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What does the future hold for the industry?
Digital transformation means decision-making and end-to-end optimization of systems based on data.

What does the future hold for the industry?

Electrification, mass production and automation propelled our comfort of life to new heights, but not without raping the earth and the climate. Industry 4.0 offers an opportunity to turn the tide. Innovation and digitization are paving the way for a "greener" industry that is more intelligent, efficient, faster and contributes to a circular economy. And which is still a driver of our prosperity, while being a catalyst for a sustainable society. What groundbreaking technologies will play a role in this? And are we already quietly speaking of industry 5.0? What is certain is that data will be the most important fuel in the industry of the future. And that Siemens will be at your side during this transition, as it has been for the past 125 years. Thierry Eeckhout, digital industries head for Belgium, updates you on key developments.

"After the first three industrial revolutions - those of steam, electrification and automation - the fourth industrial revolution ushered in a new era more than a decade ago. Industrial market leaders and pioneers, including Siemens, asked themselves the question: how can we modernize mass production and make it sustainable while meeting the rising demand for individual customization? How can IT and OT (operational technology) be seamlessly integrated? Industry 4.0 is the answer, underpinned by an intelligent supply chain, digitization and remotely controlled production."

Driven flexibility

"The importance of and need for Industry 4.0 consisted of enabling a pervasive flexibility and digitization that allows for response to uncertainty as our society rolls from one crisis to another. In addition, innovation cycles are shortening, there is a shortage of skilled labor and crucial raw materials are being depleted. But the biggest challenge remains climate change, affecting billions of people and costing trillions. The industry therefore needs win-win solutions to adapt to this challenge. Become net-zero without sacrificing quality or competitiveness, and in an affordable way? Digitization is the key." 

Thierry Van Eeckhout 4
Thierry Eeckhout: "Every process, in every company and in every industry, will have to be analyzed and optimized to achieve a sustainable future."

"Ten years later, has Industry 4.0 brought what we hoped for? We are by all means further ahead than expected. Today, digitization and automation allow industry to respond much faster to change. Fewer resources are needed to achieve more, while the pandemic has taught companies to dare to invest in technology to keep production going at all times. But as the true potential of a digitized industry becomes clear, it also becomes clear that there is still much to be realized."

Data as fuel

"For example, there is still margin in the way we look at optimization in production. Making imperfect products and testing over and over again until it's right, we can no longer afford to do that. Digital transformation means decision-making and end-to-end optimization of systems based on data. By analyzing and simulating products over their entire life cycle, from development through use to even recycling, one can better determine what the final product should look like in reality. Processes can also be simulated from A to Z."

"To do this, we need huge amounts of data. That data exists, but many companies do not yet know how to fully unlock its value and potential. Data transparency is the first step. Siemens research shows that only 31% of stakeholders are using available data. Data is becoming the fuel of our industry more than ever, and digitization is therefore essential to collect, understand and use that vast amount of data."

Artificial intelligence, augmented reality and 5G

"What technologies will feed this data? That's hard to predict. The factory of say 2035 will look very different from the factory of today. Since the first industrial revolution, mechanization, water and steam power have meant that more and more work has been taken over by machines. Every technological advance-from computers and robotics to the Internet-has brought even more automation. Those technological advances will continue to be significant, but even in the factory of the future, the 'human touch' or human intervention will continue to play a role." 

"Artificial intelligence will become ubiquitous in industry, with machines and tools increasingly making decisions autonomously. Blockchain will also become indispensable, while augmented reality will become fully ingrained on the production floor and will help digital simulations become even more reality-checking. 5G (and its successors 6G...) will become more powerful in the industrial context, coupling speed with higher bandwidth. The industrial metaverse will come sooner than expected. Whatever technologies will capture the market, they will drastically change factories anyway."

siemens fieldpg 0817 144 original
Modern tools provide the space to design, produce, use and dismantle products with partners and suppliers around the world.

Faster, more intelligent and, above all, more sustainable

"What we already know for sure today is that the industry of the future will be faster, more efficient and more sustainable. Globally, factories are responsible for a fifth of CO2 emissions and more than a third of global energy consumption, while barely 13% of waste is recycled. 

It is therefore important to create an industry that promotes our prosperity while contributing to a sustainable and circular economy. Decarbonization, recycling and reuse are becoming hallmarks of the industry of the future." 

"With our hardware and software, we are able to fully guide the life cycle of a product, from development to recycling, capture the data generated by that product, and use that data as input for future developments. Decarbonization will not happen in a vacuum. Every process, in every company and industry, will need to be analyzed and optimized to achieve a sustainable future. Connecting industrial ecosystems gives companies the transparency and intelligence needed for collective action. Understanding the current carbon footprint and use of all resources throughout the value chain, from suppliers and distributors to energy producers and recyclers, enables easily exchangeable information to further fuel the Digital Twin. Decarbonization is no easy task, but deploying digital solutions is a first step toward a sustainable business." 

"In addition to enabling accelerated innovation in complex products, interconnected digital tools provide transparency in a company to optimize cost, quality, time and sustainability. Modern tools provide the space to collaborate with partners and suppliers around the world to design, produce, use and decommission products. Decision-making driven by data will be critical in building the successful companies of tomorrow."    

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