News article on automation in Playmobil factories

[Sylvia]

It sounds like Playmobil are testing ways they can speed up the assembly of their figures.

http://www.manufacturingtalk.com/news/rna/rna103.html

If this works, it would probably mean they would need to employ less people in the future. 

I like the fact that so much of the manufacturing process is currently handled by human operators, but I guess they have to move with the times like other toy companies. I just hope that higher levels of automation won't mean a decrease in the standard of quality we've come to expect from Playmobil.

[Richard]

Thanks for this very interesting article, Sylvia ...

It's also interesting that you seem to equate automation with people losing their jobs ...

Robotic manufacturing means that Playmobil can keep their production at home and still be competitive. It also means that people can be freed from repetitive, boring jobs and have an opportunity to pursue more satisfying and fulfilling careers.

If Playmobil employs a professional career transition organization to assist their employees who might be displaced as a result of automation, most of those people who really want to succeed certainly will. (In actual practice, we have found that one hundred percent will make a successful and rewarding transition, if they are really interested in putting forth the effort.)

That's my two cents worth ...

Thanks again, Sylvia.

  Seasons Greetings,
Richard

[Martin Milner]

I agree with Richard, the jobs this machine replaces are low wage, soul destroying, repetitive jobs. Some of those employees would rbe re-trained to supervise the machines. Hopefully others might find work in other areas of the Playmobil organisation, such as quality control.

Even the low paid jobs in Germany are much higher wages than the same work in China - the other option Geobra have to remain financially competitive is to move manufacturing out there, something I think we'd all hate, and which I'm glad they seem dead set against.

[Sylvia]

It's also interesting that you seem to equate automation with people losing their jobs ...

It was the first thing that popped into my head. Must be all the negative propaganda that's been drummed into me over the years.

I can see that there could also be many benefits from streamlining the assembly process.

If the cost of producing figures eventually becomes lower, the savings could either be passed onto the customers (i.e cheaper retail prices for sets) or re-invested by creating more new molds!

[Timotheos]

Robotic manufacturing means that Playmobil can keep their production at home and still be competitive. It also means that people can be freed from repetitive, boring jobs and have an opportunity to pursue more satisfying and fulfilling careers.

If Playmobil employs a professional career transition organization to assist their employees who might be displaced as a result of automation, most of those people who really want to succeed certainly will.

And the euphemism of the year goes to...!

The job losses are unfortunate.  The "professional career transition" is a nice way of saying "helping them get a new skill and helping them land a new job but if they don't find a new job, well, we tried!  Bye!"

On the other hand, with no job losses:
If all the jobs lost to the automation sent the employees to new areas of the company (like qual control) on a 1:1 basis, then Geobra wouldn't be generating any new cost savings by incorporating the machines unless 1) the machines led to productivity and sales volume increases or 2) the employees took pay cuts for their new jobs. 

Unless PM deliberately over-staffs (say quality control) with the displaced workers with the intent of downsizing via attrition (retiring their redundant jobs as they individually retire).  That would indeed be a painfree downsizing (except for job hunters looking to work for PM that now hires less!)

I'm ribbing Richard a little, who I presume is more knowlegable than me.

At the same time, it's too rosy a picture to presume all the displaced workers will find "more fulfilling" jobs in the brave, new knowledge economy.  We have plenty of burnt out industrial towns in the American rustbelt where the survivors are coasting on welfare, flipping burgers, or sitting in a call center (if they are lucky) trying to get you to upgrade your telephone service--all at lower wages (job transition training and re-placement doesn't mean you find a new job as good as the old one!).

I whole-heartedly support Geobra's need to upgrade its facilities and keep up with the times.

At my own company, though, I've seen enough people down-sized and extended-the-helping-hand to realize that it's not fun!  A few will do really well with new opportunities.  Most, though, are lucky to get the same pay and benefits at the new job, if they find one.

-Tim 

[Timotheos]

Doh!  Leap-before-I-look me actually read the article finally.

Yeah, for all we know, it's a machine that will replace a machine.  Or a machine that wastes less plastic, et cetera, but still requires the same human operator.

Innovation doesn't implicitly equate to elimination of jobs.

-Tim