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Industry 4.0: The Digital Revolution in Manufacturing and Business - Prof. Tedeschi, Appunti di Organizzazione E Pianificazione Del Turismo

Industry 4.0, the latest industrial revolution driven by advanced technologies such as IoT, big data, cloud manufacturing, and smart factories. It discusses how these innovations facilitate real-time data collection, predictive analysis, and mass customization, transforming the way businesses operate and interact with customers and suppliers. The document also touches upon the role of augmented and virtual reality, push systems, and MRP in managing production and resources.

Tipologia: Appunti

2019/2020

Caricato il 05/05/2020

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1. INTRODUCTION
The intensification of international trade, due to an increasing spread of the phenomenon of
globalization, which in the twenty-first century has now reached an exponential level in the
activities carried out by companies, becoming the main reason for strategic planning of companies
due to the immediate need to obtain information from the market, being always alert to the
changes and needs of the target.
These changes in the lifestyle of people and companies, have been favored by the technological
evolution of recent decades.
The ability to communicate and transmit a large number of information in a matter of seconds,
drives companies to have a system of gathering and monitoring information at the forefront and
in line with these changes.
If technology creates problems because a consumer with this technology is able to purchase and
request products and services at an instant and anywhere in the world, at the same time, the ease
of communication between workers of the same location, but especially with different branches
with locations even thousands of km away, is favored by the evolution of smart-type machinery
and plants, or with the possibility of online connection that makes the exchange of information
simple, but especially the ability to adapt to human, mental and anthropological conditions, allows
a clear improvement of working conditions in order to facilitate the work itself.
In this regard we refer to industry 4.0, the fourth industrial revolution. This new term serves to
indicate, as already mentioned above, a series of evolutionary changes in the technological sector
that facilitate the organization of the design, production and distribution of products and services.
The main characteristic, the main strength of this technological revolution lies in the possibility to
connect the objects among themselves, allowing the collection of huge masses of data in real time
with the ability to extrapolate from the data collected information automatically and instantly. The
ability of the plant to adapt to the working conditions of the workers favours a higher quality of
the products.
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1. INTRODUCTION

The intensification of international trade, due to an increasing spread of the phenomenon of globalization, which in the twenty-first century has now reached an exponential level in the activities carried out by companies, becoming the main reason for strategic planning of companies due to the immediate need to obtain information from the market, being always alert to the changes and needs of the target. These changes in the lifestyle of people and companies, have been favored by the technological evolution of recent decades. The ability to communicate and transmit a large number of information in a matter of seconds, drives companies to have a system of gathering and monitoring information at the forefront and in line with these changes. If technology creates problems because a consumer with this technology is able to purchase and request products and services at an instant and anywhere in the world, at the same time, the ease of communication between workers of the same location, but especially with different branches with locations even thousands of km away, is favored by the evolution of smart-type machinery and plants, or with the possibility of online connection that makes the exchange of information simple, but especially the ability to adapt to human, mental and anthropological conditions, allows a clear improvement of working conditions in order to facilitate the work itself. In this regard we refer to industry 4.0, the fourth industrial revolution. This new term serves to indicate, as already mentioned above, a series of evolutionary changes in the technological sector that facilitate the organization of the design, production and distribution of products and services. The main characteristic, the main strength of this technological revolution lies in the possibility to connect the objects among themselves, allowing the collection of huge masses of data in real time with the ability to extrapolate from the data collected information automatically and instantly. The ability of the plant to adapt to the working conditions of the workers favours a higher quality of the products.

2. FROM THE FIRST INDUSTRIAL REVOLUTION TO THE INDUSTRY 4.

The first industrial revolution began in the second half of the 1700s it makes reference to the textile and mechanical sector through the introduction of the steam machine and the mechanical frame that allowed a greater amount of energy in replacement of the worker’s fatigue, so as to make work more comfortable. The second industrial revolution began in the second half of 1800 with the advent of the combustion engine and the use of electricity in a greater way leading to the birth of the first cars thanks to Henry Ford and his chain of mounting. The third industrial revolution began after the Second World War mainly with reference to the development in the energy sector, the birth of atomic energy and the involvement in renewable energies. Great development also achieved in the technological field with the advent of the first computers and the introduction of numerically controlled machinery. The fourth industrial revolution, better known as Industry 4.0, is nothing more than the continuation of the third, or the further evolution of technology, and the introduction of the connection, which facilitates the exchange of information and management control of the various organizational areas and promote an instant and optimal coordination of all the resources that lead to the creation of the company’s value.

3. THE INDUSTRY 4.

As already mentioned, industry 4.0 is nothing more than an industrial adaptation to new technologies, of fundamental importance for the organization and management of the company. The main features of Industry 4.0 are:  Changing the company customer relationship, we find ourselves in an unstable market context, the ease of transmitting info and therefore the ability to quickly change attitudes, thoughts and tastes by customers, often influenced by the vision of life of subjects of greater importance for their own socio-cultural context, obliges the company to take an active and direct part to the customer during the design of products and services so as to allow a total customization of the product and the service itself.  Change of contractual relationships with suppliers, the possibility of using information systems from suppliers makes the work of the company transparent as they can access the production systems. The company, in this regard, loses contractual power and pushes suppliers to make this relationship in their favor.

