Shony Erdinal - Impact of Technology

Progress to Personnel, Equipment, and

Tool, and Business Risk in Industry 4.0
By Shony Erdinal
Impact of Technology Progress to Personnel, Equipment, and Tool, and Business Risk in

Industry 4.0

Shony Erdinal, Zulkifli Djunaidi

Abstract

Nowadays technology progress has played a significant role in any industry type, and it

makes big changes into the industrial process in this decade and still going on. However,

these technology changes are not always in line with the vision and mission of the

industrialist which can be known in by how they run the industry process. Based on these, we

categorize the industry as a past industry, current industry (transition), and future industry.

This paper discusses the impact of technological progress on personnel, equipment and tool,

and business risk in each above industry. It's really important for an industrialist to

understand technology progress as consideration to deeply look at his/her industry and know

how to manage the business properly to eliminate the risk of personal injury, property

damage, environmental damage, and loss of production.

So, this paper aims at defining and exploring aspects associated to this concept and an

overview for an industrialist to manage the business properly to eliminate the risk of personal

injury, property damage, environmental damage, and loss of production based on his/her

industry progress.

Keywords: Industrialist, Industry, Occupational Health and Safety, Smart Safety System,

Safety Technologies, Technology Progress

1. Introduction

Technology progress is part of industry revolution opportunity and challenge for many

decades. It is expected technology progress to create impact to industry process itself to

achieve optimized, reliable, and flexible production. The world industry needs a sustainable,

environmentally friendly, and resource saving process (Leso, Veruscka, Fontana, Luca,

Iavicoli, 2018).

Figure 1 and Table 1 shows the development of the industrial process through the first

until the fourth industrial revolution.

Figure 1. Development of industry revolution (Roser, 2017)

Table 1. Main characteristics of industrial revolutions (Petre Prisecaru, 2016)

Period Transition Energy Main Main Transport

Period resource technical developed means

achievement industries

I. 1760 - 1860 - Coal Steam Textil, Train

1900 1900 engine Steel

II. 1900 - 1940 - Oil, Internal Metallurgy, Train, Car

1960 1960 Electricity combustion Auto,

engine Machine
 Building

III. 1960 - 1980 - Nuclear Computers, Auto, Car, Plane

2000 2000 Energy, Robots Chemistry

Natural Gas

IV. 2000 - 2000 - Green Internet, 3D HighTech Electric

........ 2010 Energies Printer, Industries Car, Ulta

Genetic Fast Train

Engineering

The industry changes will lead to transformation on the business process, which

impacts to personnel, equipment and tool, and business risk involved in the industry. The

automation process as one of the technological progress in the industrial revolution will have

a big effect on the industries. The automation technologies have the opportunity to create

work more flexible, safer, healthier by utilizing machine tools, robots, and design feature

such as smart safety system (Celik, Nuray, Öztürk, 2017). Integration of those functions will

eliminate process failure caused by workers act, will help workers in joint tasks, or even the

automation technology will totally replace the workers to execute the tasks (Leso, Veruscka,

Fontana, Luca, Iavicoli, 2018).

However, the technology progress is not always in line with the vision and mission of

the industry players which can be known in by how they run their industry process. Some of

the industrialists still insist to run industry process which not affected by technological

progress. This kind of industry will create an impact on personnel, equipment and tool, and

business risk which will be different from the industry process that has implemented

technology progress. Based on these, we categorize the industry as a past industry, current

industry (transition), and future industry. The industrialist shall knowledgeable about

technology progress which brings him/her opportunity to manage the business properly to
eliminate the risk of personal injury, property damage, environmental damage, and loss of

production. The serious incidents occur due contribution of the failure to recognize the role of

design in the industrial process, and this failure just protects parties who responsible for

design and manufacture, and purchase, and regulation. Failure to recognize the role of design

in incident causes also contributes to repetitive incidents, as we see almost daily (Rechnitzer,

2001). In addition, the cost is not to be ignored as one of consideration aspect in

implementing technology progress. This paper aims at defining and exploring aspects

associated to this concept and an overview for an industrialist to deeply look at the impact of

technological progress in his/her industry specifically related to the risk of personal injury,

property damage, environmental damage, and loss of production.

2. Materials and Methods

Relevant pieces of literature were searched through Google Scholar, Scopus, and

Research Gate. Combination keywords of occupational health and safety 4.0, smart industry

4.0, and smart safety system were used to screening relevance references. The search found

over 1600 references, and 10 publications are considered to have a related topic with this

paper.

3. Results

The smart safety system was started on the 3rd industrial revolution when computer and

robotic were introduced into the industry. A smart safety system is a system which has

functions of monitoring (sense), actuation, and control for describing and analyzing a work

condition and, the ability to make decisions (Ansaldi, Agnello, & Bragatto, 2018). Safety

technologies are a key to the link between operation technical systems and safety procedures,

and smart safety system is an example of these safety technologies.

