There are mixed opinions on the number of jobs that might be ‘destroyed’ by automation,with the predicted figures varying between 400 million to 2 billion by 2030, worldwide (MIT Technology Review).
This is significant, especially if we consider that the total cumulative job losses attributed to automation between 2000 and 2016 only added up to 1.7m jobs worldwide (Oxford Economics).
The Middle East is no exception, PwC’s own analysis has concluded that automation is highly likely to disrupt the MENA markets through innovative new services and business models. While it’s estimated that the GCC4, Saudi Arabia, Egypt and the UAE will accrue 2% of total global benefits of AI by 2030 (PwC),equivalent to $320 billion, it is still unclear how many jobs could be lost or permanently changed in the process.
Before we declare a progress resistance movement, like the Luddites of the 19th century who destroyed cotton mills to halt change, it’s important to note that despite the alarming figures above, this is not a human versus machine situation.
Both PwC and the Manpower Group have separately conducted large scale global research around the impact of automation, each concluding that robotisation will not lead to widespread job displacement. The studies’ conclusions indicate that even though some jobs will be displaced, many more will be created and the net effect will be positive to the economy as a whole.
This positive impact is estimated to be so significant that a 30% installation of bots across the globe would create $5 trillion additional GDP (Oxford Economics). Today, the question is not whether bots will play a crucial part in business, but how deeply integrated they will be in business processes and how rapidly this change will occur.
And the change is already happening. From data entry, aggregation and calculation, reconciliations, through to virtual assistants, the rush to adopt a digital workforce is fueling a booming market for software “bots”. Leading companies such as UiPath, Automation Anywhere and BluePrism are going through enormous growth.
BluePrism stocks have increased in value by 300% in the past two years alone, adding up to a market cap of $1.16bn (Bloomberg). Automation Anywhere and UiPath are valued at $2.6bn and $3bn respectively (Techcrunch) after successfully having raised money from investors in late 2018. And this is just the tip of the iceberg.
The World Government Summit estimates that the market for digital workforce solutions for enterprises will keep growing by a compound annual growth rate of 56.1%, reaching $11.1bn by 2024.
It is fair to say that the age of the digital workforce is here, but why and how has this come about?
The current state and future of work is simply not how it was. While job stability may still be high on everyone’s agenda, there is also now much more of a focus on experience. In our research “Workforce of the future: The competing forces shaping 2030” the overall trend is obvious. Employees and companies seek out a greater meaning in what they do. They want to do work that is more creative, and more value-adding, whilst doing it flexibly. A digital workforce can enable humans to fulfil this desire by executing the most mundane, repetitive, time heavy tasks for them.
We are in the age of nimbleness where technologies can be considered as modules that can be put together to seamlessly work in unison. They are also much easier to use. The industry has built up 30+ years’ experience of what good user experience means, and based on this, many exciting UX features now allow us to communicate with bots better, including voice UI, touchless gesture interaction and other ‘invisible interfaces’ in order to free up as much mental capacity of the user as possible.
It doesn’t matter whether you operate as a B2B or B2C business, the way we do business is much more fluid than before. In this digital age where exclusivity is rare, a company’s ability to scale up, down or sideways is crucial for differentiation. This means that business operations demand more. More in the form of capacity, capability and adaptability. Bots are a perfect addition to a company’s capability. It can augment a workforce to create capacity; it helps divert people’s spare capacity to focus on work they otherwise would not have time to do; and it can scale up and down seamlessly to meet demands.
It is not easy to keep sight of these and firms often get lost in the murky world of digital change. This is why my colleagues from all over the PwC global network have been busy helping clients to introduce bots to the workplace. Our combined experience has identified a list of “do’s” and “don’ts” when it comes to developing your own team of bots.
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