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Why the next phase of industrial AI will be measured in uptime, energy savings and output

Why the next phase of industrial AI will be measured in uptime, energy savings and output

Thu, 20th Aug 2026 (Today)
Khalid Shaikh
KHALID SHAIKH General Manager, Compressor Technique Business Area Atlas Copco Malaysia and Singapore

For much of the past few years, the business conversation around artificial intelligence has centred on what employees can do faster. Generative AI can draft an email, summarise a document, analyse information or speed up administrative work. These are useful applications, but they represent only one part of AI's potential value to businesses. On a factory floor, the more consequential question is often much less visible: can AI help a manufacturer keep a critical machine running, spot an inefficiency before it becomes expensive or prevent a production interruption before it happens?

This is where the next phase of industrial AI is likely to be judged. Not by the number of tools deployed or prompts entered, but by harder operational measures such as equipment uptime, energy consumption, maintenance costs and production output. That shift is already beginning across Asia Pacific. 

Rockwell Automation's 2026 State of Smart Manufacturing Report found that 71% of APAC manufacturers plan to increase their use of AI and machine learning over the next 12 months. More than half, at 53%, also identified AI and machine learning as among the technologies most likely to drive business performance, while manufacturers are increasingly focusing their technology investments on measurable outcomes such as quality improvement, cost reduction and risk mitigation.

Moving AI from the office to physical operations

Industrial environments have been generating data long before generative AI became mainstream. Compressors, pumps, motors, production lines and other equipment can produce information about pressure, temperature, energy consumption, operating hours and equipment condition. The opportunity lies in turning that stream of information into something useful. Connected equipment can give operations teams greater visibility into how machinery is behaving. AI-supported analysis can then help identify patterns within this data, highlight deviations and flag conditions that may require attention.

The International Energy Agency identifies predictive maintenance, fault detection, leak detection and operational optimisation among the practical areas where AI can support energy and industrial systems. That changes the role of operational data. Rather than simply recording what has already happened, manufacturers can increasingly use it to help decide what should happen next.

Uptime may be one of AI's clearest measures of value

Unexpected downtime is rarely an isolated engineering problem. A machine that fails unexpectedly can affect production schedules, labour allocation, customer commitments and every process that depends on it. If the equipment is part of a critical utility system, the consequences may spread across an entire facility. Traditional maintenance models often sit at either end of a spectrum. Businesses may wait until equipment fails and repair it reactively, or service machinery according to predetermined schedules regardless of its actual operating condition. Neither approach is ideal for every operating environment.

Condition-based and predictive maintenance offer another possibility. By examining equipment data over time, monitoring systems can identify abnormal behaviour or changes in performance that may indicate an emerging problem. Engineers can then investigate and schedule an intervention before the issue develops into an unplanned shutdown.

The World Economic Forum has highlighted examples of manufacturers using AI to analyse data such as vibration, thermal information and oil condition to identify anomalous patterns and anticipate potential breakdowns. For manufacturers, this is an important distinction. The objective is not to predict every mechanical failure with certainty. It is to give technical teams better information and more time to act.

The energy case is just as important

Downtime tends to attract attention because its consequences are immediate. Energy inefficiency is often quieter. A system can continue operating while consuming more electricity than necessary. Pressure may be set too high. Equipment may run inefficiently during periods of low demand. Leaks can go unnoticed. Machines may gradually move away from their optimum operating conditions without causing an obvious production failure.

Over months or years, these inefficiencies become a substantial operating cost. Compressed air provides a particularly useful example because the energy requirement is significant. It is estimated that energy can account for around 70% of a compressor's total lifecycle cost.

As a general rule, according to Malaysia-based global compressed-air solutions provider Atlas Copco, reducing compressor pressure by one bar can lower electricity consumption by approximately 7%, where operating requirements allow it. The IEA similarly points to compressed-air optimisation as an area where relatively low-cost operational actions can generate meaningful energy savings. This is where continuous monitoring becomes more valuable than a one-off efficiency exercise. An energy audit can identify problems at a point in time. Connected systems can help businesses see what happens afterwards, including whether consumption begins to rise, operating conditions change or previously corrected inefficiencies return.

