LLM-Powered Upskilling Assistant in Steel Manufacturing

gerdau · Other · 2024 · source Agentic: no · promotional bias: high · source-backed · extracted with prompt 0.5.6 (schema v2)

Generated from extraction.json — do not edit by hand. Every claim cites verbatim source evidence; stated means the quote directly asserts the claim, implied means it supports it indirectly.

Problem

Domain: Manufacturing data platform and workforce upskilling

Gerdau needed to replace a fragmented data ecosystem that limited real-time analytics, governance, business adoption, and future AI applications, including an early LLM assistant for employee re/upskilling.

Constraints:

Architecture

Gerdau consolidated its data ecosystem onto the Databricks Data Intelligence Platform. Delta Lake provides the storage foundation, Delta Sharing supports internal and external data exchange, Photon accelerates processing, Unity Catalog supplies governance and lineage, and Power BI gives business teams governed analytics access. This unified data foundation enabled advanced analytics, predictive maintenance, classification workloads, generative AI exploration, and one early LLM assistant for re/upskilling.

Diagram confidence: reconstructed (reconstructed from prose).

flowchart LR
  Platform["Databricks Data Intelligence Platform"] --> Delta["Delta Lake"]
  Delta --> Sharing["Delta Sharing"]
  Delta --> Photon["Photon"]
  Platform --> Catalog["Unity Catalog"]
  Catalog --> BI["Power BI integration"]
  Platform --> AI["AI application layer"]
  Catalog --> AI
Drag to pan · scroll or use +/− to zoom · reconstructed from the source's described component topology

Components

Component Role Interacts with
Databricks Data Intelligence Platform Unified platform replacing disconnected homegrown and open-source data tools. Delta Lake, Delta Sharing, Photon, Unity Catalog, Power BI integration, AI application layer
Delta Lake Optimized storage foundation for the unified data infrastructure. Databricks Data Intelligence Platform, Delta Sharing, Photon
Delta Sharing Securely shares data internally and externally with partners. Delta Lake, Databricks Data Intelligence Platform
Photon Accelerates query and data processing workloads. Delta Lake, Databricks Data Intelligence Platform
Unity Catalog Provides governance standards, fine-grained access controls, data lineage, and access segregation. Databricks Data Intelligence Platform, Power BI integration, AI application layer
Power BI integration Lets business teams create governed reports and dashboards from the unified data platform. Unity Catalog, Databricks Data Intelligence Platform
AI application layer Uses the unified platform for advanced analytics, ML, generative AI, and the re/upskilling assistant. Databricks Data Intelligence Platform, Unity Catalog

Data flow

Data sources and workflows are unified on Databricks, stored and processed through Delta Lake, shared through Delta Sharing, accelerated by Photon, governed through Unity Catalog, and surfaced to business users through Power BI and analytics/ML workflows. The same governed platform then supports future AI applications such as predictive maintenance, image/text classification, generative AI, and the re/upskilling assistant.

5 supporting quotes
“With the Databricks Data Intelligence Platform, Gerdau was able to unify their data sources and bring new analytics and machine learning (ML) workloads to bear”article, stated
“Delta Lake set the foundation for Gerdau’s new underlying data infrastructure.”article, stated
“On top of this optimized storage layer, the company leverages Delta Sharing to easily and securely share data internally and externally”article, stated
“Using Photon, the next-generation engine on the Databricks Platform that provides extremely fast query performance”article, stated
““With Unity Catalog, we have established data governance standards across our manufacturing processes,” Eduardo Antunes Padilha, Data Governance Leader at Gerdau, said.”article, stated

Why this architecture

The architecture prioritizes a governed unified data foundation before deeper AI deployment. Gerdau's fragmented toolchain created cost, maintenance, governance, and adoption barriers, so the platform first standardizes data storage, sharing, lineage, access control, and analytics access; the LLM upskilling assistant and future predictive/classification/generative AI uses build on that foundation.

4 supporting quotes
“Gerdau was experiencing multiple pain points with their proprietary technology and ecosystem of open source data tools.”article, stated
“since most of Gerdau’s solutions were homegrown with open source in mind, they were complex, disconnected and hard to manage.”article, stated
“The global steel manufacturer was also in dire need of a platform that could offer fine-grained access and data lineage controls while meeting various compliance and security standards”article, stated
“Leveraging Databricks for advanced analytics and machine learning has enabled Gerdau to further explore cutting-edge applications beyond digital twins”article, stated

Models used: LLMs

Scale

Alternatives considered (roads not taken)

Continue with homegrown open-source data tooling

Rejected because: The toolchain was flexible but disconnected, hard to manage, and difficult for users to adopt without Python and Spark expertise.

““We wanted to build with open source because of its flexibility and unlimited potential,” Bruno da Silva Breder, Product Owner I4.0 at Gerdau, said.”article, stated
““But they required users needing to be proficient in Python and Spark. That made it difficult for engineering to maintain and drive adoptions within the business.””article, stated

Keep separate data stores and team-specific databases

Rejected because: Duplicate databases created inconsistencies, inaccuracies, collaboration barriers, and higher total cost of ownership.

“Different teams often created duplicated or multiple versions of databases, and the lack of a unified data management system led to inefficiencies and posed risks of data inconsistencies and inaccuracies.”article, stated

Deploy advanced AI without first fixing data governance

Rejected because: The source frames governance, lineage, and access controls as prerequisites for scaling consistently and meeting compliance/security standards.

