INDUSTRY 5.0 and BUSINESS 5.0
When asked by the editor Dr. Pawan Kumar to submit the chapter for the publication named OPPORTUNITIES AND CHALLENGES OF BUSINESS 5.0 IN EMERGING MARKETS, I was honored. The reason was that on December 1, 2022, INDUSTRY 5.0 celebrated 7th year of own existence being launched on December 1st, 2015.
Some readers may be confused what is the relationship between BUSINESS 5.0 and INDUSTRY 5.0. The answer is that there is a direct relationship because, without INDUSTRY 5.0, there will not be BUSINESS 5.0, the same as HR 5.0, HEALTHCARE 5.0, and many more. All 5.0 marked industries and businesses have been launched several years after the launch of INDUSTRY 5.0 because of the success and global reach of INDUSTRY 5.0.
To understand the reason for the global success we have to go even two years back in time, before the launch of INDUSTRY 5.0, and reach the year 2013 in which the first waste prevention methodology applicable for industries was introduced and tested in the industrial environment. It was named INDUSTRIAL UPCYCLING and from the very first moment, it delivered results far above the expectation of all involved parties. Immediate savings of the waste management cost, saving in procurement, in processes, across the global supply chain same as in the cost of manpower, all these without any capital investment. This is why the companies who agreed with implementation came 15 months later with the statement that “IT IS NOT METHODOLOGY Mr.RADA, YOU CREATED COMPLETELY NEW INDUSTRY” I spend the time to find the right name to keep the continuity so needed in an industrial environment.
From the very beginning was INDUSTRY 5.0 not constructed as the next industrial revolution, but as the FIRST INDUSTRIAL EVOLUTION EVER LED BY MAN (HUMAN) and especially the HUMAN aspect in connection with EVOLUTION was what makes INDUSTRY 5.0 so significantly different, being called industrial disruption just a few years later.
At this moment I would like to mention that WASTE is for INDUSTRY 5.0 not just the physical trash, but there are five categories of waste that are being prevented to happen
PHYSICAL — SOCIAL — URBAN — PROCESS WASTE and WASTING OF TIME
The last category was added in September 2022, based on the proposal of the INDUSTRY 5.0 AMBASSADOR in NORWAY, Svein Gaute Bleivik.
5.0 indicates the need of taking corrective steps in INDUSTRY 4.0, steps that during the COVID pandemic and later during the WAR IN UKRAINE, become a necessity because it shows up that INDUSTRY 4.0 created the most fragile industrial environment in centuries.
There have been two issues
- the lack of meaningfulness of HUMAN work
- the strong boost of overproduction and waste generation
INDUSTRY 5.0 deliver the answer and this is why its principles based on systematic waste prevention are applicable in all industries, regions, and on all continents.
BUSINESS 5.0 is one of the results, but it starts with one big handicap, the absence of BUSINESS 4.0, 3.0, 2.0, and 1.0 definition and existence, because I am not aware they have been defined the same as for example HUMAN 4.0, BANKING 4.0 or LOGISTICS 4.0
INDUSTRY 5.0 is the same as the INDUSTRIAL UPCYCLING BLUE OCEAN project, in fact, is one BLUE OCEAN that grows from small and local to global size represented after just seven years of existence in 111 countries of the world (network created in just 21 months 2020–2022).
The reason for its growth is not connected just to the efficiency or sustainability topics, but to the fact that it does not create the next silo or individual industry, but is becoming part of all existing industries because all of them waste adopting waste as one of their standards.
This makes INDUSTRY 5.0 not only the biggest of all industries but the most profitable one, with an estimated value reaching over 1Q USD in April 2022.
Here comes the time to link the idea of BUSINESS 5.0
According to English WIKIPEDIA is a business defined as
“Business is the practice of making one’s living or making money by producing or buying and selling products (such as goods and services).[1][2][3][4] It is also “any activity or enterprise entered into for profit.”
If you analyze and think deeper about this definition or definitions, you recognize that the first part is missing the opportunity that profit can be generated not only from production or trade but by systematic cutting down of the cost, which is directly related to the WASTE PREVENTION.
From this perspective must BUSINESS 5.0 strongly modify its function and in fact get back to the roots and origin of BUSINESS, in some cases even back to the times when no money or financial transaction have been involved. In fact, this transformation has already begun, it just becomes different names, one of the most frequent ones is the SHARING ECONOMY
INDUSTRY 5.0 break the silos, and this is why BUSINESS 5.0 has to adopt this strategy and become more flexible. We have introduced the term MLR, which means MULTI-LEVEL RELATIONSHIP which expresses well the change. Instead of negotiating just on one level, the negotiations must include multiple stakeholders at the same desk discussing the business from various perspectives. Not a pyramid, but a cube, is the ground stone for constructing the WASTELESS WORLD FOR ALL, the world in which not just personal profit will lead business, but the social-economical-environmental aspects would be taken into consideration at the same moment.
The very important aspect of successful transformation to BUSINESS 5.0 is the right understanding of the role of the ON-THE-GROUND-MINES or so-called EXISTING RESOURCES. These are responsible for implementation speed and significant reduction of new business costs and investments. The possibility of reaching to product or solution, instead of waiting for it to be developed turns the business into an agile tool for the fast and efficient development of unique and custom-made solutions.
The biggest advantage would be not the lowest price anymore but the highest efficiency, and longevity instead of short-term or single-use. Multipurpose instead of a single one and so on.
Business 5.0 will redefine the relations, and applications, being part of INDUSTRY 5.0 it will concentrate on glocalization instead of globalization. There are so many aspects, that not one chapter, but not even one publication will be rich enough to deliver and describe all of them.
Before the end of my chapter let me emphasize one very important fact. There is only one INDUSTRY 5.0. It is the one described in the birth certificate published on December 1, 2015, in an article named INDUSTRY 5.0 FROM VIRTUAL TO PHYSICAL. This published text written and published by me personally makes me the owner of IP rights despite the fact the term INDUSTRY 5.0 can not be patented. There are many FAKE NEWS and CONCEPTS introduced by those who need new click-bite or sales tools for their own products or technologies. In fact, it is rather easy to recognize the fake
I would like to wish all the readers to understand that TRANSFORMATION can be successful only if they start to be transformed first, becoming ROLE MODELS which others will follow, becoming the next ROLE MODELS.
There is only one role model for INDUSTRY 5.0
NATURE
because NATURE DOES NOT WASTE
This is why I wish you all have a nice time free of waste and wasting in all its forms, stay safe and free, and if any questions about INDUSTRY 5.0, feel free to ask, just add my name to the search engine or search for INDUSTRY 5.0 DEFINITION
Michael Rada, HUMAN
INDUSTRY 5.0 FOUNDER
