Industry 4.0 demands what we term institutional integration
Industry historians, economists and anthropologists continue to make interesting and insightful commentary on the subject of industrial revolutions, particularly the emergent Industry 4.0 revolution. At SAIMC we see Industry 4.0 as a technological revolution that demands institutional integration. We posit that an integrated response comprising across the board coalition between the public and private sectors, civil society, academia and national policy is much needed. It is for this reason that, at SAIMC, we continue to facilitate dialogue with the Engineering Council of South Africa (ECSA), EWSETA, educational intuitions and the automation industry at large.
Through the lenses of ‘clarity’ and ‘practical thoroughness’, we attempt to offer alternative views that accommodate both South African industry and the peculiarities of our unique society.
Clarity
What is clear to us is that in the future, talent, more so than capital, will be a crippling impediment to international competiveness and business growth. Talent, in this context, refers to the availability of a suitably skilled workforce. Given the rapid rate of technological change and widespread adoption of automation, machines now have the capability to become as intelligent, if not more so, than we humans. For instance, Chatbot Goodstman, the artificial intelligence chatterbot developed by Vladimir Veselov, Eugene Demchenko, and Sergey Ulasen, has already proved that humans cannot differentiate whether they are texting a robot or another human. The question that then arises is what skill set does an individual need to interact, maintain, optimise, or even advance a robot that is more intelligent than itself? South African businesses, educational institutions, national government and the society at large must collaborate and adapt to the unfolding revolution that is Industry 4.0.
Practical thoroughness
From a thoroughness perspective, we realise that there are many practical problems and implications that must be considered and managed. Through my SAIMC leadership role, I have learnt that decisions which appear strategically and conceptually simple often have messy implications in the real world. This is why one must ensure ‘practical thoroughness’ at all times.
In the context of Industry 4.0, the questions that we must grapple with are complex. For instance, will the displacement of workers by technology, in aggregate terms, result in an increase in safe and rewarding jobs? If so, how should the South African industry leverage these opportunities? As automation replaces labour across the economy, will the net displacement of workers by machines exacerbate unemployment? Will this revolution further divide markets into ‘high-skill/high-pay’ and ‘low-skill/low pay’ segments? If so, will this culminate in social tension? A compelling thought is that if South Africa continues to import solutions and skills, and not leverage on unfolding technological opportunities by developing solutions locally, the resulting opportunities for job creation might be stifled. To enable local development then, industry must invest in skills development.
These are all practical implications arising from this technological phenomenon. This is why institutions must collaborate to ensure that the Industry 4.0 effort is directed towards a future that reflects our common objectives, beliefs, values and national aspirations. These, we believe, include skills development, job creation, and economic benefits and social integration for all.
Until I write again,
Oratile Sematle, President.
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