COVID-19: An inflection point for Industry 4.0

                            

 

 

Many organizations used Industry 4.0 technologies to respond to the epidemic, but the crisis is placing the future of digital operations under additional strain.

 

In 2020, industrial digitization will be put to the ultimate test. Faced with the worst health and economic crises in recent history, businesses of all kinds were forced to take extreme measures to protect their employees and keep their operations running. While some battled to keep operations running in the face of labor or raw material shortages, others fought to keep up with the unexpected surge in demand. Did the ongoing Fourth Industrial Revolution (or Industry 4.0) technologies assist those businesses in their efforts?

 

According to the findings of a new McKinsey poll, there are three possible outcomes: a win for organizations that have already scaled digital technologies, a reality check for those currently scaling, and a wake-up call for those who haven't begun their Industry 4.0 adventures. Our annual Industry 4.0 survey of global manufacturing organizations has been tracking the growth of Industry 4.0 since 2017, and our most recent poll of more than 400 companies globally (Exhibit 1) provides a picture of leaders' thoughts six months into the coronavirus outbreak. Overall, 94% of respondents claimed Industry 4.0 assisted them in keeping their operations functioning during the crisis, and 56% said these technologies were crucial to their crisis responses.

 

Source: How the pandemic transformed digital manufacturing--and vice versa | McKinsey