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bstract
What effect has the implementation of Automation Technologies had on factory based
employment in the United Kingdom: A Case Study.
This study was designed to examine the effects automation technologies have on
factory based employment in the United Kingdom, utilising an international market
leading food production case study. Cerestar UK, based in the North West of England
manufactures starch derived Caramel Product in its new, recently automated Caramel
Facility. The rationale of the study was formed from the common belief that such
automation technologies are responsible for widespread migration patterns from
industry to service sector employment.
Comprehensive interviews with Cerestar UK’s Caramel Factory Manager and Aston
Dane PLC’s Automation Project Manager were conducted. Alongside this mixed style
questionnaires were circulated to subjects at the very heart of this change, Cerestar
UK’s Caramel Plant machine operators. All subjects were asked how and why they feel
such technologies were implemented, focussing on any positive or negative effects
which have arisen from this.
All collected data was then analysed using quantitative and qualitative methods, and
compared with a comprehensive literature review in an attempt to gain a better
understanding of the relationship between automation technologies and employment.
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Contents
Chapter One: Introduction – Page 1
• The forming of the research rationale.
• Background and Context to the Study.
Chapter Two: Research Methods – Page 3
• Detailed description of Research Methodology.
•
Justification for such Methodology.• Description of Data Analysis Methodology.
Chapter Three: Literature Review – Page 7
• “The body of written work produced by scholars or researchers in a given field”
(yourDictionary, 2003)
•
Includes Automation Types Diagram – Page 14
Chapter Four: Cerestar UK – Page 15
• About Cerestar UK and its new Trafford Park based Caramel Plant.
• About the role of Aston Dane PLC.
Chapter Five: Discussion – Page 19
• Analysed Research Data.
• Comparisons with Literature Review.
• Explanations and Interpretations.
• Includes Automation Types Diagram – Page 26
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Chapter Six: Conclusions – Page 27
• Summary of research outcomes.
• Brief Research Evaluation.
Research References – Page 30
Research Log
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Chapter One: Introduction
Research: “creative work undertaken on a systematic basis in order to increase the
stock of knowledge, including knowledge of man, culture, and society and use of this
stock of knowledge to devise new applications” (Frascati, 1993).
“Automation: Any continuous and integrated operation of a production system that uses
electronic or other equipment to regulate and coordinate the quantity and quality of
production” (Buckingham, 1961, p6). Benson et al (1983) writes “Factory labour
gradually evolved into the dominant method of production during the nineteenth
century”. However, “The shift to service employment can hardly be denied. For
example, in Britain, employment in services has grown from 53 per cent of total
employment in 1971, to 73 per cent in 1993 (Employment Gazette 1994)” (Compton et
al, 1996). Heathcote (2000, p2) states, “In the 1980s, thousands of factory workers
were made redundant by the introduction of robots on the factory floor making
everything from biscuits to cars… today, most people no longer work in farms or
factories but are found instead in sales, education, health care, banks, insurance firms
and law firms… knowledge and information work account for about 70% of the labour
force in Britain”. Many commentators argue the reasons for these migrations in
employment, Benson et al (1983) feel such debates have raged since the 1950s, dividing
those concerned into two distinct categories, technological determinists, “Automation
helps the promise of a future of new abundance, new leisure and new freedoms (Walter
Reuthers, President of the United Automobile Workers Union, Speech, 1955)” (Faunce
1968), and technological non-determinists, “this machine evolution leads to the very
situation feared: Automaticity grows until no operations are required: then what
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employment opportunities exist in the factory? Only maintenance, set up, and design”
(Kaplinsky, 1984, p134). Furthermore, Bright (1958, p188) argues even these activities
have become victims to automations pervasiveness. However, whatever the reasons it
cannot be ignored that Britain during the latter quarter of the twentieth century
underwent a process of deindustrialisation.
Matzner et al (1991, p3) feels there is however one certainty, “the rapid diffusion of
new technology exerts a strong impact on employment trends”. It is these effects upon
employment trends that formed the rationale for this research piece, utilising a case
study focussing on a modern day implementation of automation technologies. Cerestar
UK, based in Trafford Park, Manchester, is an international market leader of starch
derived Caramel product, having recently undertaken outside consultancy provided by
Aston Dane PLC to build a new, mostly automated Caramel Plant division, ultimately
decommissioning the older manually operated plant. The initial aims of the Caramel
Project were to “provide a plant with a high level of automation using site standard
technology whilst integrating the new plant into existing network infrastructures”
(Aston Dane PLC, 2002).
Alongside the case study a comprehensive literature review has also been conducted.
