Implementing Industry 4.0 in Australia: Insights from Advanced Australian Manufacturers

Abstract

This study explores Industry 4.0 in the Australian context, where manufacturing is dominated by smaller firms servicing the domestic market. We interviewed 20 advanced Australian manufacturers from diverse fields, capturing detailed descriptions of the Industry 4.0 implementation process. We compared the themes that emerged from their descriptions with the factors typically assessed in Industry 4.0 frameworks to draw out differences in emphasis. Consistent with these frameworks, Australian manufacturers were focused on using Industry 4.0 technologies to automate the capture, integration and analysis of data. To enable this activity, they were reorganising workforce roles and developing new skill sets. Knowledge sharing and collaborations within and across the organisation were seen to be especially important for small Australian manufacturers (with limited funding for technology investment and research and development) to maintain global competitiveness. However, while most Industry 4.0 frameworks describe supply chain applications, the development of smart products and services, and the need to adopt a strategy-led approach, relatively few participants spoke about these opportunities. Even fewer addressed the need for improved governance, standards and data security in the context of Industry 4.0. We argue that these gaps are best addressed through government policy and investment focusing beyond manufacturers, to support Industry 4.0 uplift across key domestic supply chains.

Education and training for industry 4.0: a case study of a manufacturing ecosystem

“…Managers recognised the need for recent university graduates in industrial design and engineering to learn from and work with experienced trade workers, to build the capability to design practical solutions. Consistent with other research into Australian advanced manufacturing (Mason et al, 2022), managers identified this mix of craft skills with engineering qualifications and digital skills as essential to move towards higher levels of advanced manufacturing.…”

“…Prior research also supports the need to develop strategic business skills before building digital capabilities (Jayawarna et al, 2006). Management development in SMEs is traditionally under-resourced, so it is important to emphasise that investment in management development can drive product and technology innovation (Mason et al, 2022). The findings from this study suggest that for innovation, management development must include formal education/ qualifications and ongoing participation in a broad range of professional development activities.…”

“…Yet in Australia, the small enterprise-dominated manufacturing industry has historically devoted less resources to training constraining skill development and firm innovation (Jones, 2006). The persistent problem of under-investment in skill development still continues, contributing to a lack of workforce preparedness for Industry 4.0 (Mason et al, 2022;Sony and Naik, 2020).…”

“…, 2022). The proportion of jobs requiring high-level research and high-knowledge intensity skills in manufacturing is increasing, as indicated through the occurrence of these skills in job advertisements (Mewburn et al. , 2020).…”

Visual inspection with augmented reality head‐mounted display: An Australian usability case study

“…The lack of published studies on AR/VR uptake in Australian manufacturing supply chains likely reflects slower rates of technology adoption and shrinkage in the manufacturing sector in the last decade (Andrews et al, 2022) and industry policy that has focused on high export industries like agriculture and mining (Australian Government, 2019; Standford, 2016). These factors have produced a higher representation of small–medium enterprises, with fewer resources for technology investment and R&D (Mason et al, 2022). In addition, recent survey data of Australian supply chain practitioners ( n = 188) indicates AR/VR is perceived to have a low impact on the supply chain, with greater focus being placed on the adoption of robotics in manufacturing (Hopkins, 2021).…”