Industry 4.0 Offers Limitless Potential in MexicoBy Cas Biekmann | Tue, 03/31/2020 - 13:32
Mexico and the rest of the world are on board with Industry 4.0 disruptions. This fourth global industrial revolution has the potential, if handled correctly, to position Mexico as a major global competitive force. Can the country make the shift and boost its talent to be up for the task?
Industry 4.0 follows the first three industrial revolutions, respectively marked by steam and water powered machines, technological innovation such as telegraphs and railways and the digital revolution. Now, the transition is toward the so-called smart factories, boosted by the Internet of Things (IoT). This means machines and processes will be interconnected and more efficient without human interference. However, human talent will still be needed to keep processes running while optimizing them.
Major companies such as Siemens and Qualcomm predict that big steps will be made toward Industry 4.0’s consolidation by 2026. However, a survey from Data Bridge Market Research showed two major bottlenecks that were slowing development. Market growth is hindered by the lack of decent cost-benefit analysis and the lack of skilled personnel. Mexico is no stranger to high tech, already exporting more sophisticated goods than Canada, according to the Ministry of Economy. One thing slowing down development at the moment is the low cost of labor compared to the high cost of implementing automation. Moreover, if companies decide to properly invest, it could cost people their jobs. El Economista reported about many new jobs opening up in the sphere of
automation, however. Furthermore, if Mexico plays its cards right, the country will see more industry jobs than ever before, meaning it might end up with an extra boost in job creation. Unfortunately for Mexico, COVID-19 arrived before the country could shift toward automation, meaning that manufacturers cannot yet benefit from manufacturing with less people on the work floor. Nonetheless, the virus could create awareness toward the benefits of Industry 4.0 in this regard.
The only thing missing, however, is adequate training for Mexico’s talent. Industry experts, university professors and government officials have called for better training in the country, as was reported by El Economista. Once companies see the benefits and Mexico’s professionals can take on the challenge, opportunities will become boundless.