Guidelines On Industry 4.0 and Drone Entrepreneurship For VET Students
Guidelines On Industry 4.0 and Drone Entrepreneurship For VET Students
This project has been funded with support from the European
Commission. This material reflects the views only of the authors, and
the National Agency and European Commission cannot be held
responsible for any use which may be made of the information
contained therein.
“Guidelines on Industry 4.0 and Drone Entrepreneurship for VET students”
Authors: Catalin Gheorghe Amza; Doru Cantemir; Ioana Cantemir; Anastasia Oikonomoula; Paweł
Poterucha; Giulia Salucci; Paulina Spanu; Francesco Tarantino; Mike Triantafillou.
Publishing house: Danmar Computers LLC ul. K. Hoffmanowej 19, 35-016 Rzeszów
www.danmar-computers.com.pl
Rzeszów, 2018
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Table of content
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1. Industry 4.0
The term of Industry 4.0 was first used in 2011 at Hannover Messe, in Germany as a basic concept
for the fourth industrial revolution. Currently, the concept of Industry 4.0 is a general title for the
automation and data exchange in manufacturing sectors.
Considering its basic components, the Fourth Industrial Revolution includes different global
concepts:
in Europe the “Industry 4.0” concept is considered a new technology based on the Cyber-
Physical System, defined as the combination of physical and cybernetic systems. The Cyber-
Physical Systems are used to develop the autonomous productive processes.
in China – “Made in China 2025” is an initiative to comprehensively upgrade the Chinese
industry by 2025. The” Made in China 2025" principles are:
o to make manufacturing innovation-driven;
o to emphasize the quality over quantity and to achieve green development;
o to optimize the structure of the Chinese industry and focus on the human capital.
in Japan - The “Innovation 25” plan is a long-term strategy initiative of the Japanese
government for the creation of innovation to promote economic growth until 2025. The
long-term strategic guidelines “Innovation 25,” has the following basic concepts based on
the characteristics of innovation:
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o setting the goals high and anticipating challenges for the future;
o timely and effective adaption to the globalization and advancement of digitalisation;
o embracing the changes that come with diversity and reforming of a society filled
with possibilities;
o focusing on the human resources development - encouragement of people who
think creatively or “out of the box”.
The United States – the „Smart Manufacturing” concept is a term coined by several agencies
such as the Department of Energy (DoE) and the National Institute of Standards and
Technology (NIST). Wallace and Riddick describe Smart manufacturing in short as “a data
intensive application of information technology at the shop floor level and above to enable
intelligent, efficient, and responsive operations.” The main objectives are: plant wide
optimization, sustainable production and agile supply chains.
Moreover, the Fourth Industrial Revolution describes a ``smart manufacturing`` that uses
information technology to change the way products are made by focusing on cost reduction and
efficiency.
The concept Industry 4.0 was originated in 2011 at the Hanover Fair in Germany and was accepted
and implemented by most industries in other countries.
The First Industrial Revolution (Industry 1.0) was based on the mechanized production thanks to
the harnessing of water and steam power. Steam engines were first used in the textile industry and
later spread in many other industries.
The Second Industrial Revolution (Industry 2.0) was characterized by the use of new energy source -
electricity and mass production. Mass production systems were usually based on assembly lines and
together with the use of interchangeable parts, led to increased productivity.
The Third Industrial Revolution (Industry 3.0) was the result of electronic technology and
information used to automate manufacturing.
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The Fourth Industrial Revolution (Industry 4.0) combines the virtual and physical world of
production, machines, systems and sensors to communicate with each other, to share information
and to control each other independently.
Nowadays, many companies are using Industry 4.0 as a buzzword for their activities. It is known that
over 75% of manufacturers are already investing in digitalization and in integrating Industry 4.0 into
their production.
Moreover, the 4.0 industry concept is becoming more and more profound, being transferred from its
original field of application in industrial production to other fields such as Logistic 4.0 and Education
4.0.
Generally, Industry 4.0 is focused on creating intelligent products, processes and procedures.
The features of the Industry 4.0, that make it revolutionary in the era of information technology, are
the following [1]:
Interoperability: the ability of machines, devices, sensors, and people to connect and
communicate with each other via the Internet of Things (IoT) or the Internet of People (IoP).
Information transparency: the ability of information systems to create a virtual copy of the
physical world by enriching digital plant models with sensor data.
Technical assistance: first, the ability of assistance systems to support humans by
aggregating and visualizing information comprehensively for making informed decisions and
solving urgent problems on short notice. Second, the ability of cyber physical systems to
physically support humans by conducting a range of tasks that are unpleasant, too
exhausting, or unsafe for their human co-workers.
Decentralized decisions: the ability of cyber physical systems to make decisions on their own
and to perform their tasks as autonomously as possible.
Cross solution. The operator interaction is the same regardless the kind of control system
architecture, the peculiarities of different plants are normalized through the Cloud
Database; the uniformity of the information is the main benefit for the user and a basis for
the economy of the companies.
Modularity [2]: the ability to adapt fast and smoothly to seasonal changes and market
trends.
All these features make companies more flexible and responsive to business trends. They
become more innovative, increase productivity and self-optimize the production.
In the future, a larger number of consumers and producers will be digitally interconnected, leading
to the highest level of personalization of products. The companies will be able to respond to
customer issues much quicker by accessing real-time data. Devices, process control systems,
manufacturing execution systems will be connected to IoT platforms.
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The sensors will be integrated with the production equipment in order to monitor their functionality
and to predict when maintenance should be performed. The equipment will be repaired when
needed, ahead of manufacturing non-compliant products. Furthermore, the machinery status and
productivity data can be recorded and transmitted in real-time to the cloud for data statistical
analysis. This is particularly useful when it comes to reducing the maintenance costs.
Devices equipped with sensors could also be integrated into the industrial environment by using
Virtual Reality and Augmented Reality technology. In this way, we can display real-time processes
through computer-generated sensory inputs, such as video and sound, or simulation models. The
use of augmented reality together with the availability of real-time data from the industrial
environment helps the staff involved in industrial activities, while providing clearer information
about the working processes. Augmented Reality and wireless systems should be used for data
sharing and visualization of factory information through the cloud to help improving working and
monitoring processes.
With mobile and cloud applications, the 3D printing technology will continue to grow in the future. It
is estimated that the potential economic impact of additive manufacturing based on reduced cost
(compared with buying items through retailers) and the value of customization could range from 100
billion to 300 billion dollars per year by 2025 [3].
Significant growth of the sales is estimated for the industrial equipment with sensors and actuators
that can exchange data with other machines and computer networks in real time via the cloud.
According to the studies by Price Waterhouse Coopers (PwC), about one third of companies have a
high level of digitization. Industrial digitisation is expected to increase from 33% to 72% over the
next five years. A significant number of companies are developing new products and services with
digital features that cover the entire life cycle of the product.
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2. Incorporating drones into Industry 4.0
Industry 4.0 is mainly about new innovative business models embracing the new possibilities offered
by the new technologies. As can be seen from the case studies presented in the brochure
“Guidelines on the use of drones in VET” published by the eduDrone partnership, the Drones
Technology clearly offers new possibilities and allows for new innovative business models.