From dashboards to decisions

Simply collecting more data does not automatically make a factory smarter. Industrial businesses already generate large volumes of operational information. The harder challenge is determining which signals require action and which are simply normal variations in equipment behaviour. 

In compressed-air operations, for example, connected monitoring systems can continuously capture equipment data covering operating conditions, energy performance and machine health. Atlas Copco's SMARTLINK platform is one example, combining connected compressor data with monitoring, alerts and AI-supported recommendations to help operators track system health, energy efficiency and equipment availability. Analytical tools can then compare this information over time, helping operators identify unusual patterns or potential risks that warrant closer investigation.

What matters is not the sophistication of the monitoring platform itself, but whether the information leads to a useful decision. An early warning has little value unless it gives maintenance teams enough context and time to investigate, intervene or adjust operating conditions.

If an operations team receives an indication that a critical piece of equipment is behaving differently from its normal operating pattern, it can investigate before performance deteriorates further. If energy consumption begins rising without a corresponding increase in production demand, the team has a reason to examine system settings, leaks or equipment conditions. Industrial AI becomes commercially relevant when these insights lead to measurable actions.

The human operator remains critical

There is also a temptation to describe AI-powered manufacturing as a progression towards fully autonomous factories in which machines diagnose and correct every problem themselves. In practice, industrial environments are more complicated.

An algorithm can recognise that a parameter has moved outside its normal range. It may identify an unusual pattern across thousands of data points faster than an engineer could manually. But understanding why the change occurred may require knowledge of the production process, recent maintenance work, ambient conditions or changes elsewhere in the facility.

That context still matters. The stronger model is therefore likely to be one in which AI supports engineering judgement rather than attempts to replace it. Instead of asking operators to review every data point, analytical systems can direct their attention towards the conditions most likely to require investigation. Engineers can then apply their technical knowledge to decide whether intervention is necessary. That combination of machine analysis and human expertise is particularly important where maintenance decisions can affect safety, product quality or production continuity.

Manufacturers should start with the problem, not the technology

For businesses considering industrial AI, the starting point should not be: "Where can we deploy AI?" A better set of questions would be more operational. Where are we losing production time? Which pieces of equipment create the greatest disruption when they fail? Where is energy consumption increasing without a corresponding rise in output? Which maintenance decisions are still based largely on fixed intervals rather than actual equipment condition?

These questions lead towards use cases that can be measured. A manufacturer could, for example, establish baseline figures for unplanned downtime, energy consumed per unit of production, maintenance call-outs or compressor efficiency. It can then assess whether better monitoring and data-supported maintenance improve those indicators over time.

This also helps businesses avoid one of the risks surrounding enterprise AI: investing in technology because it is fashionable rather than because there is a clearly defined operational problem to solve.

The industrial AI conversation needs different KPIs

Generative AI has made artificial intelligence visible to millions of employees because its output can be seen immediately on a screen. Industrial AI works differently. Its most successful outcomes may sometimes be the things that do not happen.

A potential equipment failure is caught before it disrupts production. Energy consumption does not continue creeping upwards unnoticed. A maintenance team receives enough warning to schedule a repair rather than respond to an emergency. These outcomes may attract less attention than the latest generative AI application, but they can have a much more direct relationship with industrial performance. For manufacturers, the next stage of AI adoption should therefore be less about demonstrating that they are using AI and more about proving what it changes.

The most meaningful indicators are likely to be familiar ones: more uptime, lower energy use, fewer unexpected interventions and greater output from existing assets. Ultimately, that may be the clearest sign that industrial AI has matured. It will stop being measured as a technology initiative and start being measured like any other investment on the production floor: by whether it makes the operation work better.