More Related Content Similar to Unido_industry-4_final Similar to Unido_industry-4_final (20) 2. 2
Industry4.0isoneofthemajor
driversoftheFourthIndustrial
Revolution.Thefirstindustrial
revolutionwastriggeredbywater
andsteampowertomovefrom
humanlabourtomechanical
manufacturing.Thesecond
industrialrevolutionbuiltonelectric
powertocreatemassproduction.
Thethirdusedelectronicsand
informationtechnologytoautomate
manufacturing.Thefourthisthe
currenttrendofautomationand
dataexchangeinmanufacturing
technologies.Itincludescyber-
physicalsystems,theIndustrial
InternetofThings(IIoT),and
cloudcomputing.Industry4.0is
graduallyimplemented,oftenwith
digitalizationasthefirstimportant
step.Digitaltechnologiesallowfor
newbusinessmodelsandvalue-
producingopportunities,andare
attainableformostdeveloping
countries.
Fiftyyearsago,in1966,theUnitedNations
GeneralAssemblyadoptedaresolution
establishingtheUnitedNationsIndustrial
DevelopmentOrganization(UNIDO).UNIDO
istheUNsystem’sindustrialdevelopment
arm,andcontinuestoworktoeradicateglobal
povertybyassistingdevelopingandmiddle
incomecountriesinachievinginclusiveand
sustainableindustrialdevelopment.
Tocelebrateits50thanniversary,UNIDO
organizedaseriesofeventsfrom21to25
November2016atitsViennaHeadquarters.The
week-longcelebrationwasattendedbysome
1,600participantsfromover190countries,
includinghigh-levelrepresentativesofUNIDO’s
170MemberStates,aswellasleadersof
internationalorganizationsandtheprivate
sector,andleadingfiguresfromacademia.
Around300,000peoplefromallovertheworld
tookpartinthecelebrationsviaoursocial
mediachannels,andwereabletojoinus
directlythroughthelivestreamingofselected
events.
Intotal,28eventswereorganizedinthecourse
oftheweek,includingpaneldiscussionsand
presentations,aswellasfoodfestivalsand
culturalperformances.Theeventsfeatured155
speakersandfocusedontopicssuchasthe
wayforwardinachievingthe2030Agendaand
SustainableDevelopmentGoals;financing
fordevelopment;industrialdevelopment
forjobcreationtoaddressrootcausesof
migration;theFourthIndustrialRevolutionand
itsimplicationsfordevelopingcountries;and
climatechange.
3. 3
Thisevent,thattookplaceon23November
2016,ontheoccasionofUNIDO’s50th
Anniversary,debatedtheIndustry4.0,which
isamajordriveroftheFourthIndustrial
Revolution,alsoreferredtoastheNew
IndustrialRevolution(NIR).Thepanel
discussedhowUNIDO,andthedevelopment
communityatlarge,couldhelpdeveloping
countriesandeconomiesintransitionaddress
opportunitiesandchallengesstemming
fromtheFourthIndustrialRevolutioninthe
contextof2030AgendaandtheSustainable
DevelopmentGoals(SDGs).Thisincluded
newinnovativeapproachestoclimatechange
mitigation;developmentofthecircular
economy;theroleofstrategicpartnerships;the
roleofagreedstandardsfortheexchangeof
dataandcomponentsinthedigitalecosystem;
datasecurityandprivacyissues;lossofjobs;
anddigitalgaps.
Thepanellistshighlightedthenecessityfor
pro-activeskillstransformation,bothinthe
educationalsystemandintheworkplace,
emphasizingtheroleoftheyoungergeneration
-the‘roboticnatives’.Theyforesawthat
humansinthefuturewillneedtolearnto
coexistandcollaboratewithintelligent
machinesintheworkplace,andstressed
theneedforpartnershipforinnovationand
technologicallearning,highlightingUNIDO’s
roleascatalystinthisarea.
Thekeyconclusionsfromtheexpertdiscussion
were:
▸▸ Theimportanceofbuildingawarenessofthe
Industry4.0consequencesforinclusiveand
sustainableindustrialdevelopment(ISID)
andprovidingaccesstoknow-how,skills,
educationandtechnology.
