This page deals with economics and business issues,concerning Latin America, and the global economy.-
Saturday, March 31, 2018
Industrial revolution 4.0
Since 2010 the global economy, has been working steadily to implement more advanced stages of digitalization.The digital productive process started to be an issue which to give attention , in some business in Germany when they were looking ten years ahead and realized that internet would not be just an information -Knowledge device.The internet of thing (IOT), and the artificial intelligence as a powerful complement to manage information, were on the path to become key variables to support new approaches to production process , chain value creation , customer relation management and big data processing, all of which create a new environment for CEO decisions making process, global connectivity ,automatization ,and the ability to get deeper into costumer feelings (Biometrics analysis).-
However, this revolution, the so called 4.0 one, begun more than 35 years ago when the japanese started to work with more advanced computer (intelligent computer) which set the first step for robotization and later to "human like- robots", which make the whole necessary scenario for the firm fully robotized to become a reality sooner than expected.-
So, business Management is under a new challenge, the one which arise from the possibility that the whole productive, process may be done by intelligent machines able to learn by themselves, to make fast corrections and data evaluation.CEO will have to work harder in the data analysis phase of the productive chain, improving its qualification to take advantage of their different sources of capital , arising from networks, big data accumulation , and talented people, to cope with the faster adjustment demands aimed to more sophisticated consumers.The value creation will also be revisited as long as integration will include not only specific productive process of one firm , but also different but connected firms such Banks, insurance firms, different components in the auto industry and so on.-
Latin America is not away from this revolution .There are some research which indicates that by 2021 , 40% of its GDP will be in a digital format, and 40% of those more important business , will have a complete technological platform.-
The next question is how Government will handle this change?.How will it impact on its own nature?.Is it possible a digital government?, If it is so, what are the implications about a Government with limited human control?, or a Government which become just another part of digital business?.It seems that few traditional government services, will survive the digitalization era, such that those which may actually be done by internet(all kind of certificates, tax payment, and the like), and only the real new needs will be justified, among these (cyberspace security,and data protection ).Welfare level will depend more on the business ability to get higher productivity, than traditional government based on a service supply role.-
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