[Report] Inspecting Factory Every 30 Seconds Like Palm... The Secret Behind Defect-Free 'LG Refrigerator' (Comprehensive)

Simulation of Main Factory Parts Process '10 Minutes Before'
Minimizing Parts Defects and Product Loss (Defects)
AI Kimchi Storage Refrigerators from Bibigo, Jongga Jip, Pulmuone Also Draw Attention

A robotic arm installed on the production line in the LG Smart Park integrated production building easily lifts a large refrigerator door weighing over 20 kilograms (kg) and assembles it onto the main body. (Photo by LG Electronics)

[Changwon=Asia Economy Reporter Moon Chaeseok]

#When entering the 3rd floor final assembly line of the LG Smart Park integrated production building in Changwon, Gyeongsangnam-do, logistics robots (AGV·Automated Guided Vehicles) are busily moving around. AGVs controlled by 5th generation mobile communication (5G) easily carry 600KG load containers. When a person on the 3rd floor fits the parts lifted by the robots from the 1st floor, a refrigerator is quickly assembled. There is no sight of people struggling as if carrying heavy sacks of rice.

On the 6th, at the refrigerator equipment line of the LG Smart Park integrated production building in Changwon, the unique LG smart factory ‘mixed-model production’ system could be observed. Mixed-model production refers to LG’s unique production process that saves production time by accurately fitting parts without confusion even when producing different refrigerator models on the same production line. Instead of several people separately assembling product A, which takes 2 hours for stamping, assembly, and inspection, and product B, which takes 2.5 hours, the workers waiting on the 3rd floor line can immediately switch parts.

LG Electronics employees checking the 'Virtual Factory' displayed by the intelligent process system at LG Smart Park. The factory operation status, including refrigerator production, parts, movement, inventory status, and equipment abnormalities, can be viewed at a glance. (Photo by LG Electronics)

The key to mixed-model production is the 'virtual factory' system that oversees the entire factory. The virtual factory system operates thanks to 'digital twin' technology. Applying digital twin technology allows analysis of the entire factory’s status every 30 seconds. It helps supply the right parts at the right time even for different product groups on each line.

Thanks to this, LG Smart Park can implement 'predictive maintenance' that simulates all processes 10 minutes before anything happens. Predictive maintenance allows a comprehensive view of the production line, parts movement, inventory status, equipment abnormalities, and product production performance. This prevents product loss (defects) caused by mixing parts of product B into product A parts on the 3rd floor final assembly line.

A robotic arm installed on the production line of the LG Smart Park integrated production building moving heavy refrigerator parts. (Photo by LG Electronics)

The amount of data collected daily at the LG Smart Park integrated production building reaches a whopping 500GB (gigabytes). This is about 10,000 times more than the average daily data collection of 50MB on the existing refrigerator production line.

This is a system that analyzes massive data in real time through digital transformation (DX) using big data and artificial intelligence (AI). There is no longer a need for humans to directly check product abnormalities or worry about which equipment has problems and how to repair them when defects occur.

By improving data management levels, defective products have also been noticeably reduced. The time to analyze the causes of defects has been shortened by about 50% compared to before. The actual defect rate on site has dropped by about 30%.

Mixed-model production currently applies only to the refrigerator production line, but LG Electronics explains that it can be expanded to other home appliances anytime. This is because the refrigerator production process is the most complex among home appliances. Kang Myungseok, LG Electronics Advanced Task Leader, explained, "We are prioritizing mixed-model production on refrigerators, which have the most complex line processes with as many as 58 types of doors, and it can be sufficiently expanded to other products."

The selected theme color in the LG ThinQ app, LG's integrated home appliance platform, applied to the LG Dios Objet Collection MoodUp refrigerator. (Image source=Yonhap News)

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The increased production efficiency unique to LG, thanks to mixed-model production and predictive maintenance, is recognized worldwide. Mixed-model production and predictive maintenance are also the secrets to LG Electronics’ emphasized 'Customer Experience (CX) management.' For CX management to succeed, all kinds of demanding customer needs must be met. It is difficult with 'small variety, mass production,' which produces identical products like fish-shaped bread according to uniform production processes. A high-intensity DX system must be established to achieve 'large variety, small quantity production.'

A typical example of LG Electronics’ mixed-model production and predictive maintenance process is the LG DIOS Objet Collection refrigerator.

An LG Electronics researcher explaining the 'Artificial Intelligence (AI) Customized Storage' feature of the DIOS Objet Collection kimchi refrigerator Mood Up. (Photo by LG Electronics)

Meanwhile, the Water and Food Science Research Institute located on the 5th floor of the LG Smart Park Research and Development (R&D) Center also attracted attention. In particular, the press was interested in the 'AI Kimchi Customized Storage' process of the DIOS Objet Collection Kimchi Refrigerator Mood Up displayed in the cooking development room. By scanning the barcode of packaged kimchi and entering the manufacturing date through the LG ThinQ app, customers can systematically manage kimchi at the optimal temperature and time (Jeong-on Jeong-si·正溫正時). It supports customized storage of nine major brands of packaged kimchi such as CJ CheilJedang’s 'Bibigo,' Daesang’s 'Jongga Jip,' and Pulmuone’s 'Pulmuone Kimchi' according to customer preferences.

In response to the on-site press question, "How do you manage kimchi like homemade kimchi without a manufacturing date?" researcher Lee Seulgi of LG Electronics Water and Food Science Research Institute said, "If you enter the date the kimchi was made on the 'Leuconostoc' tab of the kimchi compartment in the LG refrigerator middle section, customers can manage kimchi themselves just like the packaged kimchi AI management system."

LG Smart Park Integrated Production Building exterior. (Photo by LG Electronics)

LG Electronics’ capability for large variety, small quantity production is also recognized worldwide. In March, LG Smart Park was selected as a 'Lighthouse Factory' by the World Economic Forum (WEF) for the first time among domestic home appliance company factories. Specifically, it received high scores in five categories: ▲factory logistics automation ▲digital twin technology ▲predictive maintenance system ▲AI platform-based inspection system ▲intelligent production automation.

LG Electronics began transitioning to smart factories early in 2017 and was able to start related processes on three lines last September: ▲ultra-premium 'LG Signature' refrigerators ▲Objet Collection and North American French door refrigerators ▲water purifiers. By 2025, the integrated production building will be expanded and upgraded to a 'Phase 2' smart factory by adding lines for refrigerators, air conditioners, ovens, and dishwashers.

The Phase 2 Changwon LG Smart Park will serve as the 'mother factory (core factory)' for 17 global production subsidiaries spread across 14 countries. LG Electronics hinted, "Once the Phase 2 Smart Park is completed in 2025, the production system will be fully expanded and applied to global production subsidiaries, and Changwon Smart Park will serve as the forward base for CX innovation."