According to research from the Centre for Economics and Business Research and SnapLogic, the impact of automation has had a positive effect on enterprises across the UK and US. It has resulted in revenues up 5-7%, employment up 4-7% and long-term productivity up 15%.
SnapLogic, provider of a leading intelligent integration platforms, has released research into the economic impact of automation. The study, Automation: Past, Present, and Future – A Driving Force for Economic Growth, looks at the growing adoption of automation and its role in bolstering business revenues, creating jobs, increasing productivity and strengthening economic resilience.
The research finds that investments in automation are directly linked to increased business revenues (up 5-7%), job growth (up 4-7%) and long-term productivity (up 15%). Spurred on by the pandemic, the adoption of automation is accelerating, with companies in the US and UK spending 8-13% of their annual revenues on automation-related technologies.
The research was conducted by the Centre for Economics and Business Research (Cebr), in conjunction with SnapLogic.
The research reveals that those businesses which invested in automation saw a marked increase in revenues. In addition, the research indicates that the more a country employs automation, the better equipped it is to deal with worldwide economic disruptions, such as a recession or the recent COVID-19 pandemic.
The report showcases a relationship between automation, job growth, and worker productivity. Despite some claims that automation can limit opportunities for employees, the results tell a different story; one which sees an increase in employment growth and improved productivity, with the potential to increase it in the long-term by 15% in the UK.
Automation usage is increasing, supported by core technologies
The popularity of automation continues to accelerate in both the US and UK. According to the report, US companies spent an average of 13% of their annual revenue (amounting to US$4.4 trillion) on automation-related technologies, while in the UK there was an average spend of 8%, or £268 billion in total.
“This first of its kind report from Cebr demonstrates the power of automation to help businesses navigate widespread disruption, and shows how it can be used as a tool to accelerate growth in a post-pandemic age,” said Gaurav Dhillon, CEO at SnapLogic. “Businesses today need to equip themselves with enterprise automation technologies that will allow them to quickly adapt and execute business strategies in a rapidly changing world.”
For this study, Cebr surveyed 1,000 businesses in the US and UK about their automation strategies, initiatives and results.Click below to share this article