▸▸ Thegreatpotentialofinnovation
managementstandardstohelpdeveloping
countriesandeconomiesintransitionto
leapfrogintoIndustry4.0.Theseguiding
frameworkswouldberelevantforalltypes
oforganizations,includingSMEs.
▸▸ ThepotentialofUNIDOtoassistin
establishingmulti-stakeholderknowledge
sharingplatformstocreateawarenesson
Industry4.0opportunitiesandchallenges
forpursuingISIDindevelopingcountries;
forsharingavailabletoolsandmethods
forinnovationmanagement;designing
trainingcurriculafornewworkforceskills
requirements;exploringmethodsand
bestpracticestosupportSMEsdigital
transformationandbridgingthegender
digitaldivide;buildingawarenessamong
policymakersandindustryassociationson
theissuesofnewinfrastructure,standards
andpoliciesthatneedtobedevelopedor
mainstreamedtocorrespondtothenew
technologies.
SYNOPSIS
4. 4
Severaladvancedeconomiesareimplementing
theconceptofIndustry4.0,markingtheFourth
IndustrialRevolution.Increasingly,companies
areapplyinginnovativesolutions,including
throughthe“InternetofThings”(IoT),cloud
computing,miniaturization,and3Dprinting
thatwillenablemoreinteroperabilityand
flexibleindustrialprocessesandautonomous
andintelligentmanufacturing.Thephysical
componentsofindustrialproductionarebeing
transformedbysmart,digitalnetworkinginto
cyber-physicalsystems(CPS),allowingforthe
managementofproductionprocessesinreal-
timeacrossgreatdistancesandcustomized
products.
Industry4.0hasthepotentialtoimprove
productivityandcompetitiveness,
increaseenergyandresourceefficiency
andeffectivenessandhencetoprotectthe
environment.Itcould,furtherenablethe
transitiontoacirculareconomy,orindustrial
economyinwhichendoflifeproductsare
reused,remanufacturedandrecycled.Taken
together,thesedevelopmentswouldleadto
theemergenceofmoresustainableproduction
andconsumptionpatterns,andcouldthus
provideopportunitiesfordevelopedand
developingcountriestoachieveeconomic
growthandsustainabledevelopmentin
linewiththe2030AgendaforSustainable
Development.
TheconsequencesofIndustry4.0on
employment,wealthcreationanddistribution,
arenotfullyunderstood.Oneofthebiggest
concernsistheimpactonjobsindeveloping
countries.Increasingautomationofproduction
processesandthedisplacementofworkersby
machinesislikelytoeliminateroutinetypesof
jobs,decreasedemandforcheaplaborinlow-
endmanufacturing,increaseinequality,and
causemigration.Aglobalnetdecreaseinjobs
couldbeespeciallychallengingfordeveloping
countrieswhere,unlikedevelopedeconomies,
millionsofyoungpeopleareenteringthejob
marketeveryyear.
Morethanever,developingcountriesand
economiesintransitionmustbemadeaware
ofimplicationsandchallengesrelatedto
thisparadigmshift.Forexample,apartfrom
dealingwithimplementationofIndustry4.0,
developingcountriesmustpreparetoface
theconsequencesofitsimplementation
inadvancedeconomies.Someofthese
consequencesrelatetoreversedflows
offoreigndirectinvestmentandafurther
manifestationofanalreadywidening
technologygap.Whiletheramifications
fordevelopingcountriesandeconomiesin
transitioncouldturnouttobedire,experience
tellsusthateconomieshavearemarkable
adaptiveabilitytodealwiththemechanization
ofproduction.Assuch,thearrivalofIndustry
4.0alsobringsopportunitiesfordevelopment,
forexampleintermsofachievingtheobjectives
setforthinthe2030AgendaforSustainable
DevelopmentanditsassociatedSDGs.
Importantly,amongdevelopingcountriesthere
isgreatheterogeneityintermsoftheirability
tohandletheadventofIndustry4.0.Indeed,
mostrecently,theWorldEconomicForum
arguedthatsomemoreadvanceddeveloping
countriescouldleapfrogintoIndustry4.0,and
thatitsimpactcouldbefarreachingtopossibly
attaining-withinageneration-inclusiveand
sustainableindustrialdevelopment.
