FACTORY OF THE FUTURE: How Digital Technologies are Reshaping the Manufacturing Industry Introduction So what is smart manufacturing? The manufactured to meet the needs of increasing adoption of the industrial We’ve been in the midst of a major, transformative TIMELINE OF National Institute of Standards and individual consumers and their unique internet—which entails integrating and technological event for years now, but the impact it’s having INDUSTRIAL REVOLUTIONS Technology (NIST)1 says that smart preferences, personas and demands. linking big data, analytical tools and on the workforce is only just beginning to become glaringly manufacturing entails systems that are wireless networks with physical and apparent. The manufacturing industry is undergoing change of “fully-integrated, collaborative systems In recent years, the manufacturing industrial equipment—and a stronger an enormous scope. Factories as we once knew them—and that respond in real time to meet industry has suffered from decreasing focus on efficiency and cost of production Late the machines, tools, labor, processing and formulations used th th First Industrial Revolution - changing demands and conditions in the jobs, but technological innovations like are the major drivers for the Industry 4.0 in industrial production—are transitioning into instruments of 18 -19 Power Generation market. In a professional landscape that Coal, iron, railroads, factory, in the supply network, and in robotics, automation and AI have helped digitized creation. Everything is becoming “smart,” and CENTURY textiles customer needs.” Smart manufacturing is spur a revival. The productivity of factory has relied on time-honored business manufacturing is no exception. With the rise of Industry 4.0, also defined by “the ability to solve workers has gone up 47 percent more2 standards, processes, equipment and we are seeing machines, factories and people becoming existing and future problems via an open than what it was 20 years ago, and it’s operations, this new way of working is connected in new ways. infrastructure that allows solutions to be occurring with less labor. The reasons propelled by many important factors that implemented at the speed of business behind this include the fact that older are steering manufacturing toward a Beginning of From the late 18th century up until now, we’ve seen four th Second Industrial Revolution - while creating advantaged value.” One of factory machines are being replaced with new, digitized industry. 20 Science & Mass Production industrial revolutions that have affected our world in Electricity, petroleum, steel the defining characteristics of this type of new, updated machines and unprecedented ways. With the First Industrial Revolution, CENTURY manufacturing is an amalgam of the technologies, and today’s factory workers The prime motivator for this from the late 18th to 19th centuries, came the inception of tangible and intangible, or the physical are coming into their jobs with more skills transformative movement in power generation, through water, steam and railroads. This and digital. and education—both of which are manufacturing is comprised of a signified the beginning of further monumental evolutions to contributing to higher productivity and combination of increasing consumer take place in the manufacturing panorama. The Second Evolving dynamics in the manufacturing output. Likewise, with the Fourth expectations as well as the booming Industrial Revolution ushered in electricity, division of labor Third Industrial Revolution - industry have reshaped the structure and Industrial Revolution, and Industry 4.0, prevalence of connected devices and 1970s - Electronic Automation and mass production, each of which contributed to a change methods upon which factories the manufacturing segment is becoming platforms. To fit the form of this new era, 2000s Digital technology in manufacturing that would forever dictate the path upon operate—shifting from a focus on mass more valuable. According to a market industries are continuously striving to which the industry would progress. The Third and Fourth production to customized production.2 research report,3 the Industry 4.0 market utilize digitization in personalizing Industrial Revolutions heralded in the technological eras: the With consumers today intently focused on was valued at $66.67 billion in 2016 and products and delivering them to the right third, with electronics, IT and automated production, and the the personalization component of is anticipated to grow to $152.31 billion people, at the right price.5 Market trends, fourth—the current revolution, in which we are currently companies, products and experiences, by 2022; even more compelling is that new technologies and overall pressure on taking part, also known as Industry 4.0—with the blurring of Fourth Industrial Revolution - today’s factories are driven to implement the economic impact of the Industrial business are also prompting industrial 2010 Smart Automation & reality and digital and the emergence of a new, and Abundant Change technologies that are tailored to Internet of Things (IIoT) is forecasted to machinery companies to change in order Introduction hyper-connected and hyper-intelligent type of manufacturing. BEYOND delivering products specifically reach $11.1 trillion4 by the year 2025. The to increase revenue and profitability, as 02 well as customer experiences. So what is smart manufacturing? The manufactured to meet the needs of increasing adoption of the industrial We’ve been in the midst of a major, transformative National Institute of Standards and individual consumers and their unique internet—which entails integrating and technological event for years now, but the impact it’s having Technology (NIST)1 says that smart preferences, personas and demands. linking big data, analytical tools and on the workforce is only just beginning to become glaringly manufacturing entails systems that are wireless networks with physical and apparent. The manufacturing industry is undergoing change of “fully-integrated, collaborative systems In recent years, the manufacturing industrial equipment—and a stronger an enormous scope. Factories as we once knew them—and that respond in real time to meet industry has suffered from decreasing focus on efficiency and cost of production the machines, tools, labor, processing and formulations used changing demands and conditions in the jobs, but technological innovations like are the major drivers for the Industry 4.0 in industrial production—are transitioning into instruments of factory, in the supply network, and in robotics, automation and AI have helped market. In a professional landscape that digitized creation. Everything is becoming “smart,” and customer needs.” Smart manufacturing is spur a revival. The productivity of factory has relied on time-honored business manufacturing is no exception. With the rise of Industry 4.0, also defined by “the ability to solve workers has gone up 47 percent more2 standards, processes, equipment and we are seeing machines, factories and people becoming existing and future problems via an open than what it was 20 years ago, and it’s operations, this new way of working is connected in new ways. infrastructure that allows solutions to be occurring with less labor. The reasons propelled by many important factors that implemented at the speed of business behind this include the fact that older are steering manufacturing toward a From the late 18th century up until now, we’ve seen four while creating advantaged value.” One of factory machines are being replaced with new, digitized industry. industrial revolutions that have affected our world in the defining characteristics of this type of new, updated machines and unprecedented ways. With the First Industrial Revolution, manufacturing is an amalgam of the technologies, and today’s factory workers The prime motivator for this from the late 18th to 19th centuries, came the inception of tangible and intangible, or the physical are coming into their jobs with more skills transformative movement in power generation, through water, steam and railroads. This and digital. and education—both of which are manufacturing is comprised of a signified the beginning of further monumental evolutions to contributing to higher productivity and combination of increasing consumer take place in the manufacturing panorama. The Second Evolving dynamics in the manufacturing output. Likewise, with the Fourth expectations as well as the booming Industrial Revolution ushered in electricity, division of labor industry have reshaped the structure and Industrial Revolution, and Industry 4.0, prevalence of connected devices and and mass production, each of which contributed to a change methods upon which factories the manufacturing segment is becoming platforms. To fit the form of this new era, in manufacturing that would forever dictate the path upon operate—shifting from a focus on mass more valuable. According to a market industries are continuously striving to which the industry would progress. The Third and Fourth production to customized production.2 research report,3 the Industry 4.0 market utilize digitization in personalizing Industrial Revolutions heralded in the technological eras: the With consumers today intently focused on was valued at $66.67 billion in 2016 and products and delivering them to the right third, with electronics, IT and automated production, and the the personalization component of is anticipated to grow to $152.31