industry4presentation-181125131036 (1).pdf

INDUSTRY 4.0
Anthony Sadalla Khamis GADO
MSc. Finance (I.U)
MBA (ITU)
Supervisor: Prof. Dr. N. Öykü İYİGÜN

Table of Content
Motivation
Introduction
Industrial Revolution
(Industry 4.0)
Industry 4.0
Vision of Industry 4.0
Reasons for Industry 4.0
Components of Industry 4.0
Characteristics of Industry 4.0
Design Principles of Industry 4.0
Essential eight technologies
The Benefits and the Challenges
Race for the future
Business life example

Motivation
Modern approach to management (Management 4.0)
The Fourth Industrial Revolution (Industry 4.0)
Radical and fundamental metamorphosis of technological advancement
from the initial 18th century British Industrial Revolution to the Industry of
the Future.

Objective
By the end of this presentation, student will be able to know;
Originate of industry 4.0
Pillars and key emerging technology in the Fourth Industrial revolution
Impact of the industry 4.0 and future challenges
Business life examples

Introduction
We have been surrounded by advanced technologies which are transforming
every aspect of our life as well as the entire manufacturing processes.
From the First British Industrial Revolution to the Fourth Industry
Revolution otherwise known as industry 4.0, there has been continuous
digitalization revolution that is changing the way we live, interact and
communicates as well as transacting.

Introduction…
The 18th century and 19th century period were predominately agrarian rural
societies in Europe and growth of industries with large factories, mass
production, increasing demand for workforce and desire for high
profitability.
The 18th-century initial industrial revolution laid fundamental landmark to
modern technological change and urban societies today.

Industrial Revolution
(Industry 4.0)

First Industrial Revolution
Period between 1760-1830
Witnessed the exponential growth of
machinery, mechanization in production
with the help of water and steam power
Initially, before the First Industrial
Revolution, manufacturing was done with
simple tools and there were unskilled
workers who worked under unbearable
conditions

Second Industrial
Revolution
Period between 1870-1969
Witnessed electric power generator
Replaced water and steam-powered
engines
Large-scale production, large factories
such as steel revolution in manufacturing
factories
Advent of the assembly line, and electric
power revolution, telephone as well as
refrigerators and washing machines.

Third Industrial
Revolution
Period between 1970-1990 (digital
revolution).
Categorized by automating production
and information technology.
Comes with an enormous change in
industries with digitalization that
transformed manufacturing and
automation
This period witnessed exponential
technological changes like 3D printing, Big
Data, modern technology in mechanical
devices instead of analogue electronics

Fourth Industrial
Revolution
4IR or Industrial 4.0 is witnessing a
drastically and exponential change that is
transforming how people working with
devices like computers to electronic
devices working and helping human
beings.
The Fourth Industrial is a continuation of
the Third Industrial Revolution that was
categorized with digitalization and
automation manufacturing

Fourth Industrial Revolution…
The Fourth Industrial Revolution is a cyber-physical system characterized by a physical, digital
and biological sphere which is transforming and impacting all work of life including
economics and industries.
İt is witnessing the growth of 3D printing, Intellectual property (IP), Artificial Intelligence (AI),
smart robots and automation, quantum computing, Internet of Things (IoT), drones, the
blockchain, and use of Big data.
The Fourth Industrial Revolution gained interest from investors and world leaders and become
a field of importance of conversation and debates at the World Economic Forum chaired by
founder and Executive Chairman, Klaus Schwab.
Klaus Schwab stated that “the question is not am I going to be disrupted but when is
disruption coming, what form will it take and how will it affect me and my organization?”

Industry 4.0
The term “Industry 4.0” originated in 2011 at the Hanover Fair in
Germany.
Industry 4.0 is known as “Industrie 4.0’’ in Germany, “Connected
Enterprise” in the United States and the “Fourth Industrial Revolution” in
the United Kingdom
Industry 4.0 or “Industrie 4.0 came as a result of the Germany initiative to
enhance competitiveness in a manufacturing industry. Germany Federal
Government vision for a high-Tech strategy for 2020 gave birth to the
buzzword “Industrie 4.0”.

Definition of the Term
Despite this widely discussed buzzword, there is no clear definition of the term.
Industry 4.0 was defined in terms of Smart Industry or “Industrie 4.0” which refers
to the technological evolution from embedded systems to cyber-physical
systems.
Industry 4.0 can also be referred to as “a name for the current trend of automation
and data exchange in manufacturing technologies, including cyber-physical
systems, the Internet of things, cloud computing and cognitive computing and
creating the smart factory” (Wikipedia source accessed November, 2018).

Reasons for Industry 4.0
Solution for manufacturing challenges
Manufacturing transformation:
Co-producer’s consumers.
(“Made-for-Me”). Produce the right product for the consumers at the
right time and for the right price.

