How MSP Manufacturing Integrates AI to Streamline Operations

MSP Manufacturing is strategically incorporating artificial intelligence (AI) into multiple aspects of our operations. From streamlining CNC programming to enhancing contract reviews and facilitating onboarding and workforce development, we are leveraging technology to increase efficiency, reduce costs, and position ourselves as an early adopter in the manufacturing space.

According to Johnny Goode, MSP Manufacturing’s President and COO, the organization’s leadership recognized the need for innovation early on:

"When I came onboard in 2020… I had this feeling that MSP was severely behind our competition. Now, we've gone from being maybe a decade behind to really starting to be an early adopter for some of this technology."

Accelerating CNC Programming with CAM Assist

One of our most impactful AI implementations is CAM Assist, an AI-powered tool developed by CloudNC that integrates with Mastercam and Fusion CAD/CAM software.

CloudNC’s CAM Assist revolutionizes CNC machining by automating programming and reducing setup time by up to 80%. Integrated within Mastercam, the AI-driven tool instantly generates professional machining strategies for 3-axis components, eliminating the manual selection of tools, toolpaths, and cutting speeds. This automation boosts machine uptime, shortens lead times, and helps us stay competitive while reducing reliance on highly skilled programmers.

By streamlining CAM programming, our experienced programmers benefit from faster setups, enabling them to focus on optimization rather than routine tasks. We’ve seen increased efficiency, quicker deliveries, and new business opportunities. However, we have been strategic in its deployment.

"We've isolated [Cam Assist] to only two of our more proficient programmers because we still want our beginners and intermediates to learn and develop the skill," Goode explains. "Cam Assist does a great job, but it only programs 80 to 90%. You still need a programmer to maximize what toolpaths are better than others."

The AI-driven tool has also improved our ability to handle low-volume, high-mix jobs. Traditionally, much of the cost for customers was tied up in programming and setup. Now, Cam Assist dramatically reduces that overhead, even automatically designing second-operation jaws in seconds—something that used to take programmers 15-20 minutes.

Enhancing Data Analysis with Power BI

To further optimize operations, we’ve launched the integration of Power BI into our workflow, enabling near real-time data visualization. Power BI is a tool that helps turn scattered data into clear, interactive insights. It connects to various data sources, whether it's an Excel file or a mix of Cloud and on-premises databases. With Power BI, we will be able to easily visualize key production, operational, and financial information and share it with others.

"We do a lot of data analysis and Power BI helps us to integrate that information in close to real-time," says Goode. "With ProShop integrating with our financial accounting software, I can look every day and see what our purchases were today, what we shipped today, and I can see things on a daily, hourly, or whatever frequency I want."

This has transformed how we track our finances, eliminating the need to wait until the end of the month to review our critical data.

Streamlining Contract Review with AI

We’re also using AI to expedite our contract review process, significantly cutting down the time required to analyze purchase orders. Previously, reviewing complex legal agreements and purchase terms was a time-intensive process. This integration has led to important discoveries—such as outdated contractual clauses that could have been unfavorable to MSP.

"We found old contracts that had weird clauses. One of them basically said the customer could cancel or move out the order up until the date of shipment. By then, we’ve already invested time, energy, and material."

By leveraging AI for contract review, we are both saving time and reducing risk.

Implementing AI for External Functions

We are looking beyond internal operations and aim to automate shipping logistics and improve our customers’ experience through AI.

"I think our biggest use of AI will be later this year if we get more grant funding. We’re looking at automating shipping so that packing slips and tracking information are generated and automatically sent to the customer," Goode explains.

Additionally, we are exploring the development of a customer login portal where our clients can track their orders in real time. Customers will be able to put in their purchase order and see exactly where their parts are inside our facility. That’s going to be a game-changer for transparency.

Capturing Institutional Knowledge for Workforce Development

Recognizing the potential of AI to further streamline internal operations, we are working on developing our own Large Language Model (LLM) to interact with our Enterprise Resource Planning (ERP) system. That development comes through some potential grant funding and will entail the LLM capturing and integrating tribal knowledge which will, in turn, reduce the time it takes for a new hire to become proficient at their job.

That workforce development concept reflects a key aspect of our approach to growing the team. A key part of our AI strategy is ensuring that AI complements the workforce rather than replaces it.

“If companies aren’t careful, they’re going to put too much reliance on AI and not feed the pipeline of younger talent to replace their knowledgeable employees," Goode warns. "We’re growing, and I have the same workforce. And when things work out well, we can give our employees bigger bonuses. My goal isn’t just to load my pockets—it’s to share the wealth with everybody because without our employees, we wouldn’t be where we are.”

Here at MSP, AI is seen as a force multiplier—enhancing productivity without reducing jobs. We are also mindful of ensuring our employees maintain foundational machining skills because if we just recruit someone who doesn’t know much and have them feed the machine, we’re going to be in for a rude awakening. AI can’t replace skilled workers, and companies that don’t continue to train and educate will fall behind.

A Future-Ready Approach to AI

MSP Manufacturing’s AI strategy is deliberate, strategic, and forward-thinking. Instead of adopting AI for AI’s sake, we are identifying key pain points and integrating AI solutions where they provide the most value.

With AI-driven programming, real-time data analysis, contract automation, and upcoming shipping enhancements, we are positioning ourselves as an industry leader in smart manufacturing.

And, as Goode puts it, AI isn’t just about efficiency—it’s about innovation and adaptability:

"Our innovation isn’t about buying one piece of equipment and calling it a game-changer. It’s all these small actions that, over time, have a massive impact."

With our human-first, AI-enhanced approach, we are proving that technology and workforce development can go hand in hand—paving the way for a smarter, more efficient, and future-ready player in the manufacturing industry.

Visit www.msp-manufacturing.com to learn more about our work.