We have already reduced employees dramatically on factory floors. There is still room for some reduction with AI, but not all. You need people there to handle it when the machines break down, to handle abnormal situations,etc.
For an example of why you can’t get rid of people, I recently worked on a factory automation process to handle ‘exception’ flows. For example, a line makes multiple products, Currently it is producing product A, but a machine necessary for A breaks down. You can’t afford to idle the line while the machine is down, so humans have to go in, remove all the partially finished ‘A’ products, load the bins with material for ‘B’, and start producing ‘B’. This causes all sorts of issues with MES systems, such as counters that were counting ‘A’ have to be reset, inventory systems tracking ‘A’ have to adapt, etc. But most importantly, there is physical one-off work that has to be done, unique to each situation.
The ‘dark’ factory consisting of nothing but automation is the holy grail of manufacturing execution. Elon Musk thought he could do it at Tesla, and failed. There are just too many little nooks and crannies that require human, physical intervention. It will remain that way for a long time.
Even if an AI could spot all the problems and knew what to do with them, factory machinery is not up to the task. Factories are incredibly hard to create, and once one is working they tend to not get changed for a long time because even small changes can cause problems in complex environments. There are factories out there still using machinery built in the 1800’s. That’s the real limiter - the time it rakes to change over the physical infrastructure to be compatible with AI.
Years for sure. After that, it gets a lot fuzzier. But when it comes to changing over infrastructure, it has to be decades because this stuff just takes a long time. I worked on a project just to digitize the information in a factory so it would be ready to automate (getting rid of all paper processes, finding the ad-hoc processes and formalizing them, capturing information residing only in the heads of senior factory workers, etc.), and that project had been ongoing for a couple years when we joined it, and we worked on it for a couple of years and it was still ongoing when I left.
People like me will get hit this time around. You still need the blue collar guys to physically maintain the plant and handle exceptions, but the people who do statistical process control engineering, analysts, inventory specialists, and other white collar workers are much easier to replace with AI.