Impact Of Automation
Automation can be defined as the formation of technology and its use for the purpose of control and monitor the production and supply of various types of goods and services with the minimal use of human beings or without the use of help of human beings. It mainly performs those works which were performed by human beings previously. It is now-a-days being used in all areas like manufacturing, transport, defence, human resource department, information technology etc.
The use of automation is increasing day-by-day due to its benefits like it helps to cut down operating costs, it increases workers safety, it doesn’t consume much time to do any work, it helps to increase output and production efficiency and also helps to increase versatility in any operating system. Automation will definitely impact the world of work during the next few years. This is already felt in some industries, and different countries are experiencing different effects for automation.
EFFECT OF AUTOMATION UPON EMPLOYMENT:
There are some key points of factors which needs to be understood to visualise the actual impact of automation upon different sectors of employment:
a) Technology-driven automation is essential for the process of increasing our living standards and development of the society. Because it is the modern developed tools which helped employees to earn more by making more products at a lesser time and the company can lower the price of the product, as a result of which standard of living will go up.
b) The impacts of automation upon employment in a specific industry depend upon the nature of the industry. Automation helps organizations to lower its costs and therefore prices of the product. In those industries where decrease in prices don’t lead to more demand for a good or service, automation allows lesser number of workers to produce the same output. But in other industries where lower prices increase demand, automation allows the same number of workers to produce more output.
c) Automation has somewhat different effects upon occupations. Some travel agencies have seen employment declines because of new technology while others have received gains through various ways like through increase in standard of living or creation of new occupation due to development of new technology.
d) Automation itself does not form new job opportunities. But while making new tools of latest technology some people are needed to handle those tools for which new job option opens but the main objective of using new tool is to eliminate employees or workers so that there will be reduction in labour cost. There is no organization which will invests in automation if the cost of manufacture is greater than savings or profit that can be made ultimately.
e) Automation does not lead to job loss also. Though it eliminates some of the jobs in a certain type of industry, it does not reduce jobs in the whole economy. The reason behind it is that no organization uses automation unless it saves money, and such savings get passed to the consumers, who in turn use those savings to buy something else. In such a way the spending creates jobs in other parts of the economy.
f) It increases net welfare even if “productive” jobs are automated. Some people argue that automation should only be for harmful or impossible or dangerous jobs. Clearly, automating such kind of jobs is a double win, because there are very few bad jobs and overall GDP increases. But automating “good” jobs also is a beneficial thing, because by doing this it helps to increases in GDP; the original output still exists, while the workers are re-employed to produce additional output, so that the society can reap the benefits of more goods and services.
g) The automation rate will never exceed the rate of compensating job creation. Many person have a fear that the pace of change is increasing too fast, in spite of having no evidence that the present rate of technological change and productivity will be higher than historical rates. But if there is an increase in the rate of automation, there is no reason to expect that side by side job creation will not keep up, especially if macroeconomic policy is applied properly.
JOBS WHICH ARE UNDER THREAT DUE TO AUTOMATION:
The jobs which are mainly under threat of automation is the manufacturing industry as well as agricultural industry. For example developed industries uses robotic arms for lifting and loading of materials. Brands like adidas, puma etc also started using robots for packaging and moving of goods. In agricultural sector, now-a-days machines are used to harvest crops and sow seeds and the machines does those work more delicately. Besides these, low level office functions like data entry, telephonic advertisement etc will be done by the robots in future.
IMPACT OF AUTOMATION UPON HR:
The common benefits which will be observed by HR management due to automation are records are managed more effectively, broader insights, better way of resource allocation, better productivity, consistent operations, efficient processes etc. It is not necessary to say that when the team that gives power to your employees are functioning in a best way, your business gains over competitors in an easy way.
It is confirmed that automation will bring a change for sure but what kind of change will happen in employment is still present a confusion. There are experts who are researching upon this matter that will it be harmful or helpful for the society. But it can be said that automation will make work easier, fast and will surely create new employment opportunities for the people which will ultimately help in the development of the society and will be regarded as revolutionised age of automation.
Chief Executive Officer @Himanshu Bahmani
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