Flevy Management Insights Q&A
What role will virtual reality (VR) and augmented reality (AR) play in the future of Setup Reduction training and implementation?
     Joseph Robinson    |    Setup Reduction


This article provides a detailed response to: What role will virtual reality (VR) and augmented reality (AR) play in the future of Setup Reduction training and implementation? For a comprehensive understanding of Setup Reduction, we also include relevant case studies for further reading and links to Setup Reduction best practice resources.

TLDR VR and AR technologies are set to revolutionize Setup Reduction training by providing immersive learning experiences, reducing training time and costs, and improving safety and compliance.

Reading time: 5 minutes

Before we begin, let's review some important management concepts, as they related to this question.

What does Immersive Learning Experiences mean?
What does Cost Efficiency in Training mean?
What does Safety and Compliance Training mean?


Virtual Reality (VR) and Augmented Reality (AR) technologies are rapidly reshaping the landscape of training and implementation across various sectors, including manufacturing and production. Setup Reduction, also known as SMED (Single-Minute Exchange of Dies), is a critical process in manufacturing that focuses on reducing the time taken to switch from one product to another. This process not only improves efficiency but also significantly reduces downtime and increases production flexibility. The integration of VR and AR into Setup Reduction training and implementation promises to revolutionize these processes by offering immersive, interactive, and highly effective training solutions.

Enhancing Learning Experiences through Immersive Technologies

VR and AR technologies have the potential to transform the traditional approach to Setup Reduction training by providing immersive and interactive learning experiences. Traditional training methods, which often rely on classroom-based instruction and static manuals, can be limited in their effectiveness, particularly in conveying complex procedures and concepts. VR can create a fully immersive environment where trainees can practice setup reduction techniques in a virtual space that simulates real-life manufacturing settings. This hands-on approach not only enhances understanding but also allows for the practice of procedures without the risk of damage to actual equipment or downtime.

AR, on the other hand, overlays digital information onto the physical world, enabling trainees to receive real-time guidance and feedback during actual setup reduction processes. For instance, AR can project step-by-step instructions or highlight components directly onto machinery, guiding the user through the process. This blend of physical and digital interaction enhances learning retention and application of knowledge in real-world settings.

According to a report by PwC, VR and AR training has the potential to increase learning effectiveness by up to 400%. This is attributed to the immersive and interactive nature of these technologies, which can lead to faster learning and better retention of information compared to traditional training methods. The report also highlights that learners are up to 275% more confident in applying the skills learned through VR, indicating the significant impact of immersive learning on competency and performance.

Are you familiar with Flevy? We are you shortcut to immediate value.
Flevy provides business best practices—the same as those produced by top-tier consulting firms and used by Fortune 100 companies. Our best practice business frameworks, financial models, and templates are of the same caliber as those produced by top-tier management consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture. Most were developed by seasoned executives and consultants with 20+ years of experience.

Trusted by over 10,000+ Client Organizations
Since 2012, we have provided best practices to over 10,000 businesses and organizations of all sizes, from startups and small businesses to the Fortune 100, in over 130 countries.
AT&T GE Cisco Intel IBM Coke Dell Toyota HP Nike Samsung Microsoft Astrazeneca JP Morgan KPMG Walgreens Walmart 3M Kaiser Oracle SAP Google E&Y Volvo Bosch Merck Fedex Shell Amgen Eli Lilly Roche AIG Abbott Amazon PwC T-Mobile Broadcom Bayer Pearson Titleist ConEd Pfizer NTT Data Schwab

Reducing Training Time and Costs

Implementing VR and AR in Setup Reduction training can lead to substantial reductions in training time and costs. Traditional training methods can be time-consuming and often require the allocation of resources, such as machinery and equipment, which could otherwise be used for production. VR and AR eliminate the need for physical resources during the training phase, allowing for continuous production without interruption. Additionally, these technologies enable scalable and repeatable training sessions without the need for additional trainers or physical space, further reducing costs.

Furthermore, the flexibility offered by VR and AR technologies means that training can be conducted remotely, reducing the need for travel and accommodation expenses typically associated with centralized training programs. This aspect is particularly beneficial for multinational organizations with multiple manufacturing sites, as it ensures consistent training standards across all locations while minimizing logistical challenges and expenses.

Accenture's research supports the cost-effectiveness of immersive training technologies, stating that organizations implementing VR for training have seen a reduction in training time by up to 60%. The study also points out that VR and AR training solutions can significantly decrease the costs associated with traditional training methods, including those related to equipment, travel, and productivity losses due to training-related downtime.

Improving Safety and Compliance

The application of VR and AR technologies in Setup Reduction training also has profound implications for safety and compliance. By enabling trainees to practice and master setup reduction techniques in a risk-free virtual environment, organizations can significantly reduce the likelihood of accidents and errors during the actual setup process. This proactive approach to safety training can help in minimizing workplace injuries and ensuring compliance with industry regulations and standards.

AR technology can further enhance safety by providing real-time, on-the-job guidance and support. For example, AR can display safety warnings, highlight hazardous areas, and provide immediate access to emergency procedures, thereby enhancing the overall safety of the setup reduction process. This real-time guidance ensures that employees are constantly reminded of safety protocols, reducing the risk of oversight or error.

