The Fifth Industrial Revolution: Is it for real?

In 2016, Klaus Schwab wrote a book on the Fourth Industrial Revolution (4IR) and how it would transform industry, the economy, and society. Five years later, 2021 onwards, authors have begun discussing the advent of the Fifth Industrial Revolution (5IR). The question is how different and revolutionary the 5IR is from the 4IR. Is it for real, or is it a utopian global scenario that we strive for, but are still far away from??

The First to Third Industrial Revolutions

To understand the differences between 4IR and 5IR, it's important to look at the previous industrial revolutions. The first industrial revolution (about 1750-1850) was an age of mechanization, symbolized by the advent of steam engines, railways and a switch from hand-based to machine-based production. The second industrial revolution (1850-1930) was an era of industrialization, marked by the invention of electricity and the advent of assembly lines and mass production. The third industrial revolution (1930-2000) began with the advent of computers (from mainframe to mini- to personal computers), beginning of Internet connectivity, adoption of computer-based information systems and factory automation.?

The Fourth Industrial Revolution

The fourth industrial revolution (2000-2020) marked the beginning of a new set of highly disruptive digital technologies, such as the Internet of Things (IoT), Big Data, Artificial Intelligence (AI), Machine Learning (ML), Cloud Computing, and Blockchain, among others. The fourth industrial revolution (4IR) was characterized by widespread interconnectivity and real-time data acquisition and analysis to enable fast-paced and automated decision-making. It also saw the datafication of virtually everything, creating unlimited information. This era was also seen as the era of smart factories, manifested through a merger of virtual and physical manufacturing systems. These technological developments invaded not only the way factories worked, but also the way other important activities in the society were carried out. The revolutionary innovations in semi-conductor technologies was also a key contributor to the mainstreaming of the 4IR.?

The 4IR was rightly characterized as the era of digitalization, with rapid advancements in technologies such as (a) IoT transforming into IIoT (Industrial Internet of Things); (b) cloud computing advancing to fog and edge computing; (c) telecom switching from 2G to 3G to 4G and 5G; (d) AI/ML moving to Deep Learning, and more recently to Generative AI/ Large Language Models (LLMs) such as ChatGPT, with much greater scope and impact. The convergence of various technologies made the digital revolution ubiquitous and mobile.??

In terms of its impact on businesses, concepts such as platform business models, product customization, and newer operating models became highly prevalent. The platform business model led to the emergence of asset-less businesses such as Uber and Airbnb. It also saw the emergence of the gig economy and the beginning of the so-called “human cloud.” With the emergence of blockchain technology, the era of bitcoin and various other cryptocurrencies started during the 4IR. Autonomous vehicles also made their appearance during the 4IR.??

Convergence of Physical, Digital and Biological Technologies

Many authors described the 4IR in terms of the fusion of digital, physical, and biological domains. Some of the applications in the fusion of physical and digital (also called phygital) domain include additive manufacturing (3D Printing), autonomous vehicles and advanced robotics. In the bio-tech domain, genetic engineering, gene-sequencing, synthetic biology, bio-fuels and neuro-technologies were the revolutionary new technologies. Other advancements of technologies in the 4IR included the emergence of Nano-technology and Quantum Computing. The 4IR also led to innovations such as genetically modified plants and animals and 3D bio-printing, combining 3D manufacturing with gene-editing; it also foresaw the potential of the so-called designer babies.

4IR and its impact on Mankind

In his book, Schwab has elaborated on the impact of these revolutionary technologies on business, the economy, and society at large. The 4IR had a large number of socio-economic trends worldwide, such as shifting customer expectations and data-driven products and services becoming the hallmark of the new ways of living. It also saw the wider emerging technology applications in fields such as health care and finance, among others. But one overriding phenomenon in all technology applications was the greater and greater need for human connection despite technology. Apparently, the 4IR technologies also led to a gradual erosion of the human authority and increasing takeover of decision making by the machines.??

Schwab also mentioned about the circular economy and made a fleeting reference to the Anthropocene, which is seen as the new epoch (starting in the 1950s) in the age of the earth. This is indeed symbolic of the chaotic environmental and climate change impacts, caused almost entirely by human activity aided and abetted by technologies, which were the cornerstones of 4IR.

The 4IR seemed to be primarily aimed at promoting efficiency using technology and maximizing the interconnectedness and applications of technologies. However, it also was seen to be instrumental in technologies competing with and taking away jobs from human beings. Ironically, the 4IR focused on the pursuit of profit by business and industry, but paid a rather lip service to mitigating environmental challenges, foregoing planet and purpose.??

