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28 SMT Magazine • November 2015 to help emerging markets gain a grip on the au- tomation market. This implies that a 'complete' factory concept will take time to be adopted in these growing economies and that change will be slow. Changes in Product and System Design Industry 4.0 requires automation systems to be able to think and work autonomously. In other words, it assumes that automation sys- tems that are currently being used in manufac- turing can be customized to such an extent that the systems will be able to perform most of the tasks that currently require human interven- tion on their own. While the human element is still important, Industry 4.0 marks a shift from rigid, central- ized factory control systems to decentralized in- telligence. Also, the output from machines can differ from today's scenario as it is difficult to predict customer requirements. This will mean factories and machines will have to be differ- ently organized than they are today as manu- facturers have to respond quickly to customer needs, which can influence the design of auto- mation system itself. Companies such as Festo are coming up with innovative concepts for the automation of modular production units with little need for reconfiguration. However, these are more likely to be tested in the more devel- oped regions of Europe and the United States before being implemented in emerging regions in Asia Pacific. Cybersecurity With the growing use of complex systems and networks, one thing that is certain is that there will be security risks at multiple levels. The manufacturing industry recognizes the risk of data theft, malware and hackers as data pro- liferates and becomes more accessible over the network. This means that networking and con- nectivity in automation also becomes crucial to ensuring the safety of systems. This is possible only by enabling a clear understanding of dif- ferent disciplines (IT, instrumentation, electri- cal and manufacturing engineering). There will have to be significant changes in the software development as well because of the security ele- ment in the automation systems. However, since much of the research and development happens in the headquarters (mostly located in Europe or the U.S.) for auto- mation vendors, it is not likely to have a signifi- cant impact on Asia Pacific automation indus- try. Because Industry 4.0, energy use and smart manufacturing work in tandem, its adoption in critical industries will require engineers and op- erators who can work with advanced data sys- tems and robots. Currently, most of the coun- tries in Asia Pacific are lacking in such skills. Low Wage—Not a Driver While it is known that Southeast Asia and emerging economies in the region are current- ly benefitting due to their low wage margins, Industry 4.0 can make production so efficient and streamlined that companies will begin to see less value in moving their production plants to countries such as China, India and Thailand. The ultimate objective for such manufacturers and their governments is to retain manufactur- ing within their borders. However, opportunities for Asia Pacific manifest in the form of changing dynamics in many countries. Since Asia Pacific is a region that offers immense potential for auto- mation, green initiatives and clean technologies in manufacturing can be made a priority. Such requirements will also play a role in the design and use of automation systems. Although China and Japan are currently the largest users of robotics, manufacturing plants of the future will use advanced robotics for production. One of the important elements INDUSTry 4.0: ImPLICATIoNS For THe ASIA PACIFIC mANUFACTUrING INDUSTry FeaTure " While the human element is still important, Industry 4.0 marks a shift from rigid, centralized factory control systems to decentralized intelligence. "

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