Industry 4.0 vs Industry 5.0: what's the difference?

If you're a business that's just started to integrate Industry 4.0 technologies, the news of a new industrial revolution might make you sigh out loud. Luckily, Industry 5.0 won't involve investing in a whole new set of technologies.

Instead, it will require a change in the focus of business objectives, digital transformation and internal culture to fulfil the new ambitions and aims of the fifth industrial revolution.

This guide will explain the differences between Industry 4.0 and 5.0 and how manufacturing will benefit from this new industrial revolution.

What is Industry 5.0?

The term Industry 5.0 has been given to the latest of five industrial revolutions. It is defined by its use of advanced technologies to achieve societal goals alongside economic growth and business objectives. 

The European Commission (the EU's politically independent executive arm) defines it as: “A vison of industry that aims beyond efficiency and productivity as the sole goals, and reinforces the role and the contribution of industry to society. It places the wellbeing of the worker at the centre of the production process and uses new technologies to provide prosperity beyond jobs and growth while respecting the production limits of the planet.”

Otherwise known as the fifth industrial revolution, this next step will harness the industrial automation, digital technologies and machine interaction of Industry 4.0 to reach these new aims.

Much of the industrial sector is still focusing on integrating the current technology of the fourth industrial revolution. Meanwhile, manufacturing leaders are already taking steps to see how these cyber systems, smart factories and advanced industrial equipment can be globally transformative.

From optimising the value chain to reducing work-related injuries and becoming more resource efficient - the focus of Industry 5.0 is to advance the computer age by making improvements for people and the planet. 

Specifically, Industry 5.0 will aim to:

• Take a human-centric approach towards manufacturing processes. Technologies like cognitive computing will support each industry worker during manufacturing tasks. This can help minimise human error, reduce the need for workers to perform physical tasks and improve conditions.
• Improve the sustainability of the manufacturing industry. The World Economic Forum noted that global production and manufacturing consume 54% of the world's energy and release 20% of its emissions. Hence one of the aims of Industry 5.0 is to help manufacturers and governments meet their environmental targets.
• Building resilience in the production process. The challenges of the Covid-19 pandemic have highlighted the importance of being a resilient provider within the manufacturing industry. For the sake of long-term industry prosperity, Industry 5.0 technology needs to create a resilient industrial sector.

Will there really be another industrial revolution?

Currently, there isn't an industry-wide implementation of the technologies and objectives of Industry 5.0. However, the fifth industrial revolution has been marked by the European Commission as being well underway.

Similarly, McKinsey has identified 103 businesses which are considered to be 'advanced' industry lighthouses. This means they've already used Industry 4.0 technologies to meet key KPIs around sustainability, productivity, agility, speed-to-market and customisation.

These types of KPIs are also central to the themes that mark Industry 5.0 apart from other industrial revolutions. Unlike the shift from the first to the second industrial revolution, where the main changes were technological, the transition from 4.0 to 5.0 is marked by a shift in ideology.

Previous revolutions have focused on developing industrial production technologies purely for the purpose of increasing profitability and productivity. Industry 5.0 will recognise the significant influence of the global manufacturing sector and use it to make big changes to the wider society.

This includes preventing climate change, improving conditions for human workers and making product lifecycle management more agile and intelligent.
 

What are the differences between Industry 4.0 and Industry 5.0?

As with the first three industrial revolutions, there are significant changes between Industry 4.0 and 5.0:

• The fourth revolution was driven by technological change, the fifth will be powered by values. Rather than innovating to create a profitable and efficient production process, new cyber systems will make manufacturing more sustainable, human-centric and resilient.
• With the advent of the Internet of Things (IoT), greater automation and artificial intelligence, connectivity between machines was the focus of Industry 4.0. In contrast, Industry 5.0 will prioritise greater collaboration between humans and machines through cyber-physical systems and technologies.
• As well as making industrial production more human-centric, Industry 5.0 will see an increased focus on customer needs. From making the supply chain more resilient to creating interactive products and enhancing the overall customer experience.

What will be the main technological developments of Industry 5.0?

Although Industry 5.0 won't prioritise developing new technologies, there are certain innovations which will be key to its success.

Cyber-physical systems

A defining Industry 5.0 technology, cyber-physical systems will make colleagues of humans and machines. This means innovations will support skilled workers to perform more efficiently and safely. Plus, these systems may take on some manufacturing tasks themselves.

One such technology is collaborative robots (also known as cobots). Industry 4.0 automation has relieved many workers from having to perform physical tasks. However, cobots will work alongside shopfloor operators, making their own decisions and executing jobs to increase manufacturing efficiency and accuracy.

