Honeywell, the multinational conglomerate that provides industry-specific solutions, released a study on Wednesday found businesses’ top goal in the near-term is improving automation.
The 2020 Honeywell Intelligrated Automation Study found that most companies are rethinking their operations in the wake of the COVID-19 pandemic, with more than half willing to invest in automation. The study also found that companies across the e-commerce, food and beverage, and third-party logistics industries are more inclined to invest in automation than other sectors.
The study found that improving automation is the most frequent top-ranked goal for companies for the next two years. According to the survey, 14 percent of companies listed improving automation across their facilities as the top priority, while 37 percent ranked it as a top-three goal. Of those including automation as a top priority, only 43 percent are “very prepared” to reach that goal.
“Distribution and fulfillment operations often struggle with how to plan and execute the transitions to automation. The COVID pandemic has accelerated conversations around defining the right technology and solution strategy and deployment plans for their respective business,” Honeywell Intelligrated CMO Christine Feuell said in a statement.
The three top cited benefits form automation include increased speed of tasks, greater productivity across experience levels and increased employee utilization and productivity.
According to the study, the cost associated with building out the automation process is the main reason companies are hesitant to implement automation systems.
Elsewhere, increasing automation could reduce the need for physical labor for menial jobs, but would create new jobs in multiple areas of the supply chain.
The study, conducted between April 21 and May 7, polled 434 U.S. based professionals in senior roles across warehouses, distribution and fulfillment centers. The industries surveyed span across consumer packaged goods, e-commerce, food and beverage, pharmaceutical and medical supply, retail, postal and parcel, and third-party logistics.
Shares of Honeywell (HON) were last trading down three cents near $158.76 on Thursday.
