The key is to connect FA, IoT, AI, and CPS to support automation.

To address current manufacturing challenges, IRS Global published a report titled "Manufacturing Innovation in the Fourth Industrial Revolution: Market and Technology Standardization Analysis and Response Strategies for Smart Manufacturing and Smart Factories."
Traditional factories have often relied on skilled workers, highly skilled staff, and experienced managers to operate, but relying solely on human intervention has its limitations when it comes to detecting malfunctions, detecting defective products, improving productivity, and optimizing energy consumption.

As devices become increasingly sophisticated, IT technologies supporting factory operations, such as the introduction of factory automation (FA) devices that support automation, the spread of IoT, and the practical application of AI, are continuously evolving.

As product quality and condition, factory equipment operating status, and line information become more accurately linked, various options for energy conservation and productivity improvement become available.

Realizing smart factories To achieve this, technologies such as IoT, AI, big data, manufacturing robots, and CPS are required, and the key is to operate the factory while linking them using cutting-edge technologies.

The United States, with its leading technology, is highly regarded in the areas of production sites, IoT, communications, factory operation systems, business, and platforms, while Germany is considered the best in control systems. While South Korea's communications technology is also highly regarded, its technological prowess in other areas remains weak, at only 72.3% of that of the United States, the world's leading technology leader.

Our government is actively promoting the creation of a smart ecosystem centered on small and medium-sized enterprises (SMEs), with the goal of establishing 30,000 smart factories by 2025.

So far, the level of distribution is mainly SW, and advanced smart manufacturing technologies such as industrial IoT and cyber-physical systems are being attempted mainly by large corporations, and there are not many success stories among small and medium-sized enterprises.

The global smart factory market is projected to reach USD 17 billion in 2020, a 9.3% increase from 2019. By region, Asia-Pacific is projected to account for an overwhelming 44% of the total market, reaching USD 7.5 billion.

The domestic smart factory market is estimated to be the third largest in Asia, following China and Japan, and its growth rate is expected to be the second fastest after China, reaching a market size of $10.2 billion in 2020.

An IRS Global official stated, “We planned and published this report by comprehensively analyzing and organizing not only market trends by field, such as platforms and equipment for smart manufacturing and smart factories, but also various technology development trends, such as 5G, IIoT, AI, CPS, manufacturing robots, and industrial sensors, as well as major domestic and international cases and standardization response strategies.”