According to data and analytics company GlobalData, Malaysian manufacturers are embracing Industry 4.0 with the integration of digital and physical technologies. According to the Department of Statistics Malaysia (DOSM), manufacturing sector employed more than one million people in 2016. Malaysia External Trade Development Corporation (MATRADE) and DOSM report that the sector accounts for over 80% of all exports and 23% of GDP. However, manufacturers are under pressure and face significant challenges.
GlobalData report that industry, on the supply side, is seeing an increase in global commodity prices and diversification from traditional low-cost production markets. On the demand side, average order value is falling, the demand for customization is increasing and margins by and large are under pressure.
Industry 4.0 introduces what is referred to as ‘smart factory’ in which cyber physical systems monitor real time physical progress of the factory and can make decentralized decisions. This is being driven by many breakthrough technologies such as autonomous robots, big data analytics, cloud computing, Internet of Things (IoT), additive manufacturing (3D Printing), system integration, cybersecurity, augmented reality and simulation. For more details, visit GlobalData.