Industry 4.0: Most companies are still on the starting blocks

For most decision-makers surveyed, the concept of “Industry 4.0” describes a multidimensional approach to digitalising their businesses. For three quarters, it includes the use of technology and data to digitalize the production process with focus on machines, but also the use of augmented reality (AR) and artificial intelligence (AI) to support the workers’ manual processes through digital technology. More than 70 percent stated that this transformation will result in better working conditions, more workplace safety, and a completely different corporate culture. 

According to the survey, the most important technologies and megatrends that will drive the digitalisation of UK-based companies’ production in the future machines/devices that are networked and can communicate with each other (IoT at 24%), digital platforms (20%), Big Data / (Predictive) Analytics and cloud computing (both 18%) and AI-based methods and machine learning (17%). 

Across the UK, most decision-makers surveyed associate the use of innovative technologies in production with cost reductions (75%) and increase in efficiency (73%). Other expected advantages are identifying potential for optimisation (70%), the improving quality/level of service (68%) and increasing flexibility and expansion of existing products and services (67%). 

At the same time, the time and cost involved (24%) is currently the biggest issue in digitalising their companies’ production. Furthermore, IT security (25%) and data security (13%) concerns play an important role, as well as the incompatibility between existing machines and new technologies (33%). On the other hand, only few companies see a lack of personnel (16%), a lack of acceptance among employees (19%), or missing priority among management (13%) as the main obstacles to the digital transformation of production. 

Huge potential seen for IoT, AR and AI 

The survey put a particular focus on the potential of the Internet of Things (IoT), Augmented Reality (AR) solutions, and Artificial Intelligence (AI) for digitalising production. According to the research, a large proportion of the corporate decision-makers across Europe surveyed see potential applications for IoT (78%), AI (72%) and AR (70%) within the production of their own companies. In the UK, corporate decision makers agree. However, the focus shifts to IoT (58%), AI (49%) and AR (44%). 

For IoT, the main applications in production in the UK are expected to be machine-to-machine-communication (44%), predictive analytics (37%), the automation of order transactions (35%), and controlling machines remotely (24%). For AR, decision makers see most potential in quality assurance (41%), assembly, maintenance, and repair (27%), and the optimisation of the production process (20%). 

In AI, decision-makers see possible applications in fault prediction and predictive maintenance (31%), and demand forecasting and production planning (31%), production quality monitoring and yield management (28%), and monitoring safety and compliance measures (24%).  

Jan Junker, Executive Vice President Solution Sales & Delivery at TeamViewer: “The survey shows two things that also our clients confirm: on the one hand, the road to Industry 4.0 is tough for many companies, especially for those using heavy and expensive assets in their production. On the other hand, the majority has a huge interest in leveraging the enormous potential that the digitalisation of their production has to offer. It is great to explore the possibilities of embedded devices, AR and AI together with our clients and support them in making their businesses ready for the future.”