How Industry 5.0 Changes The Future Of Technology

One of the most discussed topics of recent times is Industry 5.0. The process that leads to the creation of such a paradigm is called the 5th technological revolution. We will tell you what it is, what people should expect from it, and how businesses will benefit from it.

What is Industry 5.0?

This concept was first mentioned in the conceptual documents of the European Commission. It described the possible future of the continent’s industry, which was to become more human-centered. However, the term has become very popular – other countries have adopted it, including the US, China, Japan, the UK, and Australia.

Why Industry 5.0? It is because humanity has already experienced four technological revolutions:

• Mechanization
• Electrification
• Automation
• Digitalization

The fifth technological revolution should integrate human talents and abilities into production processes. It focuses not on the technologies themselves but rather on their benefits to society.

Key Features of Industry 5.0

The key difference between the new stage of development is the human-centered approach. At previous stages, the most significant area of investment was equipment — machines, generating capacities, computers, and software for them. They are being replaced by knowledge, skills, abilities, talents, and creativity.

The idea behind Industry 5.0 is that machinery is interchangeable, but people are not. One talented person operating an automated set of equipment can bring much more value to society than hundreds of employees doing the same job manually.

Continuous reduction of labor intensity leads to the fact that production processes take less and less time. It can be spent on gaining new knowledge that will contribute to increased productivity in the future. In addition, this approach allows everyone to choose a comfortable and safe working environment.

The essential hallmarks of Industry 5.0 also include flexibility and resilience. The global crises have shown how vulnerable traditional manufacturing processes and supply chains can be. Approaches that maintain the necessary level of productivity in all circumstances must replace them.

The European Commission also cites efficiency and sustainable use of resources as hallmarks of Industry 5.0. It is not surprising — work to reduce the environmental impact of the industry has been ongoing for more than 100 years. But today, it uses new tools that are much more productive.

Examples of Industry 5.0

The European Commission’s concept contains rather abstract ideas. So, what will the new technologies look like in reality? One of the most obvious examples is collaborative robots. They will be able to interact with people — accept commands, learn by example, and monitor employee safety. It will also be possible to integrate them into production processes where 100% automation is not feasible.

Another example is digital twins. Experiments in the Metaverse have already made it possible to transfer physical objects from our world into virtual reality. By simulating their interaction with each other, it is possible to conduct absolutely safe scientific experiments and tests, minimizing the budget of such research.

The Industry 5.0 concept also pays great attention to decentralized scalable infrastructure. This concept means empowering remote workplaces. By performing more and more processes at a distance, people will spend less time and put less strain on transportation systems.

What will Society Gain as A Result of The 5th Technological Revolution?

1. An increase in the number of high-paying jobs. The emergence of AI will inevitably lead to large-scale transformations in the labor market. But we should not be afraid of large-scale unemployment. On the contrary, we can expect the emergence of new professions related to the use of AI technologies. These people will train AI and direct its capabilities in the right direction. Their profession will be associated with deep technical knowledge, high salaries, and prestige.
2. Hyper-personalization. Today’s goods and services are typically available in several variations. Tomorrow, their variations will number in the hundreds or even thousands. Big Data technologies allow machines to study people’s preferences, predicting their needs with over 90% accuracy. When you buy a car or order a food delivery in the near future, you will receive a product designed just for you and no one else. This will ensure a high degree of satisfaction with the purchase.
3. Supply chain stabilization. A responsive AI will be created to manage logistics. This artificial intelligence will be able to react to the slightest changes in the business environment. It will predict crisis situations long before the first large-scale manifestations. Such a solution will help to change supply sources, production processes, and means of transportation in time to avoid delays.

How will Industry 5.0 Affect Business?

The main effect of using the new concept will be to increase the resilience of production processes. Total automation, continuous productivity improvements, and highlighting the leading role of highly skilled employees will allow businesses to adapt to any conditions. They will be less dependent on economic cycles and unforeseen events.

Industry 5.0 will inevitably lead to the increased importance of business social responsibility. Today’s “juice squeeze” approach will be replaced by a concern for employees. Such responsibility will be beneficial to businesses — by investing in employee well-being, they will receive greater profits in the medium and long term.