the value chain.

 

Podrain’s role in sustainable manufacturing

At Podrain we recycle waste and also provide recyclable packaging. We use energy efficient lighting and also save energy by shutting off equipment when not in use.

EV Charging Station

We have clients who build products that help the environment.

Ola electric – Builds sustainable electric vehicles

Intellicar – Provides solutions for the EV ecosystem and also for fuel saving

RevX Energy – Provides EV battery management for more efficient utilization

Clairco –   Provides Air Quality monitoring and energy saving products to. transform buildings into net-zero emission structures.

At Podrain we recycle waste and also provide recyclable packaging. We use energy efficient lighting and also save energy by shutting off equipment when not in use.

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Crafting a Greener Tomorrow: The Power of Sustainable Manufacturing

Introduction

In an era where environmental consciousness is no longer an option but a necessity, industries worldwide are pivoting towards sustainable practices. Among these, manufacturing stands as a crucial frontier for change. Sustainable manufacturing is not just a buzzword; it’s a commitment to reducing ecological footprints while maintaining economic viability. In this blog, we delve into the significance of sustainable manufacturing and explore some noteworthy examples that illustrate its transformative power.

Climate change Is at the forefront of news as we have more information and world has become more connected than ever before. Goods flow across borders and cultures are changing rapidly. People everywhere want more manufactured goods. Manufacturing has increased everywhere to meet the demand. But it is not always done with consideration to the environment.

Manufacturing industries decrease air quality by releasing hydrocarbons, carbon monoxide, organic compounds and other chemicals into the air.

Sustainable manufacturing considers the environment and the social welfare of the community it serves while still focusing on growth and profit.

Causes of Air Pollution
Clean Air Solutions

Understanding Sustainable Manufacturing

As per the Environmental Protection Agency (EPA) of the United States of America

“Sustainable manufacturing is the creation of manufactured products through economically-sound processes that minimize negative environmental impacts while conserving energy and natural resources.”

Humans are part of the environment and we need the environment to survive. As populations grow and life expectancies increase there needs to be a balance between the resources needed by humans and saving the environment. Sustainable manufacturing can play a big role in reducing pollution. They can do this by reducing waste, using manufacturing techniques that are eco-friendly and by using renewable energy. Burning of fossil fuels is one of the leading causes of air pollution. Using renewable energy to run factories will help a great deal in reducing air pollution.

 

Benefits to Businesses

1. Making eco-friendly products can help businesses attract customers who are concerned with the environment and also help save the environment. By using renewable energy. reducing waste and increasing productivity businesses can help play a key role in reducing pollution thereby helping the environment and keeping it safe for future generations. They can also recycle waste to further help the environment.

2. Reduce costs by investing in sustainable manufacturing techniques that can lower waste and reduce errors.

3. Use AI and digital twin technologies to create simulated models instead of using materials thereby further reducing costs and waste and speeding up product development. Refer to below article for some ideas on how this can be implemented.

4 ways AI will change design and manufacturing.

4. As new rules are enacted by Governments worldwide to reduce pollution companies can get a head start by focusing on sustainable marketing thereby getting Government approval faster and have a competitive advantage. This can help lower the cost of compliance.

5 techniques to implement sustainable manufacturing

Design products for sustainability

Products can be designed to be environmentally friendly as exemplified by the number of eco-friendly products on the market today. This can be done using recyclable raw materials that live another life and designing for durability.

Design for Disassembly

Design products that can be taken apart easily and be part of a reduce, reuse, recycle loop. This allows parts to be reused instead of ending up in a landfill. This process can reduce consumption of resources and pollution.

Reduce energy consumption of the product

Use components that are energy efficient in building products, build it to last longer so it doesn’t have to be replaced often thereby reducing the carbon footprint involved in building the product. Use raw materials that are bio degradable. Bio degradable materials don’t end up in landfills or in our rivers and oceans. Make your manufacturing facility energy efficient. Use packaging that is lightweight and recyclable.

