Threat or Opportunity?

Researchers in the Netherlands performed a study adopting Q-methodology to explore expert opinions on the impact of robotization on the labor market in workplace and FM. This study resulted in three distinct visions on how and where robots are becoming part of the workforce:

1. minor impact on the labor market: focus on human interaction;

2. major impact on the labor market: focus on efficiency, quality and productivity; and

3. balanced impact: cobotting, robots as colleagues.

In the past 20 years, robotization and automation have already had a significant impact on many different labor markets. In manufacturing, the job landscape has already changed dramatically due to increasingly effective and efficient robotics. These robots are also employed in physically demanding, repetitive or dangerous jobs such as offshore maintenance.

Similarly, automation has changed and replaced many administrative roles in organizations. Recently these two types of technologies have merged leading to a new generation of so-called semi-autonomous smart or data-driven (interactive) physical and virtual robots. Tech companies in Japan, the United States and China have heavily invested in these innovations, with local governments stimulating business adoption of this new generation of robot systems. As a result, a growing number of robots can be observed in hotels, restaurants, e-retail and delivery services, but also in elderly care and office environments. In this Fourth Industrial Revolution, physical and virtual robots both replace and create jobs; however, the exact impact on the labor market remains unclear. Some quantitative studies show that millions of jobs will be lost in the upcoming decade; other studies show a shift in jobs, with some jobs disappearing and new jobs emerging at a similar or even faster pace, for instance in robot design, programming and maintenance.

For the professorship Sustainable Experience Design at Breda University of Applied Sciences (BUas) in the Netherlands, this was the reason to investigate the impact of robotization on the labor market specifically for workplace and FM. The purpose of the study was not so much to explore how many jobs will disappear or be created, but to understand how robotization impacts the skillset needed to be successful in the labor market in the upcoming decade(s) in relation to the reasons for adopting different types of robots in different types of companies. For this reason, next to reviewing available literature, the research first explored more than 100 types of robots and robot prototypes and their business cases in the service sector. This information was used in interviews with experts from a variety of FM businesses and their suppliers and investors. Preliminary research was used to formulate statements for a Q-study with a wider group of experts from business, education and academia. Q-methodology is a scientific method for studying human subjectivity – it allows for understanding how respondents construct their vision on a particular topic by exploring their arguments for that vision. For this study, respondents were asked to rank 48 statements (arguments) in a Q-grid. Through factor analysis, a specific type of statistical test, three distinct visions on the impact of robotics on the workplace and FM labor market were distilled from this information.

Vision 1: Minor impact on the labor market, focus on human interaction.

Vision 1 focuses on the importance of personal interaction in services. Respondents with this vision see the added value of robots in services but not as a replacement for human interaction. Robots in this vision should perform repetitive standardized tasks that allow staff to invest more time and energy in personal attention to guests and tasks that require empathy and creativity. Robots in this vision play a supporting role that can help boost productivity and extend opening hours such as food services. However, these robots are not necessarily of marketing value. Respondents do not believe that the arrival of these innovations will lead to a growth in jobs or that robots will fully replace human beings, especially in organizations where service experience and hospitality are of vital importance. Rather, they see that robots provide opportunities for hospitality-related services by creating time for staff to focus on other tasks or supporting them with language issues, thereby indirectly positively influencing service experiences. As a result, these respondents believe that the business case for robots is only attractive for a limited number of companies. In this vision, young talent should be supported in developing their creative, social, digital and communication skills as these are growing in importance.

Vision 2: Major impact on the labor market, focus on efficiency & productivity.

In Vision 2 robotization primarily creates opportunities for productivity, efficiency and effectiveness. Respondents who hold this perspective believe robotization will have a considerable influence on the direct workplace and FM labor market for people of all levels of education. Data-driven cleaning and maintenance with robots, staffless production kitchens and self-check-in receptions will decimate jobs in operations and management. However, new businesses and suppliers of this technology will have new jobs, roles and departments looking for talent not just with technical skills and knowledge, but also with knowledge of FM services to keep innovating. The business case for investing in robotics focuses on minimizing human error in production processes, efficiency through smart data and increased business hours at low cost. These respondents believe educational programs in the workplace and FM must change and pay more attention to technology and data science rather than more traditional business administration. Respondents with this vision also believe that FM businesses are prepared, and continue to prepare, for the Fourth Industrial Revolution by developing new services or by acquiring or partnering with technology companies.

Vision 3: Balanced impact: cobotting, robots as colleagues.

Vision 3 focuses on the collaboration between people and machines. Respondents who hold this perspective believe that robotization and automation will ultimately improve both customer and staff experience. Customers will benefit from improved efficiency and effectiveness of services while paying a lower price, while staff has time to provide personal attention. Smart CRM systems will support staff by tracking preferences, complaints and personal information. Furthermore, robots can take over repetitive and physically hard or dangerous tasks, improving sustainable employability of staff in areas such as cleaning and maintenance. Staff is not replaced by these robots but have a different role in deciding which areas to clean based on smart building data, programming the robot for the tasks and executing specialist tasks robots are unable to perform. For instance, vacuuming and scrubbing robots can cover large open spaces and hallways but not higher surfaces or underneath or around furniture. Similarly, security robots and automated systems (e.g., facial recognition and biometric sensors) support security teams in keeping everyone safe without necessarily needing turnstiles and chipcards, creating a more hospitable environment. This phenomenon is also known as coboting, which refers to the collaboration of people and robots or automated systems. In this vision, the role of education is to prepare talent to engage with and innovate through technology, while also understanding change management processes in relation to technology adoption.

The visions identified through the Q-study are not mutually exclusive. Elements of all three are already visible in many organizations but their implications depend on the size and scope of the organization and the operation. Robotics has already proven its value in manufacturing, food production, e-retail and airports. The common denominators in these fields are quantity, speed and minimal human error. For similar reasons, security and hospitality robots are increasingly visible in many office buildings. They are never tired and do not mind repetitive and dull tasks. For the same reason, service desk chatbots learn to solve more issues every day, and maintenance robots are reducing the number of accidents and fatalities on the job every year. Sensors help improve air quality, temperature and daylight in buildings, and alert cleaning staff (or robots) to which floor is slippery because someone spilled their coffee.

Robots and automated systems are already part of our workforce and are replacing and creating jobs in different ways, both in daily operations and in management. It is also clear that robots come in many forms and shapes depending on their purpose and that each comes with its own business case and limitations. In most cases, robots cannot yet fully replace human staff members, and a cleaning robot cannot replace a hospitality robot under repair. Although the researchers found some of the barista and salad robots very convincing, in most cases in the services sector human flexibility, empathy and creativity will still be much needed in the future. Robotics and automated systems will support further improvement of productivity, efficiency and quality in many ways.