Daily Archives: March 29, 2017

The push over the last decade by international maritime ports to fully automate operations has sparked the ire of many U.S. longshoremen whose high-paying jobs and way of life are at stake. The trend also sets up a battle between their unions and companies and governments who see automation as a cleaner, more efficient and more cost-friendly alternative to the current system.

This may be the most difficult and complex challenge weve ever undertaken, Dan Sperling, professor of civil engineering and environmental science at the University of California, Davis and a member of Californias Air Resources Board,told Bloomberg. Were trying to change the entire freight system.

California is on the frontlines in the battle over automation as the ports of Long Beach, Los Angeles and Oakland handle 40 percent of U.S. container traffic and that number is expected to increase with the expansion of the Panama Canal.

Advocates for automation argue that ports run basically by robots can handle the greater volume of goods expected to go through the states ports and do it more efficiently and in a tighter space.

TraPac LLC, which operates a shipping terminal at the Port of Los Angeles, says the companys fully automated terminal in Southern California has not only doubled the speed of loading and unloading ships saving TraPac money and boosting its profit margin but it has also cut down on the time trucks have to wait for containers. Adding to this is the electric- and hybrid-powered automated machines cut down on carbon emissions something that California Gov. Jerry Brown is particularly keen to do.

Brown wants 100,000 zero-emission freight-hauling machines in California by 2030 and with half the states toxic diesel-soot emissions and 45 percent of the nitrogen oxide that plague Los Angeles with the nations worst smog coming from commercial shipment, the Democratic governor has honed in on the ports as the place to start working on his goal.

While this may be music to the ears of environmentalists and shipping industry insiders hoping that the U.S. catches up with the rest of the world (the Port of Rotterdam automated in 1993), it has hit a sour note with the regions longshoremen, many of whom earn six-figure incomes under the current system.

Those robots represent hundreds of (lost) jobs, Bobby Olvera Jr., president of International Longshore and Warehouse Union Local 13,told the Press-Telegram. It means hundreds of people that arent shopping. They arent paying taxes and they arent buying homes.

This sentiment which is echoed across the country on factory floors and warehouses is not without precedent.

When container shipping was first introduced in the U.S. around the middle of the last century, more than 90 percent of workers at urban docks lost their jobs within 15 years of containerization's arrival a trend that greatly contributed to the decline of the urban middle class in port cities across the globe.

In a more recent example, at the ports of Los Angeles and Long Beach the International Longshore and Warehouse Union formally accepted the use of self-driving and automated technologies in 2008. Since then, while none of the unions 14,000 workers have lost their jobs, 10,000 contingent workers have been called up to work much less often, Jim McKenna, president of the Pacific Maritime Association, said.

The push for full automation has been much stronger on the West Coast than at ports in the East and Gulf Coasts, where operators and unions have come to a tacit agreement on partial automation. While ports in Virginia and New Jersey were the first to try outfull automation, major stops like Miami and New York seem less likely to do so anytime soon given the pushback from unions and the fact that large ships rarely unload all of their cargo on a single stop like they do out west.

Those robots represent hundreds of (lost) jobs... It means hundreds of people that arent shopping. They arent paying taxes and they arent buying homes.

- Bobby Olvera Jr., president of International Longshore and Warehouse Union Local 13

We have no problem with semi-automated terminals, Jim McNamara, a spokesperson for the International Longshoremens Association, told Fox News. New technology is fine if it keeps our workers safe, but full automation means that our jobs are gone.

McNamara added: Not only do our jobs help the economy and keep more people working, but it would also take years and a lot of money to rebuild a port to be fully automated.

The high cost, however, is something that terminal owners seem willing to handle if it means bigger profits and to keep pace with global competitors.

ThePort of Los Angelesand TraPac have already invested $693 million in four dozen self-driving cranes and automated carriers, plus related infrastructure. Middle Harbor, the port of Long Beachs automated terminal, should be up and running in about two years at a cost of $1.3 billion.

Experts say that these developments mean that the writing is on the wall for longshoremen and that the automation tide is upon U.S. ports whether they are ready or not.

The maritime industry has perhaps been slower than most to embrace container terminal automation, Howard Wren, director of Logistics at Australias Jade Software Corp.,wrote in article for Port Technology. However, confidence in automation technology is now at its highest level ever and the development of automated terminals is quickly approaching the point where the rush is about to begin.

