Industry 4.0 and the latest megatrend: the digitisation of everything
Much of the innovation we’re seeing today is a result of the fourth industrial revolution where digitisation has revolutionised the manufacturing industry. Its characterised by;
- Smarter design
- Safer engineering
- Faster manufacture
- Sustainable production
- Remote servicing
- Quicker delivery
- Transformed supply chain, value chain and business models!
Though its primary focus has been on interconnectivity, machine learning, real-time data, and automation as shown in the diagram below, it’s impossible suggest this is a “manufacturing only” revolution as it touches every part of our daily lives. Companies accelerating Industry 4.0 include Japan’s Yaskawa (YASKY) who is pioneering automation, recently listed Zoom2u (Z2u) offering on-demand-same-day-express-couriers and proven leader in cloud, data centre, government cyber security and telecom company Macquarie Telecom Group (MAQ). But for investors the trick is to find companies that capture value from disruption and not overpaying for them. For us, it’s finding those companies early and supporting their growth aspirations.
The World Economic Forum and McKinsey collaborated to form the Global Lighthouse Network. It showcases a community of organisations setting trends in the use of digital and analytics tools across the value change. Currently there are 90 organisations, each with pioneering technologies and innovative business models stimulating innovation, sustainability and employment. Not one of these organisations is Australian.
Following the Senate’s enquiry into the Australian manufacturing industry, and the recommendations made, it may be a confluence of events that Australian firms can take advantage of. I’m looking forward to seeing the first Australian company become a Lighthouse organisation.
If you’re disrupting your market we’d love to hear from you.
Charlotte, companies to cover this month (1 for each week of the month)
- PWR Holdings
- Macquarie Telecom Group
- Joyce (which owns kitchen connection is a niche kitchen manufacturer and retail outlet so it differentiates itself )
- Amcor (has scale at cardboard manufacture and seems to be going well)