HP Innovation Journal Issue 12: Summer 2019 | Page 70

MORE PEOPLE FASTER TOOLS
Companies are already investing in better processes
and faster tools. Industries, ranging from automotive to
finance to retail, are using artificial intelligence (AI) and
robotics to make up for a lack of workers. These new tools
do more than backfill labor—they provide real-time data
about inventory and make supply chains more flexible to
changes in demand. Today, many strategic decisions are based on trailing
indicators (historical data), yet competition is continuing
to accelerate. In the future, last quarter’s results might not
have much bearing on next quarter’s reality.
When thinking about automation, the
first instinct is often a fear of head
count reduction. While many tasks can
be replaced by software, automating
entire jobs is much more difficult.
A typical office worker’s job description represents only
one-third of the tasks they actually do. What this suggests
is that many seemingly automatable jobs may actually grow.
The trucking industry is an excellent example of the
challenges of job automation. There are 3.5 million truck
drivers in the United States.⁵ There is a race to automate
trucking. And contrary to gut instinct, truck drivers are
likely to thrive as a result.
The growth of real-time data is enabling a shift away from
trailing indicators. They are being replaced with leading
indicators (up-to-the-minute information). Leading indi-
cators empower frontline managers to make decisions in
the quarter while enabling leadership to keep the company
on strategy.
Real-time indicators help
companies better understand:
• Demand
• Market position
• Competitive benchmarks
• Technology benchmarks
They also enable tactical levers
that can drive results in:
• Rate of production
• Inventory
• Shifting physical and digital sales motions
There is more to driving trucks than turning the steering
wheel. Drivers make sure bills of lading are transferred.
They deliver packages. They protect cargo. Perhaps most
importantly, they build trust with customers.
Jobs are complex things. In scarce labor markets, smart
companies rethink tools and processes instead of rethink-
ing their hiring decisions.
The true potential of automation is to accelerate com-
panies. When done right, these new tools and processes
simultaneously empower the front line and leadership.
1. https://dsqapj1lakrkc.cloudfront.net/media/sidebar_downloads/TalentCrunch.
SalarySurge.Summer2018.pdf
2. https://dsqapj1lakrkc.cloudfront.net/media/sidebar_downloads/
FOWTalentCrunchFinal_Spring2018.pdf
3. https://www.ppic.org/content/pubs/other/1015HJR_appendix.pdf
4. http://www3.weforum.org/docs/WEF_Future_of_Jobs_2018.pdf
5. https://www.trucking.org/News_and_Information_Reports_Industry_Data.aspx
6. https://annals.org/aim/article-abstract/2546704/allocation-physician-
time-ambulatory-practice-time-motion-study-4-specialties?doi=10.7326%
2fM16-0961
7. https://hbr.org/2018/03/
to-combat-physician-burnout-and-improve-care-fix-the-electronic-health-record
8. https://www.thedoctors.com/contentassets/23c0cee958364c6582d4ba95afa47fcc/
tdc_the-future-of-healthcare-survey-2018.pdf
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HP Innovation Journal Issue 12