Automation refers to carrying out production with minimal human efforts due to the use of different machines, devices and robots. It is truly revolutionized the world as now machines are being used all around the world to complete different tasks.
This use of machinery has left a very huge impact on the economy as well. Many people wonder how this will change the workforce as robots have already started to impact the job market.
They are replacing humans and it is expected that by 2030, a few million more jobs will be lost to robots. Now the question arises if this use of robots and machinery will impact the economy in a negative manner. A simple answer to this would be a no, because automation actually helps the economy and is opening more jobs as well.
It is just that businesses or individuals who do not change with time will take a hit. This is because now robots are going to compete against humans for jobs. Since they are currently new to the world and are also very expensive, not many are open to them.
A large number of businesses cannot afford robots and a big portion of businesses are scared of trying something new. While they might eventually embrace this new technology eventually, the time lag is huge, which provides people enough time to prepare for it.
All in all, the economy of the world will not suffer with the rapid rise of automated systems because more and more businesses are opening today thanks to automation.
Here’s how automation is helping the economy for the greater good:
Expand A Business
It’s true that automation reduces the need to hire laborers because it can do the work of multiple employees singlehandedly. While it sure helps save money on manual labor, this money is used elsewhere such as hiring more staff and adjusting them in a department where manual work is required. Robots, at the end of the day, cannot do it all.
The money is also been invested on existing employees who maintain and create automated machines to make them spend extra hours and increase production of the business.
Lastly, the money you save form automation can be combined with the profit money to start off a new company as well. Expanding a business means more staff, more machines and more profits. All of this boosts the economy.
More Students Opting For Engineering And Robotics
It’s obvious that automation has planted its roots deep into the ground, and more and more skill personnels are required to assemble, create, design and maintain these devices to keep up with the high demand.
This has encouraged the youth to opt for engineering degrees in robotics and automation because many engineering pioneers believe that that future is all about machines and automation.
Moreover, there’s always room for improvements and with more and more and advancements, the economy is tend to rise.
Encourages Competition Among Rivals
Automation helps save a lot of money. Moreover, it also boosts production, cuts down costs and time taken to complete a job while reducing the chances of making errors. All these benefits push a business forward in the race and makes them more competitive.
This competition is good for the economy as it helps improve the final product. Consider the egg tray manufacturing unit. It has revolutionized one industry. Earlier, it took hours to make an egg tray, but now thank to molding machines you can make dozens in an hour, which means more products and less price.
The major role of automation is to provide convenience to people. Consider ATM machines, for example. They allow us to withdraw cash when banks are far or closed.
Inventions like these make sure that economy is not disrupted by any means and everything keeps running smooth, fast and in a reliable way.
More Tax Received By The Government
When businesses grow due to automation, their profits also grow, which means the government receives more tax money that can be used for the betterment of the society.
It is obvious that automation is helping the economy, even if it does not appear so. It will always have its haters because people are generally not favorable towards change, but there is no denying that automation is the future and no business can grow until it automates processes.