Running a small business in manufacturing can feel like shouting from the sidelines. Large companies rightly attract attention, and they often lead the way when it comes to adopting new technology.
But in a nation like Wales, where SMEs make up the majority of the workforce, we need to make sure the support and opportunities around digital innovation are accessible to all, and not just the few with the biggest budgets.
At POET Systems we’ve developed a cloud-based platform to help manufacturers improve productivity by measuring production performance and identifying where improvements can be made. Our goal has always been to make the process of digital transformation easier and more meaningful, particularly for SMEs who may not have the resources to tackle everything at once.
One of the biggest shifts we’ve seen recently is around data. Manufacturing has never been short of data – we’ve had equipment generating it for decades – but historically, we haven’t always used it well. That’s changing. Businesses are realising they can go back and analyse years of information to find improvement opportunities. And with advances in AI, that analysis can happen faster and with more precision than ever before.
But there’s still a perception among many smaller manufacturers that technology is expensive, risky or complicated. And that’s holding some of them back. In reality, a lot of the solutions available today offer a rapid return on investment and can be introduced gradually. One step at a time.
Yet too often SMEs don’t even look at what’s possible because they assume they can’t afford it. We need to challenge that mindset.
There’s also a very human side to all of this. As technology develops, it should support people – not replace them. Robots aren’t new in manufacturing, and they haven’t spelled the end for shop floor workers. In fact, tools like mobile devices and real-time monitoring systems are now helping skilled staff spend less time at desks and more time where they’re needed: on the shop floor, solving problems and speaking with the people who run the processes.
Good technology gives people time back and helps them focus on the areas where they can add the most value. And, importantly, it helps maintain momentum when someone’s distracted or something gets missed, because people, being human, are fallible. That’s where tech is a useful partner.
I’ve worked in manufacturing for a long time, including in the automotive sector, where Toyota’s principles still resonate. One of those principles is that the process expert is the person who stands at the process every day. They know what normal looks like – they hear every squeak and groan of the machine. Those are the people who should be involved in any innovation effort, not just consulted after the fact, but actively shaping the changes.
That’s why I really value the openness we’re starting to see from larger firms in Wales. When businesses like Rototherm welcome visitors in to see what they’re doing and how it makes a real difference. It gives SMEs the chance to learn directly from their peers, rather than just reading about innovation in theory. And it sends a strong message: you are part of this too.
That message is important. Too often, smaller companies feel excluded from the conversation. We’ve got big goals as a nation – to grow productivity, boost exports, and move towards a more digital economy. That’s not going to happen without SMEs on board. To do that, we need better signposting and more tailored support.
No one expects the answers to be simple. But if we want Welsh manufacturing to thrive, we need to make sure the tools, the support, and the networks are designed for everyone, not just those who already know where to look.
That’s where initiatives such as Wales Tech Week come in, creating an invaluable opportunity for SMEs to network with firms of all sizes, to see innovations, not just hear about them, and to realise that this tech isn’t just for bigger firms. It can also be a game-changer for SMEs, and it’s there to be adopted right now.
Phil Roberts talks about this and more in the Wales Tech Week podcast episode Making It Smarter: Innovation in Manufacturing. Listen to the podcast here.
Wales Tech Week takes place at ICC Wales, Newport from November 24 to November 26 2025. Find out more here: https://www.walestechweek.com/