This will assist in providing structure, focus, factuality and relativity to the
aforementioned case study, examining and clarifying if such processes of thought
remain valid and appropriate to a modern day implementation.
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Chapter Two: Research Methods
Methods: “A means or manner of procedure, especially a regular and systematic way
of accomplishing something” (yourDictionary, 2003).
After forming the rationale for this study, it became apparent that like all research
pieces a great deal of literature reviewing was required, Verma et al (1981, p10) states
that literature reviews help researchers “identify and explain relevant relationships
between the facts… the researcher must produce a concept or build a theoretical
structure that can explain facts and the relationships between them”. Without referring
to literature, it would be impossible to accurately draw comparisons, make predictions,
support or refute arguments and ultimately evaluate research pieces.
However, whilst conducting the literature review, there were issues to be aware of,
Katzer et al (1998, p5), suggests “not all researchers or editors are equally
knowledgeable or competent… Many people, however, would underestimate the
seriousness of the errors, assuming that small mistakes may be the problem”. Such
literature problems stem from authors lack of background knowledge, poor research
practices, miscalculations or even outright bias. The extent of such problems are
highlighted further, “in a study of the quality of educational research, expert researchers
evaluated a random sample of 81 articles… they judged that only 7 percent of the
articles were worthy of publication” (Katzer et al, 1998, p5). Each article was therefore
judged according to its own individual merits.
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To compliment the literature review, it was the aim of this exercise to utilise an
appropriate case study of Cerestar UK’s Caramel division. This was done by
questioning those employees directly affected by such implementations, utilising a
mixed style of open and close ended questions, also conducting a short interview with
the floor manager responsible for overseeing such changeovers, Kevin Oliver. An
interview was also conducted with Shane Pugh, the project manager on behalf of Aston
Dane PLC, the consultancy firm responsible for implementing the new Caramel Plant.
To extract appropriate data for the study alongside the literature review, the use of
questionnaires were employed because Bell (1993), feels these can be simple and
effective if utilised correctly, also containing the added bonus of “collecting certain
types of information quickly and relatively cheaply” (Bell, 1993, p76). However Bell
considers their usability to only be apparent after preliminary planning and consulting,
therefore the scope for such methods was not finalised until the appropriate stages were
complete. Bell also feels that it is extremely difficult to design a suitable questionnaire,
suggesting many ‘golden rules’ of effectiveness. Questionnaires by their very nature are
also plagued by generally low response rates.
Interviews were also used, these are considered to be much more flexible to particular
situations and yield higher response rates than questionnaires. As Bell (1993, p91)
writes, “A skilful interviewer can follow up ideas, probe responses and investigate
motives and feelings, which the questionnaire can never do”. Simple factors such as
body language can initiate responses sometimes concealed through questionnaires;
however many argue subjects can feel much less pressurised when completing a
questionnaire alone as opposed to the interpersonal nature of interviews. Despite the
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much greater depth and validity of an interview, they are considered to be extremely
time consuming, more prone to biases and often require a high level of experience from
the interviewer.
Because each method of research contains positive and negative aspects, both
questionnaires and interviews were used. The interviews themselves were only
conducted to two people, and were kept to an appropriate time limit to comply with
constraints of the research piece. The questionnaires however were distributed to 24
employees within the Caramel Plant; this proved a much more efficient way of
surveying a slightly larger sample.
An alternative to both questionnaires and interviews considered was that of focus
groups, “a group comprised of individuals with certain characteristics who focus
discussions on a given topic of issue” (Anderson, 1990, p13). Focus groups were
traditionally a market research tool and are considered by Morgan (1993) to be useful in
seeking opinions of groups with limited power and influence; however a major
drawback to focus groups is that participants should ideally be unknown to each other,
therefore making an organisational study somewhat impractical.
“Data collected by means of questionnaires, interviews, dairies or any other method
means very little until they are analysed and evaluated” (Bell, 1993, p125). When
analysing data collected from questionnaires, there were different types of questions to
be considered, list questions, allowing for multiple responses, category questions,
requiring single answers, grid questions, asking multiple questions and scale questions,
initiating responses on the basis of feelings and attitudes. There were also two basic
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data collection methods to be considered, a mathematical quantitative approach,
“quantitative researchers collect facts and study the relationship of one set of facts to
another” (Bell, 1993, p5), and qualitative approach, “understanding individuals
perceptions of the world” (Bell, 1993, p6). However, when initially designing the
research questionnaires it became apparent that a mixed approach was required to
obtain the necessary data for this research. Because only a small sample of interviews
were conducted, this only allowed for the collection of appropriate qualitative data.
