"We will accelerate the digital and artificial intelligence (AI) transition of small and medium-sized manufacturing enterprises."
Minister Han Seong-suk of the Ministry of SMEs and Startups visited the apparel small business Idemode in Geumcheon-gu, Seoul, on the 14th, emphasizing the 'expansion of smart manufacturing in small manufacturing enterprises.' Currently, there are signs of digital transformation achievements in small and medium-sized enterprises, and introducing AI technology can elevate productivity to another level.
Minister Han is conducting a 'policy field tour for small and medium-sized enterprises' to reflect the voices from the field in the Ministry of SMEs and Startups' policies. This is the third event following the 'meeting on measures to eradicate technology theft in small and medium-sized enterprises' on the 1st and 'site visit to export companies' on the 6th.
On that day, Minister Han directly observed the Idemode production site, which improved its operating rate by 24.8% through the establishment of Internet of Things (IoT)-based knitting equipment monitoring and production history management systems. Idemode plans to further enhance productivity by introducing AI technology in future product planning, defect detection, and production planning.
The Ministry of SMEs and Startups has noted the success of the domestic apparel and fabric manufacturing industry, which has weakened in competitiveness due to low-cost competition from countries like China, in improving productivity and enhancing quality through digital transformation. A Ministry official said, 'It is a case that shows the future potential of traditional manufacturing industries like apparel through digital-based process innovation' and that it will be regarded as an important indicator in presenting the direction of future smart manufacturing expansion policies.
On that day, Minister Han listened to the opinions of stakeholders, including experts and companies that are introducing smart factories related to the upcoming 'smart manufacturing specialized enterprise designation system.'
The smart manufacturing specialized enterprise designation system is a newly established program designed to discover and designate supply companies capable of technically supporting the digital transition of small and medium-sized enterprises like smart factories, and to assist them in growing into globally competitive specialized companies. Designated specialized enterprises will receive customized support in stages, including research and development (R&D), policy funds, finance, and market distribution. The Ministry plans to strengthen the institutional foundation through the enactment of the 'Smart Manufacturing Industry Promotion Act.'
The corporations present at the site suggested measures including ▲ securing global competitiveness for manufacturing AI technology supply companies ▲ expanding data collection and application of AI technology in small manufacturing industries ▲ training AI professionals with manufacturing site experience ▲ supporting continuous operation and utilization of digital transformation facilities and systems introduced in small manufacturing sites ▲ and measures for preventing industrial accidents in small enterprises using AI.
In response, the Ministry noted that it will actively reflect the suggestions in future policies to specify the support for digital and AI transition and the nurturing of supply companies.
Minister Han emphasized, 'Through the visit to Idemode, I confirmed that digital transformation results are actually occurring in small manufacturing enterprises, regardless of the industry or company size, and that we can further increase productivity by introducing AI technology,' and 'For this transition to spread across small manufacturing industries, the role of specialized smart manufacturing supply companies that can best understand the field and execute the technology is crucial.'
Minister Han also stated, 'The Ministry is shifting its policy direction from the existing smart factory distribution-centered policy to focus on the systematic nurturing of smart manufacturing supply companies for small and medium-sized enterprises - extending to AI technology and creating a smart manufacturing industrial ecosystem.'