Industry 4.0 and its Impact on Indian Business Environment
Industry 4.0 Revolution also known as the Fourth Industrial Revolution is already making its way into the world and has already started its impact on the Indian market and thereby Indian business environment. Industry 4.0 will create a wide-ranging impact immensely in our lives and work because it is quite different than the earlier industrial revolutions. Industry 4.0 has more velocity, depth, and breadth to impact our systems. Just for a minute consider the effect smartphones and Internet connectivity are having on our lives and it is part of the Industry 4.0. In the coming years with the advent of fast-growing technologies, the impact of Industry 4.0 on the Indian business environment and in general will be immense.
With this knowledge it is important to understand what exactly Industry 4.0 entail, its advantages, why India should invest in it and where will the country stand in this Industry 4.0.
What is Industry 4.0?
There have been 3 earlier phases of the Industrial Revolution in the world and Industry 4.0 stands for the fourth phase of the transformation. It is also known as Industrial Internet of Things (IIoT). In this Industry 4.0, the focus is primarily on interconnectivity, machine learning, automation, and real-time data. The industrial transformation is possible because it brings together in a cohesive and holistic manner the physical production and operation with machine learning smart digital technology and big data. This enables Industry 4.0 to create connectivity of a better ecosystem.
A better business network would allow companies to focus efficiently on manufacturing and supply chain management. This will lead to combat the challenges like connectedness and real-time access to insights across a spectrum of the area like process, products, partners, logistics, and people.
Investing in Industry 4.0 and the technology it brings in will impact the Indian business environment because it will equip any business with tools that will improve the efficiency of manufacturing. Basically, it has the capacity to transform the entire way a business is operated and help in its growth.
Advantages of Industry 4.0
As mentioned earlier Industry 4.0 is going to be beneficial for businesses across all the sectors. Here are six specific sections that Industry 4.0 will be advantageous for businesses all across India and elsewhere.
• Better customer experience
• Cost efficiency
• Increased revenues
Why Should India Consider Investing In Industry 4.0?
With Industry 4.0 merging all the essential technologies like advanced analytics, Big data, robotics, artificial intelligence, Automation, Process Digitisation, Internet of Things (IoT) for businesses across a wide spectrum it holds quite a few advantages for augmenting the Indian business environment.
Here are five points:
• Production capacity and quality can be enhanced immensely with advanced analytics.
• The advanced analytics will move the focus towards prediction with the help of big data analytics thereby help in preventing defects and disruptions.
• Businesses adopting Robotics and automation can cut down on the production cycle, shorten the time-to-market and increase the efficient ways of utilizing resources.
• The digitization of businesses will provide a better experience for both the employees and the customers. Also, lead to run the business in a cost-effective manner.
• Internet of Things and connectivity will reduce lead-time by improving the supply chain by establishing an unbroken connection between machine to machine and machine to people.
It has been analysed by McKinsey that the Indian business environment will have an immense improvement if Indian companies adopt Industry 4.0. The companies will increase their operating profit by 40%.
Where does India stand in Industry 4.0?
With this knowledge that the Indian business environment is going to benefit immensely and change for better by investing in Industry 4.0 where exactly is India standing in relation to the world. India being the back-end office of the world with the rise in software economy, there is rarely a major IT consultancy or a software firm in the world that does not have a base in this country.
With Industry 4.0 that marries the cyber with the physical systems and developing smart factories, India needs to invest in it because it can work as a back end office with Industry 4.0 giving the option of decentralized decision making possibilities and monitoring the physical process of the factories.
Since India has already established its name in software and analytics, which form the cusp of the Industry 4.0, with the proper investment the country can be the new place for technologically empowered start-ups, have the ability to develop solutions in the industrial automation and manufacturing.
An overview of India’s ability only projects the fact that the country is well poised in embracing Industry 4.0. With the transformation, it will be able to provide a sustainable and scalable business with the tools that will not only streamline the task but also boost collaboration, productivity by using the data in real-time.