INTRODUCTION
5. 5
Mr.BernardoCalzadilla-Sarmiento,
Director,DepartmentofTradeInvestment
andInnovationatUNIDO,emphasizedthe
profoundimpactsthatIndustry4.0will
haveonsociety,factories,households,the
publicsector,onadvancedeconomiesand
developingeconomiesandeconomiesin
transition.Whilediscussionhasfocused
onwhatIndustry4.0meansfordeveloped
economies,lessdiscussionisdevotedtothe
impactondevelopingcountriesandeconomies
intransition.Therearedevelopingcountries
thatarealreadypreparingforandadopting
strategiesregardingIndustry4.0,suchasChina
andIndia.Itisthereforeimportanttotakeinto
accounttheirexperience.
Oneoftheimportantchallengesfordeveloping
countriesisthereversalofFDIflows.While
previouslyFDIfollowedcheaplabour,labour
costdifferentialsmightnolongerplaysuchan
importantrolewithIndustry4.0.Additional
challengesfordevelopingeconomiesmightbe
awideningtechnologyandknowledgegap,its
implicationsonskills,risinginequalities,and
genderequality.
Industry4.0offersopportunities,suchas
increasedproductivity,reducedwaste,
andpromotionofthecirculareconomyand
moresustainablepatternsofproduction
andconsumption.Itmightthusalsohelpto
mitigateclimatechange.
Often,developingcountrieshavemissed
earliertechnologywaves,resultinginlarge
GDPandproductivitygapsandthereforewide
differentialsintermsofwelfare;failingtotake
advantageofIndustry4.0risksaccentuating
suchgapsfurther.
Toenabledevelopingcountriestorespondto
thechallengesofIndustry4.0,theinternational
communityhastotakecollectiveactionsand
pursuenewinnovativepartnershipapproaches
fordeliveringandstrengtheningitsportfolioof
servicestoaddressmarketfailuresrelatedto
theuptakeofnewtechnologiesandbusiness
models.
OPENINGSTATEMENT
6. 6
WhatisIndustry4.0?
TheWorldEconomicForumconsiders
thatthecurrentparadigmchangegoes
beyondIndustry4.0:“TheFourthIndustrial
Revolution.…[which]ischaracterizedbya
fusionoftechnologiesthatisblurringthelines
betweenthephysical,digital,andbiological
spheres”.Thetechnologiestodayinclude
artificialintelligence,robotics,theInternetof
Things,autonomousvehicles,3-Dprinting,
nanotechnology,biotechnology,materials
science,energystorage,andquantum
computing.Thecrucialquestioniswhether
thecombinationandwidespreadapplication
ofthesetechnologieswouldalsoresultin
apositiveneteffectforoureconomiesand
societiesatlarge.Someofthechallengesand
opportunitiesofIndustry4.0areontheirway-
andinsomeareasaremovingathighspeed.
Ms.EvaDiedrichs,ManagingDirector,
IMP³ROVE,EuropeanInnovation
ManagementAcademy,EWIV,inher
keynotebrieflyexploredthefollowing
questions:
1.WhatisIndustry4.0?
2.Whatisthekeyprerequisiteto
effectivelyembraceIndustry4.0?
3.Howcanthiskeyprerequisitebe
developed?
KEYNOTESPEECH
7. 7
Whatisthekeypre-requisiteto
effectivelyembraceIndustry4.0?
ManywillbecorrectinthinkingthatITskills
arethekeyprerequisiteandwillhelpto
engageinautomation,inBigDataAnalytics,
inconnectingglobalvaluechains,increating
transparencyinpublicadministration,andin
understandinghowcyberspacewillbecome
anewdimensionforgovernments,where
traditionalapproacheswillreachtheirlimits.
Anorganization’ssuccessfulentryinto
Industry4.0dependsonitsabilitytorespond
tochange,andmasterproducts,processes
andvaluechainsinnovationonacontinuous
basis.Organizationswithstronginnovation
capabilitieswillneedtohaveaclearinnovation
strategyandaculturethattranslatesthis
innovationstrategyintoaction,andwillneed
awell-definedyetflexibleprocesstocollect
andevaluateideas,developthemfurtherinto
products,processes,servicesorbusiness
models.
