By Philip Stoten and Eric Miscoll
Walking through the halls at APEX 2025 in Anaheim, California, the transformation is undeniable. Robots, cobots, and sophisticated software systems have replaced many manual operations, while artificial intelligence increasingly permeates every aspect of the production process, and almost every graphics panel. For electronics manufacturing executives gathered at this event, the central question wasn’t whether to embrace automation and AI, but how to deploy these technologies most effectively to achieve operational excellence.
From Industry 4.0 to Practical AI Applications
The industry buzzwords have evolved. As Mike MacKenzie from Creation Technologies wryly observed, “All the booths that had Industry 4.0 on their booths have now got AI on them.” While skepticism about buzzwords is warranted—many executives felt Industry 4.0 never fully delivered on its promises—there’s a sense that AI represents something more substantial.
“For us, AI is the future,” declared Nicole Russo, CEO of Microboard. “If we’re not understanding how this equipment can harness data and help autocorrect and give us enhancements, shame on us. And so many of these vendors provide very similar attributes in their equipment—the data and the AI. AI has to start to show up in profit.”
The shift from theoretical to practical applications is evident as manufacturers seek concrete use cases with measurable ROI. Early adopters are moving beyond experimentation to implementation, focusing on areas where AI can deliver immediate value.
The Talent Equation: Automation as a Workforce Multiplier
Perhaps the most compelling driver for automation isn’t efficiency alone, but necessity born of widespread talent shortages. Electronics manufacturers across North America and Europe consistently cite workforce challenges as a primary concern.
“From an aspect of workforce availability—as we know, we’re an aging population. We’re trying to hang on to our retirees. We’re not getting enough entrants into this industry,” explains Nicole Russo. “Connecticut’s growing our GDP mostly through Aerospace Alley, but our manufacturing employee base is shrinking. The way we’re mitigating that is automation.”
“Anything we could do to automate takes cost out and it improves quality as well,” noted Andrew Williams of Libra Industries, highlighting the dual benefits of automation beyond just labor savings.
For manufacturers like Allison Budvarson’s Out of the Box Manufacturing, the challenge isn’t eliminating workers but optimizing their deployment. “I don’t think that it would be the same headcount, but I do think that we would be able to do more while hiring less semi-skilled potentially, or being able to quickly grow from within as well.”
Data Integration: The Foundation of Excellence
While individual automation technologies deliver value, the real transformation comes from integrating data across systems and equipment. This integrated approach enables true operational excellence by providing comprehensive visibility and control.
“I’m looking for solutions that not only provide the technical solution, but give me tools to enable operational effectiveness and performance from an operating perspective, not just on technology,” explained Mike MacKenzie of Creation Technologies.
Beyond simply collecting data, leading manufacturers are focusing on synthesizing information from multiple sources—inspection systems, placement machines, test equipment—to drive intelligent decision-making. As Chris Denney, CTO of Worthington Assembly, noted when discussing automated X-ray inspection: “I want to see some of these AOI guys, some of these X-ray guys, start to use some of this intelligent image analysis.”
The ability to correlate data across systems enables both real-time optimization and root cause analysis. “We see a lot of self-healing capabilities with some of the integrated solutions that the suppliers have put together, which are fantastic,” MacKenzie observed, “but again, just being able to get real-time performance information to really push corrective action in real time.”
AI in Purchasing: An Unexpected Priority
While manufacturers are exploring AI applications across their operations, one area emerged as a surprising priority from the APEX conversations: purchasing and supply chain management.
Patrick Stimpert of Matric Group expressed frustration with current procurement processes, seeing them as ripe for AI transformation: “I would love AI to take and look into purchasing… why are we still buying one of one and one of two and two of two, and why can’t I set up something to just go quicker?”
The opportunity extends beyond just efficiency. In an industry still recovering from unprecedented component shortages, AI could significantly enhance supply chain resilience through predictive analytics and alternative sourcing recommendations.