Lightweighting

Make products with materials that weigh less thus decreasing the overall product weight. Use hollow components where possible for example. This technique is used in automotive and aerospace fields to build lighter cars, trucks and planes that are more energy efficient thereby reducing the carbon footprint.

Eliminate toxic materials

When designing the products eliminate toxic raw materials and use bio degradable or recyclable raw materials instead. This helps the environment by reducing pollution.

Sustainable Design Strategies

Agencies and resources

In the US it is the Environmental Protection Agency or EPA. In India it is the Ministry of Environment, Forest and Climate Change (MoEF) of India and in China it is the Ministry of Ecology and Environment.

EPA India (Aggregator of environmental information and organizations in India)

Conclusion

Sustainable manufacturing is not just a moral imperative; it’s a strategic imperative for businesses aiming for long-term success in a world grappling with environmental challenges. The examples highlighted above underscore the transformative potential of sustainable practices in diverse industries. By embracing sustainability as a guiding principle, manufacturers can pave the way towards a greener, more resilient future for generations to come.

 

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Eight Lessons from Phil Knight and Nike

In 1964, Phil Knight started selling imported high-quality, affordable athletic shoes out of his car. He earned $8,000 in his first year. In 2015, Nike earned $30.6 billion. And in April 2016, Phil Knight published his memoir, Shoe Dog, in which he wrote with humour and honesty about the trials and tribulations he – and Nike – faced over that half-century.

Shoe Dog Book Cover

Shoe Dog by Phil Knight is an excellent read for any entrepreneur

Shoe Dog is an extremely well-written memoir, an absorbing story full of interesting, eccentric characters and exciting twists. But it also contains plenty of lessons for the entrepreneur. If you are looking for inspiration, motivation and reassurance as you grow your business, I highly recommend you add Shoe Dog to your personal library. I have found it an excellent resource on my own entrepreneurial journey. 

Here are eight entrepreneurship lessons I got from Phil Knight’s story.

1. Sometimes, you just have to jump.

At its core, entrepreneurship is a leap of faith. Not all ideas will work out. Evaluate them objectively, discuss with experts, make a plan. But a day will come when you have to stop thinking and take that first step. As Nike’s tagline says, ‘Just do it.’

2. Every day brings its own crisis. 

Problems come up all the time – from competitors to new technology, from regulations to finance, from supply issues to weather conditions. The problems of maturing companies are different from those of start-ups. But there’s never a time when all the problems disappear. Accept this and face each challenge with courage.

3. Keep innovating. 

Bill Bowerman, an eminent running coach and part of Nike’s story from the time it was still Blue Ribbon Sports, figured out how to reduce the weight of a shoe by one ounce, saving 55 pounds over a mile. That philosophy of iterative improvement has driven Nike ever since. As the pace of technology development gets ever more feverish, embedding the innovative mindset in the DNA of the company is essential to stand out from the competition.

4. Trust is the key.

Five interrelated factors cause a company to lose its way: lack of trust; fear of conflict; lack of commitment; avoidance of accountability; and inattention to results. Entrepreneurship is full of uncertainty. A team that believes in the vision and faces these challenges unitedly is vital to come out of the tough situations. It isn’t that everyone in the company agrees about everything; rather, it is that everyone knows that they all want the company to succeed and views their disagreements in that light. When a company is young and fragile, trust is the glue that holds it together.

5. Failures will happen. Be honest when they do

Knight gives multiple instances of product recalls due to quality issues, mistakes that he made and decisions that, with the benefit of hindsight, could have been better. Nike treated their customers with respect by acknowledging errors, both internally and in public. Nobody is perfect, but when the internal culture of trust is matched by honesty to customers, the circle of trust can buoy a company through some very tough times.

