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NewsMaterial4 min readDisconfirmAI Editorial

Li Jiansi, a Practitioner of AI Adoption in Manufacturing: Why the Lean and Fragmented Nature of Small and Medium Enterprises Is an Advantage for AI Agents

Drawing on his experience driving AI adoption on the front lines of manufacturing, Li Jiansi argues that small and medium enterprises (SMEs), which lack white-collar staff, can use AI agents to directly fill functional gaps, gaining management capabilities faster than large corporations. Additionally, their moderate volume of unstructured data eliminates the need for expensive information restructuring.

2026-11-10 06:00 GMT+8

When discussing corporate AI adoption, common prerequisites include having sufficient data, a complete IT architecture, and a professional team. In a column published by TechOrange, Li Jiansi takes a different approach. He recounts his experience promoting AI adoption on the front lines of manufacturing and observes a structural paradox: the long-standing shortage of white-collar support staff and management know-how in SMEs, along with their moderately sized and fragmented data, actually become advantages for using AI.

The first mechanism behind this argument lies in organizational structure. Many small and medium enterprises in Taiwan possess world-class factories and are hidden champions in their respective fields, but their management and support staff structures are highly streamlined—market analysis, legal affairs, human resources, and capital strategy are often concentrated among a few executives, sometimes with no one responsible at all. This approach worked reasonably well in a relatively stable globalized environment, but geopolitical economics and technology are undergoing drastic changes. World-class factories require world-class enterprise management. The traditional way to address this is to hire personnel and establish departments, bearing fixed costs over the long term; yet many companies cannot move up precisely because they lack these resources, creating a chicken-and-egg dilemma.

In the AI era, being lean may instead become an advantage. Compared to large enterprises with complete departmental divisions and responsibilities, SMEs have fewer burdens from existing staffing structures, making it easier for AI agents to directly fill functions that were previously understaffed. Li Jiansi gives an example: a factory that originally had no market research personnel can begin to track changes in its clients' industries and evaluate business opportunities it previously did not have time to study. With this support, executives also have more bandwidth to think further ahead for the company. The core judgment here is that SMEs can acquire previously lacking capabilities faster than large enterprises.

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The second mechanism concerns data scale. When enterprises hear about AI, they often instinctively seek out IT experts and external consultants, followed by discussions of expensive, massive information architectures. Before adoption even begins, budgets and engineering efforts loom large. However, Li Jiansi believes that for AI, the data volume of SMEs is not particularly large; the messy, unorganized information that has not yet been systematically structured is precisely the type of material AI excels at digesting. By using appropriate enterprise-grade AI subscription tools, companies can start with existing files and teams without needing to restructure all their data first. Data that is too small makes it difficult to discern operational patterns, while data that is too large consumes vast resources just in integration; many SMEs fall exactly between these two extremes—neither too big nor too small—which turns out to be just right.

He extends this observation to the significance for Taiwan's industrial structure: when individual SMEs with specialized expertise can maintain the flexibility of lean organizations while acquiring management capabilities previously available only to large enterprises, industrial upgrading does not need to presuppose corporate expansion. World-class manufacturing prowess need not always be limited by how many people are in the office.

It should be noted that this is an attribution-based argument derived from frontline practical experience, rather than a quantified, verified research result. The statement in the article—that 'even if only 1% of employees truly master this working method, it could drive a doubling of overall competitiveness'—is the author's inferential judgment, without specific measurement methods or samples attached. The Anthropic Claude Usage Index showing Taiwan's relative usage intensity lagging behind Singapore and South Korea is external data cited by the author to illustrate the urgency of the issue, not a core pillar of the argument itself. The premise for the argument's validity is that AI agents can reliably take over entire workflows by 2026—the author believes this condition is maturing but provides no specific testing of failure cases or capability boundaries.

Regardless of whether the AI investment frenzy cools down, Li Jiansi's conclusion is that this path is already open; there is no need to wait for the next data center to be completed before moving forward. The current AI allows the four characters for 'small and medium enterprises' to one day merely describe a company's headcount, rather than pre-determining how far it can go.

Sources

  • techorange.comTechOrange 科技報橘↗
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