Nowadays, drones are seen as a revolutionary tool for Industry 4.0.
Moreover, drones can be part of or can benefit from the main Industry 4.0 components, as it is
detailed bellow.
CPS are integrations of computation and physical processes and an important component of Industry
4.0. Drones can be used both as mobile sensors, acquiring and transmitting data about processes
and as actuators, performing various physical operations.
Big Data
Drones enable a huge amount of data to be gathered, via cameras or sensors. All that data needs to
be stored and processed in order to benefit from it and here is where Big Data technologies step in.
The integration of drones and the IoT has huge commercial potential. Drones acting like sensor
platforms integrated with ground-based sensor networks through the IoT can provide value in
countless applications.
Autonomous robots
A properly equipped drone can act like a flying robot and can be integrated in assembly and
manufacturing processes, to move parts across large factories or to perform various other
operations.
Additive manufacturing
Additive manufacturing (or 3D printing) can be used to achieve reduced weight and high modularity
of drone systems.
Also, the 3D printing technologies can be combined with drone technologies and used, for instance,
to maintain and repair infrastructure. Such solutions already exist on the market. For example, the
Fly Elephant 3D printing drone which has an extruder that can be used for 3D printing with plastic,
concrete mix or other materials.
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Fig. 3. The Fly Elephant 3D printing drone (Credit: DediBot)
AR can equip drones with an advanced range of capabilities, opening up new opportunities for
business. A drone + AR system allows users to receive critical information in addition to the real-
time video stream from drone’s camera. This can be very useful in industrial inspections, firefighting,
disaster rescue, etc.
Cloud Computing
Drones can be connected to the Internet, becoming a cloud infrastructure and being able to provide
their resources and services. Also, there are cloud-based web applications that provide real-time
flight monitoring and management for drones. They could, for example, detect and prevent
potential collisions by automatically adjusting drone flight paths.
Cyber security
The use of drones has many cyber security implications, with drones being both possible target and
potential offender.
The Industry 4.0 aims to incorporate more and more devices to give the maximum intelligence to the
processes developed within these environments. Among these devices, drones have a distinct role to
play.
A drone is, actually, a flying robot and can be integrated in a given workflow in order to help
companies to do things easier, more efficiently and much safer. Drones can be incorporated in
assembly and manufacturing processes, in repair and maintenance operations, delivery, surveillance,
etc.
A drone can be also a flying industrial sensor or a mobile device for data gathering, this opening a
broad range of possible applications for Industry 4.0.
Drones can be an essential part of industrial automation. An industrial drone is fitted with cameras
and IoT sensors able to measure parameters like temperature, humidity, atmospheric pressure,
motion, electric and magnetic field strength, coronal arc discharge, cell phone signals, methane
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levels, etc. The acquired data can be processed on board and/or communicated to a control system
or directly in cloud.
Other characteristics that enables drones to have a great impact within the Industry 4.0 are their
flexibility and usefulness in different industrial sectors. They can be employed in engineering,
maintenance, critical infrastructure monitoring, asset management operations, etc. with the aim to
improve and optimize industrial processes as well as enhance operational efficiencies.
Some of the drones’ application for Industry 4.0 will be discussed below. Other applications are
already in place and, definitely, many others are still to come.
Industrial inspections
Drones become an integral part of industrial inspections due to their ability to operate without any
human intervention for prolonged periods, to gain inspection data from hard to reach or unsafe
areas and to ensure consistent inspection. By using high definition cameras and IoT solutions, drones
are able to quickly recognize key inspection points and to immediately gain a complete 360-degree,
high-resolution overview of the inspected objective. This data can be send to an IoT platform to
analyse it and identify specific areas of concern, to auto-detect potential issues and predict
degradations. Using IoT, computer vision, artificial intelligence algorithms and deep learning
techniques the inspection process became a smart process of the Industry 4.0 that enables quick
reaction in case of issues, prioritization of detailed inspections and maintenance activities as well as
Predictive Maintenance.
Infrastructure monitoring
Intelligent solutions based on high-speed data analytics combined with Industrial IoT, cybersecurity,
and sensor-mounted drones are increasingly used to monitor critical infrastructure like factories,
refineries, power grids, wastewater treatment, mines, well platforms and other oil and gas assets,
etc.
Delivery Systems
Drones are becoming increasingly popular intelligent logistics tools in manufacturing and other
industries. In 2017, Amazon filed a patent for an AI-powered drone that can “conduct a speech
dialog with a nearby person in order to request information and/or answer questions.” Audi tested
the use of drones for automated transport of parts in factory halls.
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Agriculture
Drones are important assets for the transformation of agriculture towards Industry 4.0., especially
due to their ability to collect data and measurement. As in other sectors, drones can connect with
intelligent platforms and can be empowered by a broad array of new technologies enabling the
production of useful tools like 3D maps for soil and field analysis or information on crop health,
vegetation index, irrigation efficiency, crop development. In addition, the drones can perform
operations such as planting or crop spraying.
Supply chains are transformed by the Industry 4.0 revolution and the advanced physical
technologies, such as drones, are an important part of this transformation. Drones can act as plug-
and-play aerial robots able to:
autonomously navigate through warehouses and avoid obstacles
detect, identify, and locate parcels thanks to advanced computer vision and sensors
combined with artificial intelligence
automatically upload resulting scans to the cloud and synchronize it to the inventory
management system
ensure scalable and increasing inventory accuracy, reducing operational costs, and
improving employee safety.
Mapping
Mapping and aerial imaging are providing vital information for companies activating in construction,
mining or energy: topography, natural resources, environmental contamination, etc. Drones
supported by new technologies can produce very accurate 3D maps that are further used to analyse
job sites and mines, to assess risks, to measure the volume of excavated materials, to make
informed decisions.
Other applications
Drones equipped with specialised sensors can detect leaks, can be used in hot and/or hazardous
areas unsafe for humans carrying traditional portable spectrometers. Also, they can monitor specific
chemicals in a process to optimize yield and to reduce emissions.
Drones are very powerful and versatile industrial tools capable of completing a broad range of
applications. They are increasingly used to improve and optimize industrial processes as well as to
enhance operational efficiencies. Automated drones are valuable assets for several industry sectors
due to their capabilities related to data gathering and analysing as well as their nearly limitless
visibility.
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Drones are having a great impact on the Industry 4.0 thanks to their relevance for most of the
Industry 4.0 key features, as is described below.
- Interoperability – through the IoT devices mounted on board, drones have the ability to
connect and communicate with other machines, devices and people.
- Virtualization – drones are able to monitor physical process through their sensors, providing
data required for modelling and simulation. In addition, they can make use of 3D models, for
example in planes or ships inspections.
- Capacities in real time – drones can respond in real time based on the information gathered,
for example to avoid collisions. In addition, they enable other elements and processes of
Industry 4.0 by delivering real-time data.
- Service-orientation – Drone-as-a-service is a reality and offer a new wealth of business
opportunities. Many other services on the market are involving drones.
- Decentralization – Artificial Intelligence is granting the drone an ability to make decisions
independent of the pilot.
