Digital Manufacturing and the Future of Industry 4.0 in India

Industry 4.0—or the Fourth Industrial Revolution—is the automation and data exchange in manufacturing technologies by creating a “smart factory” with an integrated system with advanced digital technologies. They are based on cyber-physical systems, the Internet of Things (IoT), cloud computing, and artificial intelligence (AI), which work together to create smart factories. Now, in the backdrop of Industry 4.0 fast overtaking India with these kinds of technologies, it becomes expedient to evaluate both its current relevance and how the future will be regarding job generation as well as displacement.

The Continued Relevance of Industry 4.0 in India & Challenges in Adapting

Industry 4.0 in India still matters a lot because India remains an aspirational manufacturing country, and it wants to join the big league of nations with a robust share of GDP from industrial production. In November last year, the Indian government announced that it would like manufacturing to have a 25% share of the GDP by 2025. This target can be achieved by adopting Industry 4.0 in manufacturing, which can significantly enhance productivity, improve product quality, and reduce operational costs, making Indian products more competitive globally.

The COVID-19 pandemic has also been an important reason for adopting digital manufacturing technologies. To ensure smooth functioning and safeguard against future disruptions, many companies are opting for automation, IOT, and AI. This highlights the growing need for Industry 4.0 in India’s manufacturing landscape.

There has been investment in the manufacturing sector because of the Industry 4.0 in India. organisations are joining in with automation in India’s manufacturing sector. While it is easier for new organisations to adapt to the automation of the factories, it is a bit challenging for existing organisations to adapt to the innovative manufacturing of their products. This is because they already have a process and existing setup, which is stuck and can’t be disturbed. Hence, it has become challenging for existing companies to upgrade their processes.

Job Creation Opportunities

One of the key benefits of Industry 4.0 in manufacturing is its potential to generate new job opportunities. As businesses adopt these advanced technologies, there is an increasing demand for skilled professionals to design, implement, and maintain them. According to the National Association of Software and Service Companies (NASSCOM), the ongoing adoption of advanced manufacturing technologies could lead to millions of new jobs in India by 2025.

Emergence of New Roles and Skills

Industry 4.0 in India has sparked demand for new positions such as data scientists, AI engineers, IoT specialists, and cybersecurity experts as the demand for skilled professional is high with the automation coming in.  These roles require specialized technical knowledge and expertise, presenting new opportunities for professionals with relevant skills. Additionally, the need for workers who can operate and manage digital manufacturing systems creates roles in robotics and automation.

Upskilling and Reskilling of the Workforce

Upskilling and reskilling are critical to supporting the demands of this digital transformation. As the employees who are already working, they have to adapt to the new technology and automation and have to upskill themselves to equip with the change. Hence, R&D is going on in various organisations so that the employees can get equipped without any disturbance in the ongoing work. The government has also taken initiatives like the Skill India Mission, which aims to equip workers with the skills to thrive in the new industrial landscape. Through training programs and partnerships with educational institutions, efforts are being made to close the skill gap and prepare workers for the challenges of advanced manufacturing technologies.

Boosting Employment in MSMEs

Micro, small, and medium enterprises (MSMEs) play a pivotal role in India’s economy, contributing to both employment and GDP. By adopting Industry 4.0 in manufacturing, MSMEs can enhance their competitiveness, expand operations, and create more jobs. These technologies allow MSMEs to optimize production processes, reduce costs, and access new markets, driving employment growth.

Job Advancements

While digital manufacturing presents significant opportunities for job creation, it also poses challenges related to job displacement. Automation of routine and manual tasks may lead to job losses in industries that rely heavily on unskilled labour. However, these losses must be viewed within the broader context of economic transformation.

Automation of Repetitive Tasks

Advanced technologies such as robotics and AI are increasingly capable of performing tasks traditionally done by humans, leading to the automation of routine, low-skilled jobs. For instance, roles such as assembly line workers and machine operators might get very less in demand as companies adopt more advanced manufacturing technologies.

Shift to Higher-Skilled Jobs

Although some jobs may become absolute, Industry 4.0 in India provides opportunities for workers to transition into higher-skilled roles. The focus shifts from manual labor to more complex tasks that require problem-solving, creativity, and technical proficiency. Workers who can acquire new skills can take advantage of these more advanced and rewarding roles.

Government and Industry Support

To address the challenges associated with Industry 4.0 in manufacturing, both the government and industry stakeholders are working to implement supportive measures. In the recent budget, 2 Lakh crore was assigned to facilitate the employment and skilling of 4.1 crore youths over a five-year period. Reskilling initiatives, financial incentives for businesses investing in workforce development, and inclusive growth policies are designed to ensure that the benefits of digital manufacturing reach all sectors and workers.

How TeamLease Can Help Address the Workforce Needs of Industry 4.0

As Industry 4.0 in India continues to reshape the industrial landscape, businesses need skilled and semi- skilled professionals to fill roles in areas like AI, IoT, automation, data analysis, operational excellence, design, support, etc. TeamLease, a staffing and workforce solutions leader, is uniquely positioned to help companies meet this demand.

By offering a comprehensive range of staffing solutions, TeamLease can assist organizations in sourcing the right talent for these emerging roles. Additionally, TeamLease’s focus on upskilling and reskilling initiatives ensures that workers have the competencies required to thrive in Industry 4.0-driven environments. With its extensive experience and commitment to workforce development, TeamLease can help businesses stay ahead in this technological transformation era while supporting workers in their career progression.

Contact us to get the talent essential for success and empower your employees with the skills they need to excel in the digital economy.

Author

Subburathinam P

CSO
TeamLease Services Limited

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