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Toward the next horizon of Industry 4.0 Accelerating transation through collaborations and startups Part of a Deloitte series on Industry 4.0Deloitte’s Supply Chain and Manufacturing Operations practice helps companies understand and address opportunities to apply Industry 4.0 technologies in pursuit of their business objectives. Our insights into additive manufacturing, the Internet of Things, and analytics enable us to help organizations reassess their people, processes, and technologies in light of advanced manufac- turing practices that are evolving every day.1 Contents Introduction | 2 Entry points into Industry 4.0 | 4 Journeying from implementation to maturity Building Industry 4.0 capabilities | 8 Looking outside the organization Getting started | 12 Start small, think big Endnotes | 14 Accelerating transation through collaborations and startups2 W E APPEAR ON the cusp of a fourth Industrial Revolution, also known as Industry 4.0. Enabled by the concurrent development and integration of digital and physical technologies, Industry 4.0 could trans the manufacturing ecosystemand many other sectors and industries beyond see the sidebar “What is In- dustry 4.0” to learn more. As these waves of change reshape the com- petitive landscape, organizations should think strategically when deter- mining where to focus and invest, to build their capabilities. Depending on their strategic objec- tive, manufacturers can decide which Industry 4.0 technology they wish to adopt across multiple objectives and horizons of maturity. It is often very difficult, however, to build these new advanced capabilities from the ground up. With this in mind, organizations can look externally for solutions, by collaborating with external partners or investing in startups with the relevant expertise. While collaborations in general can bring ben- efits to all sides, enabling each to gain from the expertise of the other, collaborating with startups can be particularly valuable Often more nimble and open to untested approaches, startups can provide unique opportunities to start down the path toward innovationor dive deeper into an already-initiated digital transation. This can play a crucial role in offering some unique and diverse solutions that help define this fourth Industrial Revolution. To gain a better understanding of some of the pressing needs of manufacturers and various ways in which collaborations in generaland startups in particularcan provide value across multiple horizons of Industry 4.0 maturity, Deloitte Israel developed a maturity mapping of Industry 4.0 applications across three horizons. Deloitte Israel also conducted global research, including 34 qualitative interviews with cutives of leading man- ufacturers in Europe and the United States, global industry leaders, and those with global Industry 4.0 expertise; gathered and analyzed hundreds of use cases; and pered meta-analysis of Industry 4.0 publications, initiatives, and investment ac- tivities. The research takes a global perspective to examine which capabilities it seems manufac- turers wish to prioritize and where they fit along the horizons of Industry 4.0 implementation and usage. This, in turn, suggests strategies for how to maximize shared value across Industry 4.0 horizons through collaboration with partners and startups. Introduction As these waves of change reshape the competitive landscape, organizations should think strategically when determining where to focus and invest, to build their capabilities. Toward the next horizon of Industry 4.0
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