Howcanthiskeyprerequisitebe
developed?
MsDiedrichsoutlinedthemostimportant
stepsforbusinessesandpublicinstitutionsin
supportofeconomicdevelopment:
▸▸ Createawarenessoftheimportance
ofinnovationingeneral,anddigital
innovationinparticular
▸▸ Educateininnovationmanagement
▸▸ Identifyorganizations’improvement
potentialsininnovationmanagementand
indigitalinnovation
▸▸ Takeactiontogaininagilitybyimproved
innovationmanagementcapabilitiesto
embraceIndustry4.0.
8. 8
Dr.RohaniHashim,SecretaryGeneralofthe
WorldAssociationofInternationalTechnology
andResearchOrganizations(WAITRO),
Malaysia.
Mr.RamachandranSundararajan,Principal
Consultant,InfosysBPO,India.
Mr.SamiHaddadin,Director,Institute
ofAutomaticControl,LeibnizUniversity,
Germany.
Mr.MagnusP.Karlsson,Professor,KTHRoyal
InstituteofTechnology,Stockholm,Sweden.
Mr.ChunlongLiu,Counsellor,Permanent
MissionofChinatotheInternationalAtomic
EnergyAgency(IAEA).
OTHERPANELLISTS
9. 9
WhatarethechallengesofIndustry4.0
fromadevelopedcountryperspective?
IndicatingthatIndustry4.0alsohasthe
capacitytokilljobsandexcludepartsof
society,Ms.DiedrichsaskedProf.Karlsson
whatheseesasthechallengeregardingjobs
andtheskillsneededinthefuture.
Prof.KarlssonrespondedthatIndustry4.0,
includingthenextwaveofautomation,would
beprofoundlytransformativeandoutlined
threeclustersofchallenges:
1.Awarenessandreadiness.Uncertaintyisa
keyfactor-thereisaneedforexperimentation
andlearning-andevenunlearning.
Companiesmustchallengetheirownbusiness
assumptions.
2.Explosionofdata.Ericssoniscurrently
exploringthefifthgenerationofmobile
systems-5G-whichwillseefasterconnectivity,
moredatabeingtransmittedoverwireless
connectionsandtomoredevices.Thiswillbe
theplatformthatconnectspeopleandthings,
sometimescalledtheInternetofThings(IoT).
Anestimatedfivebillionthingsarealready
connected,afigurethatwillrisetoalmost
20billioninfiveyears.Buildingadigital
ecosystemwillrequireseamlessconnectivity,
datasharing,andagreedstandardsforthe
exchangeofdataandcomponentsthatare
partsofsystems.Asdatastartstoaccumulate
andbeshared,otherissuescometothe
forefront,suchasdatasecurityandprivacy.
3.Workforcetransformation.Theshiftin
employmentwillbegradualbutprofound.
Digitallabour,suchastheuseofsmartdrones,
robotsandintelligentassistancewillenterthe
workforce.Newindustrysectorswillemerge,
suchasdigitalmedicine,precisionagriculture
andnewjobs,medicalrobotdesigners,and
gridmodernizationmanagers.Therewill
alsobeatransformationinexistingjobs.For
example,virtualrealityandaugmentedreality
willassistworkerstobecomemoreproductive
andmaketheirworkenvironmentsafer.
Prof.Karlssonemphasisedtheneedtodeal
withthesechallengesandreformtheeducation
systemandupgradeskillsintheworkplace.
Policyincentivesareneededtoencourage
businessestodothisreskilling,andwemust
learntocollaborateandcoexistwithintelligent
machines.
Followingthekeynote,thepanellistsdiscussedthefollowingissues.
DEBATEDISSUES
11. 11
▸▸ TheuptakeofIndustry
4.0technologieswillbe
possibleonlywhenthe
respectivetechnologies,
interfaces,andformats
havebeenlaiddownin
standards.
▸▸ Theconsolidationof
newconceptsbymeans
ofconsensus-based
standardizationatanearly
stageofdevelopmentis
absolutelyessentialfor
theiruptakeinindustrial
practice.
