For companies the challenges of adopting new production methods become much more complex with each industrial revolution.
 
Furthermore, with the fourth industrial revolution the scope and pace of change are unprecedented because its main drivers are the inherent need to be more customer-centric and to shorten time-to-market. Therefore, companies are expanding their use of technologies to better monitor the challenges facing their ecosystem.
 
The key to overcoming the challenges to scaling Industry 4.0 transformation is by treating it as a series of small projects that will generate quick wins and an immediate return on investment rather than treating it as a large-scale and multiyear programme.
 
Here is some good application advice for launching a digital transformation pilot project for Industry 4.0:
 

1. Ensure you have a robust business case
2. Get company-wide alignment around the vision
3. Ensure your project has the right added value
4. Use data-driven insights and strategy to improve your services

 
None of the above application advice can be effectively deployed unless enterprises digitize.  

In Conclusion, the fourth industry is a powerful concept that needs to be implemented in your business strategy in order to enable businesses to increase efficiency, become more customer-centric and increase overall competitiveness.
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In the Industry 4.0 era, driven by a shift in customer expectations from product delivery to the enablement of outcomes, companies are increasingly realizing the need to redefine their offerings, accelerate and broaden innovation, and deliver solutions in partnership with ecosystem partners.

We can now witness this evolution from single-capability to cross-value chain capabilities in several specific areas:

• Through their IP partners can fill product gaps or add new features. 
• Partners with a strong marketing brand or sales teams are engaging earlier in the sales demand-and-planning cycle, developing joint go-to-market plans. 
• In their role as multivendor implementers, many partners have developed new delivery capabilities with faster and more extensive support for new solutions or use cases. 

With partners constantly redefining their roles in the market, they will need to enable four cornerstone elements to set up a long-lasting and flexible partner infrastructure and stay ahead in the current disruptive environment:

1. Clarify and customize the value proposition to each partner archetype: In Industry 4.0 companies that mostly provide basic partnership advantages will not thrive. Since the needs of each partner archetype are different, the value propositions must be tailored to set them up for success.
2. Design a partner programme with a foundation that’s consistent but flexible enough to cater to evolving archetypes: Companies also must consider capabilities such as seamless partner fulfillment, support, partner commissions, and partner success, via tools and programmes for not just one but various factors.
3. Launch a flexible yet simple incentive structure: With changing roles, partners are not just supporting sale of products or one-time delivery of services—they are supporting consumption-based models. 
4. Augment financial metrics with leading customer and enablement metrics: In this continuously changing ecosystem, it is crucial to periodically evaluate partnerships and adapt to the changing business, customer, or partner needs. 

As new players are coming in, existing players are expanding their roles, companies are expecting more value, and ecosystems are getting more complex. With more changes coming, companies and partners need to work together in an integrated manner.

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Source: https://www2.deloitte.com/us/en/insights/focus/industry-4-0/partner-ecosystem-industry-4-0.html

The first three industrial revolutions occurred as a result of mechanization, information technology and electricity. The rise of the Fourth Industrial Revolution brings increased flexibility in production, increased speed, a new dimension of mass production, advanced productivity levels, superior quality results, and new emerging business models. Moreover, a whole different new perspective of leadership.
 
Leadership in Industry 4.0 has a clearly established direction, that is building cyber–physical systems functioning in a dynamic network of connections, and it is centered around a common object of interaction that is subject to constant reconfiguration depending on changing goals and conditions.
 
One should emphasise that the growth of the digital transformation requires some strongly built leadership skills such as:

• making the right decisions even in the absence of complete information
• gaining the trust of the team by taking responsibility for the results achieved
• interpersonal skills, cooperation, and information sharing
• critical thinking and conceptual skills

Leadership in such a continuously dynamic sector is about inspiring and motivating teams, but even more about encouraging people to envision the vision of the company and to contribute to its realisation. Leaders essentially must take full advantage of the capabilities and skills of the employees to thrive in Industry 4.0.
 
In cyberspace, the implementation of leadership is facilitated by skills. Personal competences (soft skills), in particular, have paramount importance, and this is why many organisations are increasingly focused on developing their teams by attracting soft-skilled individuals.
 
