FROM JOB CREATION TO PRODUCTIVITY IN THE AGE OF AUTOMATION

In a world where efficiency and competitiveness are essential, industrial automation emerges as a key tool for transforming productivity. However, in countries like the United Kingdom, the adoption of robotic technologies still faces significant challenges.

According to recent data from the International Federation of Robotics, the UK ranks 23rd globally in robot density, with only 119 robots per 10,000 workers, compared to a global average of 162. Excluding the automotive sector, this figure drops to 69 robots per 10,000 employees.

This low adoption of automation is reflected in the country’s productivity. In the fourth quarter of 2024, UK productivity was 0.8% lower compared to the previous year and 19% lower than that of the United States.

One of the obstacles to automation adoption is the focus on job creation. While generating employment is important, it is crucial to recognize that automation is not intended to replace workers, but to complement their skills. Robots can handle repetitive and hazardous tasks, allowing employees to focus on work that requires creativity and critical thinking.

Moreover, automation can help address labor shortages and the skills gap in the manufacturing industry. By automating certain functions, companies can maintain production without relying solely on a workforce that is, in many cases, hard to find.

The manufacturing industry faces the challenge of attracting young talent. The perception of monotonous and physically demanding jobs deters many. However, the integration of advanced technologies such as robotics and artificial intelligence can change this image. Offering a modern and technologically advanced work environment can be key to capturing the interest of new generations.

One reason many companies, especially SMEs, hesitate to adopt automated solutions is the perception of high upfront costs. But focusing solely on the purchase price of a robot or automated system is a limited view. This is where the concept of Total Cost of Ownership (TCO) comes in.

TCO includes not only the acquisition price but also installation, training, operation, maintenance, energy consumption, and eventual replacement costs—in other words, all expenses a company will incur over the robot’s useful life.

Adopting this approach allows companies to see the full picture: a seemingly more expensive solution may prove much more cost-effective in the medium and long term if it reduces downtime, improves energy efficiency, or decreases reliance on external maintenance.

In a context of inflation, skilled labor shortages, and pressure to maintain competitive margins, thinking in terms of TCO is thinking strategically.

To boost productivity and ensure competitiveness, it is essential to rethink perceptions of automation. Instead of viewing it as a threat to employment, we must highlight its potential to revolutionize industry, optimize the work environment, and stimulate innovation.

Investing in automation not only benefits large corporations but also offers small and medium-sized enterprises the opportunity to grow and adapt to the demands of the global market. By adopting these technologies, the UK and other countries can secure a prosperous and sustainable future for their manufacturing sectors.

It is time to shift the focus from job creation to productivity improvement through automation, recognizing that collaboration between humans and machines is the path to a more efficient and resilient industry.

For more information on how URT can help your company implement robotic solutions, visit URT here and discover how we can transform your manufacturing process.

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