 Figure 2. Illustration of a smart safety system that implemented through software for

each of functions (Ansaldi et al., 2018)

Software is used to transform a smart technology into a smart system which meets specific

needs of industry application (Ansaldi et al., 2018).

Majority of articles divided the industrial revolution into 4 revolution periods. Figure 3,

figure 4, and figure 5 will describe the development of the industry process through each

revolution period.

1. Past Industry ( 1st and 2nd industrial revolution)

The past industry is the period where mechanization introduced in 1st industrial

revolution by utilizing water and steam power, then continued with 2nd industrial

revolution where electrical technology to further develop the machines and increase

production in large quantities. At the 2nd industrial revolution, internal combustion

engines started utilized in the industry by utilizing petroleum as an energy source. As

shown in Figure 3, the primary drivers of this industrial revolution were workers

operate directly machines and tool to run industry process (Xu, David, & Kim, 2018).

However smart safety system was not introduced yet at this revolution period. At this

industrial revolution period, management focused on motivating and educating

 (training and certification) employees to perform the tasks needed to produce the

products and services (Xu et al., 2018).

Figure 3. Illustration of how the industry works on 1st and 2nd industrial revolution period

(past industry)

2. Current Industry - Transition ( 3rd industrial revolution)

The current industry is the period where computer and robots as part of

automation technologies were introduced in the industry includes smart safety system

(Xu et al., 2018). As the impact, the amount of workers employed in the automated

industry tends to be reduced since some manual function was replaced by a smart safety

system. As shown in figure 4, there is a safety engineering feature as a safeguard

between worker and equipment and tool to run the industry process. A worker cannot

perform ‘correctly’ 100% all the time, and the needs of “passive” strategies through
 system design to protect automatically the worker at risk, without each vulnerable

individual having to take action. This ‘passive’ strategy is more suitable than ‘active’

strategies which rely on worker awareness and behavior, and where the worker needs to

be like a robot - in terms of error-free vigilance (Rechnitzer, 2001). At this industrial

revolution period, some workers are started more employed for design works, and

involved in decision-making and engineering activities.

Figure 4. Illustration of how the industry works on the 3rd industrial revolution period

(current industry - transition)

3. Future Industry ( 4th industrial revolution)

As shown in figure 5, the future industry is the period where the autonomous

operation will take part in industry process which will be called a smart factory. The

manufacturing system has ability to self organize and adjust itself in real time to any
 changes and emergency conditions, has resource and energy saving process, and

employees will use the knowledge, expertise and potential innovation effectively

(Podgórski, Majchrzycka, Dąbrowska, Gralewicz, & Okrasa, 2017). As the impact, the

number of workers employed in the automated industry highly reduced. At this

industrial revolution period, most workers are employed for design works and involved

in decision-making and engineering activities, and the number of workers will be in a

limited number (Celik, Nuray, Öztürk, 2017) (Leso, Veruscka, Fontana, Luca, Iavicoli,

2018). The transition from industry 3.0 to industry 4.0 will be costly and some

industry’s players will need time to perform the transition (Celik, Nuray, Öztürk, 2017).

Figure 5. Illustration of how the industry works on the 4th industrial revolution period

4. Discussion
 In this paper, we will focus on analyzing occupational risk and managerial control

aspect of the industrial revolution. Figure 6 shows an illustration of industry 4.0 and its OHS

aspects with the technological categories.

Figure 6 Industry 4.0 technological categories and OHS aspects (Badri, Boudreau-

Trudel, & Souissi, 2018)

Each of occupational risk aspects of the industrial revolution as shown in table 2 is

continuous changes following improvement in the industrial process. An industrialist shall

pay attention to the impact of each period of the industrial revolution on personnel,

equipment and tool, and business risk.

Table 2. Identification of occupational risk aspect of the industrial revolution (Badri et al.,

2018) (Romero et al., 2018) (Celik, Nuray, Öztürk, 2017) (Leso, Veruscka, Fontana, Luca,

Iavicoli, 2018)

Aspect Past Industry Current Industry Future Industry

Direct control by an Big Reduced Little / No

individual on operated

equipment or tool

Risk of loss Many personal Less personal Little / No personal

injuries injury injury

Many property Less property Little / No property

damages damage damage

Many Less environmental Little

environmental damage environmental

damages damage/No

Source of error/failure Personnel Personnel and Personnel and

equipment/ tool equipment/tool

Cost of initial Little cost More cost Big cost

investment

Cost of incident Big Less Little / No

Cost of personnel More cost of Less cost of Little cost of

handling personal training personal training personal training

More cost of Less cost of Little cost of

personnel personnel personnel

certification certification certification

Cost of equipment /tool No / little More investment Big investment cost

handling investment cost on cost on smart on smart safety

smart safety system safety system system (safety

(safety engineering (safety engineering engineering feature/

feature /safety feature/ safety safety device)

device) device)
 No / little More investment Big investment cost

investment cost on cost on equipment on equipment

equipment reliability reliability

reliability (inspection and (inspection and

(inspection and maintenance maintenance

maintenance /calibration) /calibration)

