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Industry 5.0: Revolutionizing Work by Putting People First

Jean-Philippe Raiche
Industry 5.0: The Next Industrial Revolution Is People-Centric

Industry 5.0 will radically change how companies work in the next ten years. It will no longer be just about automating and optimizing processes. Instead, it will make workers' lives easier, more productive, and more meaningful.

We live in an era of mass production and increasing automation where machines take over people tasks with little human labor. However, a new industrial revolution is coming our way, aiming to improve workers' lives using technology rather than replacing them with robots.

This article will examine what Industry 5.0 means for business owners today: how they can stay competitive with this new trend and how employees can benefit from it!

Key Takeaways:

  • Industry 5.0 is a new era in the industrial revolution that aims to integrate artificial intelligence, automation and robotics into production processes, while enabling workers to play an active role in decision-making.
  • Industry 5.0 is characterized by close collaboration between machines and humans, promoting the exchange of information in real time. Technologies such as the Internet of Things (IoT), artificial intelligence and augmented reality are used to optimize production processes and improve overall efficiency.
  • Industry 5.0 offers many advantages to workers. It enables them to concentrate on higher value-added tasks, while repetitive and monotonous tasks are automated.
  • Industry 5.0 has a significant impact on business productivity. By integrating advanced technologies, production processes become faster, more precise and more efficient. Machines and people work together, optimizing resources and increasing overall production.
  • Implementing Industry 5.0 can encounter certain challenges. There may be resistance to change from workers. What's more, implementing new technologies and integrating Industrie 5.0 requires significant investment in terms of time, resources and training.


What is industry 5.0, and how will it radically change your business strategy

Industry 5.0 is a human centric industrial revolution. It's the next phase of the Industry 4.0, a revolution that we've seen in the last decade or so. This evolution supports human creativity and promotes mechanized efficiency, creating an ecosystem where human and machine workers can work together more effectively to solve problems faster than ever.

In 2020, the CODIV-19 pandemic swept around the globe. The resulting economic turbulence created an environment ripe for Industry 5.0 to take root and grow stronger than ever. While Industry 4.0 had already established a base in manufacturing, logistics, and supply chains management by empowering smart machines to make decisions based on real-time data, Industry 5.0 is now ready to take over the world. It's looking to impact every company, from marketing to finance, from automotive industry to industrial sectors, etc.

How will it revolutionize business?

Industry 5.0 is about augmenting the digital transformation of businesses with the efficient integration of skilled workers with technology so that they collaborate more meaningfully in a safe environment.

Essentially, it's about supporting human intelligence and creativity while supporting technologies through new tools like 3D printing, collaborative robots (cobots), AI/ML, digital twins, blockchain, etc.

This revolution is not just a matter of technology. It's about harnessing the power of human beings and machines to create new opportunities, unlock value and drive growth.

It means building a culture that supports innovation, experimentation, and creativity while ethically harnessing automation. As a result, many organizations are beginning to invest in high-performance human-machine partnerships that enable more significant levels of automation across their business operations.

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A Recap of the Industry 4.0

Industry 4.0 marked a breakthrough in manufacturing and communications, and started around 2014-15. It was a revolution that brought together the physical and digital worlds and changed how we think about industrial production. Industry 4.0 is continuing its course, but it is not without challenges.

For any revolution to happen, there must be some resistance. Otherwise, the movement cannot be sustained and will never reach its full potential.

  • The first challenge was getting all parties on board with the new technology; some companies stuck to their old ways, while others wanted to embrace change. There were also issues around data privacy and security, as well as too much reliance on the Internet of Things (IoT) devices which could leave them vulnerable if they become infected by malware or viruses.
  • Another challenge was the fear of job displacement with the increase in automation and artificial intelligence. This meant that many people were uncomfortable with machines taking over their jobs, making them more resistant to change.

