LG Electronics (LG) is advancing its smart factory solutions business by integrating artificial intelligence (AI) and digital transformation (DX) with its 66-year history of manufacturing and production expertise.  

Earlier this year, LG entered the smart factory solutions market. The Production engineering Research Institute (PRI), which has been enhancing production and manufacturing competitiveness for LG Group affiliates, is now extending its expertise to external clients. Services include production consulting, development of equipment and operation systems, and training for technology personnel. 

PRI anticipates securing orders worth approximately 200 billion KRW (A$215,115,411) from external clients for its smart factory solutions.  

Major clients include secondary battery manufacturers, automotive parts manufacturers and logistics companies. LG plans to expand into industries such as semiconductors, pharmaceuticals, biotechnology and food and beverage. The goal is to develop the smart factory solutions business into a multi-trillion KRW (multi-billion AUD) enterprise by 2030.

LG’s competitive edge lies in core production technologies essential for smart factory configuration, with PRI filing over 1,000 patents related to smart factory solutions. LG will integrate its manufacturing data and expertise with AI and DX, leveraging production technologies.

These smart factory solutions encompass production system design, monitoring and operation through digital twin technology; big data and generative AI-based management of quality, industrial safety and equipment; and the provision of various industrial robots. 

Smart factory solutions focus on minimising delays or minute errors between processes. For example, at the LG refrigerator production line in Changwon, a refrigerator is produced every 13 seconds. A 10-minute delay in the production line would result in a production shortfall of 50 refrigerators.

The production system design and operation solutions leverage real-time simulations using digital twin technology. Before the factory is built, a virtual replica identical to the real factory is created, allowing clients to preview the production and logistics flow. During the operational phase, analysing real-time data helps detect bottlenecks, defects and malfunctions in the production line in advance.

The LG industrial robot solutions for factory automation offer significant advantages. The Autonomous Mobile Robot (AMR) is equipped with cameras, radar and LiDAR sensors to recognise its surroundings and supply parts and materials. The Mobile Manipulator (MM), which combines a multi-joint robotic arm with an AMR, can automate a range of tasks, capable of assembly, defect inspection and transporting parts and materials. Generative AI based on large language models (LLMs) allows for voice command control.

In addition, LG has developed a real-time detection system powered by Vision AI. This system learns the factory’s normal operating conditions and detects anomalies such as temperature fluctuations and defects. It also enhances factory safety management by identifying workers who are not properly wearing safety helmets or work vests.