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Chapter Three: Literature Review
Literature: “The body of written work produced by scholars or researchers in a given
field” (yourDictionary, 2003).
Automation was originally given formal recognition by the Ford Motor Company in
1946, “using it to describe automatic work feeding and material handling devices”
(Bright, 1958, p4-5). Automation is considered to be after mechanisation and assembly
lines, “the third phase in the development of technology that began with the industrial
revolution of the eighteenth century” (Buckingham, 1961, p4). Disputing this, business
philosopher Peter Drucker writes “Automation is not gadgeteering, it is not even
engineering! It is a concept of structure and order of economic life, the design of its
basic patterns integrated into a harmonious, balanced, and organic whole”
(Buckingham, 1961, p6).
Kaplinsky, (1984, p24-26) writes there are however different types of Automation
based within three spheres of design, manufacture and coordination. These are Intra-
Activity automation, Intra-Sphere automation and Inter-Sphere automation, see figure
1. Intra-Activity automation or ‘Island Automation’ refers to single process based
solutions separated from other processes of production. Kaplinsky states that this may
range from simple substitution of human power to complex artificial intelligence. Inter-
Sphere automation refers to linked processes within the same spheres; this type is
considered to be the beginning of organisational factors differentiating automation over
mechanisation. Inter-Sphere automation is the most complete form of automation,
involving synchronised coordination of all three spheres to ensure the technologies
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work in harmony, “in this case automation technology links up different activities
between different spheres of production” (Kaplinsky, 1984, p26).
Whichever type, automations effects cannot be ignored, “The number of white-collar
workers is increasing, and at the same time the number of blue-collar workers is
decreasing” (Marcson, 1970, p4). The Employment Gazette 1994 writes, “The shift to
service employment can hardly be denied. For example, in Britain, employment in
services has grown from 53 per cent of total employment in 1971, to 73 per cent in
1993” (Compton et al, 1996). Heathcote (2000, p3) states “the introduction of
technology has in many instances led to a change in types of job available”, citing the
introduction of robotic assembly line technology as a major factor. Purnell (2000)
writes, “Many business reasons are cited for the introduction of robotics including
improved product quality and reductions in unit production costs. For the food industry
the benefits of robotic automation are improved quality, in terms of hygiene and
repeatability of processing, and reduced labour costs”, something which Gray (2001)
further emphasises, “The drivers for automation in the food industry include:
consistency of product quality, supply chain integration, hygienic operation, human
factors, legislation and economics”.
It is these proposed advantages which led a huge take up of self-regulating automation
technologies in post war Britain. Bright (1958, p83-84) lists such organisation
advantages of automation technologies to include cost reductions, operational
improvements, working environment improvements, product advantages, survival
advantages and business pride. “Reduction in required floor supervisors, inspectors, and
support personnel, such as payroll, personnel, food handling and health personnel, can
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be substantial” (Riley, 1983, p8). However, cost reductions where concerned with
labour downsizing have long been a major argument against automation technologies,
Faunce (1968) believed such implementations should be government controlled to
prevent large scale labour displacement. Jackson (1998) refers to a common Marxist
thesis: Such technologies will create “a massive reserve army of the unemployed while
concentrating wealth, power and industry in the hands of the capitalist few”,
discrediting this he writes “The English textile industry is another graphic example that
should have caused mass unemployment. A variety of inventions and innovations led to
a massive rise in productivity. It was estimated that by 1812 the productivity of a
spinner was 2000 percent greater than in 1770. So great were the increases in
productivity by the 1800s that some workers, fearing technological unemployment,
resorted to machine-breaking, even though the expansion of employment in the industry
had been spectacular”. Kaplinsky (1984, p7) also refutes automations link with
unemployment “It is perhaps worth noting that in drawing this particular link between
automation and crisis we are going against the conventional wisdom which has tended
to argue that the crisis in Western economies has arisen because of the diffusion of
labour-saving automation technologies. In contrast, we have suggested… that the crisis
emerged first, for largely autonomous reasons”. This is not to say that technologies, like
automation do not effect employment, “David Ricardo noted in 1821 that technical
change is a two-edged sword-it can both destroy and create jobs” (Freeman and Soete,
1987). The 1994 OECD Jobs Study concluded that “Technology both eliminates and
creates jobs, generally it destroys lower wage, lower productivity jobs, while it creates
jobs that are more productive, high-skill and better paid” (South Western College,
2002).
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It is this ‘upgrading’ of employee requirements which prompts further argument.
