Transform to Industry 4.0 Part 1

August 11, 2021

The manufacturing industry is the first in the business sector to fully apply technology in business processes. Technology was fused with the business so it can be said that the efficiency of the technology used reflects the competitiveness of the industry. Therefore, choosing technology is an important investment both in design and machine selection. For this reason, there are limitations to improve or change the technology used. However, with today's market competition, existing technology may not be enough due to changing trading processes. In addition to technology, information is an important part that can be used to benefit more businesses, providing higher performance and price competition. Therefore, it is imperative to improve the technology used to suit the industry 4.0 guidelines.

Transform to Industry 4.0 – Pain & Gain



Less flexibility and competitive constraints

  • Decision-making is difficult due to concerns that existing information is either not enough or not correct.
  • The cost of measuring the efficiency of processes, activities, and devices in an organization can be difficult and time-consuming.
  • The integration of business information may not be complete, because the data comes from different departments on different systems.

Increased cognitive abilities, enabling flexibility to adapt and compete effectively.

  • Able to design formats and data usage requirements according to business needs.
  • Building an efficient measurement process based on real data and increased visibility on performance.
  • Able to create data relationships without limitations on data sources, such as productivity optimization by using sales, purchase, and storage activity data to provide an analysis of the actual business situation

Problems with data management

  • Increased workloads due to a manual data recording process and may be incomplete or not enough detail.
  • Storing and searching for information in a document format.
  • Lack of data integrity and availability

Auto data collecting, structuring, and storing process

  • Collecting data through sensors or importing data into the system programmatically either in real-time or at intervals.
  • Data is stored in an easily accessible structure through the modern analytics platform.
  • Able to set storage preferences, validation processes, and flexibility to manage access control in order to secure data efficiently.

Limitations of data communication and data usage

  • Difficulty collecting and analyzing data resulting in low confidence in decisions
  • Human-device communication for data use is complex that can lead to a delayed response or a missed opportunity to find the root cause of the problem.
  • Not fully automated because devices can't communicate with each other and require humans to help control and command.

Ability to communicate and use information effectively

  • Supports Descriptive, Diagnostic, Predictive, and Prescriptive analysis from the business perspective
  • Able to visualize the data to find answers to business questions by receiving in real-time or near real-time
  • Increased data collection capabilities to enable decision-making with machine learning and control activities with AI to create efficient automated processes.


Industry 4.0 can be defined as the creation of automated processes where information is exchanged on production technology to build the ability to perceive information from all activities in both production and support function and increase the ability to communicate with each other both from machine to machine and machine to human. Up to the creation of automated processes, the system can make decisions, act on its own or summarize events for humans to work more easily through actual data.

Creating all these processes in the real world, technology will be an important role with the three main technology groups that will drive Industry 4.0, which are:

1. Technology in the category of Data, Connectivity, Computation to create a process for collecting/storing data. establish communication and process the data as a basis for further analysis and use as appropriate for the business

1.1. Sensors – collect data from interesting activities from physical to digital.

1.2. Internet of things (IoT) – manages communication between machines, either for the destination or for the processing.

1.3. Cloud technology - used to process/store data by computing systems without infrastructure and traffic restrictions.

2. Technology in the category of Analytics and Intelligence solution

2.1. Advanced analytics – display data for analysis and answering business questions from different perspectives. To create continuous improvements or see details of problems that arise in the business to find solutions

2.2. Machine learning/ Artificial intelligence – Insight analytics to create a process of learning data models that can be used to predict what will happen or assist in making appropriate decisions based on what may have happened based on historical information.

3. Technology in the category of Automation

3.1. Visual automation - a group of automated machines such as mechanical arms, stock mover robots to reduce the burden and optimize the production process

3.2. Virtual automation – Process automation programs such as Robotic process automation (RPA).

The application of such technology to be effective in accordance with the guidelines of Industry 4.0 may require stakeholders from various departments within the organization, including experts in various types of technology to create a framework and guidelines for the appropriate application. In our experience, the development of a flexible agile methodology can be easily adapted. Including being able to start from a small development operation and gradually expand to a larger outcome will create a smoother project.

If you would like to learn more about how to improve the platform based on the industry 4.0 concept or would like to see examples of the technology's application in different areas, please contact BizOne for a free consultation!