6. Stay humble

One interesting fact is that it was Employee No. 1, Jeff Johnson, who came up with the name ‘Nike’. Throughout the book, Knight praises Johnson, Bowerman, legal counsel Rob Strasser, first COO Bob Woodell and many others, including his wife. Knight rarely mentions his own contributions once the company is more than just a car boot shoe sale. But he was the CEO – how likely is it that he didn’t contribute anything? It’s not an accident that Knight plays down his own role. He knows that success, like sports, is a team effort – and he never forgets to show appreciation for his teammates.

7. Find an outlet for the stress.

Entrepreneurship is demanding. Because the problems never stop coming, you will be tempted to never stop working. But you can’t look after your business if you aren’t around or aren’t in good health. An activity unrelated to work is an excellent way to get a clear, fresh perspective on seemingly insoluble issues. Phil Knight loved running, and running was his outlet. By finding a relief valve and paying attention to your own physical and mental health, you can be energized to keep going, no matter what.

8. Never stop.

For almost the first decade of Nike’s existence, Knight had to work other jobs to support himself. Suppliers ignored or shot down the company’s product ideas. Its first attempt to raise capital was a monumental failure. Advertising flyers got no response. But the team didn’t give up. As an entrepreneur, it’s easy to get disheartened. But if there’s one lesson from Shoe Dog that every entrepreneur should hold on to, it’s this: never stop.

Let everyone else call your idea crazy…just keep going. Don’t stop. Don’t even think about stopping until you get there, and don’t give much thought to where “there” is. Whatever comes, just don’t stop.

-Phil Knight, ‘Shoe Dog’

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Better Waste Management

Modern manufacturing practices pay close attention to their environmental impact. Failure to do so has legal and regulatory implications as well as marketing ones: suppliers’ ‘green’ credentials are frequently a criterion for selection.

The electronics industry – and the PCB industry in particular – uses many metals and processes that create large quantities of ecologically harmful waste. Some metals are dangerous if not disposed of properly, and many that can be reused are often squandered in landfills due to poor waste management practices.

Better Waste Management Practices are the need of the hour

Waste in the PCB industry

A number of materials go into the assembly of a PCB. Most PCBs use resin epoxy, phenolic resin, fibreglass and copper foil. Depending on the complexity of the circuitry in the design, metals including copper, aluminium and iron, and several alloys, may be used. At the end of its life, a PCB that is discarded means those metals and alloys go to waste.

On average, a PCB contains approximately 70% non-metallic and 30% metallic material: organic materials, chemical residuals, heavy metals and high-grade precious metals including palladium, silver, gold and copper. It is estimated that up to 7% of the world’s gold supply may be found in e-waste.

But it is not just the product itself that contains potentially wasted value. A great deal of waste is generated during the manufacturing process itself. For example, during production a PCB must be rinsed several times, leading to water contamination by chemicals and metals, and the release of some acidic emissions into the air.

In February 2003, the European Union issued the Restriction of Hazardous Substances Directive, or RoHS. This directive states that PCB manufacturers wishing to operate in or sell to EU entities may not use six hazardous substances in any stage of their production process – lead, mercury, cadmium, hexavalent chromium, and the fire retardants polybrominated biphenyls and polybrominated diphenyl ether. As the EU is a large and influential market, over the years, PCB production around the globe has begun to comply with the RoHS regardless of where the customer is.

Also in 2003, the first WEEE (Waste Electrical and Electronic Equipment) Directive was introduced, regulating the recycling of electronic waste. Under WEEE, companies that manufacture, distribute or sell electrical and electronic equipment have an obligation to treat it responsibly.

The WEEE became more stringent in 2008 and the RoHS in 2011, increasing the amount of e-waste that is required to be treated and reducing the amount that can be disposed of.

How can waste be reduced?

There are several methods by which PCB manufacturers can address the challenge of managing their waste and minimizing their environmental impact.

Product substitution.

Several alternatives may be substituted for harmful items, especially for supplementary processes like packaging, where sustainable materials are available, which can make an immediate impact on the quantum and composition of waste, and which are relatively easily to obtain and adopt.

Replacement of hazardous materials.

