Automation Helps Improve Business Performance

11:02:33 AM | 22/5/2019

“The emergence of robots leverages more jobs for humanity. However, in the time of robotics, people need to have right skills to raise business performance,” the Report on Skills Revolution 4.0.

Enhancing productivity, not replacing all jobs

Skills Revolution 4.0 Research, conducted by ManpowerGroup and based on a survey of 19,000 employers in 44 countries, including Vietnam, showed that 41% of global businesses will expand automation in more stages in the next two years.

In Vietnam, the research revealed that more enterprises increased automation at their factories, workshops and warehouses. Ms. Truong Bich Dao, Human Resources Manager at Nestle Vietnam, said, since her company used robots in its warehouses, productivity has increased significantly and reduced 50% of manpower. Freights are safe and easy to manage.

Many businesses in Vietnam such as Nestle, Vinamilk, TPBank, automakers and apparel producers are also applying robots and technologies to their business operations. Vinamilk's Mega factory has automated many stages from filling and sterilizing to packaging and loading.

As the pace of technological evolution accelerates, changes in working skills and types of work are also very fast. Specifically, according to Skills Revolution 4.0 Research, up to 65% of jobs that generation Z (born after 1996) will do in the future have not yet appeared.

Despite improving work performance and easy management, automation proves a rising number of jobs. Skills Revolution 4.0 Research indicated that 87% of businesses globally will retain or increase headcount (18% increase, 69% maintain, 9% decrease and 4% do not know), signaling that many new jobs will be created.

“Automation and robots do not take away all work but boost better performance. However, humans need to have appropriate skills not to complete with robots,” emphasized Mr. Simon Matthews, General Director of ManpowerGroup for Vietnam, Thailand and the Middle East.

Workers need to change

He added that robots replace only 45% of work, not all jobs. Humans will have more ways to do their jobs and businesses will have more choices. Workers will need to constantly study and acquire new knowledge and skills.

For example, in the past the accounting department used to work with a group of old of skills: “Adhere to processes and details; comply; and keep the book”. In the new context, it needs to “Identify trends, have business thinking; have presentation skills and customer service”. Similarly, the manufacturing industry needed only “Operate machinery; have practical skills; comply with processes” skills, but when the application of modern technologies, machines and robots will lead to workers to change for adaptation. Workers will then need to have appropriate skills such as “Manage machines; have high learning skills; capably solve complex problems” to meet work requirements and not to be replaced.

With a labor force of 57.5 million people, Vietnam still faces a serious shortage of talent. According to the General Labor Index of Vietnam in 2018, highly skilled workers account for only 11% of the total workforce, unskilled workers and average skilled workers make up 40% and 49%, respectively.

What workers learn from school affects only 10% of their work, what they learn from colleagues occupy 20% and what they learn themselves will account for 70%. Therefore, two important factors for an employee are willingness to learn and willingness to adapt. Like businesses, workers need to change to not be replaced in the Fourth Industrial Revolution, Ms. Truong Bich Dao said.

Giang Tu