Skills Vital to Enabling Transition to Industry 4.0 in Southeast Asia

Skills Vital to Enabling Transition to Industry 4.0 in Southeast Asia

As governments in Southeast Asia gear their economies towards the increased adoption of Industry 4.0 or Fourth Industrial Revolution (4IR) technologies such as automation, robotics and Artificial Intelligence (AI), many are concerned about the impacts that these technologies could have on jobs. To respond to these concerns, the Asian Development Bank (ADB) commissioned AlphaBeta on the study, “Reaping the Benefits of Industry 4.0 Through Skills Development in High-Growth Industries in Southeast Asia”, to assess the potential impact of Industry 4.0 on jobs in the region, and develop policy recommendations.

The study reaffirms a positive outlook to 4IR creating new opportunities for quality jobs. While many jobs will indeed be lost as a result of automation, new jobs will emerge through the adoption of technologies that will increase worker productivity and competitiveness of nations, thereby leading to greater prosperity. However, tapping such benefits is predicated on increasing investments in skills development, and greater efforts by companies to upskill their workforce. Workers will need to learn the skills required to perform the new and higher-order roles to complement new technologies.

The study covers Cambodia, Indonesia, the Philippines, and Viet Nam with specific focus on two industries in each country deemed important for growth, employment, and Industry 4.0: tourism and garments in Cambodia, food and beverage manufacturing and automotive manufacturing in Indonesia, information technology and business process outsourcing and electronics in the Philippines, and agro-processing and logistics in Viet Nam.

Read more and access the full report at the ADB website by clicking the button below.

For the individual country reports, please click on these links: CambodiaIndonesiaPhilippines, and Vietnam.

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