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The Effects of Automation on HR Strategies of Manufacturing Businesses

Vries, Pieter de (2023) The Effects of Automation on HR Strategies of Manufacturing Businesses. Bachelor thesis.

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Abstract

The aim of this research is to find out how automation processes affect HR strategies within manufacturing businesses. With the main research question formulated being: What are the effects of automation on the HR strategies of manufacturing businesses? Because of the implementation of robots in the interviewed businesses, their HR strategies have shifted from administrative tasks to strategic alignment, skill management, and employee engagement. HR departments seem to have become more important and must contribute to the goals and success of manufacturing businesses. Research shows that the future of production lies in automation, allowing businesses to compete and mass-produce products efficiently. For this study, the concept of automation focusses on the implementation of robots into the production process of a manufacturing businesses and the human-robot interaction resulting from this. The businesses that were interviewed for this study are active in the manufacturing of agricultural machinery, piping systems, and mass food processing. All these businesses work with assembly lines where robots are implemented on the work floor. While employers see robots as beneficial, employees can feel anxious about their job security due to the negative perceptions they may have of robots. However, the human role in production is not necessarily diminished by automation according to literature. Human-robot interaction is crucial, and employees can be trained and educated to work with and alongside robots effectively. Transparency becomes an important topic for HR departments to create trust and collaboration between employer and employee. Research shows that collaboration between employers and employees fosters innovation, and trust can facilitate successful implementation of robots. Retaining skilled employees is essential in today's tight labour market. The "human touch" and human decision-making capacity remain essential within a production process since this is something robots cannot take over from employees. Employability matrices can help HR employees identify employees' skills and training needs. Flexibility is crucial, with employees being trained to work in multiple areas of production. This enhances safety, diversity, and job satisfaction. Employers must provide career prospects and perspectives to their employees and encourage self-driven career development. Fringe benefits are offered to keep employees satisfied and can help retain skilled workers.

Item Type: Thesis (Bachelor)
Degree programme: Human Geography and Planning
Supervisor: Edzes, A.J.E.
Date Deposited: 26 Jul 2023 12:45
Last Modified: 26 Jul 2023 12:45
URI: https://frw.studenttheses.ub.rug.nl/id/eprint/4305

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