 In advanced manufacturing, new techniques, tools and materials are being introduced all the time. For example, when cleaning and preparing PCB surfaces, changes to the materials used, the safety precautions taken and the processes themselves can yield significant results. By using abrasive cleaning and non-chelated materials, manufacturers can reduce the amount of hazardous waste produced. A cascade cleaning system cuts down on the generation of nitric acid as a waste product. It should be noted that cascade systems are not new – for several decades, they have been used to clean machine parts in the heavy electrical industry. Customizing cascade systems for PCB manufacturing is a logical next step.

Material reuse or recycling. 

Some of the materials used in the production of a PCB can be put back into the production process. Copper from the edge, tin and lead-tin from the solder dross are examples of this. By reusing parts, the process also uses less water. Copper oxide can be used to reduce the reliance on copper hydroxide, which is harmful to the human respiratory system.

Material recovery and segregation.

 By joining in or setting up a well-thought-out recycling process, manufacturers can turn waste back into raw material, or supplement their earnings by selling their recovered materials to other industries. Alloys and metals are valuable and can be reused several times, reducing the amount of waste generated and the PCB manufacturer’s dependence on being able to source new materials on time and at the right price.

Traditional PCB recycling involves dismantling the boards, crushing them and physically separating them using magnetic or high-voltage electrostatic methods. This approach is relatively cheap and enables the recovery of metallic components, though it does not solve the problem of segregating heavy metal elements from high-grade precious metals.

Thermal or chemical recycling can obtain purified metals, is much more efficient and has the potential for a much greater economic return. However, the high processing temperatures or high-pressure requirements can cause hazardous fumes, thus creating a new problem while resolving the existing one.

Podrain has tied up with a reliable, pollution control board certified partner for waste disposal. We also return materials and components (unused or even partially working) to our customers so that they can be reused at their end.

We value sustainability and even if we move to an inventory led model we will hope to find solutions that will continue to keep our manufacturing sustainable. 

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Factory Layout – What are the Options

In my previous post we covered what to consider for factory location. Having selected a location in which to set up a factory, the next question is how to lay it out.

Factory layout refers to the arrangement of physical facilities so as to have the quickest flow at the lowest cost and with the least amount of handling in processing from the receipt of material to the dispatch of the finished product. The aim is to allocate and arrange space and equipment to minimise operating costs.

As with location selection, factory layout is a long-term commitment. To optimise the relationship between output, floor area and manufacturing process, an efficient layout must achieve multiple objectives simultaneously:

  1. The proper and efficient use of the available floor space
  2. Work should proceed from one point to the next without delay
  3. Adequate production capacity and flexibility, including potential to expand, at least in the short- to medium term
  4. Lower material handling costs
  5. Employee health, safety, accident and injury prevention
  6. Efficient labour and equipment utilization and productivity
  7. Maintaining quality standards, managing waste and storing inventory
  8. Ease of supervision, and control
  9. Plant and equipment maintenance
  10. Complying with local regulations

Factory Layout Options

There is no one-size-fits-all option. Each factory, location and industry is unique, though the basic principles remain the same. 

For small and medium manufacturing units, there are three main layout options, for which the main pros and cons are laid out below:

Product (Line) Layout

Equipment is arranged in a single line determined by the sequence of operations in this layout. Advantages are that it is low cost, operations are smooth and have continuity. The production control process is also simpler. However, the layout lacks flexibility. One process breakdown can bring the whole factory to a halt. 

This layout is best suited for mass production where the process is repetitive, demand is stable and material availability is reliable. 

Podrain expects to use this design for our larger ‘volume production’ factory. 

Process Layout

Sub-process equipment and staff are grouped together in this layout. This is flexible and adapts fast to changes in volume and product variety. It’s also possible to ensure specialised supervision where needed and ensure high utilisation. However, more skilled labour is needed and production controls need to be strong to avoid time lags and inventory accumulation. 

This layout is best suited for non-standard product lines, smaller quantities and where frequent changes to design may be needed. Podrain currently uses this layout in its prototype and small batch manufacturing facility. 