A study by Deloitte highlights the role of AR in improving compliance and safety in the workplace, noting that AR-driven guidance and training have led to a 40% reduction in safety incidents in organizations that have adopted the technology. The study emphasizes that AR not only improves the efficiency and effectiveness of training but also plays a crucial role in reinforcing safety protocols and compliance measures.

In conclusion, the integration of VR and AR into Setup Reduction training and implementation offers a range of benefits, including enhanced learning experiences, reduced training time and costs, and improved safety and compliance. As these technologies continue to evolve and become more accessible, their role in revolutionizing training and implementation processes across the manufacturing sector is set to grow significantly.

Best Practices in Setup Reduction

Here are best practices relevant to Setup Reduction from the Flevy Marketplace. View all our Setup Reduction materials here.

Did you know?
The average daily rate of a McKinsey consultant is $6,625 (not including expenses). The average price of a Flevy document is $65.

Explore all of our best practices in: Setup Reduction

Setup Reduction Case Studies

For a practical understanding of Setup Reduction, take a look at these case studies.

Setup Reduction Enhancement in Maritime Logistics

Scenario: The organization in focus operates within the maritime industry, specifically in logistics and port management, and is grappling with extended setup times for cargo handling equipment.

Read Full Case Study

SMED Process Optimization for High-Tech Electronics Manufacturer

Scenario: A high-tech electronics manufacturer is struggling with significant process inefficiencies within its Single-Minute Exchange of Die (SMED) operations.

Read Full Case Study

Quick Changeover Strategy for Packaging Firm in Health Sector

Scenario: The organization is a prominent player in the health sector packaging market, facing challenges with lengthy changeover times between production runs.

Read Full Case Study

SMED Process Advancement for Cosmetic Manufacturer in Luxury Sector

Scenario: The organization in question operates within the luxury cosmetics industry and is grappling with inefficiencies in its Single-Minute Exchange of Die (SMED) processes.

Read Full Case Study

Quick Changeover Initiative for Education Tech Firm in North America

Scenario: The organization, a leading provider of educational technology solutions in North America, is grappling with extended downtime and inefficiencies during its software update and deployment processes.

Read Full Case Study

Resilience in Supply Chain Strategy for IT Support Services in Transportation

Scenario: An IT support services provider for the transportation sector is facing significant challenges related to setup reduction, impacting its ability to swiftly adapt to market demands and technological advancements.

Read Full Case Study




Flevy is the world's largest knowledge base of best practices.


Leverage the Experience of Experts.

Find documents of the same caliber as those used by top-tier consulting firms, like McKinsey, BCG, Bain, Deloitte, Accenture.

Download Immediately and Use.

Our PowerPoint presentations, Excel workbooks, and Word documents are completely customizable, including rebrandable.

Save Time, Effort, and Money.

Save yourself and your employees countless hours. Use that time to work on more value-added and fulfilling activities.




Read Customer Testimonials

  •  
    "As a small business owner, the resource material available from FlevyPro has proven to be invaluable. The ability to search for material on demand based our project events and client requirements was great for me and proved very beneficial to my clients. Importantly, being able to easily edit and tailor "

    – Michael Duff, Managing Director at Change Strategy (UK)
  •  
    "As a young consulting firm, requests for input from clients vary and it's sometimes impossible to provide expert solutions across a broad spectrum of requirements. That was before I discovered Flevy.com.

    Through subscription to this invaluable site of a plethora of topics that are key and crucial to consulting, I "

    – Nishi Singh, Strategist and MD at NSP Consultants
  •  
    "I am extremely grateful for the proactiveness and eagerness to help and I would gladly recommend the Flevy team if you are looking for data and toolkits to help you work through business solutions."

    – Trevor Booth, Partner, Fast Forward Consulting
  •  
    "As a niche strategic consulting firm, Flevy and FlevyPro frameworks and documents are an on-going reference to help us structure our findings and recommendations to our clients as well as improve their clarity, strength, and visual power. For us, it is an invaluable resource to increase our impact and value."

    – David Coloma, Consulting Area Manager at Cynertia Consulting
  •  
    "I have used FlevyPro for several business applications. It is a great complement to working with expensive consultants. The quality and effectiveness of the tools are of the highest standards."

    – Moritz Bernhoerster, Global Sourcing Director at Fortune 500
  •  
    "As an Independent Management Consultant, I find Flevy to add great value as a source of best practices, templates and information on new trends. Flevy has matured and the quality and quantity of the library is excellent. Lastly the price charged is reasonable, creating a win-win value for "

    – Jim Schoen, Principal at FRC Group
  •  
    "As a consultant requiring up to date and professional material that will be of value and use to my clients, I find Flevy a very reliable resource.

    The variety and quality of material available through Flevy offers a very useful and commanding source for information. Using Flevy saves me time, enhances my expertise and ends up being a good decision."

    – Dennis Gershowitz, Principal at DG Associates
  •  
    "The wide selection of frameworks is very useful to me as an independent consultant. In fact, it rivals what I had at my disposal at Big 4 Consulting firms in terms of efficacy and organization."

    – Julia T., Consulting Firm Owner (Former Manager at Deloitte and Capgemini)



Download our FREE Strategy & Transformation Framework Templates

Download our free compilation of 50+ Strategy & Transformation slides and templates. Frameworks include McKinsey 7-S Strategy Model, Balanced Scorecard, Disruptive Innovation, BCG Experience Curve, and many more.