Manufacturers, managers and enthusiasts all believe that automated labour saving
technologies rekindle humanity into monotonous, inhumane work, whereas many
labour leaders and trade unionists adopt Dr. Norbert Weiner’s approach believing
higher skill requirements alienate ordinary labour, “the automated plant becomes a
technological lockout of the common man. Such a factory will need superskilled
specialists, not ordinary labour” (Bright, 1958, p176). Alienation of a particular labour
group is not necessarily contributory to spiralling unemployment, “if additional skills
are required of the workforce, there is always the possibility that existing groups of
workers will be displaced by newcomers” (Matzner et al, 1991, p13), it simply
demonstrates David Ricardo’s two edged sword theorem, emphasising that old jobs
may not be instantly replaced in terms of skill or location.
However, “nearly all forms of technology have enormous potential for human
betterment but, if not clearly understood, can do more harm than good, this is especially
true of automation… Even to the sceptic, automation offers the opportunity for greater
output, shorter working hours… safer working conditions… standardised quality and
more efficiency” (Buckingham, 1961, p2-4). Whilst many are quick to point out
negative effects of automation, very few commentators realise potential benefits of such
implementations, “An obvious and logical conclusion… is a reduction in the working
week to enable more people to be employed and in such a way that more time would be
available for leisure” (Kaplinsky, 1984, p147), however without appropriate pay
restructuring or uniform international agreement such reductions and accommodations
could severely inhibit economic competitiveness.
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Although many claim an overriding factor of automation is ultimate cost reductions,
“automatic assembly becomes more attractive in terms of direct labour cost reduction”
(Riley, 1983, p3), Bright (1958, p83) disputes this, “Perhaps the most widespread
statement in automation literature is that the principle objective for automation is to
reduce labour cost. Yet this is only a half-truth. Underlying most of these situations
(Ford, Growmore, Elkhart…) was primarily the need for more capacity”. Bright (1958,
p170) further writes that productivity and capacity gains are variable to a number of
factors, the scale of automations advance, the industrial genre, changes in work content
and the overall volume of operations required. Automation technologies themselves
bring about such productivity gains through advancements in speed, capacity,
compounding, additional mechanisation and the mechanisation of control. Kaplinsky
(1984, p114) refers to a particular rule of thumb, “the so called ‘0.6 rule’ which states
that the increase in costs of equipment is generally in the same ratio (i.e. 0.6) to the
increase in capacity”.
But does this increased production come at a cost to the worker? “In the pre-industrial
periods both skilled craftsman and peasants had considerable control over the rhythms
and movements of work. But the machine system now controls the pace of work and
restricts the employee’s free movements” (Marcson, 1970, p13). Levidow et al (1981)
also writes, “Capitals priority for automation is to attack those stages of the productive
cycle which have the most space for workers to hold their own pace of work”. Such
losses of control have simply threatened to turn workers into mere powerless
instruments; it was Karl Marx who originally advanced the theory of the alienated
human relation to industry, human intelligence being substituted for machine
intelligence. A study by Noble (1976) revealed how numerical control machinery had
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indeed made traditionally skilled workers slaves to the machine, whilst further studies
by Shaiken (1981) reinforced employee alienation, “I’ve worked in this trade for
seventeen years. The knowledge is still in my head, the skill is still in my hands, but
there is no use for either one now. I go home and I feel frustrated, like I haven’t done
anything” (Kaplinsky, 1984, p135). Bright (1958, p187) writes there is a logical theory
on employee-machine relationships, as automaticity increases the demands on users rise
and fall, initially mechanisation relieves manual effort, increasing control, but as fixed
control and automatic measurements are implemented the machine gains artificial
intelligence, restricting the users overall control. Marcson (1970, p13) writes that such
technologies have enforced responsibility, problem solving and decision making to
supervisors and away from core staff. However, Faunce (1968) concludes that
automation does not increase job specialisation and alienation, but that it promotes a
sense of ‘job-enlargement’ and responsibility. Lindenfeld (1973, p239) writes that
employees may not consciously experience job alienation, however if they do
“employees may tolerate it because they get higher pay, pleasant working conditions
and fringe benefits”. Lindenfeld also writes that the increased centralisation automation
brings is not necessarily beneficial to the employee, “Work can be more satisfying if
large factories are decentralised into smaller units” stating that decisions made in lower
hierarchies are simply to achieve predetermined ends, further promoting employee
powerlessness.
Marcson (1970, p2-3) writes “automation has introduced new principles of control and
decision-making in which the human is eliminated as operator and instead functions as
supervisor”, this is further validated by Faunce (1968) who feels automation
technologies simply “degradate jobs to the role of a button pusher”, for example a
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factory assembler would require different skills to that of robot operator/controller,
therefore increasing the chances of such labour displacement theories proposed by
Marx. Purnell (2000) cites robotic meat cutting as an example of automations
effectivity, “Previous work at Bristol (university) has shown that a robot can cut more
accurately than a human”.
