The rise of Industry 4.0 and the Industrial Internet of Things – Part One
Dave Sutton, Schneider Electric
The Industrial Internet of Things (IIoT) and Industry 4.0 are becoming two of the most overused industrial automation buzzwords today, writes Dave Sutton a product marketing manager at Schneider Electric. The explosion in domestic Internet of Things (IoT) applications, such as smartphones, wearables and even fridges is a key driver for this, but is there more to it than the surrounding hype?
According to IDC, the global IoT market is set to grow to $1.7 trillion by 2020. This means an increase in the number of active IoT endpoints, from 10.3 billion in 2014 to over 29.5 billion in 2020. As a result of this, we are ushering in a new era where data from interconnected devices is being increasingly used to improve industrial performance.
What impact will IIoT on manufacturing?
IIoT is changing the Industrial manufacturing competitive landscape, in a similar way to how the internet has impacted the wider business world since the mid 1990s. Many questions and concerns still remain unanswered, including standards, interoperability, cybersecurity, workforce skills and return on investment. It is clear however, that in order to stay competitive, industry the world over needs to understand the potential that IIoT holds, as well as the risks of moving too slowly. The IIoT provides significant transformation potential for industrial organisations, offering a means to increase the value they derive from modern IIoT open standards based automation technologies.
The IIoT is a world where smart connected products and systems operate as part of larger, more responsive and agile information infrastructure. Improvements in efficiency and profitability, increased cybersecurity and innovation, and better management of safety, performance and environmental impact are just some of the benefits of an IIoT-enabled industrial environment. Industry 4.0, or Digital Manufacturing – as the UK Government call it – is the overarching blueprint for the fourth industrial revolution that encompasses the IIoT, autonomous manufacturing systems, business systems and people to deliver increased supply chain flexibility, greater product customisation and shorter lead times.
The IIoT is an evolution, not a revolution
IIoT is often presented as a revolution that is changing the face of industry in a profound manner. In reality, it is an evolution that has its origins in technologies and functionalities developed by visionary automation suppliers more than 15 years ago. As the necessary global standards mature, it may well take another 15 years to realise the full potential of IIoT. The good news for end users and machine builders today is that they can leverage their existing investments in technology and people while taking advantage of new IIoT technologies. Introducing IIoT solutions alongside existing applications, as opposed to a rip and replace approach will enable greater business control, and will drive the evolution towards a smart manufacturing enterprise that is more efficient, safer, and sustainable.