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Navigating the Automated Future: Beyond Job Displacement to Workforce Transformation
By: Jeremy Rotenberg
May 30, 2025 | 5 Minute Read
The rise of automation in warehouses and distribution centers often sparks a significant concern: automation job displacement. It’s a topic that can create anxiety among the workforce and uncertainty for businesses. However, as supply chain professionals, we see a more nuanced picture – one where automation leads not just to change, but to evolution and opportunity. The key lies in how businesses approach and manage this technological shift.
The conversation around automation often focuses on the “before”: the design, the implementation, the justification based on labor and space savings, or throughput improvements. But what about the “after”? What becomes of your most valuable asset – your human capital – when they find themselves working alongside sophisticated automated systems?
From Displacement to Collaboration: The Rise of “Cobots”
The narrative that automation simply means removing a workforce isn’t the full story. While some tasks may be automated, the reality is often a transformation of roles and the creation of new opportunities. Think less about robots replacing humans and more about “cobots” – a collaborative environment where people and automated systems work together.
This shift isn’t just about new machinery; it’s a fundamental change in how a company operates, grows, and defines its roles. It touches every individual within the organization. For instance, a forklift operator might transition to become a “cobot operator” or a station operator, overseeing automated palletizers. This new role, while different, involves managing sophisticated systems, troubleshooting, and handling exceptions to ensure smooth operations. The nature of the job becomes more advanced, with greater responsibility over the system’s overall throughput.
Mitigating Fear, Fostering Growth: The Human Element of Automation
Successfully implementing automation is a massive change management project. Without open communication, it can breed fear and anxiety. This is why the number one piece of advice for any company venturing into large-scale automation is to engage the workforce as early as possible.
Here’s how to turn potential apprehension into active participation:
- Early and Transparent Communication: Bring your employees into the conversation when you have a concrete concept and initial numbers. This transparency helps reduce anxiety and allows the workforce to see the upcoming changes as opportunities.
- Make Your Workforce a Partner: They need to understand the vision and embrace the next generation of warehousing. This isn’t just about informing them; it’s about orienting them towards their new or evolved roles.
- Involve Human Resources: HR should be an integral part of the automation project team. They play a crucial role in identifying new roles, facilitating reskilling, and managing the human aspect of the transition.
- Reskilling and Upskilling: Many current employees are willing and capable of learning the new skills required in an automated environment. Equipment providers are often happy to help train your existing team, who may find unexpected new career paths in maintenance or system operation. Remember the transition from paper-based systems to computers? The workforce adapted then, and they can adapt now, often with surprising technical aptitude.
- Union Collaboration: In unionized environments, it’s equally critical to bring union representatives in early, as soon as a tangible concept exists. This fosters partnership and allows them to see and plan for the opportunities automation can bring to their members.
Automation: A Catalyst for New Skills and Expanded Roles
It’s true that automation often introduces the need for new, more technical roles, particularly in maintaining the electrical, mechanical, and computer systems that drive these advanced operations. However, this doesn’t automatically mean wholesale replacement. Many existing employees can be retrained and upskilled to fill these evolving positions.
Companies investing in significant automation are typically doing so with growth in mind. These systems are designed to support increased capacity, often for years to come, and can operate 24/7. This expanded operational capability still requires people to support and manage the systems. Historically, technological transformations, like the shift to e-commerce (itself enabled by technology), have created entirely new avenues of opportunity and job growth.
The Future is Collaborative
The conversation about automation job displacement needs to be reframed. While some job functions will undoubtedly change, the overarching impact, when managed proactively, is one of workforce transformation and upskilling. By engaging employees early, investing in training, and fostering a collaborative environment, companies can navigate the shift to automation successfully. This approach not only mitigates fears but also builds a more skilled, adaptable, and future-ready workforce.
The longer you wait to begin these crucial conversations and involve your team, the more challenging the transition will be. An open, ongoing discussion is key to unlocking the full potential of automation, not just for your operations, but for your people too.
LIDD is here to help! Reach out at [email protected] or contact Stephan directly to ask him your questions.
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