In conclusion, there is a major need for developing a “leadership 4.0” culture in organizations, as digital technologies have an influence not only on the area of information technology but also on how businesses are managed, and which leadership styles are applied. “Leadership 4.0” stands for leadership in the age of Industry 4.0, and so these “leaders 4.0” could therefore be also called digital leaders.

What about your thoughts on “leadership 4.0”?
Are leaders prepared to become digital leaders and tackle their teams differently?


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Benefits of Industry 4.0 are numerous, some of them still underestimated, although the phenomena is rapidly reaching all the imaginable sectors and include increased efficiency, safety, precision and even decreased costs.

As the fusion of physical elements and digital technologies, Industry 4.0 is defined by and can be divided into five stages, with the average manufacturer being only at stage one, two or three at the most.

This primary step is reached when a business is able to monitor certain aspects of its operations remotely and has a robust internal process for manually updating all of the necessary data for the parameters to be accessed remotely.

Installed sensors and/or IoT devices that gather data for different aspects of the manufacturing, full automated control of the data, but no full advantage of the data continuously collected. Enterprises can use the data they are processing to make profitable predictions, decisions and corrections based on AI.

Manufacturers reach stage three when they have been accumulating real-time sensor and IoT device data for at least one full year and have therefore collected enough data to make building business rules around anomaly detection feasible and effective.

​A manufacturer has reached stage four when it has gathered sufficient data, invested in structuring it, met the requirements to build accurate predictive models to raise alerts in case of such. This stage is when a company has fully incorporated all of the AI and automation technology.

Smart factory stage is achieved by a business that has multiple AI-driven predictive and forecasting systems in place across their production plants, and the systems have learned and evolved to a point where certain parameters can be changed automatically without human intervention.

What about your company and the stages you are aiming at?
​Tell us in the comment sections below.

The second half of the event kicked off with an interactive game, engaging all participants, followed by a panel discussion on the topic: “The place of Artificial Intelligence (AI) in Industry 4.0”. Kristina Eskenazi and Svetlin Penkov from AI Cluster Bulgaria discussed examples of AI in the production and supply of goods and services. Furthermore, they outlined both successful practices, as well as reasons for failure in the implementation of AI.

The conference was closed out with a presentation by Vladimir Danailov - Executive Director of the Fund of Funds, who introduced the participants to the funding opportunities for Bulgarian companies at different stages of their development.

The conference was attended by 44 participants. There were journalists from the National radio, Bloomberg TV, printed and online specialized media.
 
Photo gallery from the event can be found here.

The EU funded project UpskillingLab 4.0 and its outcomes were presented and tested on the 22nd and 23rd April 2021. The main project goal is to provide skill improvement opportunities to companies’ staff (managers and employees involved in innovation), so as to empower them to foster open innovation between startups, scaleups, and established companies operating in specific verticals with focus on modern technologies and innovation (Industry 4.0).
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The meeting saw the participation of representatives from the whole project consortium, which is composed of:

• Bulgarian Industrial Association (BIA), leader of the consortium,
• Knowledge, Innovation and Strategies Management Club (KISMC), from Bulgaria,
• Chamber of Craft & Small Business of Slovenia (CCSBS), from Slovenia,
• University of Deusto, from Spain,
• European Startup Network (ESN), from Belgium
• Inqubator Leeuwarden (INQ), from the Netherlands
  
  

​On Thursday, the 22nd, the meeting opened with a presentation by Sasha Dijkstra from Inqubator, welcoming the attendees and giving a recap about the project. She then briefly introduced the agenda of the meeting. Next was a presentation by Milena Koleva from KISMC, on creativity and idea creation followed by an introduction to Open Innovation.  

​The meeting continued with an overview provided by Tontxu Campos from University of Deusto on the Upskilling Lab 4.0’s Skills Development Framework (Output 2), followed by a closing Q&A session. 

On Friday, the 23rd, the meeting began with the presentation of the toolkits, followed by their testing and evaluation.

Jan Bormans from ESN guided the testing and evaluation session for the Training toolkit for start-ups/scale-ups (Output 3/A1), while Milena Koleva guided the one on the Training toolkit for start-ups/scale-ups (Output 3/A2) and presented the ongoing work on the Gamified platform (Output 4). 

