This is the era of the Industry 4.0 also known as the digital economy. Throughout the years, inventions and new discoveries come and go. The world drastically changes in terms of developments and advancements in technology due to inventions and discoveries all around the globe. This is about digital economy and internet of things. Don't let this manipulate you. The promising level of capacity of this advanced Industry 4.0 made a huge impact on the development of every human being’s way of life. Fourth generation technological industry has enabled everyone to stay connected virtually in a much easier and faster way possible that according to some studies through the developments of smart technology that promotes flexible and intelligent production and manufacturing processes. Before this, industrial revolution was marked by hands on production methods that literally uses hands as the mode of machine, for examples, are the water and steam powers. after this, the second revolution or the technological revolution allowed factory electricity and more machine inventions. The third one is primarily about modern machine technologies and lastly, the 4.0 industry is for automation, improved communication, large scale machines and interconnection. The transformation of all four different industries coming from traditional manufacturing and industrial practices to industrial practices until the latest smart technology which is the 4.0 Industry. It focuses on the creation of new smart factories such as autonomous robots, Internet of Things (IoT), big data, simulations, horizontal and vertical system are help turn a complex process into a more automated way that opens new opportunities to different industries that opens largescale machine to machine communications. It turns standard production into a more cohesive and technical flow that results to a faster and optimized production flow. (Epicor, 2020) By way of the 4.0 industry, internet connection has been more prevalent because of the modern world that continues to grow and develop. The mode of payment, streetlights, and their transportations all embraced digital and modern technology elements that their everyday life is already made easier. Information transparency was also provided to the operators that badly needed information to answer complex questions about human inter-connectivity.
Cyberlife became the case for everyone when it comes to school, work and even our daily life. Some examples of digital technology during this time are mobile devices, 3D printing, human-machine interface, and smart sensors. Internet of Things was also born during this time. These advanced processes introduced more risks to the environment. These risks are inevitable to a growing industry and it needs to be addressed. Although the years that introduced this technology revolution ensured reliability in data collection and storing data resources especially for manufacturing industries. Good thing about this is that this technology enables optimal operation and control of manufacturing plants through the visual simulation of energy production and consumption. This enables artificial intelligence engine with available real-time big data become a possibility and advanced communication systems. companies struggle to make solutions in overcoming risk management to survive along the years. These risks are addressed to achieve success in their chosen field. Project management during 4.0 Industry created many strengths. One of it is the increased digital transformation and opportunities that are very powerful and a huge asset especially for manufacturing industries that are filled with machineries and big engines to work thus, risks are very common. The development and production processes are developed in a more organized way, including direct data-sharing with their machinery. Countries from all around the world are becoming Digital Economy, the visions of faster communication and high-speed production process are turning into a reality.
The problem with a digital economy also lies on their data backbone. Their big data system requires proper management and increasing development. This is to ensure reliability in storing data resources. Being a digital economy has its perks but the main thing it accomplishes is the life that is easier, smoother, and full of different opportunities. Also, project management during this modern time is more dedicated to complex problems and risks that managers are greatly aided by the mere idea of having a project management in a company. A digital world is more complex that risks are easily encountered by many huge companies so, project management is a key tool to minimize the risks that may be encountered by the entities. For the past years, the rapid growth and acceptance of project management has taken place in the non– project-driven/hybrid sectors. It is now being promoted by marketing, engineering, and production, rather than only by the project-driven departments.
Through project management, there comes a proper planning and preparation, applying best practices, and utilizing project management tools, risks could be eliminated. Also, it has intention to help in understanding potential issues and problems to improve chances of successfully completing the project. Project management encourage clear communication within the working environment and ensure that resources are utilized. It has become a necessity than a strategy throughout the years as the growth of this kind of management became successful and known.
Project management used for risk analysis is not yet a necessity to most companies that are only just beginning to use this new technology and there is a risk arising just when they are missing the chance to apply this same method, for example is the utilization of 3D printing for several years and are developing the next generation of applications. 3D printing is an advanced technology that is also very expensive yet a huge asset that can help exponentially growing industries. Most importantly, project management during nowadays can be utilized to create opportunities and reduce risks which is primarily the essence of risk factor analysis.
