The globe is changing daily if not hourly in terms of technologies and innovation. It means shifting consumer expectation while increasing awareness of gender equality and restoration of previously marginalised societies is paramount.
These major shifts have considerable impact on the future of manufacturing in the 21st century Africa.
If manufacturers in Africa, just like in Europe and Asia, can balance combination of elements in production and supply chains economics; durable and reputable products; loyal customers and reliable online business strategies, Africa will then have positioned itself strategically in the future industrial marketplace.
Technological progresses have given rise to the revolutionary Industry 4.0. This phenomenon represents the complete digitisation of factories and manufacturing facilities that will ultimately merge with the unique needs of individual customers, resulting in benefits like customised product design and manufacturing processes and speed to reach to market to maximise customer satisfaction levels.
Industry 4.0 still comes with host of benefits for manufacturers such as cost, profitability, productivity and operations that producers are striving to control optimise and enhance. Similarly, these opportunities extend to small and medium businesses, enabling them to establish new business models and integrate into global value chains.
Though skeptics are concerned that Africa lacks the requirements of global advancements to capitalise on technological initiatives, African countries are uninhibited by infrastructure legacy challenges, thereby providing a higher degree of flexibility than their developed counterparts.
Accordingly, Industry 4.0 remains a considerable opportunity for African manufacturers, ultimately giving the continent a leading edge over the global economy.
Equally, the Fourth Industrial Revolution will provide improved levels of safety to manufacturing facilities. Human beings are restricted by the tasks they are can perform in hazardous environments and the degree of accuracy to which they can complete task. Machines, on the other hand, are far superior in terms of executing these tasks safely as well as their level of competency, essentially minimising workplace accidents along with Workman’s Compensation claims.
By encouraging industrial safety, automated machinery enables producers to reduce medical claims of workers, reduce downtime, save on long-term capital expenses and improve overall productivity for African industrialists.
Still digitalisation will empower rural and micro business entrepreneurs, whereby advanced data analytics available to them on their smartphones can enhance partnerships among stakeholders along the entire value chain. Such connectivity provides support for their daily operations through tasks such as acceptance of digital payments and gaining insight into their customers so they can devise appropriate marketing strategies responsive to collected data.
This ultimately places them on an equal footing with more established businesses with the capital to access this data via expensive in-house software development. This access unlocks the opportunity for small business owners to apply for bank loans at long last, as they have incontestable evidence –data-supporting their revenue and cash flow projections.
Africa is considered the world’s fastest growing economy; six of the 10 fastest growing economies in the world are in Africa. The continent’s business-to-business expenditure’s manufacturing is projected to reach $666.3 billion by 2030; an increase of $201.28 billion extra compared to previous four years.
As the buying power of its middle class continues to rise, demand for products and services on the continent subsequently increases, thereby enabling sustainable economic growth and integration amongst regions.
National organising secretary, Ford Kenya
