Industry 4.0 Driving the Productivity Leap of the Electrical & Electronics Sector

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The Malaysia Productivity Blueprint (MPB) launched in May 2017 is one of the strategies under the 11th Malaysia Plan to unlock productivity for the country. The Ministry of International Trade and Industry (MITI) has been driving the productivity enhancement initiatives for the Electrical and Electronics (E&E) industry, which has been identified as one of the nine priority subsectors in the MPB. Evidently, the E&E industry is the backbone of the manufacturing industry, contributing 36.7% of total exports and 27.8% GDP share of total manufacturing in 2017.

In an effort to further boost E&E’s contribution to the economy, the Electrical & Electronics Productivity Nexus (EEPN) led by industries and supported by the Government was formed in 2017. Key strategies for the E&E industry under implementation by the EEPN include enhancing higher value-added activities, nurturing the E&E talent pool, accelerating the adoption of Industry 4.0 and strengthening the development of local E&E small medium enterprise (SMEs).

To ensure the success of the initiatives under EEPN, the Delivery Management Office (DMO) of Malaysia Productivity Corporation (MPC) undertakes the role to coordinate, monitor and evaluate delivery efforts of the MPB with Dato’ Wong Siew Hai as the Chairman of the EEPN. This Next Gen Manufacturer Conference 2018 jointly organised by Intel and EEPN in MITI is an initiative under the key strategy to accelerate adoption of Industry 4.0. The event exemplifies the synergy of cooperation between industry players and the Government in spurring the productivity growth of Malaysian E&E companies. The Conference aims to accelerate Industry 4.0 adoption amongst the E&E industry by bringing industry players, ecosystem providers and key Government agencies together to discuss about the real things that matter to companies when starting the Industry 4.0 journey. Besides the sharing of thoughts and views by panellists and technical experts, the Conference featured a unique Workshop that took the 400 participants through a to-do list for embarking on the Industry 4.0 journey. 2

“I am pleased to note EEPN and INTEL’s active role in undertaking such awareness programmes to drive the adoption of Industry 4.0, in line with the Government objectives. It is important for industry players and public sector to collaborate to drive the Industry 4.0 agenda for the country. More importantly, adoption of Industry 4.0 should be a bottom-up approach instead of top-down where industry players themselves need to take charge and push for rapid adoption.” said Dato’ Seri Ong Ka Chuan, Deputy Minister of International Trade and Industry. Dato’ Seri Ong emphasised, “as a developing country that has aspirations to become a high income nation by 2020, the greatest challenge in facing this disruptive revolution is mindset change. Thinking that Smart Manufacturing, Industry 4.0 and factory modernization are only for large multinational companies is a general misconception. With the race towards Industry 4.0 on, our industry especially SMEs must be more innovative and creative to continue moving up the global value chain with the help of new edge technology.” Besides providing a platform for the Malaysian E&E ecosystem to network, conferences such as this, hopes to provide Malaysian E&E manufacturers the impetus to quantum leap to become the drivers of Industry 4.0 adoption in the quest for productivity optimisation. Strong collaborations between stakeholders from multiple expertise and backgrounds are essential towards ensuring that the potential value available is unlocked and fully utilised to propel Malaysia’s industry towards global market in this era of new revolution.

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