Impact Stories

Industrial robot factory, automation rate from 23% to 54%

A phased roadmap designed to combine process and logistics automation with smart factory informatization (DX)

• To meet growing market demand and mid- to long-term business expansion, production capacity had to be increased within regular working hours
• With factory automation at about 23%, additional labor hours keep accruing as output grows
• Due to limited warehouse space, about 40% of factory floor area is used to store materials and semi-finished goods
• Supplier materials and modules and controller-related issues account for about 70% of supplier NCRs

• Process automation: eliminating manual processes and expanding automated equipment: converting the manual final assembly conveyor to AMRs, adopting an Auto Tool Changer and robotic automatic assembly for small-batch, high-mix assembly, and introducing an automatic painting transfer machine
• Logistics automation based on an automated warehouse: automated warehouses for materials, controllers, and semi-finished goods plus 5 types of AMRs automate in-process and inter-process transfer and loading, applying 119 automated transfer zones (82%) and 133 automated input ports (62%), with logistics containers standardized
• Core component production automation (in-sourcing) — upper-arm assembly and controller production automation, with Vision inspection and automated EOL testing
• Smart factory digitalization (DX) — 10 initiatives including SCM PI, MES, EIF, WMS, MCS, APS, MRP and QMS, plus a To-Be system architecture, targeting system-based production operations at Level 3 (standard- and rule-based automatic control)
• Phased rollout — 2027: logistics automation and real-time shop-floor data collection → 2028: expanded process automation and digitalization of core operations → 2029: complete production automation and system-based operations → 2030 and beyond: continuous improvement

• Factory automation rate 23% → 54% (2029), targeting 62% with continuous improvement
• Logistics automation rate 17% → 63% — logistics headcount does not grow even as volume, item variety and logistics complexity increase
• Plan-to-execution linkage, real-time shop-floor visibility, inventory accuracy and quality traceability
• Integrating equipment, production, quality and commissioning data to lay the foundation for future AI analytics, predictive maintenance and autonomous operations

The figures above are design-stage targets from LG CNS engineering, not implementation results.