The Virtual Engineering Centre

The Virtual Engineering Centre is one the UK’s leading digital engineering impact centres for industrial and commercial applications. It is playing a key role in driving the growth of the manufacturing industry across the Liverpool City Region through the adoption of Industry 4.0 technologies.

The Virtual Engineering Centre (VEC) is the lead partner in the LCR4.0 initiative, a collaborative EU-funded programme to enable SMEs across the Liverpool City Region (LCR) to access business innovation support to help them to embrace the digital revolution, now and into the future.

The challenge

LCR4.0 was launched in 2016 to support the manufacturing industry as it navigates the opportunities and challenges of technologies such as the Internet of Things, big data, and artificial intelligence. The original project objectives were to assist manufacturers in identifying their challenges and obstacles and addressing these with Industry 4.0 technologies, leading to innovative digital solutions to enhance productivity, efficiency, and competitiveness.

The solution

In addition to providing tailor-made recommendations to manufacturers, the team also sought to bridge the technology skills gap by hosting local knowledge exchange workshops. They explored methods to help industry understand and adopt new technology, encouraging innovation internally and externally through industrial application and a unique paradigm shift.

Since launching, the LCR4.0 projects have supported hundreds of companies including Heap and Partners Ltd, Beverston Engineering, SamsonVT, Inovus Medical, DriverNet and many more. Collaborating with GenLabs, a manufacturer of industrial ovens, the team developed a simulation of the factory floor, which allowed for efficient testing and boosted confidence in the layout leading to a 20% increase in performance efficiency while reducing risk in the process.

Collaboratively, the LCR4.0 projects were also responsible for several large-scale events across the region including the Creative Arts Digital Sandpit. This brought together an array of creative individuals and groups to learn more about how Industry 4.0 technologies can be implemented for streamlining operations, generating new lines of revenue, and becoming more inclusive as a sector.

The VEC launched the UK’s first Digital Heritage Symposium, bringing local museums and heritage foundations with decision-makers and technology providers to St George’s Hall for collective learning of how these technologies can help in the preservation of heritage assets in addition to helping us to learn more about heritage sites and our history. The symposium was well received and with ongoing conversations and planning the VEC was recognised by the Arts and Humanities Research Council (AHRC), leading to the development of a National Centre for Digital Heritage and Research at the Sci-Tech Daresbury campus that will enable long-term support and exploration for improving this sector.

By embracing Industry 4.0 technologies, manufacturers in the region have improved their product quality, reduced costs and increased their speed to market, enabling them to compete more effectively in the future in addition to helping attract new investment and talent to the area.

Impact

Building on the influence of LCR4.0, along with the introduction of the Levelling Up initiative, two additional European Regional Development Fund (ERDF) funded projects were launched in 2020: LCR4.0 START and LCR4.0 Holistic. These initiatives provided further aid to businesses seeking to create strategic business plans and enhance the local digital supply chain.

Since launching, the LCR4.0 projects have jointly supported over 650 SMEs including 139 start-ups and has helped develop 228 new products through 581 R&D collaborations, with 104 new products launched to market. As a result, these businesses are now better positioned to attract and retain customers and generate additional revenue.

The initiative has supported the creation of 226 new jobs with a further 1,462 predicted in the next nine years. By 2032 it is anticipated that LCR4.0 will have generated £121.7 million in GVA, demonstrating a significant economic impact on the region, its businesses, and supply chains for the future.

LCR4.0’s success has empowered delivery partners to expand their outreach into new regions, including Cheshire and Warrington. They launched CW4.0 in 2020, which supported 166 more businesses in adopting Industry 4.0 technologies. Through this initiative, SME beneficiaries were able to create 75 new jobs. By 2032, the CW4.0 project predicts the creation of 265 more new jobs and £64 million in GVA, further adding to the overall impact of these projects on the region.

LCR4.0 has facilitated the building of relationships between manufacturers, technology providers, research institutions and government agencies, leading to increased innovation, competitiveness, and resilience for the region, in addition to further collaborations and new support projects being launched based on the large success of LCR4.0. Building on the success of LCR4.0, the VEC will lead a new £5.1 million Horizons programme, funded by the Liverpool City Region’s £44 million UK Shared Prosperity Fund (UKSPF) allocation.