Automation has been a constant phenomenon in the process of technology evolution, dating back to the modernisation of agriculture and to the industrial revolution
The concept of automation itself is very old, in fact in many areas we take automation for granted without realising it. For instance, can we today think of a bank without ATMs? Automated Teller Machines replaced the manual task of verifying one’s credentials, linking the credentials with the individual’s account, make necessary check and eventually disbursement of the cash.
Similarly, today’s automobile industry is heavily automated with robots in the assembly line, else there is no way the current demands can be met. Automation has been a constant phenomenon in the process of technology evolution, dating back to the modernisation of agriculture and to the industrial revolution.
Let’s explore a bit on why automation relevant in the current context. If we look back at the way economy was evolving, we moved from Agriculture economy (1920s) to Industrial economy (1970s) to Service economy (early 2000s) and to the Knowledge Economy that we are experiencing today. As we were moving from one stage to the other we have been using machines to do manual work and increasing productivity at a rapid pace or to state it otherwise we have been automating our work and progressing ahead. Now, automation is starting to touch the so called ‘Knowledge Worker’ who is the core of the current phase of economy. Until recently this was thought to be not automatable as it involved, learning, understanding, process knowledge, knowhow, ability to smartly use technology and so on.
With technologies maturing in the areas of Machine Learning and Artificial Intelligence powered with the knowledge, it is now possible to make human intensive cognitive tasks to be automated with capabilities far surpassing the human abilities. Though, this is just the beginning these cognitive technologies will evolve quickly and automation will happen far more rapidly as we progress. How automation impacts middle management
Middle management of any organisation manages the workforce that contributes significantly to the organisation’s output. Hence, when the process of automation hits they need to be prepared to handle the impact. Most importantly they need to prepare themselves to stay relevant in an heavily automated eco-system.
Non-cognitive routine tasks, which are the repeated tasks that does not involve human thinking are already heavily automated. Automation is now focused on ‘cognitive routine’ tasks, which means the tasks that involves human knowledge and thinking, and follow a codified process or a standard operating procedure to accomplish them. Example of an cognitive routine task will be that of an investment advisor who uses a set of statistical tools, historic data and current market trends to provide advice to his or her customers on where to invest their money. This knowledge today can be codified and can be powered with the vast data that that can tapped from the internet instantly and the investment advices can be generated. In fact, there are already plenty of Robo-Advisor platforms available today.
Middle management will need to realise this pattern and pro-actively plan to move towards working in the area of ‘cognitive non-routine’ tasks areas. If they are involved in running an operation that could be classified as routine and cognitive it will eventually be automated.
For example, with ATMs, online transfers and internet banking, banks are less worried about the mechanics of collecting and distributing cash. Instead they are more focused on maximising their customers’ investments and developing customer relations. They need to re-invent themselves and concentrate on higher order tasks that humans are still best to address such as innovation, designs, complex problem solving, team development, human relations and so on. They need to adapt to automation in their areas of work rather than resist it. Without that it will impossible to achieve the magnitude of the problems they will be expected to address.
Middle management will also need to realise that any data-driven decisions or processes will eventually be automated hence they must focus on solving more complex problems that today needs human judgement.
The first step in dealing with automation is to accept that it is real and happening, and start exploring ways to stay relevant. Automation is not just about productivity; it is also reduces errors, enhances quality, is scalable on demand, involves less training efforts, yields consistent results and so on.
While it is true that in the near term there will be an impact on certain jobs, it is certain that automation will open enormous opportunities in future. And, the workforce will adapt towards innovative ways of working which is precisely what we learn from the history of technological evolution. Hence, automation becomes a key aspect that every middle management team will need to take into consideration and understand ways to embrace it and take advantage of rather than worrying about its impact.
