– 430 billion won in state funding this year… A total of 935 billion won invested to build 281 new smart factories
– Supporting AX in manufacturing sites through the expansion of smart factories based on manufacturing AI and digital twins
– Strengthening phased smart factory implementation and consulting and financial support by company level
Gyeongnam Province is leading the AI transformation (AX) of small and medium-sized manufacturing companies in the province by expanding the phased deployment of smart factories incorporating artificial intelligence (AI).
The province plans to invest a total of 935 billion won (including 430 billion won in state funding) this year to establish 281 additional smart factories for small and medium-sized manufacturing companies within the province. Through this, the province intends to expand the introduction of artificial intelligence (AI) into manufacturing sites and support the establishment of smart factories in stages tailored to the level of each company.
□ Expansion of AI application in manufacturing sites due to the widespread adoption of manufacturing AI-based smart factories
Gyeongnam Province is focusing on promoting AI-based smart factory construction projects, including manufacturing AI-specialized smart factories, AI and digital twin-based autonomous smart factories, and AI-based industrial safety smart factories, to expand the adoption of AI centered on manufacturing sites.
The Smart Factory Project Specializing in Manufacturing AI aims to improve productivity and quality by supporting the introduction of AI technologies specialized for manufacturing processes, such as process optimization and predictive maintenance. Furthermore, it plans to expand the foundation for autonomous manufacturing by establishing real-time production information analysis and automated production management systems through the construction of AI and digital twin-based autonomous smart factories.
In addition, we plan to newly promote the establishment of AI-based industrial safety smart factories to build a smart safety management system that detects risk factors in manufacturing sites in real-time and actively, and preemptively prevents industrial accidents.
□ Laying the foundation for AI smart factories through phased support tailored to company levels
Gyeongnam Province diagnoses the current level of smart factories at manufacturing sites and supports the establishment of smart factories in stages* tailored to the level of each company, so that manufacturing companies can easily adopt AI.
* Basic (Digitalization) → Intermediate (Process Automation) → Advanced (Introduction of AI and Robots)
First, for companies in the early stages of adopting smart factories, support will be provided for the digitalization of manufacturing processes and the establishment of a data-driven production environment through the construction of Gyeongnam-type basic smart factories. Additionally, for companies currently operating smart factories, plans are in place to support manufacturing process automation and system interoperability through programs such as the Government General Smart Factory, Ministry Collaboration Smart Factory, and Large-Small Collaboration Smart Factory.
In particular, a new 'Fast Track Smart Factory' project will be launched in cooperation with the Korea Electronics Technology Institute (KETI). The plan is to rapidly advance smart factories by integrating AI and robots through Jump-up support, which improves the smart factory level of companies that have not yet adopted it or are in the basic stage by at least two levels.
□ Strengthening the full-cycle support system, including consulting and financial support
Gyeongnam Province plans to strengthen its full-cycle support system, including consulting, financial support, and performance management, to ensure that results are sustained even after the establishment of smart factories.
The Gyeongnam Smart Support Team is established to provide smart factory consulting to companies wishing to adopt smart factories, and supports the diagnosis of corporate capabilities and the establishment of customized implementation strategies.
This year, Gyeongsangnam-do has newly established 'Smart AI Innovation AX Transition Support' as a type of support for SME development funds, providing 300 billion won in policy funds to companies adopting AI and those building smart factories.
The plan is to expand manufacturing innovation achievements by conducting analyses of operational status and performance for companies that have established smart factories, managing policy effectiveness, and disseminating best practices.
□ Continuously generating achievements in AI manufacturing innovation through the steady expansion of smart factory adoption
Gyeongnam Province has been promoting the smart factory dissemination and expansion project since 2018, supporting the establishment of smart factories for 3,014 companies in the province, and the adoption rate of smart factories among manufacturing companies in the province has reached approximately 40%.
In addition, an analysis of the performance of companies that have implemented smart factories revealed significant improvements in manufacturing competitiveness, including a 26.4% increase in productivity, a 25.2% improvement in quality, a 23.2% reduction in costs, and a 28.7% increase in sales.
Lee Mi-hwa, Director General of the Industry Bureau of Gyeongnam Province, stated, “The smart factory deployment and expansion project is a core initiative for the ultimate transition to physical AI-based autonomous manufacturing,” adding, “We will do our utmost to continuously expand the establishment of AI-based smart factories and position Gyeongnam as a leading region for Manufacturing AX in Korea.”
Detailed information regarding the project announcement and application methods can be found on the Smart Factory Portal. For inquiries regarding the project, please contact the Manufacturing Innovation Team at the AI Innovation Headquarters of Gyeongnam Technopark (055-259-5016~5018).