Despite these challenges, there are opportunities for human operators to work in the manufacturing sector of the Industry 5.0 if they have skills they cannot automate. This means you must learn new skills to stay ahead of technology and remain relevant in your job market.

Industry 5.0: the next phase of the industrial revolution


The next phase of Industry 4.0 is Industry 5.0, which will change how we work, live, play, and learn. It is an extra step further into automation, connected devices, AI systems, robotics, and human-machine collaboration.

The driving factor of the Industry 4.0 was the digitization of information, which allowed us to access and share data in new ways. The Industry 5.0 is the next step in this evolution, where we will see an exponential increase in connectivity between people, machines, and data that unlocks previously untapped value.

To bring this into the present, we have seen many jobs automated by robots or artificial intelligence (AI). However, rather than people losing jobs, many jobs will be created, requiring people with new skills. For example, in The Future of Jobs Report 2020, the World Economic Forum predicts that industrial automation will displace about 85 million workers but create 97 million new jobs by 2025 across 26 countries. This means that it is essential for companies to invest in people's education and training to participate in this new cycle.

Industry 5.0 is not only about automation and collaborative robots but also about creating new jobs and ensuring that people remain at the center of the production process.

It offers many opportunities for companies to improve their competitiveness, increase productivity, and reduce costs while respecting people's rights. The European Union calls it 'people-centric' and is committed to ensuring people are not left behind.

This approach acknowledges that people are a company's biggest asset. They embody knowledge, expertise, and ideas; create solutions; make them happen; build things from scratch; innovate as individuals, teams, or groups.


The three pillars of the Industry 5.0

At the heart of Industry 5.0 are three pillars:




A human centric industry in the new industrial era

People are at the center of processes and decision-making. They have a say in how things work, define the process by which they do their job, understand what is happening around them, and are not merely cogs in a machine but part of a more extensive system. Human-centricity is the first pillar that defines Industry 5.0, a manufacturing process whereby technology enables society to serve people's needs better and be more humane overall.

This is a move away from the Industrial Revolution, in which people were merely cogs in a machine. People were removed from the process and thought of as expendable commodities. The human element is fundamental to Industry 5.0. You can see this in how people interact with technology. Indeed, it's about understanding how the human mind works before designing systems that work for people.


The ability to adapt quickly to change is critical for Industry 5.0 companies who want to stay competitive in a changing world of uncertainty (new technology, changing market needs).

Industry 5.0 companies must rapidly shift their focus to stay ahead of the curve and adapt to market changes. This is where resilience comes in. It's about being able to bounce back from failure, learn from mistakes, and move forward with a positive mindset despite setbacks.

Resilience is also about ensuring that businesses have the proper infrastructure to continue operating at a high level even if natural disasters or other crises occur.

The ability to stay positive in the face of adversity can be a powerful tool for companies that want to increase their chances of success in today's volatile business landscape. It works well with sustainability because it helps companies to stay on track with their goals and objectives.

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Adding new skills for human workers means that companies can reduce costs while still providing quality products/services to customers.

It also means that employees will likely stay longer with their employer. Indeed, they feel valued by being given new opportunities for learning and growth in their careers.

The bottom line is that employers who invest in their employees' lifelong learning are more likely to see higher levels of engagement, productivity, and profitability. This is good for companies and benefits society since it leads to stronger communities with more opportunities for everyone.

Sustainability is also about implementing circular processes that enable the reuse, repurposing, and recycling of natural resources, reducing waste and environmental damage, optimizing energy management, and increasing the efficiency of our manufacturing processes.

It is about ensuring that we leave a better world for future generations, and this is why companies must invest in people and processes that provide a more sustainable future.

Businesses need to build on the successes of the Industry 4.0 by implementing a new set of rules and policies that meet today's challenges and opportunities. The Industry 5.0 will require companies to rethink their economic model and how they run their businesses.

Companies should also reconsider how they measure success to align themselves with the values of society at large. We need new metrics that measure human well-being and environmental impact to create a more sustainable future.


