As industries evolve, particularly manufacturing, the push toward automation becomes more significant. However, several barriers hinder the transition to a more automated environment, especially in complex fields such as packaging and processing.
Key challenges and strategies for overcoming them are outlined in the Packaging and Automation in the Warehouses of the Future report from PMMI, The Association for Packaging and Processing Technologies.1
Labour and skills shortages: One of the most pressing issues facing manufacturers today is the shortage of skilled personnel who are capable of operating and maintaining sophisticated automated systems.
As older generations of workers retire, there is a noticeable gap in technical skills, which makes it challenging to manage and optimise automation technologies.
Manufacturers are finding it difficult to recruit and retain workers with the necessary expertise, which in turn slows down the integration of new technologies and increases their dependence on manual processes.
To combat this, companies are increasingly investing in training and development programmes to upskill their existing workforce. Additionally, some are exploring partnerships with educational institutions to ensure a steady pipeline of skilled employees.
High costs and long return on investment (ROI): Automation technology, although cost-saving in the long run, requires significant upfront investment. Many companies, especially small to medium-sized enterprises, find these initial costs prohibitive.
Furthermore, the time it takes to achieve ROI can be lengthy, making it a risky venture for businesses operating on tight margins.
One approach to mitigate these risks is adopting scalable and modular solutions that allow businesses to automate incrementally. This strategy enables companies to spread out the costs with time and scale their automation efforts as they grow.
Integration challenges: Integrating new automation technologies can be complex and costly, often requiring significant modifications to legacy systems. This integration is crucial for seamless operation but can serve as a barrier owing to compatibility issues and the disruption it causes to ongoing operations.
Leveraging open architecture and industry standard protocols can alleviate these challenges. When selecting automation technologies, manufacturers should prioritise compatibility and ease of integration.
Physical and infrastructure limitations: Many manufacturing facilities were not designed with automation in mind. Space constraints, outdated building layouts and inadequate infrastructure can limit the ability to implement effective automation solutions.
When upgrading facilities isn't feasible, companies can turn to newer technologies such as mobile robots and modular systems that require fewer permanent infrastructure changes. Alternatively, outsourcing aspects of production to third-party logistics providers with more modern facilities can be a temporary solution.
Cultural resistance: Change is often met with resistance and the shift toward automation is no exception. Workers may fear job loss or the erosion of traditional skills, leading to resistance when adopting new technologies.
Transparent communication and involving employees in the transition process can help to mitigate these fears. Retraining programmes also can foster a more accepting culture by offering reassurance that employees will be upskilled rather than replaced.
Although the road to automation is lined with obstacles, the benefits — increased efficiency, reduced labour costs and enhanced production capabilities — are too significant to ignore.
With 64% of consumer packaged goods companies increasing their investment in new automation machinery during the past 3 years, according to the PMMI report, manufacturers must navigate these barriers thoughtfully, implementing strategic measures to mitigate risks and maximise the potential of their automation investments.
As industries continue to evolve, those who can effectively address these challenges will be well-positioned to lead in the future of manufacturing.
Reference
- www.pmmi.org/report/2023-packaging-and-automation-warehouses-future.