Combined Layout

This blends the product layout and process layout where some steps of production are laid out by product line and others have sub process equipment and staff grouped together. this is a very complicated layout to design. When done right, it can offer efficiency and better production controls. However even a small error can lead to being stuck with bottlenecks in the production process. It’s typically used in very large manufacturing organisations for FMCG items. 

Single-Storey vs. Multi-Storey Factory

Land is scarce, and suitable land is scarcer still. So, having selected a location and figured out the plant layout, one is left with the decision of a single-storey versus a multi-storey building.

Single-Storey Building -Advantages:

  • Greater floor loads, no structural strength needed to support upper storeys
  • Lower noise transmission and building vibration
  • Ease and lower costs of building and expansion
  • Natural light and ventilation
  • Higher floor area usable for processing – no stairwells, lifts, shafts, etc.
  • Concentration of service facilities centrally yields lower operating costs
  • More efficient layout and material handling, product routing
  • Lower cost of supervision

Multi-Storey Building – Advantages: 

  • More efficient utilization of land area, and smaller land area requirements
  • Temperature management costs are significantly lower
  • Greater structural strength, higher construction quality, fireproof and longer-lasting
  • Upper storeys dust-free, especially for precision manufacturing operations
  • Downward chutes are cost-effective for material movement
  • Compact, more efficient layouts – though there is a limit to the benefit of this

Whether single- or multi-storey factories are more economical to build and operate per square foot of usable floor space is hard to determine. Local and regional considerations regarding regulations and land prices may play a significant role and costs may vary over the course of time. For example, our Bangalore factory is a multi-storey facility. While production control is a little more difficult, land availability at a central location in the city is a key factor in our choice. 

In conclusion, siting, designing and building a plant that’s conducive to business success is all about balancing the trade-offs between costs, time, complexity and benefits in pursuit of the goals of the company.

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Factory Location: How to make a choice

India

India

Entrepreneurship is all about making decisions and one of the key decisions every manufacturing entrepreneur faces is the best location and layout for the plant or factory. Should it be in a city, semi-urban or industrial area? Is proximity to an employee pool, educational centres and public transport important? What about public utilities? Taxation and incentives?  Which amenities are likely to be most vital to success?

We’ve been thinking about this at Podrain and went back to basics on it.

Plant location is a strategic decision that  is nearly impossible to change without incurring considerable losses. The ideal location is one that minimizes the cost of production, supports a large market share, maximises social benefit and eliminates risk. Locational analysis that takes into account demographics, trade area (availability of and access to customers), competitive, economic and traffic analyses and can help determine the right location.

A location in which some costs are higher may still be the best choice if it maximises net advantage, i.e., its overall unit cost of production is lowest.

Here are some things we are considering when selecting a suitable location for a factory:

  1. Natural or climactic conditions
  2. Cost of land or land lease
  3. Availability and access to raw material
  4. Transport costs – inward, to bring in raw material, and outward, to sell or distribute finished products
  5. Availability and access to market
  6. Availability and access to infrastructure – developed industrial sheds, link roads, transport hubs, public utilities, civic amenities, means of communication
  7. Availability and access to both skilled and unskilled labour, as required, and local labour rates
  8. Availability and access to banking and financial institutions
  9. Safety and security of the plant, its workers and its assets
  10. Government and regulatory environment – positive and negative incentives, including cheaper utilities, tax relief, liberal local labour laws, pollution control and waste disposal regulations, among others
  11. Personal reasons, such as being close to family, familiarity with a particular place, or a network of known associates whom we can call upon for financial, operational and emotional support. This isn’t intuitive to admit but it’s really important to have a good support system.

Not all these considerations carry equal weight. For example, government incentives cannot compensate for poor public infrastructure. Running costs at a plant can contribute significantly to the overall cost of manufacturing, and poor location selection can cause a business to fail as its growth and efficiency are constrained.