However, the downside to this method is that risk factor analysis does not take a few number of days to look into, thus, creating a team for project management requires a lot of effort and time for the business that the cost-benefit analysis shall be kept into mind to avoid further loss and risks. Given the strengths about this method, there goes more opportunities on the door of risk analysis procedure. For one, the decentralized management structure turns into a more organized structure that includes a project manager who will monitor and report important matters to the Board of Directors and the CEO. Implementing a project management can ensure a proper objective and goal-oriented project that have a direct goal to look forward to. All projects need to have a decent project management principles and rules thus, creating a democratic yet organized work environment. Economics deal with a lot of risks like sovereign and interest risk that executing this method is somehow a huge step to increases awareness and deliver proper solution to the risks on hand and may take place in the future. More studies and researches will be a huge help to the economy that it is later turn on into methodologies that will be widely applied even to government risks. Transformation of current factories or creation of new smart factories is one way to create an efficient work environment where employees can work with more ease and help by automated machines. Technological advancements are huge assets that can bring more revenue because of the optimization of work done. It is the reason that companies flourish in all their automated departments with increase production.
Cyber system is widely operational that applying risk analysis project per project can also bring employees’ comfortable confidence that the management is doing their best to protect their brand name and workers as it is part of mitigating risks. Huge companies have the approach of providing a project management team to supervise the projects that bring a lot of revenue to the company if made properly. Through proper planning and preparation, applying best practices, and utilizing project management tools, risks could be eliminated. Using policies and procedures together gives employees a well-rounded view of their workplace and understanding of their responsibility within predetermined limits. Legally speaking, this industry copes up with democratic changes and legal management department works hand and hand to avoid risks legally as well for the reputation of the company in performance and management of resources and workers. Lastly, automated processes may bring pollution but less waste materials can be done due to the standardized processes that minimizes wastes and production failures. For the past years, the rapid growth and acceptance of project management has taken place in the non–projectdriven sectors. It is now being promoted by marketing, engineering, and production, rather than only by the project-driven departments. However, the simple use of project management does not guarantee excellence, instead it can result in repetitive mistakes (Kerzner, 2009). Risk analysis through project management understands that there already is heightened cyber risk to manufacturing industry that aims to make technological advancements on their facilities and work procedure. Thus, the risks can make a headline news when it goes out the public just by a simple mistake making the brand reputation at risk to a more vulnerable judgement. these risks that are overlooked can cause a fortune to an entity. When a project blows up and becomes a failure, it takes out a huge amount of revenue to a company that can already fund further projects in the future. When companies keep on doing this, GDP can be affected causing damage to the economy.
Cyber risks are so common these days that workers can even be treated badly if not given a competent project manager. It is also a test of leadership among the workers and determining who works best under pressure. The utilization of scientific management causes a negative consequence that creates unemployment on some workers that deal with labor intensive jobs like machinery and assembly department. In some instances, the presence of management system can cause workers to slack off as the system already does so much of their everyday work that it already unproductive in their part. Legally, project management is a must specially on big companies with big responsibilities to their market and employees.
Experienced and effective project managers are needed to look into the project team, the budget, the progress and the feedback on the projects to be made and in projects in progress. Taxes are a huge thing but because of the money constraint, many employees can ask for more than asked that results to a bitter relationship among members. Environmental wastes like air and water pollution can become more happening because of big projects that may occur. Although developments may bring positive effect due to decrease time in production, the pollution and wastes it costs are still dominant. Most importantly, economic downturn can happen unexpectedly that it is valuable to prepare in advance for retaliation. By this, the project management system can largely increase in the value due to higher professional fees which is a huge expense to a company that is losing guests for the time being of economic downturn. Implementing a project management, these are also present but the good thing about this is the reward that comes after the hardships. Risks factors are valuable to be understood in order to get to the reason why it keeps on happening. Overall, project management deals with unexpected contingencies that will result to a well-executed project that the shareholders and workers will bring pride with. This is the world we live in. We can never tell whether we are the one in control with the technologies or are we the one manipulated.
Article that helped me:Â project management during the industry 4.0 implementation with risk factor analysis