Balancing Production Efficiency with Flexibility
For many electronics manufacturers, particularly those serving high-mix, low-volume markets, the challenge is implementing automation that enhances efficiency without sacrificing flexibility. Traditional automation approaches designed for high-volume production often fail in more dynamic manufacturing environments.
Chris Denney highlighted this challenge when discussing automation and AI: “I suspect it is changing design processes. The vendors that are creating the software are constantly trying to introduce new features. I suspect where they’re seeing AI initially, is being able to develop those features faster.”
Out of the Box Manufacturing’s Allison Budvarson, whose company focuses heavily on prototype manufacturing, emphasized that their success comes from building flexibility into their processes from the ground up: “We had that intent from the beginning to build our processes around flexibility to accommodate the quick turns and the prototypes. So it’s really become part of our culture, ingrained in our business.”
The AI-Enhanced Organization
Beyond specific applications, manufacturers are beginning to envision how AI might transform their entire organizational structure and workforce. The concept of AI as an “amplifier of talent” emerged as a powerful metaphor, with technologies designed not to replace humans but to enhance their capabilities.
Chris Denney from Worthington Assembly described how AI is already changing the way engineers work: “I was in some CAD software and I was trying to figure out how to create the shape of this complicated shape. I couldn’t figure it out. I’m on YouTube, on Google. I can’t figure it out. I type it into Gemini and it’s exactly what I was looking for.”
This “AI sandwich” approach—where humans provide the input prompt and evaluate the output while AI does the complex processing in between—is emerging as a practical model for human-AI collaboration in manufacturing environments.
Standardization: The Foundation for Smart Manufacturing
While automation and AI capture headlines, many manufacturing executives emphasize that these technologies must be built on a foundation of standardized processes and systems to deliver their full potential.
“The more you can standardize across platforms the better,” emphasized Sean Niell of Vexos. This standardization extends beyond equipment to data formats, operational procedures, and even organizational structure.
Creation Technologies’ Mike MacKenzie described their approach to standardization across a diverse set of manufacturing sites: “We’re not replacing equipment for the sole sake of standardization. As equipment ages out, we have a strategic AVL that we’re looking to get everyone to buy into across the business.”
This balanced approach—standardizing strategically rather than dogmatically—allows companies to benefit from integration while still maintaining operational flexibility.
The Path Forward: Operationalizing AI
As manufacturers move from AI experimentation to implementation, several best practices emerged from the APEX conversations:
- Start with specific, high-value use cases rather than trying to transform everything at once
- Focus on data quality and integration as the foundation for AI applications
- Measure success through concrete KPIs tied to operational and financial outcomes
- Partner with vendors who understand manufacturing realities, not just AI theory
- Build internal expertise alongside external partnerships
Jay Patel of Amtech summarized the practical approach many manufacturers are taking: “The ability to prompt AI, I think, is something that’s going to become something you put on your resume—Expert AI prompter.”
Conclusion: Beyond the Buzzwords
The conversations at APEX 2025 revealed an industry moving beyond buzzwords to practical implementation of automation and AI technologies. While challenges remain—particularly around integration, talent development, and measuring ROI—there’s a growing consensus that these technologies represent not just incremental improvements but foundational capabilities for future manufacturing competitiveness.
As one executive put it: “Even if it gets me 80% of the way there, or it just gets me closer. It’s a massive productivity benefit.”
For electronics manufacturers navigating an increasingly complex global landscape, operational excellence through automation and AI isn’t merely an aspiration—it’s becoming an essential strategy for survival and success. The winners in this transformation won’t necessarily be those with the most advanced technologies, but those who most effectively integrate these tools into their operations, culture, and workforce development.
Industry Leaders Quoted in This Article
- Nicole Russo – CEO, Microboard
- Patrick Stimpert – Matric Group
- Andrew Williams – CEO, Libra Industries
- Allison Budvarson – COO, Out of the Box Manufacturing
- Mike MacKenzie – Creation Technologies
- Chris Denney – CTO, Worthington Assembly
- Sean Niell – General Manager, Vexos
- Jay Patel – CEO, Amtech
Industry Leaders Quoted in This Article – watch the full interviews on the SCOOP YouTube channel.