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How to achieve Industry 5.0

Industry 5.0 will be a reality in the next few years. However, how soon it fully arrives depends on your business and industry. The key components are already beginning to play today. As these trends grow in popularity with consumers, companies will compete more fiercely than ever by adopting cutting-edge technology that gives their products an edge over their competitors.

If you're not prepared for Industry 5.0 yet (or want a refresher), here are some tips to get started:

  • Recognize Industry 5.0 as a growing trend and be aware of its potential impact on your business.
  • Embrace your people's ever-increasing needs and empower them to succeed, fulfill their potential and contribute to the organization's success.
  • Provide the proper training and skills development so human workers can adapt to changing times.
  • Invest in the necessary technology and infrastructure to become a digital business.
  • Build a collaborative culture focusing on innovation, agility, and speed.
  • Create an open environment that encourages employees to share their ideas, collaborate, and work with partners outside the organization (including customers).
  • Keep your customers top-of-mind by using data analytics tools to gain insights into customer needs, preferences, and behaviors. Then, you can deliver better products and services faster.


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Management in Industry 5.0

The next generation of management will focus on developing and empowering the workforce to take ownership of achieving organizational goals and creating an open culture that encourages employees to share their ideas, collaborate, and work with partners outside the organization (including customers). It also involves using data analytics tools to gain insights into customer needs, preferences, and behaviors so you can deliver better products and services faster.

Managers play a critical role in industry 5.0 by providing the leadership and guidance needed to successfully implement the new technologies and processes required to deliver value to customers. The role of managers will evolve from focusing on efficiency, control, and compliance to empowering employees, promoting innovation, and facilitating collaboration.

The shift from industry 4.0 to 5.0 is not just about technology. It's also how we work together as a team. It requires a different approach to leadership and management, focusing more on trust, empowerment, and collaboration.



How can this new industrial revolution help your business?

The idea of Industry 5.0 is not confined to manufacturing. Still, it can apply across all sectors—including services, agriculture, and retail businesses—to create a competitive advantage for companies in every industry.

Industry 5.0 has the potential to transform the way we live and work by making it easier for companies to innovate faster than ever before. The future of Industry 5.0 will be defined by how well companies can adapt to advanced technologies, how they use it to create new products and services for customers and how they train their employees for the jobs of tomorrow.

When it comes to the future of manufacturing, you can take several different approaches.

  • You may focus exclusively on Industry 4.0 and its automation benefits.
  • Alternatively, focus on increasing human-machine collaboration with Industry 5.0's emphasis on people-centricity.

Your business's most logical long-term strategy might be a combination of both. This approach incorporates the best qualities of both models: personalization and improvement through machine learning capabilities, enabled by your workers' ability to learn faster than ever thanks to new technologies like UTrakk.

Industry 5.0, will change how manufacturing works forever. Focusing on human-centricity will radically improve people's quality of life and future generations.

UTrakk is a Daily Management System (DMS) that supports skill evolution and operation management. UTrakk's skill-based approach enables you to create more value with fewer resources while fostering a more favorable work environment for employees.

Don't hesitate to contact us today to learn more about how you can prepare for Industry 5.0 and how UTrakk can help you do that.


What is Industry 5.0?


What are the main characteristics of Industry 5.0?


What are the benefits of Industry 5.0 for workers?


How does Industry 5.0 impact business productivity?


What are the challenges of implementing Industry 5.0?


Ready to revolutionize your business with Industry 5.0?

Proaction International's experienced coaches offer personalized support to help you effectively integrate Industry 5.0 into your organization's day-to-day operations.

Jean-Philippe Raiche

Jean-Philippe Raiche

Partner – Strategy and Development A partner at Proaction International, Mr. Raiche holds advanced degrees in mechanical engineering and quality. As an expert in the effective integration of performance and excellence best practices, he has accompanied more than a thousand companies in America and Europe over the past two decades, in addition to giving conferences and contributing to several publications about quality and performance.