Excerpt from:

Automation of port terminals threatens thousands of lucrative dock ... - Fox News

Inverse

Evidence That Robots Are Winning the Race for American Jobs ... New York Times Robot arms weld a vehicle at the General Motors plant in Lansing, Mich. Automakers are the biggest users of industrial robots, which have decreased ... New Study Confirms that, Yes, Automation Is Taking JobsInverse Robots do destroy jobs and lower wages, says new study - The VergeThe Verge Compelling new evidence that robots are taking jobs and cutting ...Quartz NBER all 26 news articles »

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Evidence That Robots Are Winning the Race for American Jobs ... - New York Times

Rockwell Automation's(NYSE:ROK)recent first-quarter earnings report had more than its fair share of bullish signals to encourage investors in the stock.Indeed, Rockwell looks well-placed in an environment in which most forecasters are predicting a pickup in North American industrial production. So is it time to pile into the stock? Let's look at the cases for and against.

ROK data by YCharts.

As you can see above, the stock has been on a strong run in the past year, and the first-quarter results released at the end of January only served to further stoke the flames of optimism. Some of the key reasons that bulls are warming to the company:

Data source: Rockwell Automation presentations. Chart by author.

Focusing on Emerson Electric and Parker-Hannifin for the moment: There is evidence of an improving environment in the industry. For example, Emerson Electric -- sometimes seen as a potential bidder for Rockwell -- had a better-than-anticipated quarter and raised guidance amid seeing its trailing-three-month order growth return to positive territory. Meanwhile, in its second-quarter results released in February, Parker-Hannifin increased its second-half organic growth forecast to 3.3% compared to a previous forecast for 2.3%.

Putting these points together, it's not hard to think of Rockwell's management as being conservative with guidance in the face of an improving backdrop in its end markets. Does this mean you should rush to mentally pencil in potential upside to earnings forecasts for 2017?

Auto sales were very strong for Rockwell in the first quarter. Image source: Getty Images.

Before you do that, it's worth reflecting on management's commentary on the quarter, and then considering whether the reasons for the beat are part of a sustainable trend or not. While the evidence for improving end markets is compelling, it also appears that Rockwell had a uniquely good quarter. Management made the following points on the earnings call:

Regional contributions to year-over-year organic growth in the first quarter. Data source: Rockwell Automation presentations. Chart by author.

Clearly, the economic backdrop is improving for Rockwell Automation and others, but at the same time it appears that Rockwell has just had an unusually strong quarter. To be fair, management hasn't got carried away and aggressively increased guidance, but the valuation (forward P/E ratio of 24) suggests the market is expecting more upside. Rockwell is set for growth, but perhaps not as strong as seen in the first quarter, so cautious investors may want to wait a quarter or two before buying in.

Lee Samaha has no position in any stocks mentioned. The Motley Fool recommends Emerson Electric and Illinois Tool Works. The Motley Fool has a disclosure policy.

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Did Rockwell Automation Really Just Have a Lucky Quarter? - Motley Fool

Global automotive industry leader BMW will take the stage at this years Automation Conference & Expo bringing attendees behind the scenes at BMWs largest vehicle assembly location. Last year this facility, located in Greer, South Carolina, recorded its largest annual production with 440,000 X-models rolling off the line. Eugene Grant, BMWs Scholar Supervisor, will explore the manufacturers automation strategy and how they sustain a skilled workforce at this 8,000-employee operation.

Comments Automation World Director of Content and the conference program architect, David Greenfield, BMWs presentation is one of the most exciting keynotes in recent years because of the sheer scale of manufacturing taking place at the facility being discussed. How this industry leader has built a plant that leverages the full potential of robotics and automation, and how they have solved the critical workforce piece is a presentation that will deliver enormous value for professionals across manufacturing.

Also on stage at this years conference are other leading automation technology end-users including Caterpillar, BP and Snyders-Lance. Now in its sixth year, the Automation Conference & Expo explores transformative trends and technologies for engineering and management professionals within discrete manufacturing, packaging, and continuous and batch processing. The 2017 program will explore: how companies are using augmented reality for maintenance and repair; measures for enhancing cybersecurity in process environments; 3D printing / additive manufacturing for custom parts; interoperability; virtual machine design and more.

Scheduled for May 23-24 at the Chicago Marriott OHare, the Automation Conference & Expo is produced by PMMI Media Group, publishers of Automation World and Packaging World. Registration and additional program details are available at TheAutomationConference.com or by contacting PMMI Media Group at 1-800-355-5595.