/calibration)

Table 3. Identification of managerial control aspect of the industrial revolution (Badri et al.,

2018) (Celik, Nuray, Öztürk, 2017) (Ansaldi et al., 2018) (Leso, Veruscka, Fontana, Luca,

Iavicoli, 2018)

Aspect Past Industry Current Industry / Future Industry

Transition*

Allocation of resources Big Less Little / Not

to handle problem- Required

solving of daily

operation technical

Understanding Little More Big

technology application

Supervision to an Big Less Little / Not

individual in the team Required

Using of Little More Big

technology/logic

program

The ripeness of Little More Big

 investment decision

considering the risk of

loss

Effectiveness allocation Little effective More effective Much effective

of industrial cost

*Smart safety system is utilized and applied. If the smart safety system is not utilized and

applied, the industry is categorized as a past industry even though it operates in the transition

period (current industry).

A systematic improvement plan is needed to implement technology progress from

industry 3.0 to industry 4.0 as shown in table 4 and table 5. This improvement plan based on

the author’s knowledge and experience within Occupational Health and Safety (OHS)

applications.

Table 4. Recommendation of an improvement plan for smart safety system utilization into

ongoing industry

No Ongoing Industry

1 Identify the highest risk operation and all occurred incidents which cause personal

injury, property damage, environmental damage and lost income for the company.

2 Identify smart safety system (safety engineering feature/safety device) which could

prevent the incidents.

3 Calculate the investment cost needed to apply the required smart safety system

(safety engineering feature/safety device).

4 Calculate the total direct and indirect cost of all occurred incidents. Consider the

number of personnel and equipment/tool as a multiplier factor (every company may

determine its own multiplier factor formula)

5 Compare the investment cost in line-3 with total incidents cost in line-4 and do
 review for prioritization.

6 Start to develop a smart safety system (safety engineering feature/safety device) on

the prioritized operation.

7 Apply mitigation action to identified high operation risk which not yet supported

with a smart safety system.

Table 5 Recommendation of an improvement plan for smart safety system utilization into

upcoming industry

No Upcoming Industry

1 Identify the highest risk operation which may potential causes personal injury,

property damage, environmental damage, and lost income for the company.

2 Identify smart safety system (safety engineering feature/safety device) which could

prevent the incidents.

3 Calculate the investment cost needed to apply the required smart safety system

(safety engineering feature/safety device).

4 Calculate the value of industrial capital.

5 Compare the investment cost in line-3 with the value of industrial capital in line-4.

If value of industrial capital smaller than investment cost on smart safety system

(safety engineering feature/safety device), the best decision is to suspend the

industry commencement to avoid risk of loss due to personal injury, property

damage, environmental damage, and loss income to Company, except Company

want to put initial investment on smart safety system (safety engineering feature /

safety device) before commencing industry.

5. Conclusion
 Technology progress is an inseparable part with the industrial revolution, and safety

technologies are a key to the link between operation technical systems and safety procedures

(Ansaldi et al., 2018). High cost will be needed for the transition from industry 3.0 to industry

4.0, and this will cause some industrialist will need time to perform the transition (Celik,

Nuray, Öztürk, 2017). Industrialists need to collaborate with technical field experts,

engineering designer or specialist engineer, and scientist to properly manage the transition

process where there are opportunity and challenge when implementing technology progress

from industry 3.0 to industry 4.0.

 REFERENCES

Ansaldi, S. M., Agnello, P., & Bragatto, P. A. (2018). Smart safety systems: Are they ready

to control the hazard of major accidents? WIT Transactions on the Built Environment,

174, 169–180.

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2016/09. Petre Prisecaru.pdf

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Figure captions

Figure 1 Development of industry revolution…..……………………………………………2

Figure 2 Illustration of a smart safety system that implemented through software for each of

functions [9]………………………………………………………………………...5

Figure 3 Illustration of how the industry works on 1st and 2nd industrial revolution period

(past industry)………………………………………………………………………6

Figure 4 Illustration of how the industry works on the 3rd industrial revolution period

(current industry transition)……...……………………………………….…..…….7

Figure 5 Illustration of how the industry works on the 4th industrial revolution

period……………………………………………………………………………….8

Figure 6 Industry 4.0 technological categories and OHS aspects [1]……………………….9

Table captions

Table 1 Main characteristic of industrial revolutions [8]………………………………..…2

Table 2 Identification of occupational risk aspect of the industrial revolution

[1, 4, 7, 10]………………………………………………………………………..9

Table 3 Identification of managerial control aspect of the industrial revolution

[1, 7, 9, 10]………………………………………………………………………..11

Table 4 Recommendation of an improvement plan for smart safety system utilization into

ongoing industry.....................................................................................................12

Table 5 Recommendation of an improvement plan for smart safety system utilization into
upcoming industry………………………………………………………………...12