- Modularity – drone solutions may be configured to act as a plug-and-play module that can
be added to existing processes.
These advanced machines are helping entire sectors to accelerate the digital transformation of their
operations and are adding value to other emerging technologies. There are many applications were
drones have a distinct advantage over the traditional methods and this is a key factor for further
increase of their impact on Industry 4.0. The possibilities for drones to create value in an Industry 4.0
environment are limitless.
Autonomous robots are among the nine technologies considered to form the building blocks of
Industry 4.0. and drones are, in fact, autonomous flying robots. Therefore, their crucial role in
Industry 4.0 is very clear.
Drones need to become smarter in order to maximize their usefulness and to be broadly adopted in
the factories of the future.
Autonomous drones
Autonomous drones are devices programmed to perform tasks needing no input or control from the
pilot once the destination or task is set. Smart sensors are controlling and monitoring the flight while
guiding is provided by computer vision systems along with object detection and collision avoidance
programs. They can be even more adaptable thanks to AI or algorithms. When the start button is
selected, the drone takes off and does the work according to the programmed mission. This is a very
important feature, a mandatory requirement for most of the Industry 4.0 applications.
- the ability to detect and avoid traffic (cooperative and non-cooperative) and multiple types
of obstacles
- appropriate datalinks for command and control (the identification, allocation and
protection)
- cyber resilience (in order to mitigate against theft or deliberate use of the drone)
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- human factors, to manage the transition towards effective solutions regarding contingency
and failure management
- validation to the regulator
- high precision navigation.
Various companies developed collision avoidance technologies and algorithms for drones. However,
much more work is required to make drones safer and more reliable.
In some applications, like maritime surveying, the drones can be pre-loaded with a 3D model of the
object to be inspected. This allows the drone to autonomously work its way around the object,
stopping at points of interest to obtain detailed video or image data.
Artificial Intelligence
The true potential of drones can be unleashed if key enabling technologies of Industry 4.0 like
Machine Learning, Internet of Things and Big Data are used to make them true intelligent machines
and to efficiently process the gathered data.
The Artificial Intelligence (AI) is increasingly used in drone projects and this is set to boom, making
drones become more and more intelligent in the next years. This will definitely boost their use in
many sectors and help a lot the implementation of Industry 4.0 on a large scale. Drone operators can
use AI to augment their own abilities, thus increasing their competitiveness and customer
satisfaction.
AI gives the drone the capability to make decisions independent of the pilot. For example, it could
have the ability to identify unfavourable flight conditions and bypass them entirely. In addition,
Machine Learning allow drones to take data and the result of their actions, and use that to make
decisions in the future. This removes pilot from repetitive and time-consuming tasks.
AI also allows pilots to examine in real time the data gathered, when drone pilot also acts as the data
interpreter. Thus, efficiency is increased and greater value is delivered to the customers.
Drone swarms are another great way to leverage AI. These can use AI to operate under loose
commands from their operator. For example, for data acquisition, the area for data gathering is fixed
and the swarm of drones then maps the area autonomously. Employing AI, they are able to avoid
each other and the obstacles while also performing their mission in the most efficient way possible.
Drone swarms are ideal for missions involving large areas and a high level of detail. Other
applications can involve heavy parts moving by multiple drones, drone writing in the sky or other
drone shows, etc.
AI drones used in automated infrastructure inspections not only perform safe and efficient
surveillance but, thanks to their Machine Learning capabilities, they are also able to analyse the large
volume of images to identify patterns and/or map the images to detect anomalies in data. Machine
Learning is the key to unleash the drone inspection’s true potential.
IBM’s Watson internet of things technology is already used by drone operators. The visual
recognition application programming interfaces analyses the drone-taken images to detect issues
like equipment defects or damaged cabling.
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Watson IoT interacts with information received from devices and sensors to learn or analyses it for
patterns and can, for example, help making decisions on repairs timing.
A team of researchers from MIT has created an algorithm that enables a drone to monitor its own
“health” while in flight and take action as necessary. The drone can monitor its fuel levels, and check
for damage to its propellers, cameras and sensors. If a problem is found, the drone can take an
alternative route that includes a charging station, or select another action to minimize potential
damage.
Drones using AI have many applications: automated surveillance, identification of violent behaviour
in crowds, objects detection, airplane inspections, traffic and roads supervision, etc.
Smart features
Some of the features that can make a drone smarter are given below. Many others could be
considered.
Communication
Next-generation Smart Drones could be fitted with technology that allows them to connect to a
cloud-based drone traffic management system, which would provide constant communication,
navigation and surveillance, directing drones and warning them of congestion or severe weather
ahead. NASA and the Federal Aviation Administration (FAA) are working on such an unmanned
aircraft systems traffic management (UTM).
Smart sensors
A decisive factor for the quality and application possibilities of industrial drones is the built-in sensor
technology. Sensors to detect the presence (and the course) of other aircrafts and obstacles, in real-
time, are a must for integrating drones in industrial applications.
Cameras with 3D sensors technology are able to not only acquire images but, also, they send the
feedback to on-board computers to be used for orientation, navigation and recognition to
implement obstacle avoidance.
Thermographic cameras are using infrared radiation and are able to effectively display different
temperatures of given objects with a pinpoint precision. Pairing IR, which can see through smoke,
with a mobile drone that can sense and avoid obstacles on its own, is an intriguing use that could
save lives in the case of a plant fire.
MIR sensor detects the specific frequencies of liquids or gases when they interact with light and was
developed by the MIRPHAB European project. It could be fitted on a drone and used in wide range of
applications: chemical sensing in processing applications, emissions monitoring, hazard detection,
etc.
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Augmented Reality (AR)
AR is a great way to complement the drones’ capabilities. AR glasses featuring a transparent heads-
up display designed to allow seeing drone's live video feed or flight statistics while also keeping an
eye on the actual drone are quite common.
AR drones are very useful in applications related to industrial inspections, disaster rescue, etc. For
example, they can provide firefighters with crucial information regarding the building they are about
to enter. In addition, during the rescue operations they can get real time data about what areas are
unsafe and about to collapse, how and where to find survivors, etc.
Smart Factory is the centrepiece of the Industry 4.0, a structure where intelligent machinery
equipment is connected to the Internet of Things allowing for a level of automation and control
greater than ever before.
With increased technological capabilities and connectivity, drones are one of the latest technologies
to fit into the smart factory, at various stages of the process. Right now, the drones are not much
used in manufacturing. According to Federal Aviation Administration, manufacturing is accounting
only for 1.5% of the USA market. Uses include asset monitoring, visual inspection and inventorying
by scanning RFID chips and bar codes. The main reasons for the little use of drones in manufacturing
are related to the complexity of the job, safety concerns and legislation. Drones must became
smarter and safer to be trusted in a major operations.
However, as their potential is enormous and the technology is advancing, we will see more and more
drones integrated in manufacturing processes.
Drones can be used in various stages of the manufacturing process, from the discovery of raw
material sources to materials handling, transporting products, inspections, quality monitoring, etc.