▸▸ Thekeyroleof
standardizationfor
Industry4.0isreflectedin
theongoinginternational
initiativesasfollows:
▸▸ Intensiveworkisbeing
carriedoutatISO/IEC
andinvariousforums
andconsortia(e.g.
W3C,IEEE).Thiswork
willincludedeveloping
standardsthat
ensureresourceand
environmentalefficiency
andeffectiveness.
▸▸ Aproposalfortheneutral
referencearchitecture
modelhasbeenmade
inGermany:RAMI4.0,
withtheobjectiveof
settingacomprehensive
frameworkforthe
conceptualand
structuraldesignof
Industry4.0systems;
organizationof
standardresourceand
environmentaldata.
▸▸ Valuechainupgrading
throughtheuseof
digitaltechnologies,
processesandproducts;
profoundchangesin
modularizationrequirethe
useofICT(mechatronic
systems),whicharebeing
transformedintocyber-
physicalsystems(CPS),
whileatthesametime
maintainingthecurrent
levelofsafety.
▸▸ Improveenergyand
resourceefficiency,
leveragingthepotentials
ofdigitalizationandother
Industry4.0technologies.
▸▸ Addressthestructural
transformationcausedby
Industry4.0,includingthe
socialandorganizational
challenges,causedby
demographicchanges
indifferentgroupsof
developingcountries.
▸▸ Setupknowledge-
sharingplatforms,
coordinatedbyUNIDO,
wherestakeholderscan
meettocoordinatetheir
standardizationactivities.
Thiswillcontributeto
interoperabilityinIndustry
4.0.
▸▸ Developingnewstandards
forenablingtheNIRmay
needtobeaccelerated.
Ensuringthatnew
standardsworkandlimit
thenumberofstandards
toamanageablesize,will
beachallengeaheadfor
internationalorganizations
andrepresentativesof
variouscountries.National
standardizationactivities
needtobeharmonizedwith
thoseatinternationallevel.
Thiswouldincludeissues
suchasidentifyingwhich
standards’organizations
andwhichstandards’
projectsarerelevant,
aswellaswhoistobe
responsibleforwhat.SMEs
needtobemoreinvolved
inthestandardization
processandsomepilot
casesshouldbeinitiated
andsupported.
▸▸ Agreeonauniform
referencearchitecture
modelforstructuring
furtherstandardswork.
Flexiblestandardization
combinedwithopensource
implementationshould
beusedtoensurefurther
strategic,conceptual,
andorganizational
developments.An
interoperableandsafeIT
architecturemodelbased
oninternationalstandards
shouldbesetup.
▸▸ Takeadvantageofthe
benefitsofstandardization
atanearlystageof
development.Ensurethat
aspectsofstandardization
areintegratedintonational
andinternationalresearch
projects,andsuitable
standardsworkisinitiated
attheR&Dstage,and
standardizationistaken
intoaccountfromthe
beginning.
StandardizationandIndustry4.0:ongoingdiscussion
Ongoingdiscussionscoverthefollowingissues:
13. 13
WhataretheopportunitiesofIndustry
4.0andhowtoleveragethem?
Mr.HaddadinpointedoutthattheFourth
IndustrialRevolutionischaracterizedbythe
fusionofdigitalizationandautomationinorder
tomakemachinessmart,interactive,andeasy
touse.Thesenewtechnologieswillbeacentral
partofourlivesandwillhaveatremendous
impactonthewaywework.Therewillbenew
typesofrobots,whichareabletointeractwith
humans.Thistechnologywillcomplement
humanactivity,especiallycognition,combined
withotheremergingtechnologiestogiveus
entirelynewcomputermodels.Wetendto
thinkofautomationasclassicallyrigid,costing
hundredsofmillionsofdollars,butweare
movingtowardssmall-scalemodularnetworks
ofconnectedmachinesthatcanrespond
todynamicchangesinrequirementsand
thereforepresententirelynewpossibilitiesof
makinguseofautomationforSMEsinEurope
andindevelopingcountries.
Skillsareneededtobridgethegapbetween
engineeringandcomputerscience,machine
learning,andartificialintelligence.Howwe
workwillchangeandinvolveashifttowards
higherqualityjobs.Therewillberoboticand
automationdesigners,intelligentsystem
engineers,andecosystemsofautomation
technologies.Therewillbeanewsoftware
businessinautomation.
