What is Industry 4.0 Revolution?

Over the past few days, the concept of "Industrial Revolution 4.0" has been mentioned a lot on media and social networks . Along with that is the promise of "life change" of businesses in Vietnam if this wave is welcomed. So how should this revolution be understood?

Definition of Industrial Revolution 4.0

According to Gartner, the Industrial Revolution 4.0 (or the Fourth Industrial Revolution) comes from the concept of "Industrie 4.0" in a German government report in 2013. "Industrie 4.0" connects embedded systems and mechanics. Intelligent manufacturing facility to create digital convergence between Industry, Business, functions and internal processes.

If the definition from Gartner is difficult to understand, Klaus Schwab, founder and executive chairman of the World Economic Forum brings a simpler view of the Industrial Revolution 4.0 as follows:

"The first industrial revolution uses water and steam energy to mechanize production. The second revolution took place thanks to the application of electricity for mass production. The third revolution used electronics and information technology to automate production Now, the Fourth Industrial Revolution is flourishing from the third revolution, it combines technologies together, blurring the line between physics and engineering digital and biological ".

History of 4 technological revolutions of humanity.

According to Klaus Schwab, the breakthrough rate of the Industrial Revolution 4.0 is "no historical precedent". When compared to previous industrial revolutions, 4.0 is progressing with an exponential function rather than linear speed. Moreover, it is disrupting most industries in every country. And the breadth and depth of these changes heralded the transformation of the entire production, management and management system.

How will Industry 4.0 revolution take place?

Following Klaus Schwab's definition, Industrial Revolution 4.0 will take place in three main areas including Biotechnology, Digital and Physics.

1. The core elements of Digital in CMCN 4.0 will be: Artificial Intelligence (AI), Everything connected - Internet of Things (IoT) and Big Data.
2. In the field of biotechnology, Industrial Revolution 4.0 focuses on research to create leaps in agriculture, fisheries, medicine, food processing, environmental protection, renewable energy, chemistry and materials.
3. Finally, the field of Physics with new generation robots, 3D printers, self-driving cars, new materials (graphene, skyrmions .) and nanotechnology.

The Industrial Revolution 4.0 is taking place in developed countries like the US, Europe and parts of Asia. In addition to new opportunities, the industrial revolution 4.0 also poses many challenges to mankind.

Opportunities come with challenges and global risks

The downside of the Industrial Revolution 4.0 is that it can cause inequality . Especially can break the labor market. When automation replaces manual labor in the economy, when robots replace people in many areas, millions of workers in the world can fall into unemployment, especially those in the security sector. insurance, real estate brokerage, financial and transport consulting.

The replacement of manual labor will push millions of workers into unemployment.(Photo: Siemens).

The report of the World Economic Forum has raised this issue at different stages. The first phase will be a challenge for office workers, intellectuals, and technical workers. The next phase will be cheap labor, which may be slower. With the movement of this revolution, in the next 15 years the world will have a new look, requiring businesses to change.

After that, the economic instability arising from the Industrial Revolution 4.0 will lead to instability in life. Its corollary will be political instability. If governments do not fully understand and prepare for industrial wave 4.0, the risk of global instability is possible.

In addition, changes in the way of communication on the Internet also put people in a lot of financial and health dangers. Personal information without being protected safely will lead to incalculable consequences.

The 4th industrial revolution offers opportunities, and also challenges for humanity.

"Industrial Revolution 4.0" is taking place in many developed countries. It gives mankind the opportunity to change the faces of economies, but there are hidden risks.