Putting robots to work to create jobs for humans
When the World Economic Forum declared in 2016 that 5-million jobs would be lost to emerging technologies like robotics and artificial intelligence (AI) by 2020, the job-creation potential was lost in the statistics.
This week, Ford Motor Co showed off a team of “cobots” — collaborative robots — at its Fiesta plant in Cologne, Germany, to demonstrate how robots allow engineers to focus on more complex tasks, thus making the humans more productive.
But it’s a lesson that Ford learnt in SA almost a decade ago. Ockert Berry, vice-president for operations at Ford Middle East and Africa, says the past 10 years have seen massive benefits — for productivity and job creation — thanks to the technologies that are ushering in the fourth industrial revolution (4IR). “We’ve always used big data, robotics, and AI,” he says. “It’s part of what we do.”
It’s had a massive impact on the ability of the company’s local unit to compete internationally, contradicting the view that SA stands no chance as 4IR arrives.
“When I came back from Australia in 2009, we were producing Rangers [the bodies] in SA at $2,700 [about R40,800] each, whereas today we are constantly below $1,000, by applying these principles.
“Within Ford, you compete with other plants for manufacturing business. We competed with Thailand and South America to manufacture cars for the Mexican market. Only if my cost per unit is better will I get that piece of business.”
Berry reveals that Ford SA was manufacturing between 40,000 and 50,000 vehicles a year in 2009 at its Silverton plant near Pretoria.
Today, thanks to maximising the efficiency of both robots and humans, it has a capacity of 168,000 and rising. The impact on jobs has been dramatic.
“We only used to work a single shift, about 1,200 people. We did small volumes of every car, only for the South African market. Today we focus on Ranger and Everest, and export 80% of what we build, to 148 countries.
“We have 4,500 people on three shifts. And we’ve brought down the cost per unit in the process. It works when you grow the human and AI side together, and both flourish.”
Since all plants have the same advanced technologies at their disposal, the competitive difference lies in the human touch. Berry is lavish in his praise of the South African workforce.
“I’ve worked now in the US, Europe and Australia, and I will pick our workforce every time. They want to feel they are part of the business. They want to have a voice. If you learn how to do that with them, it is absolute gold. South African workers will do anything for you if they understand what is behind it, the long-term vision.”
Berry says there is no chance of robots taking over completely.
“On a typical day you will solve 30 to 50 issues, some of which can have 20 to 30 root causes, that a human being can identify but that no machine today can do for you. Sixty percent to 70% of our automated process will have nonstandard work required. There will be subtle differences for which you can never replace a human applying just the mind to make decisions.”
South African workers will do anything for you if they understand what’s behind it
Goldstuck is founder of World Wide Worx and editor-in-chief of Gadget.co.za. Follow him on Twitter and Instagram on @art2gee