Facing high costs, small runs and remote markets, ANZ manufacturers are using adaptive automation – accessible robotics, sensors and software – to work smarter and compete globally despite the odds.
High costs, small batch sizes and remote markets challenge ANZ manufacturers – but with adaptable robotics, intelligent software and sensor-driven systems, local makers are finding new ways to compete on a global stage. Other Australian manufacturers that have perhaps been less proactive, “must think differently” according to founder of Applied Robotics, Dr Paul Wong.
“Factories in Europe or Asia might dedicate entire facilities to a single product, but we require agile systems that accommodate greater variety with shorter runs – and still remain profitable,” he said.
This kind of flexibility enabled by these systems wasn’t always possible. For decades, automation meant rigid systems designed for mass production – efficient only at scale, and far from ideal for Australia’s high-mix, low-volume manufacturing needs.
But that’s changing according to Wong. Starting in the 1990s, the convergence of cost-effective computing, advanced sensors and precise servo-drives laid the groundwork for a more dynamic future. Today, Australian factories are embracing a new generation of technologies that make responsiveness, precision and customisation part of their competitive edge.
Leaving fixed systems behind
The traditional model of automation, built for sameness and scale, created friction for Australian manufacturers. With more variants, shorter runs, higher labour costs and changing customer demands, many operations struggled to keep up. The arrival of adaptive automation – with systems that can reconfigure themselves through software updates – is transforming that equation.
“It’s not about replacing people,” Wong emphasised. “It’s about rethinking manufacturing to gain flexibility as a strategic advantage.”
He believes the result will be more cost-effective smaller runs, faster product changeovers and customisation achievable without prohibitive cost.
In forward-thinking local factories, four technologies are reshaping production floors.
1. Intelligent robots for flexible handling
Modern robots are no longer confined to a single task. Today’s shopfloors use articulated robots with multi-jointed arms handling loads from 1kg to over a tonne; SCARA robots making up to 60 precise movements per minute; overhead DELTA robots performing up to 120 high-speed picks per minute; and COBOTs designed to work safely alongside humans.
“The cost and complexity of robots has dropped dramatically,” Wong explained. “Globally, there were 4.3 million industrial robots installed by 2023 – a jump from 1.3 million a decade ago. China leads with over 250,000 units, while Australia has just 8,000, which shows just how much room we have to grow.”
2. Smart motion: coordination over rigidity
Flexible production depends not just on robots, but on how components move between tasks. Innovations include programmable carriers replacing conveyors, smart grippers that handle anything from biscuits to steel, servo systems for delicate force control, and AMRs that move materials independently, adjusting routes as needed.
Wong likens this to “a dance of coordinated movement”, where flow replaces fixed infrastructure.
3. Advanced 3D sensing for precision
Today’s systems can see, feel and respond to product variability. Examples of this include 3D vision systems that recognise objects regardless of orientation; force/torque sensors that allow fine adjustments mid-process; and virtual safety systems that enable safe collaboration between people and machines.
Capral Aluminium’s advanced packing line demonstrates this well. Using 3D cameras, it can identify and sort more than 6,000 unique aluminium profiles – even reflective ones – adjusting packing in real-time.
4. Smarter software for smarter decisions
Cloud-based platforms and AI software now tie operations together with AI-driven decision-making without hand-coded logic; digital twins to model and test processes virtually; and auto-programming tools that convert CAD files into robotic movements instantly.
“In 2018, we launched Australia’s first AI-based factory automation for Capral,” Wong recalled. “The system identified and handled each extrusion profile in real-time – something impossible with legacy automation.”
Arnott’s has used similar tech to create a biscuit handling line that sorts up to 105 biscuits per second.
From concept to payoff
The impact of adaptive automation is tangible, enabling local companies to stay viable, and in some cases, to bring manufacturing home.
“When products can’t be produced competitively, they’re outsourced,” Wong said. “But adaptive automation enables local production that competes on responsiveness and quality, not just cost.”
This has been the case for numerous customers of Applied Robotics. When Legrand Australia needed to compete with imported light switches, Applied Robotics delivered an automated system that produced everything from single to six-gang configurations with minimal downtime – doubling output and reducing labour.
Capral’s investment cut freight by 50 per cent and improved distribution times, all the while processing thousands of ever-changing profiles. Also, a local audio manufacturer, first-pass success improved to 95 per cent, and the operator count dropped from three to one.
Making it work: three lessons from 700+ projects
Having led hundreds of automation rollouts, Wong is clear with his messaging that technology isn’t usually the problem. He said up to 80 per cent of failed projects fall short not because of tech, but because of poor planning or execution.
“The planning stage is where most of your success is locked in,” Wong noted. “The best tech or PM in the world can’t fix a weak business case.”
To avoid that, Applied Robotics follows three core principles:
1. Think about end-to end-operations– don’t optimise one machine at the expense of overall flow
2. Be detail-obsessed – minor oversights can cost dearly. Edge cases, integration points and tight specs all matter – and should be tested thoroughly before launch.
3. Have a project champion – success needs a dedicated lead who can straddle business needs and technical detail – driving the project forward when things get tough.
Turning disadvantages into strengths
Australian manufacturers face challenges, but adaptive technologies are flipping the script. From automated biscuit handling to scalable electronics production, the future is being built – one flexible robot at a time.
“Since 1985, our goal has been to make Australian manufacturing globally competitive,” said Wong. “With these tools, our size and variability become assets, not liabilities.”