Within the warehouse, drones can measure inventory, using barcodes, QR codes or radio-frequency
identification technology.
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Fig. 5. Top Industries using drones. Credit: FAA
Drones can improve plant safety by performing difficult or dangerous tasks. They are small and
manoeuvrable so they can access places that might be difficult for a human to get to. Once there,
the drone can start to perform the desired task, for example inspecting equipment, repairing
equipment or mixing chemicals where it would not be safe for humans to do so.
Drones could detect parts failure on the production line and immediately report back to the control
system or plant manager, thus preventing downtime. In addition, if a member of staff urgently needs
a spare part, a tool, etc. they can simply pick up a tablet and have it delivered by drones, thus
avoiding wasting production time.
German automaker Audi is one of the companies that are making good use of Industry 4.0
technologies at its factories to improve the plant and supply chain processes. Audi tested also Drone
Technology in the Ingolstadt factory.
Two types of applications have been tested – automated transportation of parts in factory halls and
camera-based repair and maintenance. Autonomous drones, with the ability to detect obstacles and
to avoid collision, have been used.
In a traditional automobile plant, the transport infrastructure is very crowded and there is usually no
more space for additional transport paths. Most of the parts needed by in series production are
transported to the desired place at the specified times by conveyor vehicles moving along the floor.
However, this system has its limits: the case of a subsequent order of parts, a so‑called urgent
call‑off, can sometimes lead to long replacement times. A faster alternative in this case would be to
employ drones that are carrying the goods on a direct route through the air.
The use of drones for automated component transport has been tested by logistics experts in the
factories. In early September 2016, the first drone was in the air for the transport of components in
an Audi plant, carrying out test flights on a production‑free day.
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The test route of the drone was defined mainly in a straight line through the production hall,
including also one change of direction to the right and two to the left. The quadcopters, with the
four rotors enclosed for safety reasons, have mastered their programmed routes with no problems.
Outdoors and under normal conditions, with a stable GPS signal, short flights like this would not
pose a significant technical challenge. However, the things are different inside an automotive plant
where severe safety rules apply and the departments involved (Logistics, Assembly, Occupational
Safety) place different requirements on supply through the air.
The first tests and all flight manoeuvres were carried out via remote control by specially trained
pilots supported by intelligent sensor technology, developed especially for the needs of the
automotive industry. Off course, the drones’ potential clearly lies in their automated use. The
drones’ flight speeds were initially limited to 2.2 meters per second, the speed of conventional
floor‑vehicles.
According to Audi, the results of pilot test were positive, although there are still many limits, such as
battery life and the fact that drones cannot handle heavy parts like engines or other large
components.
Audi is not pursuing further the plan to use drones in production because the current legal
framework in Germany does not allow to use drones in closed surroundings, such as a production
hall. If the regulations were changed, Audi could think about reviving the project.
Additional scenarios for drones implementation in Audi factories include supplying the production
lines with urgently needed spare parts, general servicing and maintenance work or monitoring tasks
with the aid of their cameras, a follow-me function for trucks on the plant site and the high‑speed
transport of urgently needed instruments such as a defibrillator for use in first aid.
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3. Industry 4.0 and Drone Entrepreneurship
In order to be able to define what an entrepreneur is, one must first think, what we define as
entrepreneurship. In existing literature, there are many different definitions available on what we
define as entrepreneurship. For the purposes of this brochure we are going to use the definition
coming from the Harvard Business School and the Professor Howard Stevenson, which is the
following:
The key components of the definition is the words “pursuit”, “opportunity” and the phrase “beyond
resources controlled”
“Pursuit” implies a singular, relentless focus. Entrepreneurs need to stay alerted, as they are often
given limited opportunities in success. They need to show tangible progress to attract resources, and
the mere passage of time consumes limited cash balances. Henceforth, entrepreneurs have the
characteristic of urgency that is not usually seen in established companies, where resources and
opportunities are more promptly available.
“Opportunity” implies an offering that is considered as innovation in one or more of four ways.
The opportunity may include:
1) The development of a real innovative product;
2) The formulation of a new type of business model;
3) The creation of an improved or more price competitive version of an extant product;
4) The change of sales target group (e.g. targeting an existing product to new sets of
customers)
The above list of opportunity types is not exhaustive, as there are more set of opportunities
available, depending on the nature of each venture or organization. In addition, the opportunities
can be combined e.g. a new venture might employ a new business model for an innovative product.
“Beyond resources controlled” implies resource constraints.
At a new venture’s outset, its founders control only their own human, social, and financial capital.
Many entrepreneurs in their start, try to keep costs to a bare minimum while they invest only their
own time and where necessary, their personal funds. In some cases, this is enough to bring a new
venture to the point where it becomes self-sustaining from internally generated cash flow.
On the other hand, in the cases of high-potential ventures, founders must mobilize more resources
than they control personally: the venture eventually will require further production facilities,
distribution channels, working capital, and so on.
From the above we understand that it is very difficult to give a specific definition to an entrepreneur,
providing that individual entrepreneurs don’t fit to standard models. Entrepreneurs are known for
thinking outside of the box and going against the grain in their efforts to create valuable goods and
1 (Eisenmann, 2013)
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services for society. Their economic role involves making smart decisions about what people might
want in the future. Such a task requires certain personality and character traits, which can be found
common to different entrepreneurs such as:
- Passion for your business concept
- Innovation driven
- Persistence and vision to make their dream into reality
- Strong character (integrity, honesty, respect toward others, personal responsibility, good
judgment)
- Courage and willingness to take risks
Drone Entrepreneurs face the same issues that any tech-based business may face such as:
Of course there are some other elements that are common in every new venture, that an
entrepreneur needs to be careful of, such as customer service, reliability, legitimacy and of course
brand identity but what a drone entrepreneur needs to change mostly, are the traditional ways
people do things in different sectors, and introduce drones into this. For example, in delivery
services how can people be convinced about the benefits of using a drone instead of a delivery
truck/person? A drone entrepreneur needs to market their product/service effectively and persuade
the market and consumers about the benefits of the use of drone technology in different sectors
(drones can be faster/cheaper etc.). In today’s business world, as a drone entrepreneur you need to
prove that you’re able to do it better than anyone else, and show that you can make use of the latest
technologies to save time, money, and reduce risk and drones have become a tool to help you do
just that.2
Successful drone entrepreneurs such as Jordi Muñoz and Chris Anderson, the co-founder and
founder of 3D Robotics3, one of the largest and vast developing Drone businesses in California, USA,
express the opinion that the future of the drone entrepreneurship doesn’t rely much in the further
development of drone technology itself, but more on how it can be used. According to Muñoz, we
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need two types of entrepreneurs now: people who can make the technology do new things and
perfect those things (this will mostly be with new software built on our existing platforms); and
people who can apply the technology in new and meaningful ways. The next drone revolution, will
be about the people who figure out what to do with drones: how to make them do new things, and
how to use them to do new things. 4
The future is bright for drones in business. With retail giant Amazon using drone tech to deliver
goods, and Facebook's ambitious plans to deliver wireless internet connectivity to remote areas, the
opportunities for businesses to develop around this technology is enormous. Below you can find
some interesting drone’s business opportunities in various sectors.
