LG Energy Solution, the battery-making unit of LG Group, said Tuesday it has joined forces with German industrial giant Siemens to upgrade its battery plants into more advanced smart factories.

Under a deal signed earlier in the day, the battery firm agreed to adopt Siemens’ software and other technologies to build an “intelligent manufacturing system.”

Intelligent manufacturing, or smart manufacturing, is designed to optimize energy efficiency and quality control at production plants using advanced information technologies such as data analysis and machine learning. The system is also considered a key requirement for businesses to meet their ESG goals.

The Korean battery maker said that the new system will first be adopted by its production line run by a joint venture with General Motors in Tennessee and it will support the wider adoption at other plants in phases.

“Intelligent manufacturing is a key capability we have to secure in order to advance the quality of our batteries and maximize the efficiency of our manufacturing supply chain,” said LG Energy Solution CEO Kwon Young-soo. “Through the latest deal with Siemens, a global leader in smart factory technology, we will offer the best services to our clients by upgrading our manufacturing prowess.”