INDUSTRY 5.
0
INTRODUCTION
Industry 1.0 began around the 1780s with
the introduction of water and steam power
which helped in mechanical production and
improved the agriculture sector greatly.
Next, Industry 2.0 is defined as the period
when mass production was introduced as the
primary means to production, in general. The
mass production of steel helped introduce
railways into the industrial system which
consequently contributed to mass production
at large.
During the 20th century, Industry 3.0 arose
with the advent of the Digital Revolution
Industry 3.0 was and still is a direct result of
the huge development in computers and
information and communication technology
industries for many countries (Liao et al.,
2017).
INDUSTRY 4.0
Industry 4.0 has brought change to many
professions. People now are compelled to use
hi-tech gadgets which are fast becoming the
most important factor in their working life.
Industry 4.0 is being presented as an overall
change by digitalization and automation of
every part of the company, as well as the
manufacturing process.
Big international companies that use concepts
of continuous improvement and have high
standards for research and development will
accept the concept of Industry 4.0 and make
themselves even more competitive in the
market.
This becomes possible by introducing self-
optimization, self-cognition, and self-
customization into the industry. The
manufacturers will be able to communicate
with computers rather than operate them.
CHARACTERISTICS OF INDUSTRY 5.0
1. Vertical Integration: Vertical networking of smart
production
2. Horizontal integration: through a new generation of
global value chain networks
3. Through-life engineering across the entire value
chain
4. Exponential technologies
VERTICAL INTEGRATION:
VERTICAL NETWORKING OF
SMART PRODUCTION
The vertical networking increases the
enterprise’s ability to adequately adapt to
changes in market demands and respond to new
opportunities.
Moreover, under the vertical networking of smart
production systems, smart factories manage
their production in a customer-specific and
individualized manner.
Vertical integration in Industry 4.0 establishes a
connection between the many levels of the
industry, from the manufacturing floor up, via
production monitoring, control, and supervision,
quality management, operations, product
management, processing, and so on
VERTICAL INTEGRATION: VERTICAL
NETWORKING OF SMART PRODUCTION
HORIZONTAL INTEGRATION THROUGH A NEW
GENERATION OF GLOBAL VALUE CHAIN
NETWORKS
The horizontal integration in an Industry 4.0
enterprise occurs at different levels:
production floor, multiple production
facilities, and entire value chain.
Each connected machine or production unit
becomes a node with well-defined properties
within the production network.
These nodes continuously communicate their
status to respond autonomously to dynamic
production requirements cost-effectively and
reduce system downtime through predictive
maintenance
VERTICAL INTEGRATION VS HORIZONTAL INTEGRATION
THROUGH-LIFE ENGINEERING
ACROSS THE ENTIRE VALUE
CHAIN
Among the characteristics of the Fourth
Industrial Revolution is also the impact of the
ten components of the 4th Industrial
Revolution “ten types of innovation,” Efficient
management of innovation, and finally,
Efficient life cycle management.
THROUGH-LIFE ENGINEERING
ACROSS THE ENTIRE VALUE
CHAIN
The third main characteristic of industry 4.0 is cross-
disciplinary through-engineering across the entire value
chain and across the full life cycle of both products and
customers.
This engineering occurs seamlessly during the design,
development and manufacture of new products and
services. New products need new and/or modified
production systems. The development and manufacture
of new products and production systems is integrated
and coordinated with product life cycles, enabling new
synergies to be created between product development
and production systems.
Characteristic of this through-engineering is that data
and information are also available at all stages of a
product's life cycle, enabling new, more flexible
processes to be defined from data via modelling to
prototypes and the product stage.
ACCELERATION THROUGH
EXPONENTIAL TECHNOLOGIES
Impact of exponential technologies such as an
accelerant or catalyst that allows individualized
solutions, flexibility and cost savings in industrial
processes.
Corporate venture capital Investing in start-ups
allows businesses to participate in the
development of new products and services while
also ensuring their long-term competitiveness.
This type of investment allows for early and
convenient access to new technologies.
The learning organization. If companies are to
fully use the promise of exponential technologies
in making the digital transformation to industry
4.0, they must change into learning organizations.
Exponential technology adoption and integration
BENEFITS OF INDUSTRY4.0:
Higher Productivity
Agile Processes
Rapid Innovation
Reduced Costs
Increased Revenues
Better workplace
Improved Communication
Customer Satisfaction
