June 2019

58 n GAMBICA SUPPLEMENT June 2019 www.drivesncontrols.com 4IR IS EXPANDING HUMAN POSSIBILITY W e are in an era of great possibility. An era with huge potential for transformational change, not just within industry itself – and how things are made or processes are managed – but genuine transformation that will reach into every aspect of our lives. Industry 4.0, or the Fourth Industrial Revolution (4IR), places automation at the heart of the change as it enables digitisation, unlocks the power of data to create greater efficiencies, and the power of computing to break new ground. The future, as we are all becoming aware, is one of driverless vehicles, automated self-checkouts at the supermarket, and soon, software doctors and digital dentists. Misleading paradigm The ONS has estimated that 7.4% of UK jobs are at a high risk of automation. Such statistics and related headlines set up a jobs vs automation paradigm which can be misleading. In fact, the whole issue can, at times, be quite perplexing. Why, for example, is the UK’s poor productivity (output per worker, per hour) considered such a threat to our continued economic prosperity? Automation is vital to improving productivity, so surely it should be welcomed? But by welcoming automation, are we not bringing forward a jobs crisis? What will the people who are automated out of jobs do? This paradox belies the nub of the issue. Human possibility. First, let’s go back to those ONS statistics. They state that, as of 2017 – the most recent data available – 7.4% of jobs were at high risk of automation. This figure is down from 8.1% in 2011. Yes, down. It is not down, I would suggest, because the potential of automation was overstated back in 2011 – in fact, the number of jobs classified as at a low- and medium-risk of automation have increased over the same period. This suggests that automation is becoming more capable than expected, not less capable. It is down because people are moving up the value chain. Many jobs, it might be supposed, have already been “lost” to automation, and the workers have taken other jobs – usually ones that pay more and involve better working conditions. A useful way to consider automation is that rather than taking away jobs, it removes repetitive tasks. Since jobs are usually made up of many tasks, it frees people to undertake different roles, or to focus time and energy on more productive activities. This leads us back to the productivity point. By automating, the output value per person is improved. This is not necessarily because there are fewer people but, more often, because there is more output. That observation is supported by the fact that in advanced economies with higher levels of automation (think Germany or Japan), productivity is higher. Those highly automated industrial economies also employ more people. Put simply, there are more jobs available in highly automated industry, as well as more output per person. The Fourth Industrial Revolution is not something that the UK can simply opt out of in the hope that it can protect jobs from automation. Nor can it rely on relatively low-cost labour as an excuse to under-invest in automation – that is foolhardy short-termism. Indeed, in many sectors, the UK is taking advantage of its enviable position as a country with near-perfect ingredients to be a world leader in the new era. If the UK did not engage in 4IR, its industrial base would soon become uncompetitive, and the resultant loss of jobs and impact on the economy would be vast – some might say devastating. Lest this cause unnecessary worry, I can assure you that the UK is indeed adopting 4IR technologies and that fears of the demise of industry in the UK are premature. Having said that, we simply must tackle the productivity issue, or the UK will be held back from taking the leading global position it is capable of. It will miss out on a huge opportunity. Automation holds the key to unlocking our 4IR future – it is the low-hanging fruit that can catapult UK industry into a position of global leadership. It cannot, however, do it alone. The human factor is central to making a success of automation and of 4IR. Technology alone cannot do it. Expanding human possibility What is needed is a concerted effort within industry, government and education to help create the workforce that we need for the future. We need The digital transformation of our factories is not just a way of improving productivity and flexibility. Mark Bottomley, Rockwell Automation’s regional sales director, North, for the EMEA region, argues that it should also be a tool for helping people to do what they do best. Mark Bottomley