How to make the best of Industry 4.0

09:02 | 20/09/2017 Economy- Society

(VEN) - The Fourth Industrial Revolution, or Industry 4.0, opens up big opportunities for Vietnamese businesses but also confronts them with challenges. How to make the most of these opportunities and overcome challenges is of great concern to businesses. Following are some ideas from leading industry figures.

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Cai Hong Thu, Deputy General Director, Vietnam Cement Industry Corporation (VICEM): Maintaining capabilities and competitive advantages VICEM is aware that getting ready for Industry 4.0 is crucial to maintaining business capabilities and competitive advantages. With support of advanced technologies, businesses can adjust designs of existing manufacturing facilities to upgrade to smart factories. The Internet of Things (IoT) and other technologies should be used to digitalize and shorten the entire production process. Internet-based Product Lifecycle Management (PLM) solutions should be adopted to enable employees to work online. Semi-automatic robots can be used at certain positions to increase productivity and enhance product quality. Analysis of collected customer data is necessary for businesses to provide quality products and services at competitive prices in the domestic, regional and global markets.

Pham Dinh Loc, Head of the Information Technology Department, Ho Chi Minh City Power Corporation (EVNHCMC): Applying new technologies EVNHCMC is aware that applying new and information technologies in modernizing the power grid, as well as in business management and customer service, is crucial to promoting sustainable development of power companies. The corporation is implementing its power grid automation roadmap in conjunction with investing in loop station connectors to minimize power cuts. It is promoting the application of Industry 4.0 in providing customer service and modernizing business management. EVNHCMC has approved many projects for the 2015-2020 period, with a vision towards 2025, aiming to intensify technology application to enhance capability.

Dam Viet Dung, expert in digital economy, Association of Vietnamese Scientists and Experts: Digital technology helps businesses understand customer demand New technology is changing the way people look at businesses, the economy, society, and themselves. Consumer demand therefore is also changing. The McKinsey Global Institute predicted that total value of global cross-border trade would exceed US$1 trillion by 2020. Vietnam’s market share remains modest, and Vietnamese businesses have yet to take full advantage of online trade. Therefore, to increase exports, businesses need to have good understanding of the desires and future demand of global customers. The digital technology will help them better understand customer demand so that they can create highly personalized products and offer customers the best experience.

Nguyen Duc Sy, Deputy General Director, Hanoi Industrial Textile Joint Stock Company (Haicatex): Pursuing new development strategies Globalization and Industry 4.0 require businesses to improve technology and pay special attention to developing new products of higher added value for domestic sale and export. Businesses should pursue new development strategies to accelerate change. From 2002-2017, Haicatex has invested in technological and equipment innovation to increase automation and reduce fuel consumption. The application of advanced technologies from G7 countries helps the company enhance its competitiveness and build its brand reputation in the global market.

Tran Viet Hoa, Deputy Director, Science and Technology Department, Ministry of Industry and Trade: Concentrating on research and development The Global Competitiveness Report 2015-2016 ranks Vietnam 56th among 140 economies. However, the country ranks lower in terms of creativity and innovation. State authorities have recommended development policy adjustments in response.

The prime minister has approved a plan to apply science and technology in restructuring the industry and trade sector to serve the country’s industrialization, modernization and sustainable development until 2025, with a vision towards 2030 (Decision 754/QD-TTg). The plan highlights the necessity of concentrating on research, development and application of Industry 4.0 technologies in production and business activities; supporting business access to information; developing new management models; and promoting the development of digital business.

Do Trung Hieu, Director, Smartlines Joint Stock Company, Vietnam IoT Alliance: Building access strategies Businesses should build strategies and work out plans to apply Industry 4.0 in dealing with problems facing them in production and trade. They should concentrate on specific applications rather than trying to change the entire process. The combination of operational technology (OT) and information technology (IT) will pave the way for businesses to access smart industries.

Businesses should seek reliable partners to provide them with solutions, technologies and development consultancy. A contingent of third-party technology providers must be built because Industry 4.0 is the shift from a single provider model to a multi-provider model. Businesses should establish specialized teams to carry out research on Industry 4.0 applications and get ready for necessary changes.

Thu Ha