Therefore if factory assemblers now require different skills in modern factory
environments, retraining must become a central issue of change. Marstrand (1984, p18)
writes “in a time marked by rapid technological change… it is not easy for people over
fifty to readjust”. However, Bright’s (1958, p125) own research leads him to conclude
“Contrary to much speculation, the training of the operating workforce is not a
problem”, referring to thirteen case studies investigated.
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The Three Different Types of Automation (Kaplinsky, 1984, p27)
Design Coordination
Manufacture
Automation
(a) Intra-Activity
Automation
Automation
Design Coordination
Manufacture
Automation
(b) Intra-Sphere
Automation
Automation
Design Coordination
Manufacture
(c) Inter-Sphere
Key
Activities
Spheres
Automationtechnologies
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Chapter Four: Cerestar UK
Case Study: “A detailed intensive study of a unit, such as a corporation or corporate
division, that stresses factors contributing to its success or failure” (yourDictionary,
2003)
Cerestar UK a leading international food production company originally produced
starch derived Caramel product in their old, now decommissioned plant; this was
approximately thirty-thirty five years old. A factory of this age was considered to have
major health and safety issues, not least to its workforce but also to its ultimate
consumers. Food production requires exceptionally high hygiene standards; therefore it
was determined the Caramel Plant was potentially a liability. This was further
exacerbated by the pressure Cerestar experienced from its major international clients, as
the prospect of losing such orders could financially cripple the company.
Because of this Cerestar looked to invest in a completely new Caramel Production
facility rather than merely upgrading the old plant. It was at this point that automation
process engineers, Aston Dane PLC, accompanied by Ventron, specialists in chemical
process design, procurement and contract management became involved. The two
companies had previously collaborated on other Cerestar projects, so the basis was
already cemented for involving the two in the new Caramel Plant. The new plant,
although initially to remain competitive in today’s “automate or liquidate” society
(McLoughlin et al, 1988), also boasted a range of advantageous features, for example a
more pleasant working environment, safer, more efficient and more hygienic. However
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projects like this are often “purely to maintain business” (Shane Pugh, 2002) rather than
other such issues.
Before the project itself began huge amounts of planning were involved, firstly Aston
Dane and Ventron engineers sat down with Cerestar’s management to establish a need
and profile for the new plant. Only after these series of meetings and the building of a
comprehensive knowledge could engineers begin to draft ‘Process Engineering Line
Diagrams’, identifying where and how the facility should be constructed. Aston Dane
PLC remained involved and responsible for the project right throughout its design
procurement to live process commissioning.
The whole process from its initial procurement to production took approximately
twenty six months, with the first meeting being held in December 1997 and the project
close-out meeting being in February 2000, well within the scheduled time limit for the
project. Initially the project was estimated at £10 million; however Cerestar’s European
board turned this down, compromising at £7 million, with a further £0.5 million
generated from site revenue.
The original estimate of £10 million was to fully automate the plant, with every valve
actuated, however the main casualty of such cost reductions was downsizing the scope
of automation, to approximately 75% of the whole process, also reducing the amount of
reaction vessels installed from five to four. The main valves are however automated,
with the less frequently required valves remaining manual, but utilising feedback
sensors prompting the operators when actuation is necessary. Route Selection was also
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a casualty of cost cutting, requiring the manual configuration of valves to ensure the
right materials are fused together in the correct pans.
Due to infinite variations product sampling itself can never be automated in such
conditions; however when a sample is due the computer prompts the operator to take a
manual sample, which is then analysed in the facilities laboratory. The analysed results
are then fed back through the computer which in response adjusts appropriate variables
to ensure the batch comes out within the specified code. This is in stark contrast to the
manual based system which required the operators to judge when samples are taken, a
knowledge only really gained through experience. It is argued that this allows a more
consistent, better quality final product, eliminating the scope for human error. However,
some commentators question the validity of such claims, “Automation is a tool
available to high-volume manufacturers to reduce two major expense areas, product
assembly and product quality” (Riley, 1983, p61).
A major advantage of these automation technologies was therefore the increased
efficiency they promote throughout the production process and also in terms of their
labour force. Through natural wastage Cerestar reduced the need for temporary
workers, allowing for a slight downsizing within the workforce.