MSMEs like us often do not have the financial or operational capacity to compensate for the shortcomings of public infrastructure , so our ability to adjust to an unsupportive environment is extremely low, particularly in the early stages of the manufacturing journey.

Is there something else we should include? What is your experience. Do write to us or add your comments to let us know.

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Quality testing for prototypes

In PCB manufacturing, repeatability and consistent quality are critical – whether for large-scale production, small batches or prototypes.

Skilled and experienced technicians can and do create excellent work, but relying on individuals to establish, deliver and sustain top-quality results is risky. Programming Automatic Inspection Machines and processes is expensive, time-consuming and not always practicable, especially when prototyping.

Testing

Testing

Prototype QC needs to ensure that the design will work; that it is safe, and meets certain standards of quality and reliability; that it performs to expectations; and that it addresses its purpose.

Small batch PCBs have some rather unique attributes:

  • High Mix, Low Volume (HMLV). It’s likely that the PCB manufacturer builds several board designs in this environment to ensure efficient use of their production infrastructure.
  • Higher performance, reliability and quality requirements. Small batch and prototype PCBs are often intended for critical applications where more stringent IPC standards apply, like aerospace, automotive safety or medical devices. Quality and reliability expectations can be significantly higher for these critical system applications.
  • Complex designs. Prototypes are created to solve specialized and often complicated challenges, which means their designs are complex, requiring atypical manufacturing processes

How to ensure the best quality standards for prototypes and small batches

  • In-circuit testing (ICT). Provides a reliable, high-fault coverage verification method for the majority of PCB assembly electronic components that’s free of human error. It’s great for big assemblies or ball grid arrays and after assembly.
  • Short circuit testing. The main cause of PCB prototype defects is a short circuit between its larger components. For example, a fastener between two proximate pins can damage the microcontroller by triggering a short. It is vital to gauge the impedance each voltage node to the ground. Faulty components or incorrect soldering can cause components to overheat.
  • Flying probe test. A practical, cost-effective technique for prototypes and small batches that tests PCB probes from one spot to another, looking for singular issues in the circuit – shorts, capacitance, resistance, inductance, opens and problems with diodes.
  • x-ray inspection. As the prototype is being manufactured, an x-ray technician runs tests to locate defects, looking for elements that may be hard to discern with the naked eye – for example, joined connections, internal traces or barrels.
  • Functional testing. The #1 criterion for a prototype’s success is, “Does it work?” Performing a functional test requires the parameters for ‘success’ to be clearly defined. Functional testing takes a long time, because it simulates the real-life environment in which the prototype is expected to work. But in terms of long-term value, it’s worth doing. A great deal of money and time can be saved by identifying potential operational pitfalls and eliminating them at the design stage.
  • Burn-in testing. Intended to identify failures early and initiate load capacity. Burn-in testing helps identify potential dangers relating to power being pushed through the electronic components for extended periods of time. One must keep in mind that individual prototypes may be partially or even completely damaged by a rigorous burn-in test, and the test’s utility to prototype QC should be decided based on the destination application of the PCB.
  • Automated optical inspection testing (AOI). Camera-based visual inspection to identify issues that may emerge on the board during the preliminary phase of assembly. It’s wisest not to rely entirely on AOI, but to complement it with an ICT or flying probe for more accurate QC results.
  • Inverted polarity testing. The more manual assembly, the higher the risk of human error. The simple act of ensuring that each individual component is set up based on its polarity can prevent the complex and delicate components of your prototype being badly damaged. Protection diodes can protect PCBs but add to their power consumed.
  • Populated components testing. A simple BOM cross-check to ensure that the components selected fit the board design can save investigative time and effort later in the process.

Several other QC approaches, including tests for PCB contamination, solderability and peeling; micro-sectioning analysis; and time-domain reflectometers, can identify faults or be used in combination with those discussed above, like ICTs and flying probes.

Choose the right QC test(s) for your prototype

It begins with clearly defining the purpose and desired performance levels of the PCB; weighing the pros and cons of the available tests – which include costs, time required, destructive vs. non-destructive; and always keeping in mind, especially when prototyping, that the design-test loop can flex and adapt as the product design is iteratively perfected.