About PMMI Media Group PMMI Media Group is a market-leading B2B media company that produces information for processing and packaging professionals, bringing together solution providers and end users and facilitating connectivity throughout the supply chain. Its world class media brands Packaging World, Automation World, Healthcare Packaging, Contract Packaging, ProFood World and Packaging + Processing OEM are proven leaders in covering this diverse and dynamic marketplace, and its digital products incorporate leading edge media technologies to deliver informed, actionable business intelligence to the industry. PMMI Media Group also produces the Automation Conference & Expo, an annual education and networking forum, that takes place in Chicago each spring.

PMMI Media Group is owned by PMMI, The Association for Packaging and Processing Technologies, a trade association representing more than 700 companies that provide a full range of processing and packaging machinery, materials, components and containers. PMMI actively brings buyers and sellers together through initiatives such as packexpo.com, educational programs and world-class events, connecting participants in the processing and packaging supply chain with their customers around the world. The PACK EXPO trade shows unite the world of processing and packaging to advance the industries they serve: PACK EXPO International, PACK EXPO Las Vegas, Pharma EXPO, PACK EXPO East, EXPO PACK Mexico, EXPO PACK Guadalajara and ProFood Tech, launching in April 2017. Learn more at pmmimediagroup.com

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How Automation Drives BMW and Its Workforce | Automation World - Automation World

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It's a bad news, good news situation for system administrators worried about the reliability of backing up data from cloud computing systems.

The bad news is backup software for cloud data is only about half as mature as traditional versions, Commvault chief strategy officer Chris Van Wagoner said. The good news is some exotic technologies such as artificial intelligence may bridge the gap.

"I don't want to poke fingers at any cloud providers because I don't care who you arethey all experience outages from time to time," Van Wagoner observed, reflecting on the recent major outages at Amazon and Microsoft.

"One of the areas that everybody can do, including us, in the old legacy [backup] world is cross-platform, cross-application, cross operating system," he said. But for cloud data, "The ability to be portable between these different formats in my mind is a maturation process."

SEE: Video: Why the cloud is about more than just backup and recovery (TechRepublic)

Commvault is expanding its products for such portability later this year, although all backup providers must rely on the Amazons and Microsofts of the world providing the necessary programming interfaces and inside visibility, Van Wagoner noted.

Van Wagoner said he agrees that artificial intelligence could be a useful tool in battling that complexity. To be clear, "No backup software has artificial intelligence in it today," he said.

"The interesting part is in AI's ability to be predictive," he continued. "I think within a decade, if you and I are still around, we won't be talking backup anymore. We'll be talking about how do we capture data, collect it, and use it."

To start, part of Commvault's focus for the next few years will be what Van Wagoner called "automation and orchestration" of cloud data backup. It's important because there are more moving parts compared to conventional network-attached storage and storage-area networks residing in your own data center, he explained.

Commvault will emphasize automation of repetitive tasks in service packs 8, 9, and 10 of its current software this summer, fall, and winter, Van Wagoner explained. Orchestration is more difficult, so there will be basic capabilities at first. Customers in government, healthcare, and Internet of Things sectors will find initial uses for this, he said.

Behind the scenes, Commvault is starting the longer-term effort by using machine learning, search, and workflows from a technology from Lucidworks. "We've talked about where we want to go from a high level," Van Wagoner said. "The idea of a job-based batch process is ultimately going to be replaced by something smarter and more efficient, much more real-time, and much more granular."

SEE: Research: Companies lack skills to implement and support AI and machine learning (Tech Pro Research)

Automation and orchestration may be a bridge to artificial intelligence. "I think within a decade if you and I are still around we won't be talking backup anymore. We'll be talking about how to capture data, collect it, and use it," Van Wagoner said.

IBM, through its Watson initiative, and Veritas are said to be evaluating similar ideas. Officials of those companies were not available to comment.

Artificial intelligence is already becoming part of storage in other ways. A startup called Ayasdiwhich apparently is Cherokee for "search," though officials joked that it also means "available domain"recently used its DARPA-funded analysis software to find unexpected striping failures for an unspecified hard disk manufacturer.

"In the early days of SSDs they would wear out so quickly... likewise with classic magnetic disks," explained Ayasdi's Ronaldo Ama, vice president of engineering. Drive manufacturers have preconceived notions of what can fail in a laboratory, so they weren't looking for other complications arising from real-world usage, he said. Ama previously worked at EMC, and he now realizes that such major storage vendors could use AI to test drives before they're ever deployed in modern petabyte-scale arrays.

