INDUSTRY 5.0 definition

Michael Rada
7 min readJan 21, 2018

Post prepared and rejected by WIKIPEDIA.ORG on February 2nd, 2017, and published on LINKEDIN on February 3rd, 2017

Industrial revolutions and future view

INDUSTRY 5.0 is future, but already penetrating trend, of change processes directing towards closer cooperation between man and machine, and systematic prevention of waste and wasting including INDUSTRIAL UPCYCLING.

INDUSTRY 5.0 priority is to utilize efficiently workforce of machines and people, in synergy environment. It goes back from virtuál environment to real one.

This make the biggest change to INDUSTRY 4.0 which: „ Creates what has been called a “smart factory”. Within the modular structured smart factories, cyber-physical systems monitor physical processes, create a virtual copy of the physical world and make decentralized decisions. Over the Internet of Things, cyber-physical systems communicate and cooperate with each other and with humans in real time, and via the Internet of Services, both internal and cross-organizational services are offered and used by participants of the value chain

Industry 4.0 valuate best quantity and mass production

Industry 5.0 valuate life standard, creativity and high quality custom made products.


1. Name

2. Design principles

3. Meaning

4. Effects

5. Challenges

6. Role of waste prevention

7. Impact of INDUSTRY 5.0


The term INDUSTRY 5.0 has been firstly introduced on December 1st 2015 in article published withing the LINKEDIN social network by Michael Rada. The article is named From Virtual to Physical and have significant response with the Linkedin members. Afterwards the name, so as logo, has been used by many (see external links for moe details)

Comparing with INDUSTRY 4.0, which is being considered as next industrial revolution, but is more a systemic transformation that includes impact on civil society, governance structures, and human identity in addition to solely economic/manufacturing ramifications, the INDUSTRY 5.0 founders prefer to speak about next step in EVOLUTION.

If we go throught the INDUSTRIAL REVOLUTION history, the individual steps are defined following way:

  • The first industrial revolution mobilised the mechanization of production using water and steam power
  • The second industrial revolution then introduced mass production with the help of electric power
  • The third industrial revolution is named as well digital revolution and the use of electronics and IT to further automate production.[5]
  • The fourth industrial revolution has been applied to significant technological developments several times over the last 75 years, and is up for academic debate. [6][7][8] INDUSTRY 4.0, on the other hand, focuses on manufacturing specifically in the current context, and thus is separate from the fourth industrial revolution in terms of scope.

It is very interesting to watch the significant trimming of the time needed to go from one revolution to next one. In this point of view the introduction of INDUSTRY 5.0 just four years of first introduction of INDUSTRY 4.0 is not an exception, but winner.

See details referring to INDUSTRY 4.0 introduction and development.

The term “Industrie 4.0” was revived in 2011 at the Hannover Fair.[9] In October 2012 the Working Group on Industry 4.0 presented a set of Industry 4.0 implementation recommendations to the German federal government. The Industry 4.0 workgroup members are recognized as the founding fathers and driving force behind Industry 4.0.

Industry 4.0 Workgroups [10]

Co-Chair Henning Kagermann and Siegfried Dais

WG 1 — The Smart Factory: Manfred Wittenstein

WG 2 — The Real Environment: Siegfried Russwurm

WG 3 — The Economic Environment: Stephan Fische

WG 4 — Human Beings and Work: Wolfgang Wahlster

WG 5 — The Technology Factor: Heinz Derenbach

Industry 4.0 Workgroup members

Reinhold Achatz, Heinrich Arnold, Klaus Träger, Johannes Helbig, Wolfram Jost, Peter Leibinger, Reinhard Floss, Volker Smid, Thomas Weber, Eberhard Veit, Christian Zeidler, Reiner Anderl, de:Thomas Bauernhansl, Michael Beigl, Manfred Brot, Werner Damm, Jürgen Gausemeier, Otthein Herzog, Fritz Klicke, Gunther Reinhart, Bernd Scholz-Reiter, Bernhard Diener, Rainer Platz, Gisela Lanza, Karsten Ortenberg, August Wilhelm Scheer, Henrik von Scheel, Dieter Schwer, Ingrid Sehrbrock, Dieter Spatz, Ursula M. Staudinger, Andreas Geerdeter, Wolf-Dieter Lukas, Ingo Rühmann, Alexander Kettenborn and Clemens Zielinka.

On 8 April 2013 at the Hannover Fair, the final report of the Working Group Industry 4.0 was presented.[11]

It is very interesting to see that the last “INDUSTRIAL REVOLUTION” started from the top, but the the EVOLUTION resulting in development of INDUSTRY 5.0 started from the ground, by one and single man and his project.

The first public speaking on the topic was realized within a logistics conference LOGISTICS RIDE, held in November 2016 in Ostrava, Czech Republic, presenting already results achieved by implementation of the principles.

