Survey Europe’s Automation: A Country-by-Country Analysis

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FAULHABER Drive Systems

Reichelt elektronik conducted a survey in France, Germany, Italy, and the Netherlands to examine the adoption and potential of technologies like robotics, AI, machine learning, big data, and IoT. How do these countries fare in comparison with each other in embracing these advancements?

Four European nations agree: Automation holds great promise, especially for Europe's industrial sector. According to a survey by Reichelt Elektronik, one of the most well-known European online distributors for electronics and IT technology, 60% of companies believe that manufacturing will be fully automated within five years, and over two-thirds (68%) consider automation solutions essential for remaining competitive.

The level of automation in Europe

Germany, along with the Netherlands, is one of the leading economies in automation. German companies have automated 43% of their manufacturing processes, closely followed by the Netherlands at 41% and Italy at 40%. Although France ranks last with 37%, it shows promising ambitions to significantly increase its level of automation in the coming years.

Cloud and IoT dominate ahead of AI and ML

A look at individual technologies reveals that Cloud Computing (47%) and Industrial IoT (46%) are widely adopted in Germany, with even higher adoption rates in the Netherlands, where 48% of companies have integrated these technologies. Italy and France lag behind slightly, with 43% of Italian companies using Cloud Computing and 35% adopting Industrial IoT. France ranks last, with only 32% using IoT and 30% using Cloud Computing. Acknowledging the need for improvement, 58% of French companies hope to automate their production within the next five years. Despite the importance of data-driven decision-making for optimizing processes and ensuring future viability and innovation, all nations show lower adoption rates of Big Data Analytics and Artificial Intelligence/Machine Learning (AI/ML).

Big Data Analytics
- France: 32%
- Germany 35%
- Italy 33%
- The Netherlands 41%

Artificial Intelligence  & Machine learning
- France: 26%
- Germany: 28%
- Italy: 19%
- The Netherlands: 19% 

Challenges and Opportunities

The lag in the adoption of Big Data Analytics and AI/ML can be attributed to several factors. High investment costs, a shortage of skilled professionals, and regulatory uncertainties, especially concerning new data protection laws in Europe, play significant roles. Additionally, the lack of digital maturity in companies and local infrastructure hinders successful implementation. Doubts from employees and management about the economic benefits further block successful adoption. The technological complexity and integration challenges add to the difficulties, deterring many companies from widespread implementation. However, despite these challenges, the importance of Big Data Analytics and AI/ML has been recognized, with around half of all companies planning to implement these technologies by 2026. Notably, 53% of respondents even believe that AI and automation could help address the ongoing skilled labor shortage in Europe.

Global record for robots

China relies on growth strategy with robots

Europe: Soon to Be a Continent of "Robot Nations"?

Robots are considered the cornerstone of effective automation, as they combine many key technologies in an efficient machine. The Federal Republic of Germany leads in the application of robots within the European industry: the World Robotics Report (2023) indicates 415 industrial robots per 10,000 employees in the manufacturing sector. According to the Reichelt survey, 63 percent of the surveyed German companies use robots. In France, it is 58 percent, in the Netherlands 51 percent, and in Italy 48 percent. These results should also be considered in relation to the global installation base of robots. As current figures from International Federation of Robotics (IFR) show, China now dominates globally by a significant margin.  

European countries differ mainly in their use of robots. Italy (61%) prefers robots for repetitive and uniform tasks, as does France (44%), while the Dutch and Germans mainly use robots for physically demanding tasks (both 54%).

In terms of applications, nearly half (47%) of the German respondents use robots for assembly, while companies in the Netherlands primarily assign packaging tasks to robots (43%). In France, robots are mainly used for welding (35%), and in Italy, tasks such as milling, sawing, and laser cutting, with 43%, represent the most important application area.

Access new markets and produce sustainably

For the industry in Europe, there are many reasons to invest in automation. France, Italy, and Germany are in agreement: the states are particularly motivated by the opportunity to access new markets through innovative or improved products and services (survey results: 35% France, 36% Italy, 39% Germany). In contrast, the Netherlands primarily view automation as a chance for sustainable production (45%).

The Reichelt Electronics survey also shows that the acceptance of automation technologies strongly depends on the company. Small businesses with limited resources often face challenges in finding tools that meet their requirements while remaining affordable. Large companies need to allocate their limited budgets strategically and make the right investment decisions. Targeted strategies and needs-based measures could support the promotion of automation across Europe.

Methodology

The survey was conducted by the independent institute OnePoll among 250 participants each from France, Italy, and the Netherlands, and 500 participants from Germany. The survey period was April/May 2024. The respondents were tech decision-makers from the manufacturing sector, including industries such as aerospace, chemical/plastic processing, automotive, textiles, hardware components, production and manufacturing, electronic components, transportation and logistics, energy supply sector suppliers, and mechanical engineering. (kib)