By using digital technologies like this to support workers, manufacturers can take a truly human-centric approach to their production processes.
 

Artificial intelligence (AI)

AI simulates human intelligence within hardware and software. This makes AI an essential technology to bring the capabilities of humans and machines together. One of the most influential trends within this sector is cognitive computing.

Designed to recreate human thought, cognitive computing combines machine learning, natural language processing (NLP) and reasoning together within computer systems. This enables businesses to collect, analyse and use data to inform decision making and create more efficient processes.

Robotisation

Although robots were primarily covered in Industry 4.0, academics see their importance continuing into Industry 4.0. A paper published in the Journal of Cloud Computing in 2022 confirmed that: 

“The future direction of industry 5.0 is the manufacturing of robots and industrial robots. The advancement of artificial intelligence and cognitive computing technologies is taking the manufacturing world to a high speed and increasing business efficiency.”

Robots will be seamlessly integrated into cyber-physical systems and people will need training to be able to interact with them, as well as working in tandem with them (see Cobots above).

AI will be key to robotic adoption. This will particularly be evident in manufacturing where robots will learn tasks, identify problems and solve them without the need for human intervention. 

The author posits: “The intelligent robots will penetrate manufacturing supply chains as well as the workflow of the production to unparalleled levels.”

5G connectivity

Though connectivity isn't a priority in Industry 5.0 as in Industry 4.0, that doesn't mean it's not important. The creation of 5G opens up a whole new level of efficiency when it comes to sharing data within smart factories and IoT systems.

Whether it's troubleshooting equipment, making decisions or powering automation, 5G connections mean data can be collected and communicated more quickly and accurately.

Big data

Simply, big data means even more information can be gathered, analysed and shared amongst several systems in each manufacturing business. This is essential as Industry 5.0 sees the shift from mass customisation to hyper customisation of products.

By connecting data systems across the business, such as manufacturing execution systems (MES), digital twins and AI-enabled equipment, big data means manufacturers can track each product from pre-production to end-of-life. This doesn't just hold great potential in terms of product personalisation, but in making the circular economy a reality too.

Cloud computing

Rather than relying on hardware programming memory to securely store and serve huge amounts of data, cloud computing will automatically upload and make information accessible.

As well as having humans connected to clouds, machine learning or cyber-physical systems can access this information straight away. Data can be communicated, analysed and actioned by smart factory systems with little to no human intervention.
 

What will be the advantages of Industry 5.0?

All the new technologies and innovations aside, you might be wondering exactly what Industry 5.0 will mean for manufacturing businesses. Luckily, as a value-driven industrial revolution, there are plenty of benefits it will bring to the sector.

Human-centric processes

As Industry 4.0 became more prevalent, workers became worried about how installing cyber-physical systems in a factory will affect their jobs. However, one of the main priorities of Industry 5.0 is to improve conditions for human workers.

By collaborating with technology, manufacturing employees can spend less time on basic tasks and work on jobs that require uniquely human skills. Indeed, Industry 5.0 prioritises and harnesses these capabilities alongside those of machines and computer systems to improve the future of work in the manufacturing sector.

Greater sustainability

Minimising environmental impact and contributions towards climate change is increasingly becoming a priority for manufacturers. As a major contributor to greenhouse emissions, waste and energy consumption, they also need to be a main player in taking environmental action.

With greater access to data, more efficient technologies and informed decision-making capabilities, Industry 5.0 enables these businesses to take positive steps towards greener operations. Whether it's using renewable energy efficiently, ensuring their end-of-life products become part of the circular economy or minimising waste, Industry 5.0 will help manufacturers to protect the planet for future generations.
 

Manufacturing processes 

The advanced capabilities of Industry 4.0 technologies mean Industry 5.0 can focus on turning manufacturing into a fully resilient industry.

From gaining a full picture of supply chains to sharing this information openly (yet securely) with their customers. Developing real agility and flexibility in operations thanks to remote data or production line access via the cloud. 

Troubleshooting, predicting and making pre-emptive business or production decisions. All of these are made possible by Industry 5.0 and will help manufacturers survive and thrive in challenging circumstances.

How are businesses going to make Industry 5.0 happen?

The first step towards Industry 5.0 is to successfully integrate Industry 4.0 technologies into their business. Once these innovations are in place and improving efficiency, productivity and profitability, then manufacturers can start to look at fulfilling the aims of Industry 5.0.

In short, where Industry 4.0 will improve the operations of a business, Industry 5.0 will help to build a human-centred, sustainable and resilient manufacturing sector that will bring benefits to people and the planet now, and in the future.