Now Reading
East Asia headways global market on service robot industry

East Asia headways global market on service robot industry

The delineation of full-pledged manual work labor raises a probe, one that is perpetuated by the use of the technology on a service robot.

The delineation of full-pledged manual work labor raises a probe, one that is perpetuated by the prevalent use of the technology on a service robot. In 2024, projections showed that East Asia is expected to grow up to a revenue of USD 8.11 billion, or around 80% of the total revenue forecast in the service robot arena. This is based on the data of Statista, a business intelligence platform.

China, Japan, and South Korea comprise the highest revenue forecasts. Each amounts to billions of dollars that spawns into varying industries. Wherein, service robots not only assist humans but also leverage efficiency in the supply chain.

According to him, a service robot can free up human workers from repetitive tasks. In turn, people can focus more on creativity and the fulfillment of their roles.

Unlike their human counterparts, robots can work around the clock without fatigue, significantly reducing the time required to complete tasks. This 24/7 availability ensures that supply chain operations can continue without interruption, improving the overall efficiency of the system. 

Integration across industries

The use of service robots has been a game-changer for businesses seeking to enhance efficiency and reduce operational costs. Professional service robots with artificial intelligence (AI) aids in streamlining processes and reducing human error.

Service robots have proven their worth in tasks ranging from doing simple to complex tasks. At the warehouse, they can do order fulfillment to inventory management. This paved the way for the rise of  “Robotics As A Service (RAAS)” which automates priority areas in consideration of the dynamic needs of businesses.

For example, the hospitality sector has welcomed robot concierges equipped with cutting-edge AI. They ensure seamless check-ins, room service, and also host other guest amenities. 

Meanwhile, service robots have also found their place in the healthcare industry. In Japan, they assist with tasks such as medication delivery, reducing the workload of medical staff, and ensuring patient comfort and care.

China’s Pudu Technology Co., a leading exporter of robots, affirmed that a service robot is inevitable in handling menial tasks. Amongst all, maintenance of facilities for older people drastically lessens the workload of the staff. 

Also among the robot solutions is the provision of comfort people. Functionalities such as being able to elicit interaction as well as music can help alleviate emotional issues. 

Impact of service robots on the workforce

Although the adoption of service robotics industry experiences gradual growth, qualms about how it will affect employment persist. The  McKinsey Global Institute underscored that robots could indeed cause job displacement.

However, they also noted that the demand for workers could increase due to economic growth  and technological progress. While robots excel in speed and precision, they lack the empathy, creativity, and problem-solving abilities that humans bring to the table.

Service robots can perform repetitive and physically demanding tasks with unparalleled precision which not only reduces the risk of errors but also lowers the likelihood of workplace injuries.

According to the World Economic Forum’s (WEF) “The Future of Jobs Report 2023, approximately 85 million jobs in Asia Pacific alone could be displaced by automation by 2025. Yet up to 95 million new jobs could be created in the Asia Pacific by 2025 as automation creates new industries and businesses.

Furthermore, the maintenance and continuous development of robotic technology require a level of technical expertise and investment that some companies may need help to sustain.

“Enabling technologies for safe human-robot collaboration are becoming widely available, it’s the perfect time to restructure factories around collaborative automation that helps keep workers safe and improve factory economics,” shared by the WEF, an international non-governmental organization engaging in  public–private sector collaboration.

On robot density 

By 2024, the global service robotics market may reach US$9.59 billion in value. Its growth rate could spike to 6.64% every year until 2028.

The demand for service robotics is ushered by the impending concern on aging population and work preferences.   The International Federation of Robotics’ World Robotics 2022 report showed that South Korea has the highest  robot density with 1000 robots per 10,000 employees.

Since 2016,  China has the highest number of installations in the robots segment across the global market, having a huge stock of robots. Whilst, Japan has experienced a steady growth of 6% annually.

Business continuity 

Alongside the demand for robots, rests the qualms for consistent innovation for business sustainability. Notably, service robots may provide aid during certain disruptions in business operations. During power outages, robots can provide assistance in locating faults on a power grid. By doing so, electricians may be able to repair as needed to restore power. 

In some instances, high-tech robots can even have the functionality to render appropriate actions to restore power. Moreover, the robots can also provide algorithms and predictions to enhance preventive measures against possible power interruptions. 

For example, the Robotic Process Automation (RPA) enables risk assessment, full-scale automated auditing, and control testing automation. Both are crucial in rendering resilience. 

This has been proven in a survey underscored by tMetricstream, a business solutions provider.. It was found that about 50% of firms that use RPA leveraged resiliency after the COVID-19 pandemic. Wherein, more than 70% of the respondents had embraced digital workers in at least half of its workers. 

In this sense, it overturns the notion that robots pose a threat as well to the engagement of people in business operations. Yet, the absence of empathy and a sense of conscious decision-making could cause adverse effects on supply chain management. 

Factoring adoption and maintenance

Innovation and the need for leveraged service provision have fervently driven the roll-out of robots into the market. According to IFR, The Global Robotics Report 2022, the last decade has witnessed a notable shift in the production and deployment of service robots. 

As per the report, more than 70% of players in the service robotic arena worldwide are startups and small to medium enterprises, a testament to the entrepreneurial spirit driving innovation in this sector.

Meanwhile, robots are still machines that need maintenance and management of professionals or specialists. In the midst of a competitive market, businesses must be willing to invest in service robot updates if they are keen on using them. 

Such is to ensure that their robots remain efficient and can adapt to changing customer needs. Otherwise, businesses might not be able to fully maximize the use of a service robot and may end up incurring losses in the process instead.