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Original Equipment Manufacturers (OEMs) play a pivotal role in the industrial automation landscape, using advanced automation equipment to build machines and add unique value before selling them to their customers. These companies are essential in driving technological innovation and efficiency, often revolutionising the market with their solutions. However, the OEM industry faces numerous challenges, from intense competition and evolving customer demands to geopolitical pressures and labour shortages.

To delve deeper into the complexities and innovations within the OEM industry, we turn to Jakub Kwiatkowski, a seasoned expert at Mitsubishi Electric. With over a decade of experience in various key roles, including business development in Slovenia and Croatia, Jakub provides valuable insights into the industry's intricacies and Mitsubishi Electric's contributions to supporting OEMs.

Jakub's involvement in complex and innovative projects has been a cornerstone of his career. One notable project required a sophisticated multi-axis solution, leveraging the advanced features of Mitsubishi Electric's amplifiers. Jakub highlights the significance of miniaturisation in Japanese companies like Mitsubishi Electric, which provides a competitive edge in the market.

"I've always enjoyed projects where we closely collaborated with leading machine manufacturers who had very high expectations. One of the most interesting clients needed a multi-axis solution. From a sales perspective, it was fascinating because we had the chance to leverage product features that are rarely used, such as the Mitsubishi Electric amplifier, which has three axes and compact dimensions—crucial for this client. Technologically, it was a great challenge because we had to thoroughly understand their perspective and propose solutions that could be converted from competitors' products to Mitsubishi Electric."

Jakub also explored the realm of Industry 4.0 and cloud technologies, working on applications for remote monitoring of machines and robots. This project, initially aimed at a single client, expanded into a significant product offering, underscoring the potential of new technologies to transform business operations.

"During the preparation of applications for remote monitoring of machines, robots, and vibration sensors for one of our clients, I learned a great deal about the exciting solutions this technology offers for business. It turned out to be a hit regarding market needs, and although it didn't seem like a big challenge initially, it was very satisfying."

OEMs, or Original Equipment Manufacturers, are pivotal in the industrial automation landscape. These companies build machines using automation equipment, adding unique solutions and value before selling them to their customers. Jakub appreciates the ingenuity of machine builders, noting their ability to revolutionise the market with innovative solutions.

"When I first encountered this industry after graduation, I was positively surprised by their technological ingenuity. In short, machine builders are companies that find solutions and add their unique value."

Despite the intense competition and technological challenges, OEMs maintain high quality, balancing machine development and business growth. Jakub observes:

"One of the biggest challenges currently facing OEMs is finding a balance between focusing on building and improving machines and business development. I often see machine manufacturers torn between selling high-quality solutions at higher prices or matching the competition by lowering prices and, consequently, the quality to meet minimum requirements without additional features."

OEMs face numerous challenges, from macroeconomic pressures to competition from Chinese products. Recent geopolitical events have disrupted supply chains, forcing OEMs to adapt quickly. Jakub explains the adaptability of OEMs:

"Companies recently based their business models heavily on clients from certain regions, but when geopolitical tensions arose, they had to completely transform due to various blockades, sanctions, and embargoes. They faced the huge challenge of filling this gap, and their adaptability is impressive."

The competition from China has also evolved, with Chinese products improving in quality while maintaining low prices, making it difficult for OEMs to compete. Additionally, customer demands for the latest technologies, coupled with the need for safety and reliability, pose significant challenges. Jakub notes:

"The competition from China has changed significantly; they have improved their quality while maintaining low prices and offering products readily available, making it very difficult to compete without incurring losses. Customers want the latest solutions as quickly as possible, and on the other hand, they want them to be safe and reliable."

Mitsubishi Electric offers a comprehensive ecosystem of solutions tailored to OEM needs. For instance, the EcoAdviser helps OEMs achieve energy efficiency by monitoring and analysing energy usage across various systems. This tool enables manufacturers to identify inefficiencies and optimise energy consumption, which not only helps meet regulatory standards but also leads to significant cost savings. EcoAdviser provides detailed insights into energy consumption patterns, allowing OEMs to make informed decisions about energy management and reduce their overall carbon footprint.

Addressing labor shortages, Mitsubishi Electric provides innovative solutions such as MaiLab. MaiLab is a versatile platform that integrates various edge computing applications, enabling
OEMs to automate processes and optimise operations effectively. The shortage of skilled labor is a challenge across Europe. Our MaiLab solution helps OEMs automate processes and gather and analyse data efficiently, mitigating the impact of labour shortages. MaiLab offers a user-friendly interface for creating custom applications, allowing manufacturers to streamline their operations and improve productivity without the need for extensive programming knowledge.

Additionally, the concept of Machine as a Service (MaaS) is transforming the financial strategies of OEMs. MaaS allows companies to shift from capital expenditures (CAPEX) to operational expenditures (OPEX) by paying for machine usage over time. This model reduces the initial investment, making advanced machinery accessible to smaller companies. It also ensures access to the latest technology and shifts maintenance responsibilities to the machine builders, enhancing machine efficiency and reducing downtime through predictive maintenance. Jakub emphasises the importance of this model:

"MaaS allows companies to focus on their core competencies by outsourcing machine ownership and maintenance. This promotes growth, innovation, and efficiency in the manufacturing industry."

Furthermore, due to various economic factors and evolving environment it is crucial for OEMs to cut and optimise cost when possible. Following that thought it may be tempting to go for cheaper components and substitutes. Unfortunately solution is not always that easy. Of course cheaper process of equipment will guarantee saving right here, right now. On the other hand if cheaper product prices goes along with worse quality, it may cause issues and errors. These errors may lead to downtime in production processes and generate high repair costs. High quality equipment will ensure best production efficiency, help to avoid downtimes thanks to predictive maintenance and will help to save costs in long run.

Mitsubishi Electric plays a crucial role in supporting OEMs by providing advanced technologies and sharing technical knowledge. Unlike larger companies that often overlook smaller OEMs, Mitsubishi Electric ensures that every client receives personalised support. Jakub emphasises the importance of teaching clients how to utilise these technologies fully:

"Our focus at Mitsubishi Electric is to continuously improve the quality of the products we provide, ensuring that OEMs have access to the most advanced technologies. We play a crucial role not only by delivering equipment but also by sharing our technical knowledge, which allows our clients to fully exploit the potential of our products. Our technical support department is a cornerstone, providing high-quality components and technical assistance, which is invaluable for OEMs that prioritise quality."

The insights shared by Jakub Kwiatkowski highlight the dynamic nature of the OEM industry and the continuous drive for innovation and quality. As the industry evolves, Mitsubishi Electric remains committed to supporting OEMs of all sizes with a robust ecosystem of solutions and unparalleled technical expertise. It also emphasise the importance of technical support. One of the best qualities of Mitsubishi Electric is hight qualified staff who is always ready to help when it is needed. Small business owners may be ignored by industry giants and will not provide crucial support – it is not the case with Mitsubishi Electric. The company will support you regardless of company size.