Agriculture
Drones are already appearing on farms, but haven’t yet reached a critical mass. The role of drones in
agriculture can be helpful in both large and small farming areas, with operations such as water
management and disease management. Drone enterprises will soon be able to offer services such as
improvement of planting and crop rotation strategies with the use of drones and provide a higher
degree of all-around knowledge of how crops are progressing day-to-day in different parts of a given
field. This boost in crop intelligence should make farms more efficient and help smaller operations
compete with the more well equipped big agricultural operations5.
Prior to the development of drones, taking photographs or video from the air required the costly
rental of fixed-wing or helicopter aircraft. Now with the low-cost drones equipped with high-
resolution cameras, taking aerial images becomes an easy and affordable solution for
photographers. Images and video taken from the air offer a perspective that cannot be matched
from the ground, and drones can safely operate at much lower altitudes and in more confined
spaces than aircraft. Photographers and filmmakers now routinely use drones to take high-quality
images and video from the air such as landscapes. The business opportunities in this sector can
range from wedding video coverage businesses till launching a filmmaking studio that specializes in
the field of aerial footage. Such a company can work with both direct consumers as well as a wide
range of business to business customers. Aerial footage is an impressive way to promote a business
and it can greatly benefit different types of businesses, from accommodation spots to real estate
agencies and entertainment spots such as theme parks.
4 https://www.virgin.com/virgin-unite/business-innovation/how-become-drone-entrepreneur
5 https://www.profitableventure.com/drone-business-ideas/
20
Drone Sales, Repair, Training and Customization
Drone repair is another excellent business idea. It is true that drones are fragile devices that can be
easily damaged, especially if misused. Even though the cost of buying a drone is considerably lower
than it used to be, still drones are in many cases too expensive to be just “thrown away”. In case
you are interested in becoming technical expert with drones and are mechanically inclined with
knowledge of electronics, drone sales/repair/customization is a great business idea for you. Having
in mind the future drone-use expansion in other sectors of our everyday lives and the fact that
drones require knowledge and skills to be safely operated, the market demand for experienced
drone instructors will increase6.
Security is another sector that is considered as a great drone-business opportunity. Drones can be
operated day and night and even capturing live footage of inspections. Here are some examples of
drone uses and business opportunities in the security sector:
- use of drones for investigative and detective work: with drones you can get limitless
information without being in the field. The drone will travel the distance and uncover or get
information from restricted areas.
- use of drones for protecting industrial estates, business centres, schools and playgrounds
and possibly entire communities
- use of drones detecting other threats to property such as intrusion, fire and water leaks. Live
video feeds from drones can be sent to the home/business owner's mobile device, to a
central monitoring facility, or directly to emergency responders.
Building inspections by a person costs a lot and of course it can be a dangerous process as it involves
(especially in multi-store buildings) people in high altitude carrying equipment while making the
inspection in parallel. With drone technology, however, building inspections can be done in a safer
and cheaper way. A drone can perform a close-up survey of the exterior of a building and deliver
high-resolution video of the roof, gutters, chimneys, enabling the building owner to detect trouble
spots in advance.
Delivery
Drone-based delivery services is also another business opportunity. While still restricted to a pretty
low maximum load-bearing weight (25 kg including the drone itself), delivery-by-drone is considered
6 https://www.thebalancesmb.com/best-drone-business-ideas-4125154
21
another much-needed application especially for remote areas where travelling by road can be
difficult and hard to reach7.
-Studying tropical cyclones: with the current climate change, tropical cyclones and storms are
becoming more and more frequent. The application of drones will enable studying tropical cyclones
(atmospheric pressure along they eye wall of the cyclone etc.) with safety8
-Medical use of drones: e.g. smart portable drones will be used by doctors during a colonoscopy
procedure
-Documentary journalism: drones can replace cameramen for documentary journalism especially in
dangerous areas such as war zones
-Volcanology experimentation: the application of the drone is to visualize the current location of the
lava lake that is unreachable by human presence due to extreme heat9.
-Town planning: use of drones for real estate purposes, mapping and designing of real estate,
housing and industrial complexes.
3.3.1 Inclusive drone business for people with fewer opportunities (disabled
people)
Drone Technology can play an important role, due to the fact that it can be used for the social
inclusion of people with disabilities. There are different types of disabilities, such as people with
mobility problems, persons suffering from hearing disorders, speech disability or persons with
invisible disabilities, that could participate in a training procedure. The skills that will be acquired
through training, will let them carry out with success, different tasks in the security business sector.
The invasion of drones in the educational procedure will help them not only to get interested in the
technology sector but also to regain their strength to acquire professional skills and their personal
development and satisfaction. When this translates into a profession with objectives and benefits,
this satisfaction can only increase.
Indeed, the fact that drones can navigate to a location faster than a person and reduce the risk,
constitutes a great opportunity for disabled people to find a job in security sector and a strong
motivation for companies to hire people with disabilities, tackling the discrimination in work place.
Disabled workers fit in well in the world of drone operation, as long as they have the training to fly
them and abide by the right regulations. Drone operator can be a highly rewarding profession for the
disabled people especially those with movement impairments. With the right training and
7 https://www.businessnewsdaily.com/9276-commercial-drones-business-uses.html
8 http://grinddrone.com/applications/40-drone-applications-list
9 http://grinddrone.com/drone-features/advantages-and-disadvantages-drone
22
technology, they can control a highly-technical machine that they may have assumed was impossible
to master in the past. In the workplace, they would also get to make decisions and discoveries that
may have a massive impact on the development of a project for increasing the disabled people social
inclusion through training and employment e.g. as HandiDrone.
HandiDrone10 is an innovative project that has as an aim to assist in the fight against the
discrimination of disabled people by equipping those with disabilities with valuable job skills in
emerging fields. LADAPT, a French association for social and professional inclusion of people with
disabilities, in coordination with digital agency Kindai developed the HandiDrone program. The
initiative gives those with mobility issues access to drones and teaches them how to be drone pilots.
- -fosters the social inclusion of disabled people by introducing them to emerging and
innovative employment sector
- raises their employability skills in a creative sector
- gives physically disabled program participants the chance to "experience the tranquillity and
control of being outside their own bodies through FPV flying."
The obstacles and challenges for a drone entrepreneur fall mostly into 3 categories a) insurance b)
safety c) privacy. Drone technology is a quickly developing technology and is still undergoing many
changes, especially regarding the regulatory framework, either in an EU or in a national level. The
challenges are that you need to take all the necessary measures and follow the regulation
framework of each country you plan to operate. If you have already started to operate a drone
venture you need to keep up with the regulations regarding the above themes and of course adjust
your actions accordingly.