Moving from manually based systems to automated would obviously drastically change
the appearance and operations of the Caramel production process, the most obvious
change would be the appearance of computer screens and a central console from which
the whole plant can be operated. This console room itself is shut off from the main plant
section and is without windows, using CCTV cameras to monitor the pans, purely for
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safety reasons associated with glass within factory conditions. It is this use of
computers over the traditional manual production methods that interest many writers,
“new machinery requires new skills of labour and new knowledge and abilities of
management” (Buckingham, 1961, p8). Other writers however feel this shift in terms of
skill has not only promoted more humane work, but created jobs that are “more
productive, higher-skill and better paid” (OECD Jobs Study, 1994).
The Caramel project as a whole was deemed to have been a great success, receiving
glowing praise from Cerestar’s own in house project reviewer Alan Moore, stating it
was his “most successful automation project in twenty eight years” having been
completed on time and well within the allocated budget. Aston Dane themselves feel
proud to have been the ‘filling’ in the sandwich between what the management wanted,
and what the operators required.
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Chapter Five: Discussion
Discussion: “The consideration of a topic” (yourDictionary, 2003)
“Automation is not gadgeteering, it is not even engineering! It is a concept of structure
and order of economic life, the design of its basic patterns integrated into a harmonious,
balanced, and organic whole” (Buckingham, 1961, p6). Shane Pugh (2002) also feels
automation is not simply about the mechanisation of equipment, but also of the
automation of processes through many different levels, ranging from single process
automation to global factory automation. Kaplinsky (1984, p24-26) distinguishes three
such categories, Intra-Activity automation, Intra-Sphere automation and Inter-Sphere
automation, illustrated in figure 2. Inter-Activity automation occurs within a particular
process, being somewhat isolated from other processes, whereas Intra-Sphere
automation technologies are a range of interlinked processes, perhaps consisting of an
entire factory or production process, this Kaplinsky feels is the initial differentiating
organisational factor between automation and mechanisation. Inter-Sphere automation
is the final and most complex of these, “Inter-sphere automation is the third and most
complete form of automation and involves coordination between activities in different
spheres of production” (Kaplinsky, 1984, p26). The Caramel lab itself is considered to
be Intra-Sphere automation, with various processes from cooking to drumming
automatically linked; however its incompleteness prevents it from being considered of
Inter-Sphere nature, with automation failing to extend beyond factory walls (Kevin
Oliver, 2003).
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Purnell (2000) and Gray (2001) both conclude that automation technologies in food
production bring additional benefits of product quality, improved hygiene and human
benefits. Shane Pugh (2002) claims such benefits are obvious within the Caramel plant,
computer aided sampling ensures products achieve correct grading and less client
refusals, with an incorporated rework tanks allowing for the saviour of incorrect codes.
Shane Pugh (2002) also feels such benefits place huge competitivity gains on
businesses, like most profit maximising organisations Cerestar initially undertook the
Caramel project solely for survival purposes, however nice spin offs matched Bright’s
(1958, p83-84) ideologies including cost reductions, operational improvements,
working environment improvements, product advantages and business pride. When
asked if new technologies make their jobs easier, one hundred per cent of Caramel
respondents agreed, a stark contrast to the 19th Centaury English Textile industry
workers who feared any machine embracement.
“Reduction in required floor supervisors, inspectors, and support personnel, such as
payroll, personnel, food handling and health personnel, can be substantial” (Riley,
1983, p8). There is much argument about the effects upon employment levels
automation yields, although Cerestar did not lose any full time members of staff, they
did experience a slight downsizing through natural wastage of temporary workers.
However, this was nothing comparable to Marx’s view, “technology will create a
massive reserve army of the unemployed” (Jackson, 1998). One notable change was the
contracting out of the drumming process which contributed hugely to this labour
downsizing.
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Heathcote (2000, p3) writes “the introduction of technology has led in many instances
to a change in types of job available”, Kevin Oliver (2003) feels not only has the types
of jobs changed, but more specifically the skill requirements. The 1994 OECD jobs
study concluded “Technology both eliminates and creates jobs, generally it destroys
lower wage, lower productivity jobs, while it creates jobs that are more productive,
high-skill and better paid” (South Western College, 2002). However, Bright (1958,
p176) feels such employee upgrading has led to the alienation of unskilled labour
groups, “the automated plant becomes a technological lockout of the common man.
Such a factory will need superskilled specialists, not ordinary labour”. Contradicting
arguments however cite that technology “degradates jobs to the role of button pushers”
(Faunce, 1968), the Caramel questionnaires also reaffirmed this, of 22 respondents,
eighty six percent agreed with Faunce’s statement, however many this felt was purely at
face value of their job.
Do Automation Technologies 'Demote
Jobs to the role of Button Pusher?'