Design principles

Despite the fact of its complexity, is the INDUSTRY 5.0 based on simple but efficient tools, which are 6R Methodology and L.E.D. principles

Starting with 6R. This define the order of actions and it is a superstructure to existing, but not functioning 3R principles applied mainly in WASTE MANAGEMENT industry

The Order and Steps are as follow







The 6R principles are applicable not just in one segment, like WASTE PREVENTION, but in almost all life and business cycles.

The L.E.D. principles (Logistics Efficiency Design) has been introduced few years earlier and has been defined in projects aiming the Global Supply Chain efficiency increase. The principles are


The L.E.D. principles, same as 6R are applicable outside the INDUSTRY 5.0.


Despite the fact that the founder named firstly his work INDUSTRIAL UPCYCLING, has the clients renamed it to INDUSTRY 5.0, mainly due to the ability to achieve immediate changes without the need of significant capital investment.

Some sources, try to compare INDUSTRIAL UPCYCLING so as INDUSTRY 5.0 to CIRCULAR ECONOMY principles, but the simple comparing is not suitable, due to the fact that to implement the circular economy, significant capital investments are needed at the start, and this is what makes it struggling on the way to implementation.

More accurate is the SUSTAINABILITY TOOL comparing, for same as sustainability, the INDUSTRY 5.0 is continuous process of development equal to EVOLUTION of nature and same waste and wasting prevention principles are being implemented within the structure.


In spite of the fact that the first waste prevention project was by founder realized already in 2010, the first full scope application took place in late 2013. From 2014 INDUSTRIAL UPCYCLING become the only systematic waste prevention tool applicable to industrial environment in the world. The effects of application are to be understand on three levels

  • First Economical
  • Second Ecological
  • Third Social

First effect on Economy is the result of waste and wasting prevention projected to the value of material and products, including the logistics costs connected. The achievement of ZERO WASTE environment, mean cut off all the cost related to waste management, but that’s not the total number.

Second effect on Environment is the result of same activity. The systematic utilization of the On-The-Ground-Mines results in lack of need of further natural resources exploitation.

Third effect on Social environment concentrate on link, which has been completely forgotten in INDUSTRY 4.0, on Human. The efficient cooperation between Human and Machine, utilizing its unique skills and abilities establish high efficient working environment for production of high quality products. INDUSTRY 5.0. does not concentrate just on “workforce in right age group” but define the possibilities open to Junior, so as Senior workers, so as groups, which are being for some reason not considered as useful.


Challenges which have been identified and has to be solved for INDUSTRY 5.0 development

  • Legal issues caused by disproportion between technology development, social evolution and the changes reflected within the society and business environment
  • Aging society with low and high level “Seniority” “Juniority” rating
  • Overproduction
  • Lack of transparency implemented in many processes and industries
  • Application of “wrong tools” pretending good, doing evil
  • Dependency on IT and electricity
  • General reluctance to change by stakeholders


Majority of modern industries are profit and volume oriented. This fact results in volume of waste and wasting generated within the process of production, so as within the supply chain. Automotive industry which is being taken as ROLE MODEL of efficiency presents, that one car is being produced in 47–54 seconds on production line (Taking the value adding time). The fact is that in No-value adding time the components spent up to 90! Days on the way. (Information taken from LEAN Value Stream Mapping investigation realized within the supply chain of several automotive TIER 1 suppliers)

This example show clearly how significant can be the impact of waste prevention on the whole picture. Starting from simple waste bins, up to process changes. There are four types of waste identified in INDUSTRIAL UPCYCLING.

  • SOCIAL WASTE — People willing to work, but having no opportunity to apply the will
  • URBAN WASTE — brownfields, not necessary needed Greenfields, empty spaces, inadequate infrastructure
  • PROCES WASTE — empty trucks on the routes, overstock, overproduction

Impact of INDUSTRY 5.0

Projects realized in line with INDUSTRY 5.0 ad INDUSTRIAL UPCYCLING proposition confirms affect to many areas, most notably:

1. Services and business models

2. Profitability of business

3. Reliability and continuous increase of efficient productivity

4. IT security

5. Machine and Human safety

6. Product lifecycles increase

7. Industry value chain environemntal impact decrease

8. Workers’ education, skills and involvement increase

9. Socio-economic factors improvement

I hope and believe that the absence of having “OWN WIKI POST” will not stop INDUSTRY 5.0 and INDUSTRIAL UPCYCLING reach the world of global business.

If you want to learn more, see examples and case studies, discuss the INDUSTRY 5.0 and INDUSTRIAL UPCYCLING application in your own business environment, please feel free to visit the online gate, or just contact me directly on



Michael Rada

I am HUMAN. This is the only title you can find after 30 years in business on my business card. Since 2013 I build wasteless world. I am founder of INDUSTRY 5.0