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How Automation Is Impacting the Automotive Industry Today

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Updated on 10/9/2024

Automation has deep roots in the automotive world. Before most other industries explored automation as a solution, automakers used industrial robots and sensor technology in their assembly plants to increase productivity and efficiency. In fact, the first commercially sold industrial robot was installed at the General Motors plant in New Jersey in 1961. 

Since then, automation has taken off across industries around the world. According to GlobeNewswire, the global industrial robotics market was valued at around $48.5 billion in 2022 and is expected to reach approximately $142.8 billion by 2032.

Today, the automotive industry remains at the forefront of advancements in automation, from the manufacturing to the operation of automobiles themselves. The industry has one of the highest numbers of industrial robots installed worldwide, second only to electronics manufacturing. 

In this article, we’ll explore:

  • What’s driving the adoption of automation in the industry?
  • Trends and innovations in automotive automation
    • Artificial Intelligence (AI)
    • Autonomous Vehicles
    • Electric and Hybrid Vehicle Automation
    • Factory Automation
    • Industry 4.0 and Smart Manufacturing
    • Machine Vision for Quality Control 
    • Robotic Process Automation (RPA)
    • Robots and Cobots in Automotive Manufacturing
  • How local automakers are implementing automation 

WHAT’S DRIVING THE ADOPTION OF AUTOMATION IN THE INDUSTRY?

The proliferation of automation in the car industry is driven largely by its ability to lower costs for manufacturers, ensure precision and consistency, and address labor shortages. It’s a natural fit for a competitive industry striving to keep up with growing demand and stay ahead of the curve. Automation drives higher levels of customization and flexibility, which is essential for meeting consumer demands for personalized features and adapting to evolving automotive trends.

TRENDS AND INNOVATIONS IN AUTOMOTIVE AUTOMATION

When it comes to automotive automation, some technologies are more mature than others. Factory automation, for example, has been around for decades, while the possibilities for smart manufacturing are just starting to unfold. Whether ubiquitous or emerging, here are a few automation trends and innovations driving the automotive industry today.

Artificial Intelligence (AI)

AI plays a pivotal role throughout the automotive value chain, from manufacturing tasks like design and production to service jobs like predictive maintenance and insurance. It continues to drive major transformations, particularly in autonomous driving, vehicle manufacturing, and customer experience. 

AI is at the core of advanced driver assistance systems (ADAS), powering features like lane-keeping, adaptive cruise control, and collision avoidance. AI can process real-time data from cameras, LiDAR, radar, and other sensors to make in-the-moment driving decisions. It also enhances autonomous vehicles' ability to predict the behavior of other road users, improving safety overall?.

In the manufacturing process, AI can boost predictive maintenance and quality control efforts. AI monitors machinery and predicts when maintenance is needed, preventing breakdowns and minimizing downtime?. AI-based machine vision systems can detect defects during manufacturing with a higher level of accuracy than the human eye. 

AI is also the key driver behind enhanced user experiences, powering features like personalized in-car assistants and vehicle-to-everything (V2X) communication. It allows cars to interact with other vehicles, infrastructure, and even pedestrians.

BMW’s Intelligent Personal Assistant can control various vehicle functions, from seat warmer temperature to route navigation, with simple voice commands from the driver.

AI is powering automation across the automotive industry — and beyond. You can see all the latest advancements in person and in action on our show floor.

Autonomous Vehicles

One of the most exciting applications of automation today is in transportation—powering driver assistance technology and the development of autonomous vehicles. Fully autonomous vehicles are not yet available for mass use, but major automakers are starting to introduce advanced driver assistance systems (ADAS). These systems allow for partial automation, allowing the vehicle to control tasks like steering and speed control while the driver remains attentive.

While driverless cars have yet to become the predominant vehicles on our roads, autonomous guided vehicles (AGV) are already hard at work within automotive manufacturing facilities like the Mercedes-Benz Türk plant in Aksaray, Turkey. These omnidirectional mobile platforms, created by KUKA Robotics Corporation, help connect individual assembly sections for maximum flexibility and free navigation.

Electric and Hybrid Vehicle Automation

According to the International Energy Agency (IEA), electric car sales (inclusive of both battery electric and plug-in hybrid cars) reached approximately 14 million in 2023, a 35% increase from 2022 — and more than six times higher than just five years ago. As governments and automakers continue to prioritize cleaner, more sustainable solutions (supported by incentives like tax credits), these numbers are only expected to grow.

Automation powers the production and maintenance of electric and hybrid vehicles. During the battery manufacturing process, automation enables key tasks (electrode production, cell assembly, electrolyte filling) to be performed with extreme precision. Robotic arms are used during the battery pack assembly process to ensure consistency and safety. And automated battery management systems (BMS) monitor the battery’s health, temperature, and charge levels so its performance and lifespan can be autonomously optimized. 

See how a Mercedes-Benz plant in Kamenz, Germany, uses various automated technologies on its battery production line. 

Energy recovery systems in electric and hybrid vehicles also rely on automated processes for optimal performance. Regenerative braking converts kinetic energy into electrical energy when the vehicle slows down or brakes. Automated sensors and control systems manage when and how regenerative braking is applied, capturing energy efficiently and blending it with conventional braking. 

