The fourth industrial revolution or industry 4.0 has become an inevitable milestone that we need to embrace as we embark upon the next logical step in the Information Technology world. The term Industry 4.0 encompasses a promise of a new industrial revolution, one that marries advanced manufacturing techniques with the Internet of Things to create manufacturing systems that are not only interconnected but communicate, analyze, and use information to drive further intelligent action back in the physical world.
Referred to as the Internet of Things (IoT), internet of everything or industrial internet, what these terms have in common is that traditional marketing and production methods are in the undeniable way forward - Digital transformation. *
Industry 4.0 is built on the basis of cyber-physical-production-systems (CPPS) which has brought about the merging of the real and virtual worlds. The adoption of ICT (Information and Communications Technology) by the manufacturing industry, replacing the traditional production operations has blurred the boundaries between the real and the virtual world. In addition to enabling networking of machines, CPPSs also has enabled networking between machines, properties, ICT systems, smart products and individuals across the supply chain. This results in processes and deadlines to be better coordinated and improves efficiency, optimisation, utilisation and quality in development, production, marketing and purchasing.
A detailed look at Industry 4.0
Here are four facets of industry 4.0 which goes to prove that the traditional manufacturing and the digital industry have a huge scope for this transformation.
1. Vertical networking of smart production systems
This technology uses extensive integration of data to enable smart production that is customer-centric and individualised. CPPSs enable autonomous functioning of production and maintenance management which ensures industries are able to sense rapidly the changes in demand or stock of products and complaints related to supply management. It requires IT Integration, Analytics and Data Management, Hybrid application solutions and Operational efficiency to take it a long way in increasing the efficiency in production.
2. Horizontal integration and global value chain networks
The real-time optimised value and smart supply chain management (SCM) to enable integrated transparency and offer higher levels of flexibility to respond rapidly and efficiently to issues and faults in the system and thus facilitate global optimisation.
The entire process chain is made transparent and traceable from purchasing, production to sales. The horizontal integration of the business partners and their customers has brought about completely new models, but not without a challenge involved. Such processes has made it an absolute necessity for protection against any legal, liability or intellectual property rights that may arise.
3. Through-engineering across the value chain.
Through-engineering make it possible to have a seamless process from design and development through the entire life cycle until sales. The efficient management of innovation, development and manufacturing of new products and production system is integrated and efficiently coordinated with the efficient life cycle management of the product. Enabling new collaborations created between product development and production systems.
4. Acceleration through exponential technologies.
Exponential technologies play a huge role in accelerating industrial processes and helps in optimising cost, flexibility and offering individualised solutions.
The need for autonomy drives technologies such as AI, advanced robotics and sensor technology to aid in further automation to speed up processes. AI helps to plan driver less vehicle routes more flexibly, save cost and time in supply chain management and increase production reliability and data analytics. It also significantly improves human-machine interaction.
3D printing technology allowing new production and supply chain solutions, makes it possible to achieve inventory reduction, faster delivery times and also customer integration.
The organisations need to create a continuous learning curve to take full use of exponential technologies in achieving the digital transformation to industry 4.0. Learning is the key to sustainable organisational development.
Industry 4.0 and its place in the future
The digital transformation scope of Industry 4.0 has its potential to bring about large transformation in the future in the following segments.
• Research and development
• Procurement and purchase
• Production
• Warehousing and logistics
• Marketing
• Sales and services
• Internal company administration.
A promising and imminent transformation, Industry 4.0 is a welcome change in an era of evolving technology and digital transformation.
*Source: https://www2.deloitte.com/us/en/insights/focus/industry-4-0/digital-industrial-transformation-industrial-internet-of-things.html
