**6. Emergence of industry 4.0**

The nexus of these three trends leads to the emergence of what has been termed "Industry 4.0". As noted by Amaba et al. [10], "the terms "Industry 4.0" and "Manufacturing 4.0″ describe the fourth wave of the Industrial Revolution." Each phase was driven by unique technological advances. Industry 1.0 was based on steam power to drive production machines. Industry 2.0 harnessed electricity, mass production and labor division. Industry 3.0 was driven by "computer automation and the use of electronics and IT to further automate production with robotic machines that augmented or replaced operators" [10].

The rise of Industry 4.0 is achieved by integrating digital systems with physical systems (i.e. a cyber physical integration) across the value chain to achieve intelligent manufacturing operations, otherwise known as "the smart factory." Technologies supporting Industry 4.0 include [11]:


An internet-of-things (IoT) enabled device, broadly defined, is a device connected to the internet, allowing users to access its data and to control its functions

#### *Concepts, Applications and Emerging Opportunities in Industrial Engineering*

remotely [10]. For example, in manufacturing systems, data can be collected from all of the factory workstations to make system operations transparent and enable smart operation decisions to improve various key performance measures [11]. With IoT, a large amount of data from multiple similar subjects/devices/machines are available in real time. The dimension and volume of the data collected is often very large and contains data of different and diverse types. These features set forth the need to rethink many traditional predictive and prescriptive methods to adapt to the unique data features collected, and real-time predictions and decisions often at very high frequencies [12].
