Industrial Firms Must Embrace Automation to Stay Competitive
Digital transformation is reshaping industries globally, bringing faster processes, more data, and greater efficiency. However, the industrial sector—perhaps the one that could benefit most from automation—lags behind. Many industries still cling to outdated beliefs, such as fearing robots will replace human workers. This misconception stunts progress and undermines the potential of industrial automation.
Industrial automation implements control systems, such as computers and other technologies, to manage processes and machinery. Many of these systems complement human capabilities rather than replace them. They reduce exposure to hazardous or monotonous tasks, freeing workers for more rewarding and often strategic work.
Embracing automation is essential for industrial companies wanting to stay competitive and retain key talent. Even though almost half of the industries have started their digital transformation, the beginning of automation projects often includes challenges such as tight deadlines, increasing costs, technical hurdles, and communication issues. Partnering with experts in digital transformation will help address skills gaps, resource organization, and system interoperability.
Leveraging Data for Smarter, More Efficient Operations
In today’s fast-paced world, companies must meet ever-evolving consumer demands through highly customized products at speed. Whirlpool Corporation exemplifies how automation and digitalization can help achieve this. In partnership with Schneider Electric, Whirlpool optimized resource management, gaining key data insights. These insights led to identifying inefficiencies, such as over 20 million pounds of cardboard waste in its Ohio facilities, saving the company over $1 million in three years.
Data insights like these demonstrate how industrial automation can reduce waste, increase savings, and provide workers with real-time information to make smarter, faster decisions. By making hidden data visible, businesses gain the power to optimize processes without sacrificing quality.
Automation also plays a critical role in reshoring and nearshoring for U.S. manufacturers. The efficiency and scalability that automation offers make businesses more competitive, contributing to sustainable growth and resilience in an increasingly global marketplace.
The Future of Industrial Workforces: Automation and Digitalization
In the digital age, industries need labor skilled in data science, AI, cybersecurity, and cloud computing to stay competitive. At the same time, the rise of sustainable practices and renewable energy is attracting workers passionate about the environment, opening new opportunities in the field.
The manufacturing industry faces increased costs, safety concerns, and production delays due to more than 600,000 unfilled jobs in the U.S. industrial sector. Industrial automation will help attract the digital talent needed to fill these gaps. Modern job candidates expect advanced software and equipment from their employers. Automation can make industrial jobs more appealing by offering forward-thinking roles.
However, there is still a generational gap. According to a global survey from Omnia and Schneider Electric, while 73 percent of industrial companies believe digitalization will change work in three years, 49 percent report insufficient skills in robotics or programming, and 30 percent lack data analytics expertise along the digital transformation journey.
Bridging the Gap: Skills and Building a Future Workforce
The skills gap is one of the most critical challenges for successful digital transformation. While automation opens up new avenues, it also requires skilled workers to operate it. The retirement of the current workforce and the introduction of new talent must be balanced for a seamless transition into an automated future.
Companies can narrow this skills gap by partnering with expert technology providers to offer new job training. Customizing workforce development ensures workers are equipped to embrace automation and its benefits. Businesses should foster a culture of continuous learning to support innovation and automation integration in operations.
Business leaders must invest not only in automation technologies but also in developing a digitally-literate, growth-oriented workforce. This will enable them to create forward-looking job opportunities and attract top talent to drive innovation and set industry benchmarks.
Industrial Automation: The Road Ahead - Strategically Investing in and Changing Culture
Strategic investment and a cultural shift are essential for companies to truly benefit from industrial automation. Automation should be viewed as an opportunity to enhance worker roles, optimize processes, and contribute to economic and social development—not a threat. Companies that adapt to automation will not only improve operations but also attract and retain a new generation of workers who value innovation and technological advancement.
Commitment to automation must be part of a broader business strategy, including workforce development, investment in digital tools, and continuous improvement. With careful planning and thoughtful integration, automation provides opportunities for companies to remain at the forefront of innovation, meeting the demands of emerging markets.
