Taking automation to the world stage

Automation is a global trend that is going to stay – whether or not you opt in or out of it. In this modern era of technology, companies in continents across the globe are actively adopting the technology due to the vast benefits that they will be getting from adopting the technology.

According to the International Federation of Robotics (IFR), global robot installations are estimated to increase by at least 15% on average per year (CAGR) from 2018 to 2020. By continents, it will be 15% in the Americas, 15% in Asia/Australia, and 11% in Europe. Total global sales will reach about 520,900 units in 2020. Between 2017 and 2020, it is estimated that more than 1.7 million new industrial robots will be installed around the world.

In addition, the IFR World Robotics Report 2017 disclosed that robot sales increased by 16% to 294,312 units in 2016, a new peak for the fourth year in a row. Since 2010, the demand for industrial robots has accelerated considerably due to the ongoing trend towards automation and continued innovative technical improvements in industrial robots. All these sources are implying clearly that automation is the key to success. Falling behind this big wave will mean losing out on competitiveness against global counterparts and business sustainability in the long run.

Leading the pack for the Americas

In the US, the necessary modernisation of domestic production facilities has boosted robot sales since 2010. The main growth driver was the ongoing trend to automate production and strengthen American industries on the global market and to keep manufacturing in-bound. In some cases, automation facilitates reshoring – the return of manufacturing that had previously been sent overseas. Robot sales will increase by at least 15% on average per year between 2017 and 2020.

The US has always been a global frontier in developing advanced technology. Augmented Reality (AR) is a form of new technology that has risen in the US in recent years. It is usually incorporated into special headsets, eyewear, or projections, superimposes data or graphics over real-world images and uses sensors and cameras to capture the operator’s motions for feedback and control. Although AR’s primary application has been in gaming, it has earned a new role in robotics research and may soon be a key determinant on manufacturing and logistics automation. AR supports the human workplace in machine learning by controlling the robots to expand robots’ abilities, and helping robots learn new skills without the need for direct programming. Having the means to complete tasks with more variation and dexterity, the AR-human-robot collaboration increases productivity and shortens cycle time that are particularly crucial for the manufacturing and logistics industries.

See what US companies like Embodied Intelligence, ITAMCO and Kubica Corporation are doing with AR using Universal Robots (UR).

Automating for sustainability in Europe

On the other hand, Europe has been facing labour shortage particularly in the supply of skilled workers for industries such as metal, machinery and related trade workers, science and engineering. It is interesting to note that, across the Member States in the European Union (EU), there is in fact no overall labour shortage. As associated with rapid technological advancement, companies in the EU are finding it challenging to hire skilled workers to undertake advanced technology and manage sophisticated products.

To tackle issue of skilled labour supply, as well as keeping up with globalisation, European companies are using automation to increase productivity, promote lifelong learning and work satisfaction so as to attract, grow and retain their workforce. By adopting advanced technology like collaborative robots, or cobots, in production facilities, operators are provided an efficient work environment with ease of use. Apart from working alongside cobots without safety fencing (subject to risk assessment), cobots reduce work risk and take up monotonous, unpleasant and risky tasks while workers can move up the value chain to undertake work of greater value.

Trelleborg Sealing Solutions, a plastic and polymers manufacturer in Denmark hit the right note by deploying automation, easing manpower constraints. They employed 50 new employees as a result of deploying UR cobots which optimises their production level. With higher productivity, Trelleborg grew their business with increased orders, all thanks to cobot technology.

Gearing up on automation in Asia-Pacific

For Asia-Pacific, the region is still behind of its counterparts in the Americas and Europe in overall robot installation. However, the situation has improved by leaps and bounds in recent years. By regions, the average robot density in Europe was 99 units, in Americas 84 and in Asia 63 units. In 2016, Asia took up 3 out of the top 5 spots in worldwide robot density. South Korea came in first with 631 units, Singapore ranked second with 488 units while Japan was fourth with 303 units per 10,000 employees in the manufacturing industry.

Things are also looking good for other Asia-Pacific countries, especially Southeast Asia in annual robot supply. Thailand has been a rapidly growing robot market while robot supplies to other Southeast Asian countries like Malaysia and Vietnam have also substantially increased in 2016.

One of the key reasons for increased robot bases in Asia-Pacific is the raised awareness of automation and what it could help companies regardless of size to overcoming their production challenges and achieving business success. Many manufacturers can now feel the solid impact of adopting advanced technology by seeing the benefits reaped by other companies of similar nature, both locally and globally.

A major benefit recognised by manufacturing companies is the fact that automation increases employment, contrary to the myth that workers are displaced by automation. As adoption on automation rises, more jobs are created due to growing market and business demands. It is also observed that countries with the highest robot density, particularly Germany and South Korea, have lowest unemployment rates.

Manufacturers in Asia-Pacific have also realised that if they do not start embracing automation, they will be left behind the race and unable to become competitive against global counterparts. By deploying automation, such as cobot technology, companies are able to raise their competitiveness through faster product development and delivery.

Alpha Corporation, a lock manufacturer in Japan who foresaw the benefits that could arise from automation, chose to automate their production line with minimal changes to existing layout via deploying the flexible UR cobots.

Having said so, it is generally observed that the adoption of automation is still not up to speed among manufacturers in Asia-Pacific. This is largely due to the lack of awareness and education on the technology as well as misconception on automation causing job losses. It is therefore important for Asia-Pacific to understand the great extent of benefits that could be attained through automation, such as cobot technology by learning of best automation practices from other successful companies. It could be really detrimental to businesses if they choose to delay automation any further.

About the author:

Shermine Gotfredsen is the General Manager Universal Robots Pte Ltd (Southeast Asia and Oceania). Shermine is committed to working in partnership with companies across the SEAO region to help them make the right decisions on how to improve productivity through automation.