Robots-as-a-Service: A Game-Changer for Small Manufacturers

Published Feb 23, 2023
Updated Mar 3, 2023

Small- and medium-sized manufacturers have long relied on outsourced partners and manual handling processes for their production activities. These processes often limit their production output capacity. To get around these production caps, some manufacturers hire more staff or depend more heavily on outsourcing. However, because high costs are associated with both options, they may not be economically feasible for many manufacturers.

The robots-as-a-service model presents a cost-efficient solution to this problem. With improved efficiency and increased production capacity, it is poised to be the business model of choice for small- and medium-sized manufacturers.

What is Robots-as-a-Service (RaaS)?

Robots-as-a-service (RaaS) is a model in which robots (and the supporting cloud platforms) are leased or loaned to organizations. In essence, a company invests in a service rather than a good or product.

The use of robotics in a subscription model simplifies the purchasing process. Organizations only need to pay for the level of automation required and keep their operating costs within budget. This alleviates the need for large capital expenditure (CAPEX) and breaks down barriers to entry to robotic automation.

RaaS has already been applied in logistics, manufacturing, and hospitality applications. It’s expected to grow sharply over the next few years. ABI Research estimates that installed RaaS units will grow from 4,442 units in 2016 to 1.3 million in 2026.

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Robots-as-a-Service (RaaS) is a model in which robots are made available to customers on a subscription or pay-per-use basis. RaaS is a flexible and cost-effective way for businesses to access the latest robotics technologies without having to make large upfront investments in hardware and software.

Benefits for Small Manufacturers

The RaaS model helps small manufacturers lower costs, save time, and improve production, supply chain, and distribution. RaaS has revolutionized how small- and medium-sized manufacturers interact with robotics. The model allows manufacturers to scale consumption up and down as their automation needs change over time. This helps manufacturers to address rising labor shortages, compete with global competition, and keep up with demand.

A significant barrier to entry for smaller firms looking to use robotics is their lack of experience. Such firms often rely on an individual to single-handedly develop and maintain the robotic system and customize it to new products. This is a vulnerability as it creates a single source of accountability for the system. Instead, the RaaS model allows smaller firms to leverage the robotic expertise of the provider to apply the robotic system to their specific applications. Smaller firms can then identify and fully capitalize on the potential of robotic systems.

Flexibility in manufacturing is also a major benefit for small-scale manufacturers. An RaaS subscription allows an organization to set up and switch product line manufacturing quickly. As product demand rises and falls throughout the year, manufacturers can scale their RaaS needs to accommodate high and low demand.

Robotic investments are expensive (with costs often exceeding $60,000 USD) and difficult to apply for smaller manufacturers. RaaS provides interested manufacturers with a method to trial the system before purchase and assess the cost-benefit potential of the robot. What’s more, it allows manufacturers to try out the robotic system before purchasing.

Common Robots Used in Manufacturing

The two most commonly used robots for industry applications include articulated robots and autonomous mobile robots.

  • Articulated Robots: These robots resemble an arm with many degrees of freedom. It’s used to pick up and place objects; handle materials; weld metals; cut materials; and palletize goods. Some types of articulated robots include SCARA (Selective Compliance Assembly Robot Arm) and six-axis robots.
  • Autonomous Mobile Robots (AMR): AMRs are often used as a coordinated (and collaborative) fleet to quickly move stock/loads between operation stations and in (and out) of storage.
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Articulated robots can be used in many applications, including inventory control and inspection.

RaaS Examples

Here are some examples of companies that offer robots-as-a-service for manufacturing, logistics, and warehouse management. This includes companies offering robotic systems and cloud robotic platforms (for simulations or robotic development).

Robotic Systems:

  • Cobalt Robotics: Automated safety and security solutions (including robots, software, customer support, and maintenance) to patrol areas, respond to incidents, and provide customer service.
  • Fetch Robotics: Robotics for the automation of warehousing, distribution, and manufacturing.
  • inVia Robotics: Automated warehouse fulfillment systems using mobile robotics and AI software.
  • Knightscope: Security robots that autonomously patrol, deter, detect, and report threats.
  • Kuka: Robotic and production systems for manufacturing and handling.
  • Locus Robotics: Smart platform and robotics for warehouse and inventory management.
  • Mobile Industrial Robots (MiR): Autonomous mobile robots (AMRs) for logistics and manufacturing automation.
  • Neuromeka: Collaborative robots (or “cobots”), including articulated arms and AMRs.
  • Schneider Packaging Equipment Company: Automated solutions for case packing and robotic palletizing solutions.

Cloud Robotic Platforms:

  • AWS RoboMaker: Cloud-based simulation service to run, scale, and automate simulation without managing any infrastructure.
  • Google Cloud Robotics Platform: A platform that combines AI, the cloud, and robotics for automated solutions that leverage cloud-based collaboration robots.
  • Honda RaaS platform: Software platform to simplify robotics solution development by providing interfaces and packages as APIs and SDKs for common functions.
  • ROS 2: Open-source robotic middleware and tools for robot application development.
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An RaaS subscription allows an organization to set up and switch product line manufacturing quickly. As product demand rises and falls throughout the year, manufacturers can scale their RaaS needs to accommodate high and low demand.

Manufacturers Need to Stand Out From the Competition

Small- and medium-sized manufacturers need to communicate with a wide array of customers, often from different industries. As the global manufacturing market has become more connected, competition is more challenging than ever. That’s why marketing for manufacturing services and technologies is incredibly important. An effective communications strategy connects you to potential customers, shapes your voice, and positions you for sales success.

High Touch Group is integrated in the automation and robotics industry. In addition, we are embedded in adjacent fields (such as advanced manufacturing and advanced materials) to create beneficial cross-industry synergies. We create and execute marketing strategies to build connections with prospective customers and funders. Our account team coordinates trade show appearances, award applications, advertising, content marketing, website and app development, and social platforms.

Reach out to High Touch Group today.

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