Insight
The fourth industrial revolution is here!
Are you ready?
Industry 4.0 is defined by the marriage between the physical and digital world where technologies such as artificial intelligence and Internet of Things (IoT) are increasingly gaining ground. The technological progress promises great opportunities as well as significant challenges for companies across the globe. In this analysis, Deloitte highlights some of the key strategic elements that your business should consider in order to succeed in the digital world.
Industry 4.0 - The Fourth Industrial Revolution
The technological developments that underpin Industry 4.0 creates a host of new opportunities for how companies can deliver products and services to their customers. In order to extract the most benefit from new technological solutions companies need to reconsider their strategic priorities and start to focus on how they can create value from data and how new workflows will affect their organization.
In order to uncover how the fourth industrial revolution affects businesses Deloitte asked more than 1600 executives from 19 countries about their company's readiness to exploit the potential of the new technologies as well as what challenges their organization is facing in this process. The investigation covers four central areas of impact that will be affected by Industry 4.0
The first area of impact relates to the extent to which executives recognize and consider the social impact of their decisions. The analysis revealed that executives generally believe that the fourth industrial revolution is leading to a future with less inequality but that they are unsure as to how their company can influence the developmental trajectory in areas such as education and social mobility.
The second area of impact deals with how strategies should evolve in order to exploit the potentials of Industry 4.0. The analysis shows that many top executives recognize that their company is not quite ready yet to take full advantage of the new opportunities. Furthermore, many leaders continue to focus on developing traditional business domains rather than shifting strategic focus towards talent development and driving competitive disruption.
The third area of impact deals with how executives prepare their workforce to cope with future tasks. The analysis highlights that most executives do not believe they have the necessary talents to exploit the full potential of the Industry 4.0 but that they are doing everything they can to acquire them. In spite of this is HR and talent development is at the bottom of their strategic priorities.
The fourth area of impact is concerned with the technological challenges that Industry 4.0 presents and how executives are using new technologies to create more value for their stakeholders. In general, the executives place technological investment as a top priority. However the analysis highlights that internal strategic misalignment and shortsightedness make it difficult to invest in technologies that fully exploits the potential of Industry 4.0.
Download the full analysis and gain insight into which strategic moves your company could do in order to succeed in the Industry 4.0 world.
