Industry 4.0: How Industry 4.0 Transforming Future of Manufacturing

What is Industry 4.0?

Industry 4.0, also know as 4IR or Forth Industrial Revolution is referring to the current trend of integrating advanced digital technologies into manufacturing and supply chain processes.

First industrial revolution was marked by steam engines, Second Industrial revolution came with machines powered by Electricity, Third Industrial revolution was referred to introduction of computers and robotics and Forth Industrial Revolution mostly know as Industry 4.0 or 4IR is refers to Cyber physical system.

Industry 4.0 is the industrial revolution which is a combination & integration of various newly coined technologies.

Historical Background of Industry 4.0

The Industrial Revolution converted manual labour work into mechanized work which was made possible due to development of new machinery, technology such as Steam Engine and Power loom. This shift of technology helped to improve productivity and economic growth and thereby social reforms. Throughout the history, four Industrial revolutions have been put their mark on technology, Industry and human society.

For more detailed information on history of industrial revolution,

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Key Technologies of Industry 4.0

Industry 4.0 have great potential to transform the manufacturing and supply chain to make businesses more efficient, productive, safer, flexible and responsive which will leads to customer delight and customer loyalty.

Industry 4.0 is the result of major technological advancement that have occurred in recent year. There is major nine key technologies of Industry 4.0

1. Internet of Things (IOT)
2. Advanced Robotics
3. Artificial Intelligence
4. Big Data Analytics
5. Cloud Computing
6. Additive Manufacturing, 3D Printing.
7. Augmented Reality (AR)
8. Virtual Reality (VR)
9. Cyber Security

These technological trends are driving the development of “Smart Factory”, “Factory of the Future” where machines, devices and systems are interconnected and communicate with each other in real time.

How Industry 4.0 key technologies are changing the way business operates and competes?

The key technologies of Industry 4.0 such as Internet of Things, Advanced Robotics, Artificial Intelligence, Big Data, and cloud computing are changing the way business operates and completes the challenging demand of the market.

1. Efficiency improvement: Industry 4.0 technologies brings down the waste of Lean manufacturing, eliminates non-value adding activities and faster the processes which leads to improving efficiency, increases the output and reduces the cost of manufacturing.
2. Big data analytics: Many times, organizations fails to take proper decision due to lack of enough data with them. Industry 4.0 enables management of any organization to take decisions which are based on real time data of their processes. Real time data enables them to identify trends and respond quickly to any challenge.
3. Business customization: Industry 4.0 technologies enables organizations to understand highly changing demands of the customer, helps to analyse those which leads to derives customised solutions in a faster way.
4. Customer delight: Industry 4.0 technologies helps industries to improve customer experience by providing them customised solutions, faster response, support and required trainings. This helps to improve customer loyalty toward your organization.
5. New business opportunities: Industry 4.0 technologies can develop new business stream for your organization, and it can be your new stream of revenue.

Benefits of Industry 4.0 Technologies

1. Improved efficiency: Industry 4.0 technologies brings down the waste of Lean manufacturing, eliminates non-value adding activities and faster the processes which leads to improving efficiency, increases the output and reduces the cost of manufacturing.
2. Cost reduction: Industry 4.0 technologies enables various opportunities of cost reduction through analysing your process, identifying root causes and eliminating lean manufacturing wastes.
3. Productivity enhancement: Advance robotics replaces routine labour work in a more efficient an accurate way there by reducing rework as well as rejection and enhances productivity.
4. Business flexibility: Real time data collection and data driven approach for decision making helps to provide flexible solutions to customers.
5. Improved safety: Replacing more difficult work by advanced robotics will helps to make work environment safer.
6. Business customization: Industry 4.0 technologies enables organizations to understand highly changing demands of the customer, helps to analyse those which leads to derives customised solutions in a faster way.
7. Customer delight: Industry 4.0 technologies helps industries to improve customer experience by providing them customised solutions, faster response, support and required trainings. This helps to improve customer loyalty toward your organization.
8. New business opportunities: Industry 4.0 technologies can develop new business stream for your organization, and it can be your new stream of revenue.

Challenges of implementing Industry 4.0

Though journey of Industry 4.0 looks very attractive and successful, there are many challenges which can came into the way of any organization.

1. Resistance to change: Industry 4.0 implementation requires many changes in the way of running business. It includes changes in skills required with manpower, system and process changes, work environment changes. Currently existing management and employees may feel uncertainty about their job loss and can exhibit resistance for accepting Industry 4.0 technologies.
2. Lack of Skilled workforce: As Industry 4.0 is recently developed thing, manpower which is required to run it in any organization must acquire some specific skills. Existing educational system have started including Industry 4.0 skills in their curriculum, but still it will take some time to develop such skilled manpower.
3. Cyber security Risks: The increased use of connected devices and digital networks in Industry 4.0 creates new vulnerabilities and cybersecurity risks. Businesses must take proactive measures to ensure that their data and systems are secure from cyber attacks.
4. Heavy Investments: Implementing Industry 4.0 requires significant investment in new technologies, infrastructure, and workforce development. For many small-scale and mid-scale businesses, the cost of implementing these changes can be more risk taking.
5. Government Policies: Though Industry 4.0 is an inevitable technology, some governments are not yet ready to implement Industry 4.0 due to their economic and social conditions in the industry.

Strategy to overcome challenges of Industry 4.0 implementation

To overcome these challenges, businesses need to take a proactive approach.

• They must invest in upskilling and reskilling programs to train their workforce in new technologies and expertise.
• Businesses must also prioritize cybersecurity and invest in technologies and processes to mitigate cyber threats.
• Additionally, businesses can partner with technology providers and consultancies to support their Industry 4.0 journey, helping to fill any gaps in expertise or resources.
• Business must be willing to embrace change, communicate effectively with employees and stakeholders, and be flexible and agile to adapt to new challenges and opportunities.

Future of Industry 4.0 is bright, as businesses continue to embrace and implement these technologies to improve efficiency, reduce costs, and drive innovation.

Coming few years are going to be referred as a era of Industry 4.0, 4IR or forth Industrial revolution and every business from the corner of the world is ready to take a ride with it.

So, are you ready to take this ride and implement Industry 4.0 in your organization?