Prof.

Eric Tsui
Knowledge Management and Innovation Research Center
Department of Industrial and Systems Engineering
The Hong Kong Polytechnic University, Hong Kong
 The First Industrial Revolution

• Began in Britain then spread throughout

Western Europe and to North America in
the late 18th century
• The English economic historian Arnold
Toynbee (1852-83) described Britain's
economic development from 1760 to 1840
as "Industrial Revolution"
• Brought about by the massive increase in
agriculture production

• Invention of steam engines in 1784

Source: World Economic Forum

 The First Industrial revolution

• Adoption of manufacturing processes

• Mass quantity of resources are needed to

support manufacturing

• This era is all about mechanization to enable

mass transportation and production of tools

• Mechanization of production using water and

steam power

• Still highly labor intensive

• Working conditions and rules were deploring

Source: World Economic Forum

Source: https://www.youtube.com/watch?v=xLhNP0qp38Q&list=PLBflIUd-7j_f5kp-
F5a41aGLC8DBeSaX_&t=1s&index=26
Prof. Eric Tsui
Knowledge Management and Innovation Research Center
Department of Industrial and Systems Engineering
The Hong Kong Polytechnic University, Hong Kong
 The Second Industrial Revolution

• Also known as the Technological Revolution, a

phase of rapid industrialization during 1870-1914 up
to the start of World War I
• Primarily in Britain, Germany and the United States,
but also in France, Italy and Japan
• Emphasis was on mass production with the use of
electric power
• Invention of electricity spawned the development
and innovation of many other tools and products
• Henry Ford the Father of mass production and the
assembly line introduced the process in a car
manufacturing plant by Ford to improve the
productivity using conveyor belt mechanism

Source: World Economic Forum

 The Second Industrial Revolution
• With mass production, cars become far more
affordable for the average family
• During the Depression of 1873, Andrew Carnegie
established a steel company which covered and
controlled every phase of business from raw materials
to transportation, manufacturing, and distribution
• Technological advancements in the iron, steel, and
coal industries led to the railroad development of
75,000 miles of track in the U.S. in the 1880s
• The enormous expansion of rail and telegraph lines
after 1870 allowed unprecedented movement of
people and ideas leading to a wave of globalization
• Towards end of this era, the need for specialization
and personalization are imminent

Source: World Economic Forum

YouTube:
https://www.youtube.com/watch?v=brxI_WAwSkI
Prof. Eric Tsui
Knowledge Management and Innovation Research Center
Department of Industrial and Systems Engineering
The Hong Kong Polytechnic University, Hong Kong
 The Third Industrial Revolution

• Often called the digital revolution and the use of

electronics and IT to further automate production

• Started in 1960’s (and some use 70's/80's or even

early 90’s)

• The advancement of technology from analog,

electronic and mechanical devices to the digital
technology (store, retrieve, transmit, compare,
compute, connect,… reliability and accuracy)

• The Digital Revolution also marks the beginning of

the Information Era

Source: World Economic Forum

 The Third Industrial Revolution
• A PLC (Programmable logic controller) is an industrial digital
computer with a human interface and it is used to define, control,
diagnose and rectify problems in manufacturing processes
• The Internet:
o The ARPANET by US Department of Defense 1969-1990
o first TCP/IP network 1970's
o first generation of cell network 1980's
o World Wide Web in the 1990's
o 3C convergence in the 2000's
o Smart phones and 3/4/5G mobile network
• PLC and the Internet are key technologies driving the
advancement
• Scalability of automation and control, with repeatability and
reliability enable lower cost and faster production which
ultimately benefits societies and all human beings
• No new unskilled factory worker position is produced in this
revolution

Source: World Economic Forum

Source: https://www.youtube.com/watch?v=ReTtgzN-Dmc
Prof. Eric Tsui
Knowledge Management and Innovation Research Center
Department of Industrial and Systems Engineering
The Hong Kong Polytechnic University, Hong Kong
 Trends and Driving Forces
(especially by
sensors)
Big data
Data
Cloud collection &
(especially
Computing transmission
integration. human
computer interfaces
and machine
intelligence)

Trends and
Software Driving Forces Real time

Connected
devices, Mobile
systems, Computing
networks,
societies
Rapidly developing areas

Robots
Robotic
Process
IoT Automations

Smart Rapidly
Cyberphysical
cities developing systems
areas (CPS)

Smart
Smart
products
machines
and
(devices)
services
 Trends and Driving Forces

Manufacturing
Manufacturing Processes Industry
Logistics
IoT 4.0
&
CPS IoS
Smarts in a Factory
 Personalisation

Intelligent Predictive
maintenance
routing Smarts in a Factory

Operations
planning
(enhancing the
horizontal and vertical
value chains)

COMPANY NAME NAME OF PRESENTER

Re-division of work
between humans Skills gap
and machines

Design products Salient Organisational

and services readiness
Issues

Customer Human adaptation

experience

LOGO
 Early adopters
Manufacturing

Medical

Healthcare

Information Technology

Transportation

Logistics

Services

LOGO