A. Insurance
The use of drones in connection with a business activity is allowed in many European
countries, but under very strict conditions. In most countries a professional drone user
needs different authorizations/licenses from their National Aviation Authority before they
can start any operation. Here is a summary of insurance rules in EU:
In Europe, professional drone operators flying over the territory of an EU Member State
must comply with Regulation (EC) 785/2004 on insurance requirements for Air Carriers and
Aircraft Operators. Article 4 indeed stipulates that “‘Aircraft operators […] shall be insured in
accordance with this Regulation as regards their aviation-specific liability in respect of […]
third parties.” The Regulation has as a main aim to ensure that there is a minimum level of
insurance requirements that will secure adequate compensation for victims in case of an
accident. In spite of the appealing opportunities and characteristics of the drone technology,
all professional users should always have in mind that drones belong to the aircraft category
10 https://www.trendhunter.com/trends/discrimination-of-disabled
23
and can create serious damages especially if they are misused. As a professional operator
you are responsible to have applicable insurance and liability requirements and make sure
you are adequately insured for flying your drone11.
B. Safety
In Europe, the majority of the National Aviation Authorities (NAA) have established
aviation safety rules regulating the use of drones in the airspace. These rules aim to
regulate drone operations and secure that their use will not become dangerous towards
people and properties or for other airspace users (airplanes, gliders, helicopters, etc.)12
It is essential that a drone entrepreneur knows the local flight rules before operating in a
country and follow some basic safety rules.
Pilot training obligations to ensure that potential operators have all necessary skills and a
basic understanding of aviation safety rules. In many countries, prospective operator will be
required to pass a written exam and a flight test. In case you are not the user, but the owner
of a drone business it is advisable first to have a basic understanding of pilot obligations and
of course hire a certified drone pilot for your operations.
The obligation for your drone to have an airworthiness certificate attesting that it is safe to
fly.
C. Privacy
In Europe, every citizen has a fundamental right to privacy and to the protection of his/her
personal data13. This right is regulated by the General Data Protection Regulation which sets
out the various requirements for the collection, processing and storage of personal data. As
a professional drone operator, you must always respect these rights and strictly comply with
11 http://dronerules.eu/en/professional/obligations/summary-of-insurance-rules-in-eu
12 http://dronerules.eu/en/professional/obligations/summary-of-safety-rules-in-eu
13 http://dronerules.eu/en/professional/obligations/summary-of-privacy-rules-in-eu
24
the applicable privacy and data protection legislations. Failure to comply with these rules
may result in significant financial and/or legal consequences.
You can find more about the drone regulations in each country, in the European Legislation Map
http://dronerules.eu/en/professional/regulations
Indeed, according to a recent study of the Research and Markets, the firm projects that the yearly
value of AM manufactured parts in the drone industry to reach $1.9 billion, driving over $400 million
in yearly sales of AM equipment, software, materials and services14.
So, which exactly are the additive manufacturing opportunities in the drone sector? Additive
manufacturing contribution in the drone manufacturing can play a major role and can offer the
following:
It’s cheaper to create them: If you’re not an experienced drone pilot, crashing and breaking
parts of your aerial vehicle can cost you a lot. Instead of having to buy new parts for your
drone, you can 3D print your own spare parts as needed16.
Improved Performance: one of the most important elements regarding the performance of
a drone is its weight. The weight of a drone affects its flight time, with the heavier drones to
fly less time than the lighter ones. A light drone remains more stable in case of crashes and
abrupt/hard landing and they tend to have improved battery life. With the 3D printing you
can choose the material in order to reduce the weight of your drone and make it more agile
in the flight
Save you time and effort: Instead of searching and ordering the specific part of a drone and
waiting for it to be delivered in cases of online shopping or visiting the hobby/model store of
14 https://www.researchandmarkets.com/research/bwxwqf/additive
15 https://www.entrepreneur.com/article/292815
16 https://all3dp.com/3d-print-drone-parts/
25
your area you can just 3D print spare parts of your drone. This will save you a lot of time and
effort.
Apart from the electronic elements of the drone everything else can be 3D printed, below you can
find some examples of the parts you can 3D print17.
Propellers
Landing gear
Camera mounts
Antenna holder
Remote casing
There above list is not complete, as you can 3D print numerous functional as well as non-functional
accessories for your drone such as propeller guards, cases for transportation and mounts for various
cameras used on FPV drones.
As we can see the business opportunities are increasing for the drone entrepreneurs and the drone
manufacturing as the additive manufacturing technology advances.
17 https://all3dp.com/3d-print-drone-parts/
26
4. Teaching Industry 4.0 and Drone Technology (DT) to VET
students
Global Drone Technology Market in Education Sector is a growing market with a CAGR of 14.61% in
Information & Communication Technology, Information Technology sector during the period 2017-
2021. The Drone Technology Market in Education Sector has covered rapid development in the
current and past years and is probably going to proceed with a continuing development in the
upcoming years18.
There are many factors that may drive us to use drones in the education sector:
- Development of high-level digital skills;
- Incorporation of thermal imaging in drones;
- Cost-effective technology;
- Continuous development in drone technology;
- Didactic innovation;
- Make learning fun.
Below you can find the examples of the companies and institutions along with the main
characteristics to present global drone technology market.
BonaDrone
BonaDrone is a Spanish company that provides teachers with tools that can help attract students
towards IT and STEM technologies and disciplines.
Their tools involve 3D designing through CAD software, 3D printing and the operation of drones, as
well as manuals and documentation for the teachers. BonaDrone provides drones along with a
manual for its assembly and also a manual directed at all the STEM disciplines.
Teachers can therefore easily integrate the drone technology in their curricula.
BonaDrone provides:
● Three different kits;
● Two types of drones;
● Syllabus on drones;
● Manuals;
● Courses for teachers.
OnPoynt
OnPoynt is an American company specialized in the creation of drones for educational purposes.
Their products are durable so that many generations of students can work on them without them
breaking and they also come with manuals and booklet with resources related to STEM disciplines
18(Prnewswire.com, 2018)
27
that can be used in the classroom.
Their kits include from 1 to 4 drones, the equipment to assemble them, the manuals and more. For
safety, it is suggested that only kids 18 y.o. or older program the drones, but they can be assembled
and used by kids, that are at least 14 years old.
FabLab
FabLab is a company that provides training, machines, equipment and support for projects related to
technology and 3D printing. They collaborate also with schools in the territory of the Bologna
Municipality, both encouraging field trips to their workshop and activating projects with the schools
to improve their curricula.
FabLab is currently working with secondary schools and institutes from Bologna.
They provide:
● courses to implement already existing curricula;
● Training courses for teachers and educators;
● Digital and technical assistance;
● Field trips to make your projects come true.
An Italian school for students wishing to become surveyors has successfully introduce drones in one
of its curricula dedicated to designing related to buildings, the environment and the territory.
This will give the students competitive skills in the labour market and the collaboration with a local
flying school will allow them to get their license.
The school has one drone the students can practice with. The environment is completely safe for its
use and the students are followed during their practice by certified instructors from the local flying
school.
The competences they acquire through this curriculum will give them access later to professions in
fields such as the protection of the environment and the cultural heritage or the study of the
territory.
In the education system it is often hard to find or organize activities that can include people with
disabilities. Formal education, for example, is not always inclusive for people with learning
disabilities, such as students with dyslexia. Extra-curricular activities, on the other hand, often
include physical activities and thus could exclude people with physical impairments or disabilities.
