Information Systems | Assignment

Running Head: IT 0
INFORMATION SYSTEMS

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Solution 1)
Industry revolutions are momentous events and it is stated by Geissbauer, (2016), that
the fourth industrial impelled by unified digital technology rapidly transforming many
companies and industries at large. In simple words, Industry 4.0 talk about to the combination
of some of major innovations in digital technology joint together so that to integrate physical
world with the virtual world. This transformation and change enable a great new way of
managing international actions and processes, carrying the compatibility and software speed
to wide scale manufacturing of machines. Businesses that hold Industry 4.0 are started to
track each and everything they create from cradle to grave and therefore, enables mass
customization for the customers in terms of products and services (Xu, Xu & Li, 2018).
The movement of Industry 4.0 was started back in Germany considering their great
initiatives and this movement is currently reflected prospects of rapid payoffs in corporate
results. One of the significant transformation carried by Industry 4.0 is the replacement of
legacy systems and as a result, brings out greater technological integration as well as
efficiency. Some of the digitalization benefits of Industry 4.0 includes complete digitalization
of a business operations, products and services redesign and close interaction with
consumers. According to Geissbauer, (2016), Industry 4.0 entails openness’s with
information and partnership to be work as a globalised accelerator and help the companies to
gain more potential customers.
The web of technologies that are involved in Industry 4.0 includes the internet of
things (IoT), cyber physical systems, smart manufacture, smart factories, cloud computing,
artificial intelligence and cognitive computing. All these technologies can form virtual sorts
of real-world installations, applications and processes and consist of interconnectivity amid
processes, information transparency and technological support for dispersed decisions. In
simple words, it allowed a greater digital transformation while joining up the systems and
alterations though business models. Elijah et al (2018) defined the IoT as a system of unified
computing devices, systems, individuals and digital machines with distinct identifiers and the
capability to transfer data over a network without need of person-to-person or person-to-
machine interaction.
The next technology is cyber physical systems that are transforming the way people
interacts with engineered systems with controlling physical process and through feedback,
adapt itself to new circumstances, in real time (Lee, Bagheri & Kao, 2015). In smart

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manufacturing, everything is connected with the aid of RFID chips and sensors and a key
component of smart manufacturing is decentralisation control. Similarly, the smart factories
is also a part of Industry 4.0 that represents a leap forward from more conventional
automation to a complete flexible and connected system and this can basically change
production processes and improve relationships with customers and suppliers (Stock &
Seliger, 2016).
One of the biggest evolution of industry 4.0 is cloud computing technology where
different sorts of computing services can be stored and accessed over the internet instead of
through physical hard drives. Cloud computing is using different segments such as SaaS,
PaaS and IaaS and according to Liu (2020), the storage, hosting and computing cloud
services market was projected to be 126 billion U.S. dollars in 2017 and was estimated to rise
to 163 billion U.S. dollars in 2021.
In similar to cloud computing, artificial intelligence is also one of the great evolution
representing wide array of applications comprising robotic process automation, machine
learning and natural language processing. Tractica (market research firm), the international
AI software market is predicted to experience huge growth in the upcoming years with
income rising from near10 billion U.S. dollars in 2019 to an projected 126 billion by 2025
(statista.com, 2020). At last, cognitive computing technology under Industry 4.0 process uses
a blend of machine learning, artificial intelligence and natural language processing at a b
scale.
There is a significant impact of these Industry 4.0 technologies on business process
and performance as with investment in these technologies, businesses and manufacturers can
become more agile, efficient and collaborative than ever before. This help manufacturers to
develop new, more productive and innovative business models and therefore, help in creating
a new ecosystem of industry partnerships (Dalenogare et al, 2018). With artificial intelligence
and cloud computing, the system gains and analyse new data with optimising whole
production process, resulting in lower lead times and energy consumption. Business
performances automatically increase as there is reduction in the number of human workers
and machines and systems are known for their accuracy characteristics.
These industry 4.0 technologies help the business to establish a more connected
workforce that helps the company and management to streamline the processes so that
productivity can be raised as much as can. These technologies also help the business in