Automation delivers challenges, including the development of more local technologies and the training of specialists in products and solutions that boost productivity, process optimization and cost reduction. It has an impact on jobs — or more accurately, the transformation of jobs — but Mexican companies are willing to change their production processes and make use of the workforce. I do not see risk in this process as much as I see opportunities for the industry to achieve a more agile competitiveness. This process implies greater investments in the personnel that will design, produce and operate these lines, but they will also produce a different kind of resource, particularly human capital. It is no longer about having a worker tightening four screws eight hours a day but having a person who is designing new products and instrumentation to optimize the process adapted to a machine.

Automation is a natural process. If cars were still being manufactured following the production process implemented by Henry Ford, most people would not have a vehicle. Technology brings innovation. Furthermore, the impact that technology has in economic development cannot be neglected. If we want to remain competitive as a country then the workforce must adopt technology and digitalization. In the past, rural work transformed into a more industrialized process and now our challenge is to improve competitiveness based on productivity goals. We want to help our clients embrace these changes and improve their operations, while helping their workforce understand and take advantage of what technology can offer through training in operation and maintenance. Digitalization is key for the industry’s development and Rockwell Automation is leading by example in its implementation.

The essence of automation is to handle all repetitive and dangerous tasks. While this may represent the loss of jobs that endanger or bore workers, it also allows large factories to operate with fewer people while saving lives and employing workers in more valuable areas. Human creativity cannot be replicated by any algorithm and change is one of the natural processes that humankind has always faced. However, for this transition to be implemented successfully, it is necessary to retrain those who will lose their jobs to robotics and automation. Employment grows in areas where investment in automation is made but talent must be sufficient to meet the new needs of the industry. If a certain region cannot meet the human capital needs of potential investors, it is the responsibility of the government to offer conditions that enable social and geographic mobility.

It is important to understand that not everything about automation is solely positive or solely negative. There would be an adverse effect on one hand but an advantage would result on the other. Automation is usually addressed from a strictly labor-oriented point of view, which is undeniably disadvantageous. However, automation makes production lines more efficient, faster and productive, which is what the country strives for. Technological integration will definitely have an effect on jobs but people who continue working will be well-trained and knowledgeable operators rather than workers whose job is simply to move parts between two areas.

Automation will bring opportunities to the country rather than risks. Labor costs in Mexico are highly competitive and the goal should not be to stop employing labor but to migrate to hybrid systems. This will prompt labor to become more specialized, which will benefit workers as they will receive higher salaries. Automation will also force us to rethink the educational model so people are trained based on competencies. In the case of companies that employ manual assembly processes, it is not recommendable to implement a fully-automated process right from the start. Hybrid solutions — a combination of manual processes and automation — enable clients to continue employing workers who can cultivate new skills, while countering variables such as turnover.

Incorporating new technology also means having more integrators and programmers to support its implementation. Automation does not always imply fewer jobs. The industry is now moving to more advanced operations for which workers need to learn how to work with different software and to control new interfaces. Basic operators might gradually be phased out but there will be many opportunities in technology integration and engineering operations. Similarly, automation will require constant service and maintenance. In the end, the industry will need people with new and more advanced skills who will also be paid accordingly. There is considerable investment in Mexico in engineering education and this home-grown talent will fill these positions.

Our equipment is a tool that operators use to make their activities more productive. If productivity grows, the company grows and so does its labor force. This is a similar process to what we went through when computers arrived. Many jobs were lost to computers but now no company would be able to survive without one, let alone be successful. Human labor will have to adapt and become more qualified but even then, talent will be cheaper in Mexico than in other countries such as the US and Germany. Companies are looking for productivity and efficiency in their processes so automation, combined with capable talent, will push the country forward and will attract more foreign investment.

Very few companies in Mexico will reach a 100-percent implementation of Industry 4.0 practices, mainly because of the necessary investment that this change requires. Nevertheless, there is still a considerable area of opportunity to automate the Mexican industry. By complementing labor-intensive processes with appropriate automation solutions, companies can increase their productivity, efficiency and quality levels without having to eliminate numerous jobs. If the country wants to remain a key industry player, we have to make this transition and improve our cost-competitiveness beyond cheap labor.