Effects of Industry 4.0 on the Labor Markets of Iran and Japan

Abstract

Industry 4.0 is the essence of the fourth Industrial revolution and is happening right now in manufacturing by using cyber-physical systems (CPS) to reach high levels of automation. Industry 4.0 is especially beneficial in highly developed countries in terms of competitive advantage, but causes unemployment because of high levels of automation. The aim of this paper is to find out if the impact of adopting Industry 4.0 on the labor markets of Iran and Japan would be the same, and to make analysis to find out whether this change is possible for Iran and Japan with their current infrastructures, economy, and policies. With the present situation of Iran in science, technology, and economy, it will be years before Iran could, or better say should, implement Industry 4.0. Japan is able to adopt Industry 4.0 much earlier than Iran and with less challenges ahead; this does not mean that the Japanese labor market would not be affected by this change but it means that those effects would not cause as many difficulties as they would for Iran.

Organizational Culture as an Indication of Readiness to Implement Industry 4.0

“…Table 3. Cronbach's alpha was calculated for the 24 individual questions of the Wallach's questionnaire to confirm the internal consistency in order to authenticate the validity and reliability of the questionnaire based on the dimensions they were associated with, questions 3, 4, 10, 12, 14, 20, 21, and 24 are mostly associated with the bureaucratic culture; questions 1,6,7,11,13,18,19, and 23 are associated more with the innovative culture; and finally, questions 2, 5, 8, 9, 15, 16, 17, and 22 are considered to be more often than not associated with the supportive culture. The results of Cronbach's alpha are demonstrated below in Table 3.…”

“…Industry 4.0 is considered the essence of the fourth Industrial revolution, and it has been utilized in manufacturing in recent times through employing cyber-physical systems (CPS) so as to reach high levels of automation [1]. The Cyber-Physical System (CPS) is the footing for smart factories and it makes interconnecting sensors, machines, and IT systems possible within the value chain all the way through enterprise boundaries [2].…”

The Impact of Industry 4.0 on Employees—Insights from Australia

“…Many countries or industries are considering the implementation of I4.0 in the future. Nevertheless, the implementation of such advanced technologies as those brought by I4.0 is demanding and difficult, especially in the case of developing countries/industries or with insufficient technological advancement [26].…”

“…The impact of I4.0 on the labor market, required worker skills and competences [26,35,36,39,40,45,48].…”

Strategic Challenges of Human Resources Allocation in Industry 4.0

“…The essence of the fourth industrial revolution is considered and known as Industry 4.0 (hereinafter I 4.0), and the manufacturing sector has been making use of it recently by utilizing cyberphysical systems (CPSs) in an effort to seize high levels of automation [1]. The cyberphysical system (CPS) is the understructure for smart factories, and it provides the means to interconnect sensors, machines and IT systems within the value chain throughout the boundaries of the enterprise [2].…”