The meeting closed with a discussion on the evaluation methodology for the tools and the training led by Tontxu Campos and with a wrap up by Sasha Dijkstra. 

When the concept of Industry 4.0 was first announced in Germany, this industrial revolution started growing from the theoretical concepts to real-word applications.

The change that this industrial revolution will bring will affect most of our lives, therefore many countries are preparing for it through policies, national strategies and research and development plans that will help overcome the challenges, but also grab the opportunities that are coming our way.

Since the concept on Industry 4.0 is still quite new there are no clear standards according to which it could be implemented. Therefore, each country is implementing it differently based on the needs of its market and industry specifications.

The European Union is also encouraging research into the field of smart technologies with research programmes that offer funding like “Horizon Europe”.

There are certain issues and challenges that are coming with Industry 4.0 and they  mostly concern the lack of autonomy in many current systems, lack of bandwidth in a majority of the current network protocols, the need to ensure the quality and the integrity of the data recoded, making modelling and analysis satisfactory for practical purposes and the need to adjust current production routes.

And let us not forget the critical issue of cyber security (which will be approached in one of our next articles).

With all these issues in mind, most of the developed countries are investing in research and development either though substantial government founding or through incentives for the industry to invest in its future.

If you are interested in knowing how countries are preparing for the Industry 4.0 revolution and what are their programs and plans for the future, you should read this article.


Author
European Startup Network

As the implementation of Industry 4.0 takes place, and virtual and physical worlds slowly intertwine, virtual reality (VR) and augmented reality (AR) are starting to get used in various sectors and contexts - from consumer applications to manufacturing.
 
According to a survey conducted by PwC, AR and VR solutions are seen as the key elements of an overall digital manufacturing strategy in Industry 4.0. More specifically, AR and VR will play the fundamental role in system maintenance, service, quality assurance as well as self-learning and training.
 
Using simulation models and AR can help manufacturers speed up the entire production chain, virtual design processes or enhance the testing and digital prototyping. Likewise, consumers can also benefit from AR/VR experiences or products, such as special AR/VR glasses or headsets that will enhance their user experience.

As this trend continues, marketers are also expected to catch on and offer new solutions that highlight the prestige and wealth of a company or a brand that uses AR/VR technologies, e.g. luxury car brands.
 
According to a briefing from the European Commission, Europe, USA and certain Asian countries (Japan, China, South Korea) are currently the leading regions in terms of the development of AR/VR technologies.

The European VR and AR production value accounts for one quarter of its global value, and in the past years, a growing number of new start-ups focusing on these technologies have emerged. It is thus expected for the European share in the global AR/VR industry to increase in the upcoming years.

 
Author
European Startup Network



Other source(s): https://www.i-scoop.eu/industry-40-virtual-reality-vr-augmented-reality-ar-trends/

The implementation of Industry 4.0 and the businesses who are increasingly using connected technologies to innovate, transform and modernize their internal processes are creating the need for constant assessment of cyber risks and improvement of information systems’ security.

As cyber risks in connected technologies and systems grow, cybersecurity should become a fundamental part of any Industry 4.0-driven initiative in order to prevent serious disruptions or data losses.
 
Digital supply networks and smart factories should be secure and resilient, and it is imperative to predict possible risks and cyber attacks, instead of trying to fix the issue at the end of the strategic process. As Deloitte stated in their report, two main cybersecurity objectives of digital supply networks are ensuring private  sharing of sensitive information and secure vendor processing.

Smart factories, for their part, should ensure the safety of their employees, continuous production, protect the brand and reputation of the organization and ensure overall process reliability.

According to a briefing from the European Parliament, cybersecurity has only partly been included in relevant EU policies. So far, the key European strategies and legislation on cybersecurity have been focused on attaining the following goals:
●      Protection of personal data;
●      Security of operation of large scale and publicly accessible information networks;
●      Protection of operation of key infrastructures.
 
The next objective is to embed cybersecurity in the future EU policy initiatives from the beginning, especially regarding new technologies and emerging sectors such as connected cars, smart grids and the loT.


Author
European Startup Network

Sources:

• https://www.researchgate.net/publication/332536137_Industry_40_applications_in_medical_field_A_brief_review
• https://www.impomag.com/home/article/13245182/how-industry-40-is-improving-peoples-worklife-balance