These automation technologies contribute to the faster and more efficient creation and operation of electric and hybrid vehicles, which will be essential to keep up with surging consumer demand now and in the future. 

Factory Automation

Automation in automotive manufacturing can be found at nearly every stage of vehicle production. Robots, motion control and vision systems, artificial intelligence (AI), and other automation tech work together to complete various tasks, from welding and assembly to inspection and testing.

However, not all automakers utilize the same level of automation. Some rely on partially manual processes that automate simple tasks but give humans the final say in QA and compliance management. Others use automated single machines to perform one specific task or combine them in an automated production line, passing the product from machine to machine.

BMW’s plant in Dingolfing, Germany integrates advanced automation in nearly every aspect of vehicle production, from initial assembly to final quality checks.

Less prevalent are end-to-end automated factories. These factories can run 24 hours a day, 365 days a year, without human supervision.

Industry 4.0 and Smart Manufacturing

Industry 4.0, often referred to as the “Fourth Industrial Revolution,” has transformed how automotive companies operate. With the integration of technologies like the Internet of Things (IoT), cloud computing, and big data, automation now touches every aspect of the value chain, from suppliers to end customers. As a result, the automotive industry is more connected and adaptable than ever before. 

This transformation has facilitated the rise of smart manufacturing, where advanced technologies enable more intelligent production. In the automotive sector, key applications include the automation of vehicle assembly using robotics, predictive maintenance powered by IoT and AI, and the use of digital twin technology for simulation and optimization.

Together, Industry 4.0 and smart manufacturing have enabled more efficient production, helping manufacturers adapt to the growing complexity of modern vehicles.

Machine Vision for Quality Control 

Machine vision in automotive applications can automate inspection tasks that require a high degree of precision. Machine vision systems equipped with high-resolution cameras and AI algorithms can inspect the surfaces of automotive parts for defects, comparing real-time images with predetermined standards. As mentioned earlier, cameras can sometimes pick up minuscule details that are not visible to the human eye. 

By capturing images and making precise measurements, these systems verify that parts, such as engine components or brake assemblies, are manufactured to the correct specifications. Machine vision is also used to confirm that all parts are correctly assembled, ensuring parts are present and verifying alignment.

Robotic Process Automation (RPA)

RPA uses robotic software to automate repetitive, rules-based tasks, often related to business processes. The easy implementation and quick ROI of RPA have positioned the technology for significant future growth.

In the automotive space, this technology is used to complete historically laborious, time-consuming tasks—think inventory and freight management, supplier onboarding, regulatory compliance, order processing, and more. RPA helps ensure accuracy while freeing up time and money typically spent on these back-office operations.

Robots and Cobots in Automotive Manufacturing

The use of robots in automotive manufacturing has transformed the car production process. Assembly robots can move faster and more precisely than humans and are easier to implement than some special-purpose equipment. In car manufacturing plants, robotic arms can tackle tasks like screw driving, windshield installation, and wheel mounting. They’re known to increase outputs and efficiency while decreasing costs and risks for human workers.

This automated vehicle plug insertion system, developed by FANUC for General Motors, helps relieve workers from the ergonomic strain of the manual process and improves production time.
 

Collaborative robotic solutions, or cobots, offer a more flexible, lightweight alternative to traditional industrial-grade robots. They require a smaller footprint on the manufacturing floor, making them easier to integrate into existing structures. Beyond optimizing space, collaborative robotics can reduce costs associated with making modifications, like adding new content to vehicles, in manufacturing facilities.

In the automotive industry, collaborative robotic technology is commonly used to take on “less ergonomically favorable tasks,” as described by Universal Robots, removing human employees from “strenuous and health-damaging activities.” They can be stationed alongside human workers—versus fenced off like traditional robots—which helps to supercharge efficiency and speed in automotive production.

Collaborative robots can also work efficiently with one another. An FCC Industrial Systems site in the Czech Republic uses multiple Single-Arm YuMi® collaborative robots, created by ABB Inc., to help power their part-loading processes. 
 

HOW LOCAL AUTOMAKERS ARE IMPLEMENTING AUTOMATION 

In and around Detroit, Michigan — home of the automotive industry and the 2025 Automate show and conference—automation powers automobile production in myriad ways:

  • General Motors' Detroit-Hamtramck assembly plant leverages IoT to connect systems and equipment (robotics, sensors, AGVs) for efficient delivery of materials across the factory floor. 
  • In Dearborn, Michigan (a suburb of Detroit), Ford’s Rouge Electric Vehicle Center uses robotic AGVs to assist in assembling the Ford F-150, particularly for tasks like welding and installing parts. The plant also uses robotic systems to assemble battery packs and electric motors for vehicles like the GMC Hummer EV.
  • South of Michigan, Ohio’s Honda Marysville Plant uses automation in its body and frame welding operations to build vehicles like the Honda Accord.

AUTOMATION IN THE AUTOMOTIVE INDUSTRY: ONLY PICKING UP SPEED

Automation is essential in keeping automotive companies competitive today. It is applied throughout the manufacturing process, plays a growing role in back-office maintenance, and may even power the cars of the future.
 
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