14. 14
Whataretheopportunitiesfor
pursuingsustainabledevelopment?
Mr.Liupointedoutthatwhilethereis
noagreeddefinitionofIndustry4.0.,
e-manufacturingande-productionshould
bepartofit.TheannualturnoverofAlibaba
Group,acompanyestablishedinChinain
1999,reachedUS$1,000billionin2015,
thankstoe-business.E-businessisthefirst
step,e-manufacturingande-productionare
thenextsteps,withthehelpoftheIoTand
cloudcomputing.Industrywillstilldependon
resourcesandenergy,andeverycountrywill
playapartintheproductionandprovisionof
resourcesandenergy.
Tocombatclimatechange,Chinahaspromised
toreducecarbondioxideemissionintensity
perunitofGDPby60to65percentby2030,
comparedtothatof2005.Aspartofitsefforts
toachievethisgoal,in2015theChinese
governmentintroduceditsversionofIndustry
4.0.-“MadeinChina2025”.Themainobjective
ofthestrategyistoensurethatChina’s
manufacturingisinnovation-drivenand
green.Ithastenpriorityareasofdevelopment,
includingenergysavingandnewenergy
vehicles,powerequipment,modernrailway
equipment,allofwhichaimtoreducecarbon
dioxideemission.
Hegavethefollowingexamples:
▸▸ Energy-savingandnewenergyvehicles
numbered300,000ontheroadsinChina
in2015;thesearemainlyelectricvehicles
andaresubstantiallyreducingexhaust
emissions.
▸▸ Chinahasdevelopeditsownnuclear
powerreactor:thethirdgenerationis
calledHualongNo.1.Therearenow36
nuclearpowerreactorsinoperationand
20reactorsunderconstruction.Thiswill
contributegreatlytothereductionofcarbon
emissions.EveryyearChinaconsumes
about1.9billiontonsofcoal–halfofglobal
coalconsumption,mainlyforelectricity
generation.
▸▸ Chinahas19,000kmofhigh-speedrailways,
whichisthelongestnetworkintheworld.
ThedistancebetweenBeijingandShanghai
isabout1,200km,thesameasthedistance
betweenViennaandParis.
15. 15
▸▸ Prepareinfrastructure.Forinstance,sensors
canalreadybeembeddedwhenbuilding
newroads,buildingsandfactories.The
infrastructureforsmartcitiesandsmart
factoriescanalreadybepreparedwithout
retrofitting.
▸▸ Benefitfromlower-entrybarriersfor
software-basedproductsandprogramming.
Youngentrepreneursindeveloping
countriesarewritingsoftwaretoreach
globalmarkets.
▸▸ Useemergingmarketconditionstodrive
frugal(anddisruptive)innovationthatcan
scaleuptoothermarkets.Weseethis,for
instance,inprepaidmobilesubscriptions,
whichhaveaddedfivebillionnew
subscribers.
UNIDOisinauniquepositiontopromote
innovationby:
▸▸ CreatingawarenessofIndustry4.0
opportunitiesandavailablestandards
amongpolicymakersandindustry
associations(e.g.WAITRO).
▸▸ Makingavailableappropriatetoolsand
methodsforinnovationmanagement
assessment,innovationstrategy,culture,
etc.
▸▸ Providingtrainingforinnovation
managementprofessionalsandcoaches,
andcross-industrycommunitiesofpractice.
HowcanUNIDOsupportdeveloping
countrieswithregardtoIndustry4.0?
Mr.Liuunderlinedthattechnicalassistance
oncapacitybuildingandtechnologytransfer
andabsorptionwasanimportantaspectand
thatUNIDOhasproducedexcellentresultson
thegroundandindifferentcountrycontexts.
Technicalcooperationmustthereforebe
tailoredtothecontext.UNIDOprovidesa
platformforinformationandknowledge
exchangeandtechnologytransfer,andcanplay
anevenmoreimportantroletohelpdeveloping
countriesandeconomiesintransitionbenefit
fromIndustry4.0.
