Enhancing Innovation and Productivity in Advanced Manufacturing SMEs through Artificial Intelligence

Advanced Manufacturing AI Toolkit

The Flinders AMAI Toolkit aims to support AI capabilities and adoption in SMEs, enhancing innovation and productivity within Advanced Manufacturing industry.

Assess your AI maturity in just 15 minutes. The Toolkit guides you step‑by‑step through the tailored Technology-Organisation-Environment (TOE) dimensions, giving you a clear score and actionable insights to accelerate your AI adoption journey. 

TOE-Based Framework for AI Adoption
AMAI Toolkit Radar Results

Driving Innovation and Productivity with AI in Manufacturing

The Flinders Advanced Manufacturing Artificial Intelligence Toolkit (AMAI Toolkit) is an evidence-based assessment and guideline framework developed by the research team of Flinders Factory of the Future.

Created under the project “Enhancing Innovation and Productivity in Advanced Manufacturing SMEs through Artificial Intelligence” and supported by the Strategic Industry Research Program (SIRP), the toolkit reflects rigorous scientific methodology and ethical compliance (Flinders University HREC approval, Project 8297).

Designed to accelerate AI adoption in Advanced Manufacturing small and medium-sized enterprises, the AMAI Toolkit provides practical strategies, a structured evaluation tool, and policy guidelines to strengthen AI capabilities, foster innovation, and improve productivity across the advanced manufacturing sector.

Why AI is critical for Advanced Manufacturing SMEs?

Small and Medium-sized Enterprises (SMEs) are the backbone of the global economy, representing 90% of businesses and contributing to over 50% of employment worldwide (World Bank, 2025; OECD, 2024). In Australia, SMEs account for 97.3% of all businesses—that’s 2.52 million out of 2.59 million enterprises—and contribute half a trillion dollars to the economy while providing 5.1 million jobs (AUS Banking, 2023; Reserve Bank of Australia, 2024).

Despite their critical role, SMEs often lack essential resources to remain competitive and sustainable. Challenges include limited investment capacity, gaps in professional management skills, insufficient technological capabilities, and need for training and complementary resources. These factors are vital for differentiation, competitive advantage, resilience, and value creation. Emerging technologies such as artificial intelligence (AI) have the potential to transform the future of these businesses by increasing their innovation and productivity, while boosting the Australian and regional economy (McKinsey & Company, 2024). Primarily in advanced manufacturing, through support programs, mentorships, and collaborative opportunities, AI can empower smaller enterprises to become integral components of the advanced manufacturing supply chain.

Check the most relevant key factors identified for AI adoption and capabilities, then ranked by advanced manufacturing SMEs and experts.

Source: FFF/SIRP Project “Enhancing Innovation and Productivity in Advanced Manufacturing SMEs through Artificial Intelligence”

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Leadership

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Data security and risk

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Perceived values and benefits

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External collaborations

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Organisational and strategic management

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Skills and capabilities

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Regulations and policies

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Costs and investments

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Technology integration and complexity

The Strategic Industry Research Program (SIRP)

The SIRP Program, led by Flinders Factory of the Future, focuses on advancing high-value manufacturing in Australia through research on Industry 4.0 and 5.0 technologies, and the human and organisational factors driving their adoption. It promotes innovation ecosystems and identifies pathways for workforce skills development. Additional priorities include smart specialisation for economic complexity, integrating net-zero and circular economy principles, and leveraging public procurement and global standards to stimulate innovation and competitiveness.

The aim of the program is to advance the FFF mission to accelerate manufacturing growth in Australia and South Australia through research projects focused on:

  • Innovation, business development, and university-industry research translation.
  • Education, training, and skills development.
  • Policy development related to advanced manufacturing in the Australian context: for example, in relation to economic complexity, incentive structures, and business models.
AI in manufacturing
Flinders Factory of the Future

The Flinders Factory of the Future

Flinders Factory of the Future collaborates with manufacturers to solve real problems and accelerate growth. By combining technology, engineering, and human factors, we deliver practical, evidence-based solutions that transform advanced manufacturing, boosting productivity, reducing costs, and strengthening global competitiveness.

Collaborative problem solving for industry:

  • Human-Technology Integration
  • Additive Manufacturing
  • Medical Device Technology
  • Industrial Design & Digital Twinning
  • Energy Efficiency
  • Strategic Support
  • Workforce Development

Valued Partners

PLANS & POLICIES

National and South Australian Plan and Policy for Digital Transformation in Advanced Manufacturing and Artificial Intelligence

National AI Centre
The National AI Centre
The NAIC was established in 2021 to support and accelerate Australia’s AI industry. It aims to help Australia become a global leader in developing and adopting trusted, secure, and responsible artificial intelligence by supporting AI adoption for SMEs and uplifting safe and responsible AI practice.

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South Australia's Advanced Manufacturing Strategy

South Australia’s Advanced Manufacturing Strategy
Manufacturing is a knowledge-intensive and value-adding capability that underpins 70 per cent of the world’s trade. Building on our strong domestic manufacturing sector is fundamental to South Australia’s continued participation in the global economy.

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PUBLICATIONS

Recent Publications

Flinders AMAI Toolkit Assessment

Improving productivity across the advanced manufacturing sector

The AMAI Toolkit is based on the adapted TOE (Technology-Organization-Environment) framework, adapted to integrate tailored key factors and insights evidenced by the literature, industry insights, and empirical data from interviews with advanced manufacturing SMEs, AI technology providers, and experts and academics in related domain.