Furniture-making company JFP Limited, that has built its nearly four-decade-old business on traditional carpentry methods, is flirting with artificial intelligence (AI) technology as it gears up to go after contracts that will not only boost but diversify its revenue stream.

The company has been looking at ways to incrementally incorporate AI in its business processes, CEO Metry Seaga said in response to questions from the
Jamaica Observer, beginning with the automation and scripting of some administrative processes which not only frees up time for higher-level responsibilities but also improves accuracy.

“We have started to use AI, but in minimal quantities. For example, in writing letters and doing reports, some of what we do is done on ChatGPT; so we are moving into it slowly,” Seaga said during the company’s annual general meeting held at its Spanish Town headquarters on Wednesday.

JFP’s new found interest in AI comes just months after the company spent US$150,000 ($23.4 million) on installing new software called Solidworks as well as machinery to improve automation in production. The software, which replaces AutoCAD, has enhanced the precision of the furniture-making design process and sets the company on a path for improved efficiency as it seeks to land new job contracts.

JFP has been concurrently running both software for the past six months but expects to reduce manual processes shortly.

The decision to acquire Solidworks was made at board level. However, Seaga is also moving on suggestions put forward by younger, mid-level staff.

“We have a set of young staff who are much more familiar with AI and so we depend on them also. But most of our technology is very specific to the business that we are in,” he said.

Over time, however, the manufacturing company will explore how it can use AI technology for its production processes.

While in early development, AI is being touted as a game-changer for the global manufacturing industry. It is said to be capable of enhancing product quality and reducing defects in manufacturing through data analysis, anomaly detection, and predictive maintenance, ensuring consistent standards and minimising waste.

“I am just flabbergasted by the potential of AI and I know that every entity, certainly those in manufacturing, have no choice but to incorporate it into our future design and production processes. So I commend management for looking in that direction and challenge them to do more,” Chairman Lisa Simone Bell said.

JFP is also exploring other technologies for automation and improved efficiency, Seaga said. He expects to have greater guidance on any new technology the manufacturing company can incorporate into its business later this year, following company representatives’ attendance at two international trade shows.

“We want to continue to be at the forefront of what obtains in the international market so that we can be a serious contender for international contracts. This year we will be going to two more shows to make sure that we are always in a position to be ahead of the game,” Seaga told Caribbean Business Report.

Turnaround in performance

JFP’s new focus on technology comes at a time when the company is looking to boost its performance after challenges from stretched job contracts and outstanding tax obligations pushed the company into losses last year.

The manufacturer has already reported a turnaround in its performance for the first quarter ended March 31, 2024. It spun from losses of $14.9 million to a profit of $3.8 million year-on-year.

Revenue also rose 111 per cent to $159.8 million for the period ending March compared to the corresponding quarter of the previous year.

The company is upbeat on the prospects with new client PF Chang, an American-based casual dining restaurant chain that serves Asian fusion cuisine.

Currently, JFP has been engaged by PF Chang for the development of its new store in Guyana. PF Chang has also announced plans to set up restaurants in Jamaica, followed by Barbados and the Cayman Islands, all contracts JFP hopes to secure.

But, importantly, JFP wants to secure contracts for PF Chang’s American stores. The company has yet to break into the American market in any real way but has set an export target for 30 per cent of revenue by 2025.

JFP offers products made from many varieties of materials, such as wood, metal, solid surface, acrylic and various types of upholstery. Its manufacturing capabilities include but are not limited to the manufacturing of furniture for offices, hotels, restaurants, laboratories, and schools; point-of-sale items such as gondolas for clients like KFC, Pizza Hut, Digicel, S Hotel Montego Bay, AC Hotel by Marriott, Sangster International Airport, and the Government of Jamaica.