Automation, Robotics Adoption, and Cost–Performance Efficiency in Pakistan’s Industrial Sector

Abstract

The industrial processes are changing fast, with the implementation of automation and the use of robotics technologies worldwide which promises industries more efficiency, cost-efficient activities, and better performance. The paper examines automation and robotics in the industrial sector of Pakistan and how it has affected the cost-performance efficiency. A quantitative research design was used whereby 250 industrial firms in the manufacturing, engineering, and processing industries were sampled to obtain the data. The correlation between automation adoption, efficiency in operations, and financial performance was tested by using applied statistical methods, such as regression and efficiency modeling. The results indicate that companies that combine robotics and automated solutions record high levels of efficiency in production processes, labor cost reduction, and quality of output. It can also be noted that there is also sectoral variation as the large-scale manufacturing firms realize better performance gains than smaller, less automated firms. The mediating factor between automation adoption and financial results is identified to be operational efficiency, with the strategic importance of technology in improving industrial competitiveness. The findings can guide managers and policymakers to promote automation-based productivity in the industrial sector in Pakistan.