4. THE PILLARS OF THE INDUSTRY 4.0: ORGANIZATION AND TECHNOLOGY TO FACILITATE WORK

To achieve excellent results, these macro areas must be connected and coordinated as efficiently as possible, given their complementarity necessary to build value added by the company. 4.1 THE ORGANIZATION The management of the organization is one of the main points that the Insdustry 4.0 changes and is based on these business models:

  • Smart Factory, the transition of the company to the use of automated and intelligent systems, operating independently but at the same time in contact with workers and the surrounding environment, aims to achieve operational excellence, trying to solve the transition from unique product to custom product in a standardized way.
  • Servitization, with the aim of selling the intangible quality of the tangible assets but also the tangible quality of the intangible assets. With the advent of industry 4.0 we also went from a sale no longer physical but for use as the pay per use, pay per performance and pay per click. All this with the aim of achieving a level of leadership of important cost.
  • Data driven, suitable for companies operating in sectors C to B (costumers to Business) linked to a certain level of intimacy with the customer, In these sectors products and services are designed and developed on the basis of the customer’s own experiences, thus becoming an active and fundamental part of the company’s production process. The optimal understanding of this process can be seen as a circular flow starting from existing knowledge, extrapolated from historical data, which generates useful financial resources to explore a new client knowledge which in turn generates intellectual resources necessary to exploit existing knowledge. 4.2 THE TECHNOLOGY As mentioned above, the advent of state-of-the-art systems, the use of internet connection and smart technology, makes work easier by making it less heavy and stressful. This is thanks to the automation of the plants that makes the man’s work reduced or even eliminated in certain steps, without bothering the person but with a complete and effective collaboration. The different technological areas:
  • Additive manufactoring, or 3D printing, is without any doubt the first great distortion of the daily work brought by’Industry 4.0. The creation of the product is facilitated by

systems that allow the perfect architecture and design, thanks to the possibility of an initial digital virtual creation, which facilitates the decision of every small detail and subsequently the construction of the same through a printing layer by layer. This replaces the old modes which consisted in the removal of material on a working basis. The main advantages are, without any doubt, the ease of prototyping, the possibility to create geometric shapes not possible with traditional technologies and the reduction of waste.

  • Internet of things, refers to the possibility of total connection of every plant and machinery available to the company. This enables information to be disseminated rapidly throughout the organisation and work system in such a way as to facilitate the continuous exchange of information. The main advantage of this technology is the possibility of obtaining a wide range control and monitoring that facilitates, if necessary, the modification of the systems in case of problems. This change can be set based on the input received from the systems that directly change the behavior.
  • Augmented and virtual reality means the enrichment of human sensory perception through information, manipulated and conveyed electronically, which would not be perceptible with the five senses. It includes a hardware component, almost always represented by wearable devices, and a software component that can superimpose on perceived reality a series of additional information. Through the use of hardware and software technology, there is the possibility to simulate the behaviour of machines, production plants and products, so as to encounter any problems, not yet encountered and to remedy them.
  • Big data and advanced analytics, thanks to the diffusion of the Internet of things, data have become the key competitive factor of companies. Having accurate, accurate, reliable and timely information is no longer an alternative, but has become of absolute importance for the management of the business in creating competitive advantage. The technology and the advent of state-of-the-art systems allow to transmit this large amount of data, giving a brief explanation, through sophisticated systems, even between completely heterogeneous sources between them or even outside the company itself. Big data and the advenced analytics, unlike the most common business intelligence services, offering a retrospective view of historical data and past activities, in such a way as to allow an understanding of such past events, giving reasons as to why they have happened, big data and advenced analytics allow predictive and prescriptive analysis, that is, to analyze in the detail a decision, understanding of the consequences and to estimate the possible alternatives before this happens, all this in order to allow the company to carry out the better choice.

5.2 PUSH AND MRP SYSTEM

5.2.1 PUSH SYSTEM

The push system is a process of implementation of the production before the necessity of the same requirement. The programming of the activities is made like forecast, to difference of the pull system that reloads the warehouse only when the supplyes are finishing. 5.3 MATERIAL REQUIREMENT PLANNING & MANUFACTURING RESOURCES PLANNING Material requirement Planning is a technique for planning material requirements and planning production and purchases. This system is useful for companies that have a large number of complex components to realize the product and long supply times. This system aims to plan the demand for goods and services. Manufacturing Resources Planning is a technique for planning company resources, born as an evolution of Material requirement Planning. Manufacturing Resources Planning receives orders and production cycles from Material requirements Planning and verifies that the need for production hours, both for human and plant work, does not exceed availability, in such a way as to make the adaptation to market demand operational and functional. In summary, Material requirement Planning allows to plan production, processing and purchase orders, while Manufacturing Resources Planning allows to plan also the requirements of the production resources. 5.4 PERT – PROGRAM EVALUATION AND REVIEW TECHNIQUE PERT is a statistical method used by organisations to analyse and represent the activity in a project, to illustrate the flow of events and to evaluate and estimate the time needed to complete a task. The main objective of PERT is to reduce the costs and time needed to complete a project. Phases of PERT planning:

  • Locating tasks, the set of tasks required by a project must be listed in a table that allows you to add and modify time stream information. The tasks must be placed in a correct sequence to obtain the desired results.
  • Network diagram, a network diagram is drawn using activity sequence data.
  • Estimate of time, the time needed to carry out each activity, which in turn is divided into three different times:

 Optimum timing, the shortest time to complete a task;  Most likely timing, the most likely completion time;  Pessimistic times, the longest time to complete an activity.

  • Critical route estimate, determines the total time needed to complete a project. 5.5 CPM – CRITICAL PATH METHOD CPM is a method for determining the minimum duration of a project by identifying the critical activities that characterise it often used in operational research. The key technique for using CPM is to build a model of the project that includes the following:
  • A list of all activities necessary to complete the project (usually classified within a work subdivision structure);
  • The time, duration, of each activity it intends to take for completion;
  • Dependencies between activities. The CPM calculates the longest route of activities planned for the end of the project and the maximum and minimum start and end date of each activity. This process allows to find critical activities, that is those with the longest realization time.