AI-Powered Manufacturing with SAP DM

In this demo, our experts showcase the power of artificial intelligence (AI) within SAP Digital Manufacturing (SAP DM). The video features two AI technologies—Agentic AI and Vision AI—working together to streamline and enhance manufacturing execution. Watch as a production order is created through simple voice commands and processed without the need for operator training. Then, see how Vision AI visually confirms product data, checks inventory stock, validates safety compliance and even detects production errors like missing parts, automatically assigning reason codes. This demo highlights how AI can improve quality, enforce safety, reduce manual input and provide more accurate reporting for better decision-making on the shop floor.

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Full Video Transcript

We are Engineering Industries eXcellence, and today we're going to show you a demo of how artificial intelligence can be used in manufacturing execution. We'll demonstrate two types of AI being used in the manufacturing environment: agentic AI and vision AI. Both systems help ensure process improvement and process assurance, enhancing quality and making the operator more efficient. They can also include safety checks—for example, verifying if the operator is wearing the correct safety clothing. If any of these checks fail, the production order cannot proceed.

In the first part of the demo, we’ll showcase agentic AI. The operator can create a production order simply by talking to the system—no training is needed. Once the order is created, a label with the product's serial number (the SFC or Shop Floor Control number in SAP Digital Manufacturing) is printed. This unique identifier is used to track the finished product. Next, we select the appropriate order in SAP Digital Manufacturing by showing the label to the Vision AI camera, which then automatically highlights the correct order on the SAP DM screen.

To begin production, the system checks if there's enough stock on the shop floor using simple vision detection. A green beacon light indicates sufficient stock, allowing production to start. Additional checks can be added, such as verifying that the operator is wearing proper safety gear or assembling the product correctly. This enforces process compliance and prevents errors.

In our example, the operator assembles a toy car, and the system confirms the assembly is correct. After production, the system determines whether to complete or scrap the order. In this simulation, we show the scrap process—Darshan removes the tires, and the system detects the issue, assigning a “tires missing” reason code automatically. This eliminates the need for manual entries and ensures that SAP Digital Manufacturing’s AI identifies the correct reason code based on visual inspection. As a result, reporting, especially in OEE (Overall Equipment Effectiveness), becomes much more accurate.