NITI Aayog with ABB accelerates AI adoption by MSMEs

'Manufacturing in the age of AI' - a workshop organized by NITI Aayog and ABB India, has brought together entrepreneurs, policymakers, state government functionaries and technology experts. It was the culmination of a partnership between the two organizations to work together, make key sectors of Indian economy ready for a digitalized future, and realize the potential of AI, big data and digital connectivity. Last year, NITI Aayog and ABB signed a Statement of Intent (SoI) to support the Indian government to realize its ambitious vision of “Make in India” through advanced manufacturing technologies that incorporate the latest developments in robotics and artificial intelligence.

The workshop, held at the ABB Ability Innovation Center (AIC) in Bengaluru featured MSME entreprenuers from the selected sectors of pharmaceuticals, textiles, electrical and electronics, food processing and manufacturing. While technology was a common thread running through the entire workshop, working groups focused on issues faced by the MSMEs, sorted into three key areas -

Addressing sector specific issues - regulatory, financial and policy concerns relating to adoption of automation by the MSMEs.

Exploring innovative business and economic models (plug and play, cluster approach, shared manufacturing approach) to accelerate technology adoption by MSMEs, while optimizing costs

Addressing potential impacts of automation and AI on the workforce and steps that could be taken to educate, train and reskill the workforce.

Anna Roy, Senior Adviser, NITI Aayog, says, “At NITI Aayog we are no longer working on one-way policy plans, we have wide and deep interactions with those for whom the policies are intended to focus on. At ABB Ability Innovation Center we have brought all stakeholders of MSME value chain to identify the roadblocks they face in growth, be it in business models, financing or skilled labour, and together find ways in which we can address the same using tools ranging from policy to technology."

Sanjeev Sharma, Managing Director, ABB India, comments, “India can leapfrog and show the way when it comes to innovative AI applications. Working with MSMEs and the eco-system is critical for the industrial and manufacturing adoption of such technologies. With its established history of working with them for several decades and driving the change with new digital solutions, ABB would be the perfect catalyst. Just as we have embraced AI in different formats for our regular lives from maps to voice search and its integration with other applications, we believe with the right enablement and innovative business models."

Manufacturing industries across the world are in the process of incorporating artificial intelligence to reap productivity gains from automation in areas such as labour flexibility, better finishing, more reliable demands forecasting, agile supply chain and inventory optimization. The participating entrepreneurs for the workshop put in some practical suggestions coupled with insights on the levels of impact.

Automation is also set to create new job streams all together, as well as exponentially increase the demand for medium to high skilled labour. India’s AI for All is chosen as an inclusive program for technology deployment, which creates a niche through innovative applications. India has been ranked among the top 3 countries globally after USA and China for workforce with AI skills and companies most looking forward to deploying AI technologies in the near term.