Yes
No
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Shane Pugh (2002) refutes such arguments suggesting workers simply require a
different range of expertise rather than reduced ones. Despite this Kevin Oliver (2003)
refers to the modern equivalent job requirements of higher education rather than
traditional apprenticeships served by many modern workforces.
When asked if the new Caramel plant makes their jobs easier, one hundred per cent of
respondents agreed, with ninety five per cent agreeing their job role had changed as a
result. The main focuses of these changes were less physical activities, higher safety
emphasis and more communication. Sixty four per cent of respondents believed
themselves to have gained responsibility, fourteen per cent having lost and twenty two
per cent believing their job to be the same.
New Caramel Plant Responsibility Levels
0
2
4
6
8
10
12
14
16
Gained Lost Same
However, these results are in contrast to Shaiken’s (1981) numerical control study
which indicated that the majority of automation workers had indeed become a slave to
machines (Kaplinsky, 1984, p135). Bright’s (1958, p187) employee-machine theory
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also indicates the opposite, stating that although initially automation brings manual
relief, ultimately fixed control and artificial intelligence deprive the user of full control
resulting in job alienation. However, when asked if he felt such technologies had taken
away employee discretion, Kevin Oliver (2003) felt that although in theory they had,
often in practice experienced employees predicted sampling times better than specific
machine calculations. Marcson (1970, p13) and Faunce (1968) both agree with Caramel
lab workers, suggesting that automation promotes a sense of job enlargement and
increased responsibility.
“Perhaps the most widespread statement in automation literature is that the principle
objective for automation is to reduce labour cost. Yet this is only a half-truth.
Underlying most of these situations (Ford, Growmore, Elkhart…) was primarily the
need for more capacity” (Bright 1958, p83). Bright (1958, p170) also writes that new
technologies provide improvements in other areas such as compounding, control and
speed, however Shane Pugh (2002) states that although the new Caramel facility
immediately increased the capacity over the older plant in terms of storage, this didn’t
necessarily imply production increased, although processes can be speeded up and
sampling better perfected, the product still requires appropriate cooking times, referring
back to the overriding reason for the project being business survival. Agreeing with this
Kevin Oliver (2003) believes such large capital investment, $7.5 million, would not be
undertaken simply for negligible capacity increases. Referring to Kaplinsky’s (1984,
p114) ‘0.6 rule’ which implies a direct correlation to investment and capacity, Shane
Pugh (2002) felt that because of such a large range of variables involved it would be
impossible to quantify such gains, however Kevin Oliver (2003) feels the new plant
was a major factor in the acquisition of another major client, Pepsi-Cola.
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“In the pre-industrial periods both skilled craftsman and peasants had considerable
control over the rhythms and movements of work. But the machine system now
controls the pace of work and restricts the employee’s free movements” (Marcson,
1970, p13). When asked to state their views on “capitals priority for automation is to
attack those stages of the productive cycle which have the most space for workers to
hold their own pace of work” (Levidow et al, 1981), one hundred per cent of
employees agreed, with a further ninety one per cent agreeing that the new Caramel
plant is also guilty of this.
Does the Caramel Plant force
employees to work at a Computer
Dictated pace?
Yes
No
Shane Pugh (2002) also agrees, stating that most automation systems generally do drive
the operator. However, the caramel plant does suffer patches of inactivity whilst the
product is cooking; followed by a flurry of activity once the computer has indicated
these stages complete.
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Marx’s theory of employee alienation is also disputed by Cerestar workers, with the
overwhelmingly positive response to the implementation, sixty eight per cent of
respondents claiming the new technologies live up to their expectations, whereas only
thirty two per cent feel the Caramel plant is below expected standards, citing reasons of
incomplete automation and difficult sampling processes. However, Lindenfeld (1973,
p239) indicates that employees may not actually consciously experience job alienation,
and those that do may simply tolerate this in the face of obvious benefits technology
brings. Despite the overall positive reception, fifty five per cent of workers still feel that
efficiency could have been improved further by utilising complete process automation
of an Inter-Sphere nature.
Retraining was also conducted via shared responsibility between Cerestar and Aston
Dane PLC. With the majority of Caramel Plant workers being in the 46-55 age group,
Marstrand (1984) believes “in a time marked by rapid technological change… it is not
easy for people over fifty to readjust”, Shane Pugh (2002) disputes this, believing
although it isn’t easy, if retraining is conducted in a sympathetic manner making
allowances for computer illiteracy virtually anybody can readjust. He also feels that the
balance of literate and illiterate employees negates any unforeseen problems missed in
training exercises.