Reasons for Industry 4.0…
Humans into the center of production. Enriched and humanized work.
Coordinated work..
Sustainable prosperity. The traditional manufacturing will soon be
surrounded and cornered by the modern, flexible Fourth Industrial
Revolution industry of the future

Components of Industry
4.0
Search Term (Group)
Number of Publications in
Which
Search Term (Group)
Occurred
Cyber-Physical Systems, Cyber-Physikalische Systeme,
CPS 46
Internet of Things, Internet der Dinge 36
Smart Factory, intelligente Fabrik 24
Internet of Services, Internet der Dienste 19
Smart Product, intelligentes Produkt 10
M2M, Machine-to-Machine 8
Big Data 7
Cloud 5
These components were identified based on
the number of publication in which the
search term occurred and often cited
definitions
 Cyber-physical System (CPS),
 Internet of Things (IoTs),
 Internet of Service (IoSs) and
 Smart Factory (SF).

Characteristics of Industry 4.0
Vertical networking of Smart Production System
Horizontal Integration via a new generation of global value networks
Through-engineering across the entire value chain
Acceleration through exponential technologies

Design Principles of
Industry 4.0
Cyber-Physical
Systems
Internet of
Things
Internet of
Services
Smart
Factory
Interoperability
X
X X X
Virtualization
X
- - X
Decentralization X - - X
Real-Time Capability - - - X
Service Orientation - - X -
Modularity - - X -
These principles support companies in
identifying and implementing Industry 4.0
scenarios
 Interoperability
 Virtualization
 Decentralized decisions
 Real Time Capabilities
 Services Orientation.
 Modularity

Nine Pillars of Industry
4.0
We are in the midst of a fourth wave of
technological advancement: the rise of new
digital industrial technology known as
Industry 4.0, a transformation that is
powered by nine foundational technology
advances.

Essential eight
technologies
Drone: provides new modes for
surveillance, survey and delivery
3D printing: potential to turn any business
into factory
AI: potential to create new product ad
service
Robots: Automate, assist human
Blockchain: Distributed ledger
Virtual reality: open new possibility for
simulation

The Benefits and the Challenges
Benefits
Industry 4.0 will truly revolutionize the way
manufacturing processes work. However, it’s
important to weigh the advantages and the
challenges that companies may face
Optimization
Customization
Pushing Research
Challenges
Security
Capital
Employment
Privacy

RACE FOR THE
FUTURE.
The BCG survey report indicates that 19%
of German companies have implemented
either a full Industry 4.0 concept (such as a
smart factory) or first measures toward a
concept (such as the introduction of
autonomous robots), compared with 16% of
US companies. German companies are off
to a somewhat faster start of
implementation despite the common
perception that US companies are the front-
runners in embracing digital
transformation

Examples of
İndustry 4.0 in business
life
 Logistics.
 Smart Manufacturing (Audi,
Siemen companies)
 Construction (Semi-Automated
Mason or SAM-Robot)
Good at building walls it could take
over the construction industry
increase productivity while
reducing overall labor costs.

Conclusion
Industry 4.0 will affect our identity, our sense of privacy, our notions of
ownership, our consumption patterns, the time we devote to work and
leisure, and how we nurture the relationship (Klaus Schwab (2016).
There should be a coexistence between technology and humans. The
technology should support humans and only handles the complex
situation in manufacturing that is almost impossible for humans to do.

THANKS FOR LISTENING
TIME FOR QUESTIONS AND SUGGESTIONS

Reference
 Bauernhansl (2014) Bauernhansl T., 2014: Die vierte industrielle Revolution. Der Weg in ein wertschaffendes
Produktionsparadigma, p. 3-35. In: Bauernhansl, T., M. ten Hompel and B. Vogel-Heuser, 2014: Industrie 4.0 in Produktion,
Automatisierung und Logistik: Anwendung, Technologie, Migration.
 Bernard Marr. (2016, April 5). Why Everyone Must Get Ready for The Fourth Industrial Revolution. Forbes.
Retrieved from https://www.forbes.com/sites/bernardmarr/2016/04/05/why-everyone-must-get-ready-for-4th-industrial-
revolution/#2ec4af1b3f90
 Buxmann et al. (2009) Buxmann P., T. Hess and R. Ruggaber, 2009: Internet of Services. Business & Information Systems
Engineering 5, 341 – 342
 Celine Herweijer (2014, September 24). 7 Ways the Fourth Industrial Revolution Can Help the Planet. World Economic
Forum. Retrieved from https://www.weforum.org/agenda/2017/09/7-ways-the-fourth-industrial-revolution-can-de-stress-
the-planet/
 Friess, P., & Ibanez, F. 2014. Putting the Internet of Things Forward to the Next Level. In O. Vermesan & P. Friess (Eds.),
Internet of Things Applications – From Research and Innovation to Market Deployment: 3–6. Gistrup, Denmark: Rivers
Publishers.

