[AI Era, Jobs Are Changing] LG Smart Factory Demonstrates Coexistence: "In the End, Humans Are the Link"

Hwang Wonjae, Head of Smart Factory Business Development at LG
"Continuous Change in Manufacturing Lines, Like a Living Organism"
"Human Roles Are Crucial for AI to Perform Optimally"
LG Electronics Equips Entire Workforce with Company-Wide

Editor's NoteThe use of artificial intelligence (AI) in industrial sites, including manufacturing, is expected to become the biggest topic in the industry this year. AI, already deployed in manufacturing sites, has proven to be a driving force in improving productivity. This year, its scope will expand in earnest. However, concerns about job losses lie beneath the surface of AI-driven production innovation. This is because the concept of the so-called "Dark Factory," where production is carried out without human intervention, is gradually becoming a reality, making full automation seem possible. However, The Asia Business Daily has found that job changes in AI-powered manufacturing sites are complex. Repetitive and hazardous tasks are assigned to machines, while humans are responsible for judgment, management, and accountability, resulting in a clear division of roles. Rather than AI pushing people out, it is starting to redefine jobs. The era of AI poses a challenge not only in terms of productivity and technological competitiveness but also in job transformation. The Asia Business Daily visited industrial sites at the start of the new year to directly observe how AI is changing jobs.

"In manufacturing sites, AI and humans must collaborate and coexist. While AI performs tasks quickly and accurately, humans are needed for new processes, handling errors, and ensuring AI solutions deliver optimal performance throughout manufacturing operations. If AI is a 'dot,' humans are the 'connections' that link those dots."

Hwang Wonjae, Executive Director in charge of Smart Factory Business Development at LG Electronics' Production Technology Institute, is giving an interview to The Asia Business Daily at LG Digital Park in Pyeongtaek, Gyeonggi Province. LG Electronics

Hwang Wonjae, Executive Director in charge of Smart Factory Business Development at LG Electronics' Production Technology Institute, recently met with The Asia Business Daily at LG Digital Park in Pyeongtaek, Gyeonggi Province. He stated, "While all manufacturing plants may aspire to become dark factories, humans can never be completely excluded or replaced. It is important to establish a virtuous cycle where AI performs repetitive tasks quickly and accurately, and humans oversee the entire process, making decisions and responding to situations that go beyond technical monitoring."

As AI spreads into manufacturing sites, production methods and workforce structures are rapidly changing. From real-time, data-driven predictive maintenance to process optimization, "smart factories" where AI handles key functions have become a reality. Now, the era of the "dark factory," where factories operate fully unmanned 24 hours a day, is approaching. While it may seem that AI can replace all human roles, the reality on the ground is different. In fact, coexistence is being emphasized.

"Why Humans Matter: The Constantly Changing Manufacturing Line"

At LG Smart Park in Changwon, Gyeongnam, employees are checking the operational status and potential errors of the production line through digital twin and Production Intelligence & Execution (PIE) platforms. LG Electronics

Hwang, who emphasizes "coexistence," starts from the 4Ms (Man, Machine, Material, Method) of the manufacturing line, referring to the four components of workforce, equipment, raw materials, and process. He explained, "With new product launches, technological advances, and unprecedented errors that arise as a result, the 4Ms of the manufacturing line are constantly changing. For AI solutions to function properly in such situations, human decision-making is essential for judgment and action."

This means that when situations arise on the ever-changing manufacturing line that AI has not been trained for, human creativity and know-how are ultimately required. Hwang described the partnership between AI and humans by saying, "The manufacturing line is like a living organism." He added, "If AI takes over dangerous tasks and increases production efficiency, the human role will shift toward more creative and high value-added production activities."

A representative example is the "Lighthouse Factory" LG Smart Park located in Changwon, Gyeongnam. In the integrated production building where refrigerators are manufactured, the digital twin predicts the process situation 10 minutes into the future, like a time machine, and the intelligent inspection platform (PIE) analyzes and presents real-time data. Inside the factory, three-dimensional logistics systems such as automated guided vehicles (AGVs) and overhead conveyors (OHTs) are in operation. Previously, automation meant robots simply repeated actions in fixed positions, but now, using vision recognition and other technologies, mixed-model production is possible on a single line.

Hwang Wonjae: "To Enhance Manufacturing Competitiveness, Seek AI Cost Efficiency"

Hwang Wonjae, Executive Director in charge of Smart Factory Business Development at LG Electronics' Production Technology Institute, is giving an interview to The Asia Business Daily at LG Digital Park in Pyeongtaek, Gyeonggi Province. LG Electronics

Hwang offered a realistic perspective on unmanned factories known as "dark factories." He pointed out, "Even at the Changwon plant, where data is collected from thousands of points, if you look at certain sections, a de facto dark factory has been realized. However, someone still needs to oversee and respond based on the digital twin." He continued, "As the barriers to adopting technology are lowered, the likelihood of field work being replaced by AI-based automation solutions increases. However, for manufacturing lines to continue evolving, AI and humans must coexist."

Humans who have handed over field work to AI are now considering how to accumulate manufacturing know-how as data. Hwang said, "There are already many technical methods to digitize expertise in manufacturing sites," but added, "The bigger obstacle is not technical issues, but cost-specifically, the return on investment." He explained that the key factor determining future manufacturing competitiveness will be how efficiently the entire pipeline can be managed, from applying the expertise of skilled workers to AI, to more important maintenance and updates.

No Distinction Between Research and Administrative Roles... Companywide Emphasis on AI Competency

A robot installed at LG Smart Park in Changwon, Gyeongnam is assembling refrigerator doors weighing up to 20 kg instead of humans. LG Electronics

The spread of AI has also impacted workforce retraining and job transitions. LG Electronics has established a direction where not only research and development (R&D) staff but all employees must acquire AI as a basic competency. To this end, the company operates companywide AI transformation (AX) competency assessment and certification systems, as well as training programs, and also provides specialized training by division. The Production Technology Institute is also nurturing experts through university-linked programs.

Hwang emphasized that AI competency should be viewed not from a "winning" perspective but a "survival" perspective. He explained, "At LG Electronics, all employees, regardless of whether they are in research or administrative roles, receive AI training. We are constantly considering how to improve efficiency by utilizing AI agents even in simple tasks, and how to delegate repetitive work to AI so that humans can focus on relatively creative tasks."