Tenets of the Fifth Industrial Revolution

Now, let us delve into the tenets of the Fifth Industrial Revolution (5IR). The 5IR, which can be said to have begun from the year 2020, is almost utopian in its conceptualization. It aims to foster harmonious and synergistic collaboration between humans and machines (humans and machines dancing together!). Collaborative robots, known as Cobots, serve as an example of this collaboration. The 5IR also emphasizes upon the well-being of multiple stakeholders, including customers, employees, shareholders, the planet, and humanity as a whole. It emphasizes the humane and ethical use of technology and strives to impose carefully designed restrictions to minimize its destructive effects on humans. It calls for the adoption of sustainable and renewable energy resources, placing a focus not only on profit but also on profit with purpose. This new era seeks to address societal and environmental challenges and work towards the betterment of humankind.

The 5IR also introduces significant advancements in the bio-tech domain, such as smart cells, bio-fuels, gene therapies, and the integration of technology into the human body through "bionic augmentation" and the "Internet of Bodies." The underlying objective of these fusions is to ensure that technology works for the good of humans and society while prioritizing environmental sustainability.

Some Global 5IR Models

The European Commission (EC) has provided a detailed conceptualization of the 5IR, focused on achieving a sustainable, human-centric, resilient, and future-proof industry. While the focus of 5IR in the EC model is the European industry, the principles behind it are applicable globally. The EC’s 5IR model highlights the need to address the adverse impacts of digitalization and technological disruption, which were evident in the 4IR. It aims to create a resilient and inclusive industry that places the well-being of workers at the center of the production process, supports critical infrastructure in times of crisis, and promotes intuitive and user-friendly technology applications.

Japan has also introduced its concept of Society 5.0, which is conceived as a comprehensive transformational strategy, policy, and philosophy for the benefit of all citizens. Society 5.0 envisions a balance between economic development and resolving societal and environmental challenges, with a focus on creating a new human-centered society. In the Society 5.0, the fusion of cyberspace and the physical space plays a crucial role in finding solutions to the existing societal and environmental issues.

Conclusion

From what has been stated above, 5IR represents a paradigm shift in the way humans and technology interact. It seeks to foster harmonious collaboration, address environmental challenges, and prioritize the well-being of all stakeholders. With a focus on human-centricity, sustainability, and resilience, the 5IR aims to create a future where technology serves humanity in a responsible and ethical manner, paving the way for a better world. Last but not least, 5IR is not confined to the industry (from which it derives the tag of industrial revolution, but its scope is society-wide.??

The technological advancements of the 4IR will continue to play an important role in the era of 5IR. New innovations through these and other emerging technologies will hopefully be targeted at achieving a harmonious balance between humans and machines and finding new ways to save the planet from further environmental degradation.?

This is a tall order, if not outright utopian. It is more like an accelerated evolution from the 4IR, depending upon the same revolutionary technologies and many more which would emerge. But its key pursuit would be to bring the humans at the center of all technology-based developments.??

References

Ball, Catherine (24 ct. 2022), “How the fifth industrial revolution will impact the future of work”, The CEO magazine, accessed at https://www.theceomagazine.com/business/innovation-technology/fifth-industrial-revolution/??

Gauri, Prateek and Eerden, Jim Van “A 5th Industrial Revolution? What it is and why it matters”, World Economic Forum, accessed at https://sdgcircle.org/wp-content/uploads/2019/06/A-5th-Industrial-Revolution_-What-It-Is-And-Why-It-Matters_05.03.19_vX.pdf?

European Commission (2021), “Industry 5.0: Towards a sustainable, human-centered and resilient European Industry”, accessed at https://msu.euramet.org/current_calls/documents/EC_Industry5.0.pdf?

Fanoro, Mokesioluwa; Bozanie, Miaden; Sinha, Saurabh (2021) “A review of 4IR/5IR enabling technologies and their linkage to manufacturing supply chain”, MDPI, accessed at https://www.mdpi.com/2227-7080/9/4/77?

Fukuyama, Mayumi, “Society 5: Aiming for a new human-centered society”, Japan Spotlight, July 2018, accessed at https://www.jef.or.jp/journal/pdf/220th_Special_Article_02.pdf??

Murata (17 Feb. 2023), “What is the Fifth Industrial Revolution, which will deepen the integration between people and technology”, accessed at https://article.murata.com/en-sg/article/what-is-the-fifth-industrial-revolution

Noble, Stephanie M; Mende, Martin; Grewal, Dhruv and Parasuraman (2022), “The Fifth Industrial Revolution – How harmonious human-machine collaboration is triggering a retail and service [R]evoloution”, Journal of Retailing, 98 (2022) 199-208, accessed at https://www.sciencedirect.com/science/article/pii/S0022435922000288?

Schwab, Klaus (2016), “The Fourth Industrial Revolution”, World Economic Forum, accessed at https://law.unimelb.edu.au/__data/assets/pdf_file/0005/3385454/Schwab-The_Fourth_Industrial_Revolution_Klaus_S.pdf?