Industry 4.0

Abstract

Currently there is a general notion that the fourth industrial revolution is coming, but still it is difficult to definitively answer questions like what the exact consequences are for manufacturers, or when these will happen in earnest, say, on a large scale. Nevertheless, it seems likely that later-movers will be much less competitive in the market than first movers. The objective of this thesis is to provide a comprehensive review of government programs and literature in relation to the Industry 4.0 or the 4th Industrial revolution, by identifying and describing the key technologies that are the enablers for manufacturers to build a ‘’Smart Factory.’’ In particular, it will also focus on small- and medium-sized enterprises (SMEs) and what role they play in this 4th industrial revolution. In the literature, much research has been performed and aimed at large companies which have a deeper understanding of their business models and how the technologies of Industry 4.0 might affect them. But as SMEs make up a large part of the economic activity in many developed nations it is important that they also upgrade their factories, in order not to be forced out of the market. The results of this study are valuable to managers in the manufacturing industry, as it will give them a clearer overview of the relevant technologies and their development in the Industry 4.0 context. Thus, it is expected to help them to tailor better strategies to propel their business going forward into this new industrial environment.