Drones can be a useful tool for social inclusion. Learning how to fly a drone could be helpful with
finding employment in the different fields: agriculture, security, industry and becoming a drone
pilot.
People with dyslexia often have difficulties learning through formal education systems and therefore
need innovative solutions. Designing drone parts on CAD tools can be a viable solution for people
with dyslexia19.
19 Beall, 2016.
28
Feeling like they can contribute and bring value to a project like the creation of a drone can boost
the self-esteem of people with dyslexia.
The increasing demand for drones in retail sector is well known in recent years and the drone retail
sector will bloom even further in the next years. However, it is not only in the retail sector that there
is an increasing demand for drones. Education sector currently focuses a lot on the Science,
Technology, Engineering, and Mathematics (STEM) skills, preparing young students for the global
jobs market demands. Use of drones in the education sector is closely connected with the
development of STEM skills, as it combines the use of multiple technologies in one (electronics,
photography, robotics, autonomous systems, coding etc.). Moreover, it is an excellent way to engage
and attract the interest of young people and inspire kids at an early age [18].
With the latest advancements in the drone technology sector, drones have become increasingly
affordable in both the private and public sectors, which led to their increased use by businesses and
enterprises as well as individuals. Education sector has identified this opportunity and the fact that
drones and their use are shaping the nature of services from various business and current students
need to understand and familiarize themselves with this technology.
It constitutes a great opportunity for the education sector across the EU, as each educational
institute that offers drone flying as part of their curriculum is equipping their students with skills that
are valuable for entering the job market. A business or sector that already uses drone technology for
its services, will employ new graduates who are already familiar with the technology. The above
have led to an increasing demand for drones in the educational sector.
Moreover, the use of drones can also help students in achieving better results and improve their
school performance. A study conducted in a Greek school examined the learning outcomes when
using unmanned flying vehicles (drones) for teaching fifth-grade primary school students’ units from
Language and Mathematics. The results verified that, for Mathematics, the students of the
experimental group achieved better results, compared to the controlled group and the sustainability
of their knowledge was also greater. In addition, there was a formation of positive attitudes and
perceptions of students toward drones [20].
Finally, drones are already being used in the following educational subjects and studies [19]:
Geography – using cameras to undertake ground analysis, analysis of riverbeds or areas that
is hard/dangerous for humans to approach
Geology – using drones with cameras in remote places to observe rock formations, volcanos
etc.
Agricultural Studies – precision farming techniques, crop spraying techniques, herd
management and observation
29
Engineering – using drones in teaching prospective engineers will lead to the improvement
of heavy engineering projects, production lines as well as the actual design and build of
drones
In conclusion, with young students who are increasingly embracing the technology in education, the
demand for use of drones in the schools will only rise and eventually will become an established
trend.
Drones can have many different uses and their design needs to be tailored to the actual use.
Students can learn how to determine the best type of drone materials or accessories for different
uses and then create them. Drones have components that relate to three different sectors:
● Electronics
- Flight controller
- Sensors
- Electronic Speed Controllers
- Collision Avoidance Sensors
- Receivers
- Antenna
● Technology
- Accessories
- Materials
- 3D printing
● IT
- Programming
We can thus create different drone curricula and integrate them in many different schools. All drone
parts and components are vital to a smooth and safe flight. Knowing the parts of a drone will give
extra confidence while flying. Students will also know which components to inspect on a regular
basis and the drone parts which are easy to replace or upgrade.
Drones can be composed of different materials. They all have their own characteristics, resilience
and price-range and all of this will affect the choice of any drone maker. The main materials are
wood, foam, plastic, aluminium, carbon fibre.
Wood
Some kinds of wood are particularly strong and tough, but they need to be treated to become
waterproof. It can be a good choice for its low price.
Foam
Foam can be a great choice for the wings of the drone, but the rest of the body must be composed
of other materials. Foam can also be used to protect some parts of the drone.
30
Plastic
There are many different types of plastic that can be employed in the manufacturing of drones. Their
cost and strength come in a wide range and they should be chosen project by project.
Aluminium
Aluminium is inexpensive, light and easy to cut, shape and work with. It is easy to use and very
versatile, and can also be strengthened using the right finishing techniques.
G10/FR4
It is a kind of fiberglass, but its nature requires expertise and specialized equipment to cut it to the
desirable shape and form.
PBC
Printed Circuit Boards are used sometimes for the top and bottom plates of the frame, as they can
reduce parts.
Other
3D printing material - there are different kinds of spools of filaments that can be bought and prices
can vary a lot. For one spool of filament the price to be expected is $30.
3D printing is another option for construction drones in a very cost-effective technology, but of
course the purchase of a 3D printer is an investment for schools.
Bonadrone is the designer and manufacturer of drones and on point innovators in the world of
drones for education that provides two different types of DIY 3D printed drones:
The Mosquito 450 is bigger and ideal for outdoors and groups of 4 students. These drones and the
kits they come in are the perfect teaching and learning tools for students. Students can learn how to
design the 3D model of the drone on CAD software and then move on to the actual printing of their
model. The Mosquito 450 model created by BonaDrone is a great option for schools. You can choose
whether you want to receive it:
1) Ready to fly
2) Ready to assemble
3) Ready to print
According to the specific needs and possibilities of your school.
31
4.6 Testing the mechanical properties of drone parts
The purpose of the mechanical testing of drone parts is to verify that the aircraft components meet
the strength and weight requirements for flight.
If a commercial kit was purchased, the durability and rigidity of the drone is, normally, guaranteed
by the manufacturer. However, when students designed and/or produced (by 3D printing or other
methods) some of the drone parts, these ones need to be tested to evaluate their durability and to
check if they can withstand vibration.
Normally, mechanical properties testing can be done in special laboratories but such facilities are not
accessible for most of the VET schools. One solution is to manually test the produced parts.
Drone frames have significant impact on flight performance like aerodynamics, weight distribution,
rigidity, etc. So, a frame must be strong enough for drone's safety but as light as possible to offer
autonomy and good flight characteristics. Also, the frame should be rigid in order to reduce
vibrations that negatively affect the other components and the quality of video data acquired.
The rigidity of the frame can be evaluated manually. If the frame is too flexible, an improved design
or better materials should be used. In the same way, the frame’s strength can be assessed.
32
5. Business ideas and opportunities related to drones and
Industry 4.0
“Our intuition about the future is linear. But the reality of information technology is exponential, and
that makes a profound difference. If I take 30 steps linearly, I get to 30. If I take 30 steps
exponentially, I get to a billion.” – Ray Kurzweil
Most of new technologies underlying the concept of Industry 4.0 are not as new as most of us would
expect. Take 3D printing, with basic equipment and materials developed in the 1980s, and printing
from resin, metal, glass or bio printing available now, not to mention the wider accessibility, lower
costs and higher speed of modern printers. According to PwC 71.1% of manufacturers are now using
3D Printing for prototyping and final product, and 52% of manufacturers expect 3D Printing will be
used for high-volume production in the next 3-5 years.20 Things look similar, when we consider
drone technology, UAV innovations started in the early 1900s and originally focused on providing
practice targets for training military personnel. In 2010 America’s Federal Aviation Authority (FAA)
estimated that by 2020, there would be around 15,000 such drones in the country. Now, more than
that are sold every month. Some analysts expect the number of drones made and sold around the
world this year will exceed 1m.21 Have you seen Sensorama? Compare it with modern VR headsets
and you will realise that the growth has become exponential.22
It appears, that the advancement and availability of various disruptive technologies are all coming of
age at once. Because some of the technologies have been around for a while in their own right – but
it’s the convergence of all of the technologies that is driving the true revolutionary nature of the
change in the way business will function. It also creates almost unlimited business opportunities in
terms of innovative developments, projects and implementation. The more advance these
technologies become, the more potential business applications they may have.