Reference…
 Hermann, Mario Pentek, Tobias, Otto, Boris (2015). Design Principles for Industrie 4.0 Scenarios: A Literature Review.
Working Paper. Business Engineering Institute St. Gallen, Lukasstr. 4, CH-9008 St. Gallen p.8
http://smartfactory.dfki.uni-kl.de/en/content/demo/technological-demo/plant-industry4
 Jay Lee, Hung-An Kao, Shanhu Yang (2014). Service innovation and smart analytics for Industry 4.0 and big data
environment. Elsevier. NSF I/UCRC Center for Intelligent Maintenance Systems (IMS), University of Cincinnati,
Cincinnati, OH 45221-0072, USA
 Jeremy Rifkin. (2012, March). The Third Industrial Revolution: How the Internet, Green Electricity, and 3-D Printing are
Ushering in a Sustainable Era of Distributed Capitalism. The World Financial Review. Retrieved from
http://www.worldfinancialreview.com/?p=2271
 Kagermann et al. (2013) Kagermann, H., W. Wahlster and J. Helbig, eds., 2013: Recommendations for implementing the
strategic initiative Industrie 4.0: Final report of the Industrie 4.0 Working Group
 Klaus Schwab (2016, January 14). The Fourth Industrial Revolution: What it means, how to respond. World Economic
Forum. Retrieved from https://www.weforum.org/agenda/2016/01/the-fourth-industrial-revolution-what-it-means-and-
how-to-respond/

Reference…
 Lee (2008) Lee, E. A., 2008: Cyber Physical Systems: Design Challenges. 11th IEEE Symposium on Object
Oriented Real-Time Distributed Computing (ISORC), 363 – 369.
 Lucke et al. (2008) Lucke, D., C. Constantinescu and E. Westkämper, 2008: Smart Factory – A Step towards
the Next Generation of Manufacturing. In: Mitsuishi, M., K. Ueda and F. Kimura, eds., Manufacturing
Systems and Technologies for the New Frontier, the 41st CIRP conference on manufacturing systems,
Tokyo, Japan, 115–118
 Marina Crnjac, Ivica Veža, Nikola Banduka, (2017) From Concept to the Introduction of Industry 4.0.
International Journal of Industrial Engineering and Management Vol. 8 No 1, pp. 21-30
 Markus Lorenz , Daniel Küpper , Michael Rüßmann , Ailke Heidemann , and Alexandra Bause (2016 May).
BCG. Retrieved from https://www.bcg.com/en-tr/publications/2016/lean-manufacturing-operations-time-
accelerate-race-toward-industry-4.aspx
 Marti 2016. Industry 4.0: Definition, Design Principles, Challenges, and the Future of Employment.
CLEVERISM. Retrieved from https://www.cleverism.com/industry-4-0/

Reference…
 Michael Rüßmann, Markus Lorenz, Philipp Gerbert, Manuela Waldner, Jan Justus, Pascal Engel, and Michael
Harnisch (2015 April). Industry 4.0: The Future of Productivity and Growth in Manufacturing Industries
pp.2-7
 Nicholas Davis (2016, January 19). What is The Fourth Industrial Revolution? World Economic Forum.
Retrieved from https://www.weforum.org/agenda/2016/01/what-is-the-fourth-industrial-revolution/
 Nick Johnson (2018, February 1). How the Fourth Industrial Revolution is Reinvesting the Future of Jobs.
Salesforce blog in Career, Innovation. Retrieved from https://www.salesforce.com/blog/2018/02/future-of-
jobs-fourth-industrial-revolution.html
 Olivier Scalare 2018. Embracing Industry 4.0 and Rediscovering Growth. BCG. Retrieved from
https://www.bcg.com/en-tr/capabilities/operations/embracing-industry-4.0- rediscovering-growth.aspx
 Pascall, T. 2017. Innovation and Industry 4.0. Disruption, April 19, 2017.:
https://disruptionhub.com/innovation-industry-4-0/

Reference…
Rabeh Morrar, Husam Arman, and Saeed Mousa (2017). The Fourth Industrial Revolution
(Industry 4.0): A Social Innovation Perspective. Technology Innovation Management Review.
Volume 7, Issue 11, 2017. Pp 12-15
Rick Burke, Adam Mussomeli, Stephen Laaper, Martin Hartigan, Brenna Sniderman,( 2017
April) The smart factory Responsive, adaptive, connected manufacturing. Deloitte insight.
Retrieved from https://www2.deloitte.com/insights/us/en/focus/industry-4-0/smart-factory-
connected-manufacturing.html
Rick Burke, Adam Mussomeli, Stephen Laaper, Marty Hartigan, Brenna Sniderman (2017). The
smart factory Responsive, adaptive, connected manufacturing. Deloitte University Press 2017
Schmitt, K. 2017. Top 5 Reasons Why Industry 4.0 Is Real And Important. Digitalist Magazine,
Retrieved from https://www.digitalistmag.com/industries/manufacturingindustries/

industry4presentation-181125131036 (1).pdf

More Related Content

Similar to industry4presentation-181125131036 (1).pdf

More from SombirSwami5

Recently uploaded

industry4presentation-181125131036 (1).pdf