Analysis reveals automation enhances productivity and operational effectiveness in manufacturing, suggesting workforce adaptation is essential.
In this paper, we study the effect automation technologies have on workforce efficiency in the manufacturing sector. Recent literature together with a proposed analytic framework are used to assess the impact of different levels and types of automation on productivity, labor costs, and operational effectiveness. The analysis takes into account the direct implications of automation on tasks being executed as well as the implications on the employment structure and workforce skills. The results capture the multifaceted nature of the interplay between automation and efficiency, particularly concerning the need for balance between strategic compliance and workforce changes. This study helps create a balance discourse on the impact of automation in contemporary manufacturing, while also providing guidance for business trying to keep pace with emerging technologies.
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Iyer et al. (2023) studied this question.
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