Beyond backup companies, artificial intelligence in your data center could even protect systems by detecting an administrator's emotions. Affectiva is another startup using facial, skin, and speech detection to create responses in business applications such as human resources and safety coaching. The same functions could be applied to IT security, evangelist Boisy Pitre explained.

It's not so unrealistic that one day soon, if a Linux systems administrator has speech input enabled at her terminal, then AI would know if she's joking when she says Sudo rm -r out loud.

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How automation and artificial intelligence could transform backup software - TechRepublic

The only constant in work is that work changes. It shifts. It pivots. It requires new skills, new training, new ideas. This has always been the case. But today, with everything becoming connected to the internet and digitization reshaping the definition of value in entire industries, the rate of change is increasing dramatically.

In IT specifically, automation technology is driving a new wave of change, making many rote operations tasks that weve performed manually for decades a thing of the past. All of this is great news; after all, how many of us truly enjoy the laborious and time-intensive process of manually configuring and troubleshooting devices using Command Line Interface (CLI)?

But it does present us with an important question: How can we as IT professionals ensure our enduring value?

For any who saw the movie Hidden Figures, youll know that this is not a new dilemma. The movie shares the real-life story of Dorothy Vaughan, the leader of a team of "human computers" at NASA who performed manual launch and re-entry calculations necessary for space missions in the early 1960s.

Recognizing that mainframe computers were going to replace much of this work, Vaughan took the action of teaching herself and her team the programming language of Fortran. Together, they successfully transitioned through the automation of their prior jobs to new, arguably more interesting and in-demand positions as programmers. Dorothys story is a great example of empowerment and self-created career opportunity.

[Sidebar: If you have daughters, Hidden Figures is a wonderful movie to watch together, and it will hopefully inspire more young women and minorities to pursue careers in science, technology, engineering and mathematics. We need them!]

Automation has a history that goes back hundreds of years, which means weve actually rendered ourselves antiquated time and time again. Yet each new generation of automation sets up new roles and creates new opportunities for those with ingenuity like Dorothy Vaughan. Today we sit at the dawn of a new horizon in which software-defined networking (SDN) capabilities, integrated with automated workflow, can manage many of the tasks of network operations. Thats progress, right? And it certainly benefits those who have the developed skills to deploy and leverage these technologies in their own environments.

Increasingly IT organizations recognize the value of more automation in networks. Automation can speed up network operations to enable services on demand, respond to changesdynamically, such as increased capacity needs, and resolve issues quickly before they impact the service experience.

And like prior waves of automation, new work is required to determine how to best use network automation capabilities in each unique environment and for different use cases.

Beyond the advantages of getting things done faster, automation opens up possibilities for new services with personalization and gives back time to invent and create. You can think of this as creating innovation capacity in your organization. And as digital transformation sweeps through, you are going to need it.

Networks are central to delivering the value of digital business. In his critically acclaimed bookThe Seventh Sense, bestselling author Joshua Ramo argues that survival today entirely depends on an organizations ability to network successfully. Not just socially, but digitally. According to Ramo, the network is so much more than pipes and plumbing or a transporter of data. Its a strategic platform.

Anytime I speak with people about this, they all nod their heads. Everyone agrees that the network must be an underlying force for innovation. Yet IT is often regarded as the slowest and most reticent organization to change. Its not really a surprise because, lets be honest here, transforming for digital business is hard. Change is scary. Maybe we have been rendering ourselves antiquated for generations, but when youre in the middle of a major transition, the status quo can look pretty darn tempting! This, Ramo says, underscores the importance of having the right leaders in place to guide necessary changes.

Leaders, whether by title or influence, are the spark for change and shape its prospects for success. With the right approach, you can ease angst and inspire enthusiasm for new ways. Here are some ideas on how to successfully lead change:

Ultimately, we have a choice: Bemoan the changes stirred by new capabilities in network automation or accept the challenge and embrace the multitude of new, awesome tools to bring about needed transitions toward digital transformation.

Automation and machine learning are going to redefine a lot of what we do in networking. So, stay with the wave. And like Dorothy Vaughans inspiring example, focus on leading others through the change by keeping skills current. You are absolutely up to the task!

In my next blog post, Ill share steps and tips to adopting new skills and technologies in NetOps. The great news is that if you want to keep your skills current and ensure you have a strategic role in the IT world of tomorrow, there is much information available online to help you do that.

Lets get started.

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Automation rolls on. What are you doing about it? - Network World