“a platform that could offer fine-grained access and data lineage controls while meeting various compliance and security standards — especially if the company wanted to continue to scale at a consistent rate.”article, stated

Patterns

data-quality-loop (data)

Gerdau's platform consolidation improves data consistency, governance, lineage, and accuracy so downstream analytics and AI workflows use trusted data.

“Different teams often created duplicated or multiple versions of databases, and the lack of a unified data management system led to inefficiencies and posed risks of data inconsistencies and inaccuracies.”article, stated
“By creating this unified source of truth, Gerdau can also process data more efficiently and address the large responsibility that comes with digital twin projects”article, stated

privacy-preserving-processing (governance)

Unity Catalog provides access controls, lineage, and access segregation so data and AI use can meet compliance and security requirements.

““With Unity Catalog, we have established data governance standards across our manufacturing processes,” Eduardo Antunes Padilha, Data Governance Leader at Gerdau, said.”article, stated
““We have also implemented fine-grained access controls, data lineage controls and access segregations for different groups of users.””article, stated

latency-optimization (serving)

Photon and the unified platform reduce processing latency for daily data workflows that feed analytics and AI initiatives.

“Using Photon, the next-generation engine on the Databricks Platform that provides extremely fast query performance”article, stated
“Gerdau has reduced their average data processing time from 1.5 hours to 12 minutes — a huge performance gain and cost savings”article, stated

cost-aware-routing (operations)

The platform consolidation reduces operational and development costs by replacing multiple manual/disparate systems with a unified data environment.

“This has allowed for a more streamlined operation and reduced expenditure in both financial and labor resources.”article, stated
“a remarkable 40% cost reduction for data processing and 80% in new developments for streaming solutions.”article, stated

Tradeoffs

Replace a flexible homegrown stack with a managed unified platform

Chose Databricks Data Intelligence Platform over continuing the open-source/homegrown ecosystem.

Rationale: The open-source stack offered flexibility, but the unified platform reduced complexity, improved adoption, and added governance capabilities.

““We wanted to build with open source because of its flexibility and unlimited potential,” Bruno da Silva Breder, Product Owner I4.0 at Gerdau, said.”article, stated
“Since Databricks simplified Gerdau’s data workflows by consolidating various tools into a single, user-friendly environment”article, stated

Prioritize governed data foundations before deeper GenAI expansion

Chose lineage, access controls, source-of-truth data, and platform adoption over building AI applications on fragmented, inconsistent data systems.

Rationale: The platform creates the reliability, access, and compliance basis needed for advanced analytics, ML, and generative AI.

“a platform that could offer fine-grained access and data lineage controls while meeting various compliance and security standards”article, stated
“These implementations have not only optimized the company’s data management practices but also paved the way for future innovations.”article, stated

Gotchas (what bit them)

Flexible open-source data stacks can become adoption barriers.

Root cause: The homegrown tools required Python and Spark proficiency from users and were hard for engineering teams to maintain.

Resolution: Consolidate tooling into a single user-friendly platform that lowers the barrier to data and AI workflows.

“since most of Gerdau’s solutions were homegrown with open source in mind, they were complex, disconnected and hard to manage.”article, stated
““But they required users needing to be proficient in Python and Spark. That made it difficult for engineering to maintain and drive adoptions within the business.””article, stated

Digital twin and manufacturing optimization use cases stall without real-time processing.

Root cause: The old platform could not offer real-time data processing capabilities.

Resolution: Adopt a unified platform with faster processing and support for real-time data handling.

“the company’s current platform couldn’t offer real-time data processing capabilities, which particularly hindered their “digital twins” use case.”article, stated
“Better governance combined with the unification of data tools under the Databricks Platform has allowed for quicker data handling and real-time data processing.”article, stated

Manufacturing decisions are sensitive to data correctness and timing.

Root cause: Steel production depends on correct chemical composition data at the right time.

Resolution: Use a unified source of truth, governance, and lineage to reduce inconsistencies and improve reliability.

“To produce steel, you need the right chemical composition, and events could take a costly turn without the correct data at the right time.”article, stated
“By creating this unified source of truth, Gerdau can also process data more efficiently”article, stated

Evaluation

The source reports platform impact through processing-time, cost, user-adoption, and user-feedback metrics; it does not describe a detailed evaluation harness for the LLM upskilling assistant.

Metrics: data processing time · data processing cost reduction · streaming development cost reduction · global data users onboarded · ML model development effort reduction

3 supporting quotes
“Gerdau has reduced their average data processing time from 1.5 hours to 12 minutes — a huge performance gain and cost savings”article, stated
“a remarkable 40% cost reduction for data processing and 80% in new developments for streaming solutions.”article, stated
“creating an ML model takes 30% less effort now.”article, stated

Outcomes

Gerdau operates in many countries with over 30,000 employees, produces long and special steel globally, and processes sustainability/manufacturing data across a large industrial footprint.

3 supporting quotes
“Financially, the adoption of Databricks and consolidation of Gerdau’s various tools has resulted in a remarkable 40% cost reduction for data processing”article, stated
“This was evidenced by the rapid onboarding of over 300 new global data users, including operations in other countries such as Peru and the United States.”article, stated
“one of their first achievements using large language models (LLMs) is an assistant to help people on their journey for re/upskilling.”article, stated