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IMR chief on why new construction is important in Ireland

Kennedy delves into IMR’s role in supporting manufacturers of all sizes in Ireland.

Manufacturers need to “keep up with the times”, as the saying goes. It is clear that innovation promotes growth, but accessing and trying new technologies, while, at the same time, uncertainty about its practicality in the store, creates several roadblocks for businesses that want to develop.

Barry Kennedy realized that this had to be fixed. “There was good research going on in between [Irish] universities, but it was not translating in any meaningful way to the level that was needed to become productive companies,” he said.

Not to mention that Ireland has no shortage of successful startups with new products ready to enter the market, but manufacturers can be hesitant to spend big if they aren’t sure how well it will work.

And testing new solutions yourself can be very disruptive to an already well-oiled manufacturing facility. This is especially a problem for small and medium enterprises (SME) who cannot afford a break in the production flow.

‘The industry of the future’

Kennedy, a former program manager at Intel, founded Irish Manufacturing Research (IMR) after learning about similar, late-stage organizations elsewhere in Europe – such as the Fraunhofer Institute in Germany or Tecnalia in Spain – that focus on introducing new technologies to industry.

IMR was launched in 2014 with a funding of 15 million euros and has only two employees. Modeled after similar European institutions, along with Ireland’s Irish Center for Manufacturing Research (ICMR) and Innovation for Ireland’s Energy Efficiency (i2e2) – both chaired by Kennedy – IMR positions itself as “a loyal gatekeeper between”, Kennedy tells me.

“We demystify, de-risk and bring emerging technologies to companies”. And ten years after its launch, the center now has around 140 people working across Ireland and Europe.

IMR provides a testing ground for manufacturers to play with new technologies, conduct trials and tests, essentially, providing a way for businesses to test before committing. It also works directly with universities to develop a roadmap to develop more industry-focused solutions. The organization helps businesses figure out what the “industry of the future” might look like, Kennedy tells me.

And as it turns out, manufacturers – from big names like Johnson and Johnson, and Boston Scientific, to smaller ones, all wanted to get involved when the idea started floating around. In fact, Irish SMEs needed more innovation help than international ones, Kennedy quickly discovered.

There are many reasons to promote manufacturing in Ireland. According to the Central Statistics Office, this sector directly employs over 220,000 people. It accounts for more than 34pc of Ireland’s GDP – more than double the European average of 15pc. In 2023, exports from Ireland reached €197.25bn, generating €13.7bn in income.

Kennedy says Ireland is ranked 23rd in the world when it comes to digitalisation and “very low on the ladder” in new technologies such as robotics. Ireland has only 54 industrial robots per 10,000 manufacturing workers, compared to Germany, which has 397 per 10,000. Even the UK, which is slow in robotics and automation, has 111, according to 2023 data.

On the other hand, the country offers between the ninth and eleventh salary packages in the world. Strong rivals such as the UK and South Korea are much lower in these rankings.

In fact, Ireland has the most expensive labor while being less developed than its manufacturing rivals. “You can’t be the ninth most expensive in the world and hope to maintain production unless you are very efficient,” said Kennedy.

From AI to sustainability

Take for example, Airbus, who wanted to find a way to detect defects in their aircraft wings from anywhere from 20m to about 80m.

Speaking to Engineers Ireland last year, Kennedy explained that IMR took on this challenge, and alongside its European partners, developed an AI-powered robot that can accurately detect wings (unlike traditional robots that need to be moved in place) and faults.

This project was carried out together with an Irish company called Teg. “As part of that [the project]see [Teg] received a large sum of money from the European Union”, Kennedy told Engineers Ireland. Following the project, Teg is now a tier two supplier to Airbus, meaning they can sell their products directly to the company.

IMR also works in several other areas, including helping businesses build better manufacturing floor structures. While on a completely different path, IMR helps with advanced 3D printing across several use cases, including printing organs for surgeons to improve patient outcomes.

Circular production, it turns out, is also one of IMR’s specialties. Kennedy gives the example of a local brewery that is now able to use leftover bread from a nearby bakery.

“It crosses everything from food to ICT to bio-med to packaging and all that space,” Kennedy said. “The challenge here for businesses and industries is that in order to make this thing work, you need to be able to establish a supply chain and understand how it all comes together.”

IMR leads the national platform for the circular economy, called Circuléire, where it brings together businesses to achieve this. Launched in 2020, Circuléire is managed by IMR and funded by the Irish Government. It is a public and private network that aims to disrupt and advance the creation of circular business in Ireland with over 50 diverse members.

Great record of the song

I asked Kennedy if there was ever a problem that IMR couldn’t solve. Although he was surprised at first, he says that although not all solutions were 100pc, there is no doubt that they were able to improve the situation. “You know, we face challenges that are not easy to solve,” he adds.

Proof of their success is FactoryXChange (FXC), the European Digital Innovation Hub (EDIH) led by IMR focused on sustainable, human-centered manufacturing transformation. FXC is also supported by 17 professional partners across the country.

Last month, the project received €2.3m in funding from the EU’s EDIH program with an additional €3.4m matched by Enterprise Ireland to continue its work by offering up to 100pc discounted services.

FactoryXChange 1.0 has supported over 495 Irish businesses and community organizations SMEs to become more competitive in their business and manufacturing processes through digital transformation. With this funding, FactoryXChange 2.0 is set to help businesses by connecting them with cutting-edge digital technology, expert advice and funding to integrate environmental and digital solutions.

FactoryXChange’s funding application received the highest score from the European Commission, and was awarded the prestigious STEP mark sought for this year.

“We were very successful in the first phase and…we scored 100pc in terms of goals in that program. [EDIH],” said Kennedy.” “It’s almost unheard of.

“We are bringing more service providers into the fold, as we understand more about the needs and requirements of small and medium businesses in this country.”

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