Abstract: The Chennai Automotive Common Facility Centre (CFC) in Tirumudivakkam, Chennai, is a groundbreaking initiative aimed at empowering automotive component manufacturers, particularly Micro, Small, and Medium Enterprises (MSMEs). The objective is to study the Common Facility Centre using 5 point scale and find value description on AI and Robotics implementation before and after cluster development approach at Chennai Automotive Components Industrial Cluster at Tirumudivakkam. The methodology adopted is study on 40 Automotive Components Manufacturers at Tirumudivakkam, Chennai using statistical techniques such as the T-test, Discriminant Analysis and Structural Equation Modelling, The research measures the improvements in production performance driven by AI and robotics integration. The T-test is applied to assess changes in key performance metrics, before and after the cluster development approach. The Discriminant Analysis method identifies the key factors influencing the success of AI and robotics in smart production. Results indicate that the integration of AI and robotics leads to substantial improvements in production effectiveness. Businesses in the cluster experience stronger competitiveness, higher customer satisfaction, and reduced operational costs after adopting these technologies. By leveraging Artificial Intelligence (AI) and robotics, the CFC seeks to drive innovation, enhance operational efficiency, and improve global competitiveness. The facility will provide access to advanced technologies, support end-to-end project development, facilitate the production of higher value-added products, and meet stringent testing standards. It is anticipated to boost cluster turnover by 10%-15%, reduce operational costs, generate employment opportunities, and enhance workforce skills through specialized training programs. Furthermore, the CFC will promote collaboration through shared infrastructure, joint marketing, and collective raw material procurement. With a focus on sustainable growth and economic development, the CFC is set to become a benchmark for industrial excellence and global market integration. To conclude, the adoption of AI and robotics through a cluster development approach offers significant benefits to the automotive components industry in Chennai. This study provides practical insights and recommendations for companies seeking to leverage these technologies to optimize production strategies, enhance operational efficiency, and secure a competitive advantage in the global market.

Keywords: Chennai Automotive Common Facility Centre (CFC), Artificial Intelligence (AI), robotics, Micro, Small, and Medium Enterprises (MSMEs), innovation, global competitiveness, advanced technologies, operational efficiency, value-added products, testing standards, workforce skill development, collaboration, shared infrastructure, joint marketing, raw material procurement, sustainability, economic growth, industrial excellence.

| DOI: 10.17148/IARJSET.2025.12117