This issue of Cutter Business Technology Journal examines the latest advancements in technologies related to Industry 4.0 and the impact of these technologies on work, business, and organizations. We feature six articles in this issue that cover a range of topics.

Most executives say agility is critical for the future of their business, yet only a small amount of their transformation efforts are delivering agility. This gap is caused by entrenched legacy culture and general resistance to change. Responding to these challenges and delivering business agility require more than Agile practices. Many organizations are discovering “solution focus” to be the missing piece of their transformation puzzle.

Most executives say agility is critical for the future of their business, yet only a small amount of their transformation efforts are delivering agility. This gap is caused by entrenched legacy culture and general resistance to change. Responding to these challenges and delivering business agility require more than Agile practices. Many organizations are discovering “solution focus” to be the missing piece of their transformation puzzle.

Weiyu Wang and Keng Siau address the ethical and moral predicaments that Industry 4.0 creates. They discuss Industry 4.0 ethical and moral issues from the perspective of different business-oriented forces — stakeholders and business executives, employees, customers/clients, society — and different technical-oriented forces — designers and developers, users, intelligent agents. Their framework in Industry 4.0 considers ethical issues related to data and ethical issues related to systems, technology products, and services. Their discussion will enable business executives and technical designers/developers to have a better understanding and appreciation of the ethical and moral challenges in Industry 4.0.

Weiyu Wang and Keng Siau address the ethical and moral predicaments that Industry 4.0 creates. They discuss Industry 4.0 ethical and moral issues from the perspective of different business-oriented forces — stakeholders and business executives, employees, customers/clients, society — and different technical-oriented forces — designers and developers, users, intelligent agents. Their framework in Industry 4.0 considers ethical issues related to data and ethical issues related to systems, technology products, and services. Their discussion will enable business executives and technical designers/developers to have a better understanding and appreciation of the ethical and moral challenges in Industry 4.0.

Keng Siau, Yingrui Xi, and Cui Zou explore the challenges and opportunities that Industry 4.0 presents in four groups of countries: developed, newly industrialized, developing, and least-developed. Industry 4.0 will impact countries in these development stages differently. The article discusses the factors that will impact the development of Industry 4.0 and provides suggestions for countries to avoid the risks inherent in Industry 4.0 and capitalize on opportunities to develop their economies. The article is beneficial to business executives as they contemplate investment decisions related to Industry 4.0.

Keng Siau, Yingrui Xi, and Cui Zou explore the challenges and opportunities that Industry 4.0 presents in four groups of countries: developed, newly industrialized, developing, and least-developed. Industry 4.0 will impact countries in these development stages differently. The article discusses the factors that will impact the development of Industry 4.0 and provides suggestions for countries to avoid the risks inherent in Industry 4.0 and capitalize on opportunities to develop their economies. The article is beneficial to business executives as they contemplate investment decisions related to Industry 4.0.

Feng Xu and Xin (Robert) Luo argue that because Industry 4.0 leads to potential new cybersecurity risks to manufacturing and supply networks, cybersecurity management must protect industry assets. The authors examine the issues specific to Industry 4.0, the three conventional essential security requirements, present and discuss the challenges of the security management cycle in Industry 4.0, and offer recommendations for cybersecurity management in Industry 4.0.

Feng Xu and Xin (Robert) Luo argue that because Industry 4.0 leads to potential new cybersecurity risks to manufacturing and supply networks, cybersecurity management must protect industry assets. The authors examine the issues specific to Industry 4.0, the three conventional essential security requirements, present and discuss the challenges of the security management cycle in Industry 4.0, and offer recommendations for cybersecurity management in Industry 4.0.

Barry M. O’Reilly explores whether a skills crisis arising out of Industry 4.0 truly exists. Although organizations perceive a skills crisis as Industry 4.0 makes software a central part of every business, O’Reilly notes that the IT industry has complained of a skills crisis for years. He examines what the skills shortage really is, discusses past approaches to the crisis, and evaluates whether those approaches have worked. He then proposes a new view of the skills crisis and suggests alternative approaches to solving it. O’Reilly sees critical thinking and a reassessment of our view of skills as key com­ponents of resolving the perceived skills crisis.

Barry M. O’Reilly explores whether a skills crisis arising out of Industry 4.0 truly exists. Although organizations perceive a skills crisis as Industry 4.0 makes software a central part of every business, O’Reilly notes that the IT industry has complained of a skills crisis for years. He examines what the skills shortage really is, discusses past approaches to the crisis, and evaluates whether those approaches have worked. He then proposes a new view of the skills crisis and suggests alternative approaches to solving it. O’Reilly sees critical thinking and a reassessment of our view of skills as key com­ponents of resolving the perceived skills crisis.

