{"id":12166,"date":"2022-04-13T12:19:53","date_gmt":"2022-04-13T11:19:53","guid":{"rendered":"https:\/\/www.palpack.co.uk\/?p=12166"},"modified":"2022-04-13T13:07:56","modified_gmt":"2022-04-13T12:07:56","slug":"why-invest-in-automation","status":"publish","type":"post","link":"https:\/\/www.palpack.co.uk\/news\/why-invest-in-automation\/","title":{"rendered":"Why invest in automation?"},"content":{"rendered":"<div class=\"wpb-content-wrapper\"><p>[vc_row][vc_column][vc_column_text]<b>Businesses in the UK are under pressure to meet a sharp rise in post-pandemic consumer demand, while at the same time, struggling with a national labour shortage. Many are turning to automation for help, so it\u2019s no surprise that market experts predict that this will be a key investment theme for 2022.<\/b><\/p>\n<p><!--more--><\/p>\n<h2>The benefits of automation<\/h2>\n<p><span style=\"font-weight: 400;\">To overcome the shortage in workers, some businesses are choosing to automate key processes, like material handling. When you invest in automation, you are less reliant on a large workforce and you benefit from a reduction in labour costs.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">What\u2019s more, if you remove the human element from manual and repetitive tasks, you can expect to see a reduction in health and safety incidents. In the long-term, this will save you money in compensation and time lost due to staff absence.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Unlike the workforce you are used to, machines have little downtime. They can be relied upon to work continuously for long periods without making mistakes \u2013 and in turn there is less wasted raw material (another important cost saving).\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This increase in output combined with a reduction in costs is what makes automation such an efficient option and why businesses are choosing to invest.<\/span><\/p>\n<h2>Budgeting for automation<\/h2>\n<p><span style=\"font-weight: 400;\">Now is the time to make the case for investing in automation, and you can start by calculating the cost savings that can be made across the business, including:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">staff headcount\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">injury pay-outs and sick leave<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">time lost due to absence\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">correcting costly mistakes<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">wasted raw material <\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Using these cost savings combined with your projected increase in output, it\u2019s possible to work out how long it will take for you to pay back your equipment, and therefore when you can expect to see a return on investment.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You might be surprised at how quickly you can pay off your machinery. Some of our <a style=\"text-decoration: none; border-bottom: 2px solid #a7be38;\" href=\"https:\/\/www.palpack.co.uk\/products\/automated-guided-vehicles\/\" target=\"_blank\" rel=\"noopener\">AGVs<\/a> (automated guided vehicles) have a <a style=\"text-decoration: none; border-bottom: 2px solid #a7be38;\" href=\"https:\/\/www.palpack.co.uk\/news\/payback-period-for-automation\/\" target=\"_blank\" rel=\"noopener\">payback period of less than one year<\/a>.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To help you recover your costs quicker, the UK government is offering a <a style=\"text-decoration: none; border-bottom: 2px solid #a7be38;\" href=\"https:\/\/www.palpack.co.uk\/news\/super-deduction-incentive-on-automation-machinery\/\" target=\"_blank\" rel=\"noopener\">substantial tax rebate<\/a> on qualifying capital expenditure. As part of the initiative, you can offset 130% of your automation equipment against your tax bill until the end of March 2023. <\/span>[\/vc_column_text][vc_btn title=\u201dFor more information, talk to PALpack\u201d link=\u201durl:https%3A%2F%2Fwww.palpack.co.uk%2Fcontact-us%2F|title:Contact%20Us|target:_blank\u201d][vc_column_text]<\/p>\n<h2>Non-financial benefits of investing<\/h2>\n<p>When you invest in automation, you can expect to receive more than just a boost in profitability. Automation gives you the flexibility to relocate your core staff to other priority areas of the business. In other words, you are freeing up your talent to do the things that humans do better than machines, such as creative problem-solving.<\/p>\n<p>It\u2019s also possible to scale-up production when you need it without the headache of trying to recruit a lot of temporary staff. And because machines are more predictable than your usual workforce, it\u2019s easier to make projections about your output.<\/p>\n<h2>Why invest in automation now?<\/h2>\n<p>Consumer spending is the highest it has been in years, and businesses are being asked to meet the challenge of this sharp rise in demand. By investing in automation, you\u2019re not only increasing your capacity, but you\u2019re doing so without having to rely on a large workforce.[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>[vc_row][vc_column][vc_column_text]Businesses in the UK are under pressure to meet a sharp rise in post-pandemic consumer demand, while at the same time, struggling with a national labour shortage. Many are turning to automation for help, so it\u2019s no surprise that market experts predict that this will be a key investment theme for 2022.<\/p>\n","protected":false},"author":1,"featured_media":12167,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[42],"tags":[],"class_list":["post-12166","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-automation"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.7 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Why invest in automation? | PALpack<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.palpack.co.uk\/news\/why-invest-in-automation\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Why invest in automation? | PALpack\" \/>\n<meta property=\"og:description\" content=\"[vc_row][vc_column][vc_column_text]Businesses in the UK are under pressure to meet a sharp rise in post-pandemic consumer demand, while at the same time, struggling with a national labour shortage. 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