Industry 4.0, or the fourth Industrial Revolution, is the current trend of digitization, automation, and intelligentization in manufacturing whereby technologies such as cyber-physical systems, the Internet of Things, and cloud computing are increasingly implemented and entrenched in production systems and beyond.
Industry 4.0 creates what has been called “smart factories”. Over the Internet of Things, cyber-physical systems communicate and cooperate with each other and with humans in real time, and via the Internet of Services, both internal and cross-organizational services can be offered and used by participants of the value network.
Industry 4.0 can be defined as “the next stage in the organization and control of the entire value stream along the lifecycle of a product. This cycle is based on increasingly individualized customer wishes and ranges from the idea, the order, development, production, and delivery to the end customer through to recycling and related services. Fundamental here is the availability of all relevant information in real-time through the networking of all instances involved in value creation as well as the ability to derive the best possible value stream from data at all times. Connecting people, objects and systems leads to the creation of dynamic, self-organized, cross-organizational, real-time optimized value networks, which can be optimized according to a range of criteria such as costs, availability and consumption of resources”.
For more details on Industry 4.0, please refer to the following documents:
- Recommendations for implementing the strategic initiative INDUSTRIE 4.0. Final report of the Industrie 4.0 Working Group. http://www.acatech.de/de/publikationen/stellungnahmen /kooperationen/detail/artikel/recommendations-for-implementing-the-strategic-initiative-industrie-40-final-report-of-the-industr.html.
- INDUSTRIE 4.0 – Smart Manufacturing for the Future. https://www.gtai.de/GTAI/Navigation /EN/Invest/Service/Publications/business-information,t=industrie-40–smart-manufacturing-for-the-future,did=917080.html.
- Industry 4.0: The Future of Productivity and Growth in Manufacturing Industries. https://www. bcgperspectives.com/content/articles/engineered_products_project_business_industry_40_future_productivity_growth_manufacturing_industries/.