Doug Hadden’s article focuses on the opportunities and threats for governments in developing countries and emerging economies. Governments in developed countries exhibit a sophisticated policy design, enabling them to better exploit Industry 4.0, while developing countries and emerging economies, which have lower government effectiveness and less-sophisticated manu­facturing, face more obstacles to benefit from Industry 4.0. Hadden discusses the government and country context that must be considered when developing policy interventions to optimize the potential of 4IR while mitigating vulnerability. In this context, the author suggests that policymakers use a VUCA (volatility, uncertainty, complexity, and ambiguity) analysis to determine potential and vulnerability. He then recommends public policy interventions to maximize potential and reduce vulnerability.

Doug Hadden’s article focuses on the opportunities and threats for governments in developing countries and emerging economies. Governments in developed countries exhibit a sophisticated policy design, enabling them to better exploit Industry 4.0, while developing countries and emerging economies, which have lower government effectiveness and less-sophisticated manu­facturing, face more obstacles to benefit from Industry 4.0. Hadden discusses the government and country context that must be considered when developing policy interventions to optimize the potential of 4IR while mitigating vulnerability. In this context, the author suggests that policymakers use a VUCA (volatility, uncertainty, complexity, and ambiguity) analysis to determine potential and vulnerability. He then recommends public policy interventions to maximize potential and reduce vulnerability.

Joel Nichols discusses the barriers and challenges facing regulated industries as they attempt to implement Industry 4.0 technologies and change their ­cul­ture. The article examines the questions that regu­lated industries must address as they embrace digital trans­formation and the advances that specific Industry 4.0 technologies can yield. The author argues that although digital transformation may require more time in regu­lated than in nonregulated industries, “the impact of regulated industry transformation on producers and consumers alike ultimately will be greater than that of the nonregulated sector.”

Joel Nichols discusses the barriers and challenges facing regulated industries as they attempt to implement Industry 4.0 technologies and change their ­cul­ture. The article examines the questions that regu­lated industries must address as they embrace digital trans­formation and the advances that specific Industry 4.0 technologies can yield. The author argues that although digital transformation may require more time in regu­lated than in nonregulated industries, “the impact of regulated industry transformation on producers and consumers alike ultimately will be greater than that of the nonregulated sector.”

This Advisor shares five practical tips on rolling out “industrial,” scalable robotic process automation solutions based on my experience at a multinational organization.

In this week's edition of The Cutter Edge, we'll explore how to leverage visuals to make your BA initiatives more effective, and examine the five technologies that could help automate your software development efforts.

In this week's edition of The Cutter Edge, we'll explore how to leverage visuals to make your BA initiatives more effective, and examine the five technologies that could help automate your software development efforts.

For most organizations implementing customer experience (CX) management practices, it is still too soon to tell if their practices are living up to expectations.

Our company’s Agile journey across a 2,000+-person product development unit in 10 locations in Sweden, Poland, and China, resulted in a quadrupling of value throughput; a doubling of speed; a tenfold increase in quality; and happier, more engaged people who are, ultimately, more innovative. The company made major shifts in a few areas. In this Advisor, we explore its shift from resource efficiency to flow efficiency.

People’s increased mobility, facilitated by air travel, has resulted in the increased spread of contagion across geopolitical boundaries. A growing awareness that bioterrorism agents could spread in the same way has raised the level of concern even more. Many practitioners and researchers agree that contact tracing, which is the identification and locating of people who may have been in contact with an infected person, represents an important factor in mitigating the spread of a pandemic.

People’s increased mobility, facilitated by air travel, has resulted in the increased spread of contagion across geopolitical boundaries. A growing awareness that bioterrorism agents could spread in the same way has raised the level of concern even more. Many practitioners and researchers agree that contact tracing, which is the identification and locating of people who may have been in contact with an infected person, represents an important factor in mitigating the spread of a pandemic.

About a quarter of surveyed organizations have appointed a “chief customer officer” (CCO) to ensure that the organization provides a unified and seamless customer journey/experience across all customer channels.

Encouraging and developing data-based decision support is an organization-wide effort and requires many resources, including people, money, and technologies. Building an effective decision support capability can help improve decision making, but meeting that goal is a challenging task. So how can senior managers increase the chances of the successful implementation of an enterprise-wide data-based decision support, analytics, or BI project? The answers to the five pivotal questions explored in this Advisor provide some insight.

Financial institutions have digitally transformed their business processes and products, creating vast sources of structured and unstructured data. AI offers the means to complete this transformation in radical ways — across the front, middle, and back offices, while also addressing the big data problem. In addition, AI is also shaping the fintech and regulation (“regtech”) landscapes, particularly in addressing what has become known as “Big Regulation.” However, AI’s promise must be balanced with current limitations to the application of enabling technologies like machine learning (ML) and natural language processing (NLP). This Advisor looks at the promise, potential, and limitations of AI in the financial industry.