Moving from automated factories to smart factories under Industry 4.0: SBL Energy’s CTO

SBL Energy, a company with two decades of experience in the industrial and mining explosives manufacturing sector, is embracing advanced technological interventions. Recently, the Choudhari Group-promoted company has adopted a comprehensive framework to overhaul its operations by integrating artificial intelligence (AI), machine learning, drone technology, wearable technology, and more. In a conversation with TechCircle, Chief Technology Officer (CTO) Shubham Choudhari detailed the company's strategic move towards Industry 4.0. Edited excerpts:

What framework is in place for adoption of emerging and digital technologies at your organisation?

The manufacturing sector is moving towards Industry 4.0. Previously, the maximum technology used in manufacturing included automated production, IT systems, and robotics. However, with advancements in AI and machine learning, we now have Industry 4.0, which transforms automated factories into smart factories. This involves significant use of these emerging technologies in decision-making in three key manufacturing parameters: quality, cost, and productivity.

We have developed a technology adoption framework with an assigned timeline of eight months. We are already through with half of it, with about 60% of technology implementation already in place. There is an allocated budget of $2 million for this initiative. 

What are the technologies that you are already implementing?

We are currently implementing two key systems, one of which is the enterprise resource planning (ERP) system. We are implementing Odoo, an open-source ERP, specifically for the explosive segment. Odoo is highly advantageous due to its flexibility and the inclusion of various modules tailored to our needs, such as regulatory compliance, transport systems, government tracking systems, and more. Unlike more rigid ERPs like SAP and Microsoft, Odoo's open-source nature allows us to customise the ERP extensively for our manufacturing requirements. While the ERP centralises data, AI further enhances decision-making processes.

Secondly, with quality, we are aiming to outperform other explosive manufacturers by implementing AI-driven visual sensors. These sensors monitor batches visually during the manufacturing process. If a batch appears substandard or if there is a visual indication that raw materials are not being added correctly, the batch is automatically rejected. This AI integration ensures superior quality control. Additionally, with the supervisory control and data acquisition (SCADA) system in place, we can detect unsafe conditions such as temperature spikes or gas leaks. These systems, which can also incorporate visual monitoring, provide immediate alerts, thereby significantly enhancing safety and preventing accidents.

What are the areas of technology implementation that you would be focusing on next?

We're also exploring a new innovation called the Drone Inventory Monitoring System. This system uses drones to automatically monitor inventory levels and feed that data into the ERP. The ERP then utilises this data, along with lead times for various products, to send out requests for proposals to different vendors. Once the quotations are received, the ERP helps determine the optimal point to reorder inventory. While we are in the process of implementing this technology, it represents a significant advancement in inventory management.

Furthermore, wearable technology is becoming increasingly important for monitoring worker conditions. Devices like rings and watches can track if a worker is experiencing fatigue or is exposed to harmful substances. We are currently working on implementing these technologies, aiming to create a safer and more efficient working environment. These wearables are cost-effective and can perform various health checks, such as monitoring heart rate.

The combined use of ERP, drones, and wearable technology will significantly enhance our productivity, safety, and overall efficiency.

What are the challenges and areas of improvement when it comes to technology adoption in the sector you operate in?

The primary challenge we face is the cost factor. While almost everyone now has access to near-perfect technologies, the expense can be prohibitive. Sometimes, the quality control systems can be more expensive than the machines they monitor, which is rare but does happen. The technologies themselves are advanced enough for seamless implementation, but their maintenance needs to be flawless to ensure ongoing functionality.

In the mining sector, there is significant potential for technological improvements. For instance, electronic detonators can greatly enhance productivity and reduce vibrations and fly rocks, thereby optimising both productivity and safety. However, electronic detonators are still in the early stages of adoption in India, with many people still learning how to use them effectively. Moreover, mining software can optimise drilling and blasting patterns, leading to higher rock output with the same amounts of explosives and detonators. These software solutions, which can significantly improve rock output, are not yet widely used in India. There's a vast scope for improvement and learning in this area, and implementing these technologies could greatly benefit the mining industry.

Lastly, technologies that are vital for safety are often unimplemented due to non-mandatory status and high costs. Given the competitive nature of the sector, factory owners hesitate to invest in additional safety measures. Government incentives or subsidies for safety investments, especially in high-risk sectors like explosives and steel, would be beneficial. While existing safety standards and inspections are robust, additional financial support for advanced safety technologies would greatly enhance worker protection without burdening businesses.