If we see the economy of any developed Country , The three major paradigm shift happened in following order, They started with Agro based Economy, witness the phenomenal industrial Revolution and eventually embracing the service sector.
After Independence, Indian economy followed the same path and Green revolution led us to a strong Agro-based economy. The ideal situation at that moment was to shift from Agro-based economy to manufacturing based economy but due to red tape and unfortunate political turmoil we lost the plot.
In 1991 when Indian economy was liberalized , The scope of industrial revolution got diminished as many developed country were already having a hegemony in manufacturing sector. China specially became so fierce that any form of Competition in manufacturing sector became lopsided.
However, It is amazing to note that after Liberalization India became the epicenter of IT service industry. Many companies became unicorn in the upcoming two decades and We flooded silicon valley with brilliant coders.
As we moved into the 21st century and the unavoidable impact of globalization started to penetrate into Indian economy, The manufacturing sector freed from government regulation and red tape started to show positive trend. In this globalized world, we are standing in front of another industrial revolution led by digital technology and surely you can call it industry 4.0 Revolution.
INDUSTRY-WHY DECISION MAKER SHOULD CARE ?
India never witnessed Industrial revolution that doesn’t mean we should be slow in accepting the next paradigm shift that is shaping the World Economy. Digital Transformation is no more a luxury but an eventuality that every industry will be accepting sooner or later. The points is are we again going to understand its impact only when a developed country will showcase its strength and monopoly?
Smart manufacturing: Gartner Report estimated that almost 40 percent of American Manufacturing Company has already implemented Industry 4.0 with IoT, Data Intelligence And Machine learning in their units. They have managed to reduce their downtime ,maintenance cost drastically. Cutting edge technology is enabling them to do predictive analysis on their assets and data science is enabling decision makers to take complex business decision in matter of seconds. Smart Manufacturing is already saving them billions of dollars Annually.
Information as your asset- Decisions are the product of information and information is derived from data. This is the basic philosophy behind any Decision making process. Your manufacturing unit has potential to give varieties of data and if you are not converting that data into meaningful information you are already not capitalizing from your own right full asset- Information.
Visibility- The depreciation cost of your millions of dollars of asset leaves significant impact on your balance sheet. The fundamentals of Digital transformation is to give you a one click view of all your assets. The process that are critical for your product and eventually brand should not be solely dependent upon a technician .Industry 4.0 is offering you to have a full visibility of your asset, your processes, health of your asset and predict any anomalies before the failure happens.
INDUSTRY 4.0 – A framework to Implement
The Resistance towards implementing any new technology is inevitable and This is responsibility of Decision makers to provide a proper road map before introducing any form of change management.
Education and Organization Culture- The collaboration between OT team and IT team is the first step of introducing any technology innovation. The goals and objective of industry 4.0 cannot be solely decided by any single department. The Decision makers should promote a culture of technology literacy and reduce inhibition of adapting new technology by proper education and training.
Identify problem and opportunities- A proper gap analysis should be done between existing process and idle process. The parameters that are responsible for problem should be noted down objectively before any action. The goals of any opportunities should be accentuated properly to management.
Feasibility Analysis- The existing infrastructure and legacy of the existing system should be studied properly. The compatibility of PLC, SCADA etc with new technology should be evaluated carefully. Sensors, data acquisition protocol and IoT platform must work in cohesion with existing process.
Pilot project- It is advisable to run a pilot project to measured the efficacy of introducing new technology. The pilot project will fetch almost negligible budget and will give decision makers a proper insight on the impact of introducing new technology. The budget allocation can be done accordingly after auditing the result from the pilot project.
Scaling- Decision makers after auditing the result from pilot project should start implementing the digital transformation project at other machine and units again in coherence with existing process.
The IIOT(Industrial Internet of Things) market alone will be a 20 billion dollar market by 2020, Some Manufacturing Companies in India are already implementing it and studying the positive impact.
This is the Responsibility of Technology Company and Decision makers of India to lead industry 4.0 revolution from the front. Early adapter or innovator or laggards? Indian Economy is looking up to you.