Prof.Haddadinemphasizedtheimportanceof
knowledgeandtechnologytransfer.Specific
andwell-designedworkshopsareneeded
tobetterunderstandthekeyessenceof
Industry4.0andthecoretechnologiesthat
areavailable,affordable,transferable,and
alsomakesensefortherespectivemarkets.
Automationshouldbeevaluatedfroma
societal,environmentalandethicalaspect.
Mr.SundararajansaidthatIndustry4.0is
anopportunityfordevelopingcountries
toleapfrogtechnologywaves.Whilethere
isawarenessamongseniormanagerson
whatIndustry4.0is,thequestionishow
itcanbeused.ThisiswhereUNIDOcan
playanimportantrole–inpublishingcase
studies,bestpractices,andstoriesof
successfulimplementationindeveloping
countries.UNIDOcanfurthercollaborateon
skillsdevelopmentandprovidetrainingfor
innovationmanagementprofessionalsand
trainers.
Istherearoleforinnovation
managementstandardstohelp
developingcountriesleapfrog?
Prof.Karlssonstatedthatthereisalready
aEuropeanstandardavailableandworkis
ongoingregardinganinternationalstandard.
Thesestandardsshouldbeseenasguiding
frameworks.Thefollowingaspectsshould
beconsideredwhendevelopingaguiding
frameworkfororganizationsinIndustry4.0:
▸▸ Establishaninnovationstrategyalignedto
thedigitaltransformationagenda.
▸▸ Setupadisciplinedinnovationprocess.
Startbyunderstandingcustomers’
problems,moveintoexperimentation
andlearning,andevenunlearning,tofind
possiblenewsolutions.
▸▸ Promoteanorganizationalculturethat
supportsinnovation.
▸▸ Heindicatedfurtherareaswhere
leapfroggingcouldhappen.
▸▸ Directlydeploydigitalandmobilesolutions
beforepreparingthehardinfrastructure,
suchasinmobilebanking.Digital
infrastructureisalsobeingbuiltuprapidly
indevelopingcountries.
17. 17
Whatroledoestheenvironmentplayina
connectedworld?Productdurabilityisabig
issuenowadays.Withurbanizationandmore
peoplelivingincities,willmachinesand
roboticshelpuslivemoreinharmonywith
nature?
Mr.Liurepliedthatforthenewindustrial
revolution,oneimportantissuewastheIoT
andcloudcomputing,whichallowsmore
customizedproductstobeproduced.Thiskind
ofindividualcustomizationwillcreatenew
jobsandincreasetheshareofmanufacturing
inGDP.Whenproductsarecustomized
afterservicewillalsoprovidealotofwork
opportunities.
Onthequestiononthesafedisposalof
products,Mr.Sundararajanaddedthat
technologiesliketheIoT,whichenable
connectedproducts,wouldhelpandthat
wewouldseeagradualshifttoanafter-
serviceeconomy,sothattherevenueof
productscontinuestotheendoftheproduct;
andeventhedisposaloftheproductcan
becomeabusiness.Thiswillenablenew
businessmodelsandtherevenueshareof
theafter-marketsegmentcanincrease.These
technologieswilleventuallyhelpinacircular
economytoensurethatdisposaloftheproduct
isenvironmentally-friendly.
Atthebeginningofthe19thcentury,the
LudditesintheUKdestroyedtextilemachines.
In2016,reportspointtotheriskofjoblosses
duetoautomation.Intermsofdeveloping
countriesandeconomiesintransition,how
readyarewetofacetheeconomicandsocial
challengesofIndustry4.0?
Ms.Hashimrepliedthatsomedeveloping
countriesandeconomiesintransition
haveembracedIndustry4.0,butnottothe
sameextentasResearchandTechnology
Organizations(RTOs)inadvancedcountries.
NotmanypeopleknowwhatIndustry4.0
is,andthosethatknowaboutitalsofearit.
Perhapsifwetrytoexplainitthatfearwillbe
reduced.ManypeoplethinkthatIndustry4.0
willhappentomorrow,butthisisnotthecase.
Likeanytechnology,itwilltakesometime.
20. Department of Trade, Investment and Innovation (TII)
Vienna International Centre,
P.O. Box 300, 1400 Vienna, Austria
Email: tii@unido.org
www.unido.org