It’s always a good idea to partner with a manufacturer who is committed to the best quality; has documented and traceable processes; has the necessary quality and classification standard certifications; is experienced at HMLV manufacturing; and leverages technology to ensure high-quality, repeatable results.

Podrain collaborates closely with its clients when prototyping and producing small batches, and meets the highest quality and classification standards. We advise clients on the right mix of testing to ensure that their prototype PCBs meet the final test of quality – sustained, reliable, top-level performance in the field.

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The Goal – A book that I highly recommend

Cover of the Goal by Eliyahu Goldratt

The Goal by Eliyahu M Goldratt is among the most important management books of the 20th century. It has significantly influenced my journey as a professional engineer, employee and entrepreneur.

My first manager gave me the book when I started my career twenty-odd years ago. I am grateful for many gifts of learning from him, not least of which is that he placed this book in my hand. It made a huge impression on me, as did his act of trusting a green 24-year-old with so much responsibility and giving me a great tool to learn how to deliver.

The book is written as a novel, quite different from the majority of management books. Most of the action takes place in a manufacturing plant. The protagonist, plant manager Alex Rogo, is facing two crises: his supervisor has given him a 3-month ultimatum to turn around the plant’s fortunes, and his wife has left him. One day, Alex meets his old professor at an airport and begins a series of conversations that help him identify his true goals and navigate towards them. By using this novel-like structure, Goldratt is able to lay out several valuable ideas without preaching.

As an engineer on the factory floor, I could easily relate to the lessons of The Goal. The concept that stayed with me the most was what Goldratt calls bottlenecks. The common-sense principle is that the weakest part of the system constrains the efficiency of the whole system. But there are lessons everywhere in The Goal, and as I gained more work experience, I began to appreciate them even more. When the entrepreneurial bug bit in 2014, seeing the principles of The Goal in action influenced how I approached the setup and operation of the business.

Here are a few things I learnt from The Goal:

Know the ‘true’ goal

If we don’t have clarity on what we are trying to achieve, we may waste a lot of effort without making progress.

Identify the bottlenecks

Everything is interconnected, and the weakest part holds the stronger parts back. So, understanding how things are connected, finding and focusing on the constraints is vital to getting better results.

System is more important than its parts

Designing a system or process that is more efficient is key – even if it means that a few individual steps or parts are less efficient. In other words, when we think of optimization, we should think big, because local optimizations may interfere with each other.

Knowledge and help are everywhere if we just look

Alex Rogo is trying to do everything himself and failing miserably. Over time, he realises that he and his team – all people with years of experience – can do more collectively than any of them were able to do on their own. Even his wife, who knows nothing about his work, contributes to solving some of his most pressing challenges because she has a fresh perspective
 

A fresh environment can give birth to new ideas

The problems at the factory are overwhelming, and the questions posed by Alex’s professor seem unanswerable until Alex takes his son’s hiking club on an outing. He is then able to relate the problem of how to keep the kids together and reach their campsite on time to the issues he is facing at the plant.

Asking people can be better than telling people

Alex’s professor never tells or advises. Instead, he asks Alex and his team questions that force them to think and work things out for themselves. Because of this, they develop the habit of considering things carefully, collaborating, finding their own solutions, and figuring out the right questions to ask.

      The Goal was first published in 1984. Many great, transformational ideas about management, operations, systems and other concepts have come about in the four decades since then, but the fundamental lessons of the book remain relevant even now. They apply to any industry, even those that did not really exist in their current form in 1984, such as software and services. As the book demonstrates, the ‘bottleneck’ framework can even be used to deal with the challenges in our daily lives.

Over two decades after I first read it, The Goal is still very meaningful to me and I often gift it to others (most recently, our Head of Operations). I highly recommend The Goal to entrepreneurs, employees and anyone who is looking for a rational approach.

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