Preparing for Industry 4.0

We are living through the fourth industrial revolution. The convergence of physical and digital technologies is disrupting traditional business models while smart, connected and autonomous technologies are transforming the way we work, trade, live and socialise. Similar to previous industrial revolutions, these transformations are fundamentally changing the way we view the world. However, unlike previous industrial revolutions, the rate of change we are seeing is much faster.

Industry 4.0 is presenting organisations with unprecedented opportunities for growth. Combined with shifting demographics and socioeconomic factors, uncertainty in the geopolitical landscape and the rise of global connectivity, digital transformation in the form of Industry 4.0 is changing the way businesses are owned and operated. Maximising opportunities for growth will require transformational change throughout every level of an organisation. Industry 4.0 requires integration of digital and physical technologies across all areas of business, production, mobility and communications - an inescapable shift that organisations need to address comprehensively to thrive. However, this level of change also brings risks that businesses must manage.

The pressing question for all businesses is, therefore, what can be done to maximise these opportunities, whilst limiting exposure to risk?

With this in mind, Deloitte has identified four focus areas that will be key to the success of an organisation in the new industrial revolution:

• Strategy
• Workforce
• Technology 
• Culture and Society 

We recently asked 1,600 Board Level Executives (CXOs) from organisations across the world with revenues of at least $1billion about their views on each of these areas. The global survey results are available here.

This survey also included responses from 150 UK C-level executives, with an even distribution of responses from CEOs, CFOs, CIOs, COOs and CTOs. All respondents were from organisations with revenue of $1 billion or more, with more than half (53%) coming from organisations with more than $5 billion in revenue.