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Figure 2
The Three Different Types of Automation (Kaplinsky, 1984, p27)
Design Coordination
Manufacture
Automation
(a) Intra-Activity
Automation
Automation
Design Coordination
Manufacture
Automation
(b) Intra-Sphere
Automation
Automation
Design Coordination
Manufacture
(c) Inter-Sphere
Key
Activities
Spheres
Automationtechnologies
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Chapter Six: Conclusions
Conclusion: “The result or outcome of an act or process” (yourDictionary, 2003)
Overall from this study it is possible to draw several conclusions. Although automation
is often concerned with the concept of new technology, it is not merely a technological
advancement. Automation is an integrated, harmonious being reliant upon a heavy
balance of variables coming together to promote much greater efficiency than
mechanisation alone. Although there are different types of automation technologies, it
is only Intra-Sphere and Inter-Sphere which truly coin such balanced meaning.
From a capitalist viewpoint, the benefits of such food process reorganisation cannot be
ignored; product quality, improved hygiene, repeatability, operational improvements
and humanity factors all promote and contribute to its uptake. However, automation is
not always critical, as Shane Pugh (2002) states, a corporate image based on
traditionalist methods of production would have little need for implementation.
For employment levels automation can have indifferent effects. Despite much argument
over Marx’s “reserve army of the unemployed” (Jackson, 1998) there is much evidence
that as David Ricardo predicted, technology is a two edged sword. As the 1994 OECD
jobs study concluded, “technology both eliminates and creates jobs” (South Western
College, 2002), destroying lower wage, inhumane, monotonous work whilst eventually
upgrading workers to higher skilled, better paid jobs.
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But should this upgrading alienate ordinary man? Studies by Bright (1958, p125) show
contrary to popular belief retraining is not a problem and Shane Pugh (2002) of Aston
Dane PLC believes anybody can be retrained as long as appropriate techniques are
employed. Whether workers want to be retrained is however a different matter, perhaps
automation technologies do demote employees from skilled individual to supervisor,
but is such demotion worthwhile when examining the potential benefits technology
withholds? Would an employee rather operate from within an office or a steamy
ammonia filled factory? As the Caramel questionnaires pointed out, becoming a ‘button
pusher’ is only the face value of a job; computer operations make little difference than
turning dials on machines themselves.
The study also shows other obvious employee benefits, one hundred per cent of
Caramel workers felt that automation technologies had made their job easier, changing
in house focus from simply production to higher safety emphasis, better
communication, better conditions and more regular team meetings. As a result, sixty
four per cent felt automation had promoted more individual responsibility, and as
Marcson (1970, p13) and Faunce (1968) predicted, ultimately brought about job
enlargement. Bright’s (1958, p187) employee-machine relationship theory is also
disproved by Caramel workers, Kevin Oliver (2003) writes that employees often second
guess technology, frequently proving that human discretion produces better results than
machine calculations alone.
Despite the overwhelmingly positive response to the new Caramel plant, Cerestar
employees did agree with both Marcson (1970, p13) and Levidow et al (1981), stating
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that such technology has forced them to work at computer dictated pace, although
agreeing in food production timing is always of utmost importance.
Bright (1958, p83) utilising case studies argues that many automation projects are
undertaken not to simply reduce costs through labour and wastage, but often to increase
overall production capacity. However, Shane Pugh (2002) states that although the new
Caramel facility did allow for increased capacity and slight downsizing, these were
certainly not the overriding factors for implementation. Cerestar UK had experienced
increased pressure from its major clients to invest heavily and replace its aging plant,
with the main focus of its implementation being business survival. Kevin Oliver (2003)
however did note a significant increase in production since the new plant, relating this
to Kaplinsky’s (1984, p114) ‘0.6 rule’ from which Cerestar’s investment acquired them
another major client, Pepsi Cola.
Overall the implementation of automation technologies within Cerestar UK’s new
Caramel Production Facility was considered to be a successful project. Aston Dane
PLC feel they “worked hard in bridging the gap between employer’s needs and
employee’s wants from the facility”. The employee’s consensus is they have more
responsibility, more awareness and a better working environment, the employer as a
result is rewarded with increased efficiency, higher production, happier staff and a more
promising future.
In hindsight the methods of data extraction employed in this study provided some
interesting conclusions. Much automation literature remains very unclear and confused,
for every point arguing the benefits of automation technologies, there is always a
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contrasting argument. Automation technology is very dependant upon certain variables;
Cerestar’s Caramel plant withholds a certain array of variables which may not be
applicable to another case study. Therefore the overall conclusions to this study maybe
valid in this particular scenario but may not be emulated elsewhere, however without
the use of a case study it would have been impossible to draw accurate or appropriate
conclusions based on literature alone.
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