It is designed to look like Squidward. Its face is always smiling and its mouth lights up whenever it speaks.
Role in the episode
The robot is placed in the Krusty Krabboat counter after the restaurant becomes a museum as a result of Frozen Krabby Patties' rise to popularity. His speech exhibits love for his job, which is nothing like the real Squidward, who finds the robot counterpart to be out of character. Squidward then replaces the robot with himself and declares his hate of his job while still pretending to be the robot. Later on, a mechanic comes and (tries to) "fixes" him since Squidward is saying things that the robot is not supposed to be saying.
The real robot is later deactivated and seen scattered around in a junk pile along with other objects from the Krusty Museum after the Krusty Krab reverts to its previous state.