Again, let’s have a look at the Drone technology. First, as is often the case with new technology, it
was supposed to serve military purpose, now it is even hard to follow new applications for this
technology, as it is growing so fast. UAVs appear in areas as diverse as agriculture (farmers use
drones to monitor crop growth, insect infestations and areas in need of watering); land-surveying;
film-making; security; or delivering things (Swiss Post has a trial drone-borne parcel service for
packages weighing up to 1kg, and many others, including Amazon, UPS and Google, are looking at
similar ideas).
https://www.forbes.com/sites/louiscolumbus/2016/04/24/7-ways-3d-printing-is-making-
20
manufacturing-more-competitive/#76d881837dfd
21 https://www.economist.com/science-and-technology/2015/09/26/welcome-to-the-drone-age
22 https://www.youtube.com/watch?v=rxY9XSRCeMU
33
The number of possible applications for this technology, as well as for other innovations related
to Industry 4.0, may only increase, and this will be due to the reciprocal amplification.
The number of IoT devices increased 31% year-over-year to 8.4 billion in 2017 and it is estimated
that there will be 30 billion devices by 2020.[11] BCG (Boston Consulting Group) predicts that by
2020, €250B ($267B) will be spent on IoT technologies, products, and services.
The spectacular growth, however, is not free from any obstacles and adoption barriers. In case of IoT
these may be privacy and security concerns (Amazon Echo example23 or Tesla autopilot24).
Considering UAVs, there also are implications for safety (cases of drones crashing with planes); for
privacy, from both the state and nosy neighbours; and for sheer nuisance—as drones can be noisy.
First industrial revolution was triggered in the 1700s by the commercial steam engine. The
harnessing of electricity and mass production sparked the second, around the start of the 20th
century. The computer set the third in motion after World War II. It might seem too soon to proclaim
that the fourth industrial revolution has started, but when we realise the potential of its various
components and their potential influence on our everyday lives, it’s hard to disagree with Henning
Kagermann, the head of the German National Academy of Science and Engineering (Acatech), who
first used the term Industry 4.0 in this context. Even though, the Industry 4.0 movement started in
Germany, it is now gaining momentum all over the world, particularly in the United States, Japan,
China, the Nordic countries, and the United Kingdom. Such influential global industrial giants as
Siemens and GE have fully embraced the approach; both companies’ CEOs and senior executives
have declared that it is now a core part of their identity.25
In 2016, PwC surveyed more than 2,000 companies from 26 countries in the industrial production
sectors, including aerospace and defence; automotive; chemicals; electronics; engineering and
construction; paper, and packaging; metals; transportation and logistics. In this global Industry 4.0
survey, one-third of the respondents said their company had already achieved advanced levels of
integration and digitization, and 72 percent expected to reach that point by 2020. In this chapter we
23http://www.politifact.com/truth-o-meter/statements/2018/may/31/ro-khanna/your-amazon-alexa-
spying-you/
24 https://www.wired.com/story/tesla-autopilot-self-driving-crash-california/
25https://www.strategy-business.com/article/Siemens-CEO-Joe-Kaeser-on-the-Next-Industrial-
Revolution?gko=efd41
34
are going to present you some ideas for utilization of business potential related to Industry 4.0 and
Drone Technology, along with few examples of digital market leaders.
With prices becoming affordable for most consumers, it is now possible for an average student
to start a business adventure based on drone technology. Apart from some basic manual and digital
skills that are needed, you should have a sufficient insight into your local market in order to realise
its needs and problems, and create a solution. Below, we present some possible business
applications of drone technology.
- Insurance company business: Insurance companies are employing drones to inspect and
quantify things like hail damage claims to roofs rather than put adjustors at risk of falling as
well.
- Real estate videos: Real estate agents are very quickly realizing that very low altitude aerial
video footage captured by drones sell large pieces of property and homes with unique
features more quickly.
- Pipeline Monitoring and Security: UAVs equipped with cameras and video transmitters are
now replacing much of the routine inspection that was very expensive and often dangerous
to the pilots and inspectors.
- Making and Selling of Maps: drone operators can now provide great, detailed aerial views
with costs incomparable to helicopters or airplanes.
26 https://jonpolygon.com/history-of-3d-model-marketplaces/
27 https://www.thingiverse.com/about/
28 https://www.amazon.com/DJI-Spark-Portable-Drone-Alpine/dp/B07173X82D
29 http://time.com/money/4800984/drone-prices-decrease-spark-dji/
35
- Film makers: launch a film making studio and cooperate with a vast range of B2B customers
(tourists landmarks, theme parks, RE agencies, filmmakers)
- Drone pilot courses: more and more people are interested in learning how to fly a drone.
Sell them skills and knowledge they need.
These are just a few examples of how the drone technology can serve other people and bring
profits to bold entrepreneurs. Below you will learn of some real-life implementations of business
ideas connected with the use of UAVs.
Drones can do more than just fly. Surprised? A company called Open ROV recently developed the
Trident, a remote-controlled, easy-to-use underwater drone with a built-in HD camera that's capable
of venturing down more than 300 feet. Pilots tether the Trident to a floating buoy, which connects via
WiFi to a laptop or tablet that controls the machine and relays live-streaming video. The drone can be
programmed to either run on auto-pilot, mapping a selected area and following pre-set routes, or in
manual mode.
The company is offering products and services based on marine imaging and intelligence solutions,
that can be used in areas like:
36
- Tourism & Recreation
- Shipping & Inspection
- Aquaculture
- Marine construction
- Environmental monitoring
- Search & Rescue
Founded in 2012, OpenROV develops open source underwater drones that can map out large bodies
of water for exploration, education and environmental scientists. OpenROV has secured $1.3 million
in one round of investment from two investors: SK Ventures and True Ventures. OpenROV offers
a build your own kit, pre-drive checklists and a global open source community.
OpenROV started out as a project among friends to get to the bottom of an underwater cave
rumoured to contain buried treasure. Since then OpenROV has grown into a company and community
of people who are working together to create powerful new tools for underwater exploration.30
SenseFly is the creator of the well-known eBee drone – an ultra-lightweight fixed wing. eBee is strictly
commercial: its high price makes it an enterprise solution. But the eBee’s truly unique weight and size
mean that its safety case is almost self-evident. No rotors, no sharp edges, and no heavy objects make
the eBee an excellent choice for many applications as well as a regulatory favourite. Due to its
efficiency (The eBee can cover up to 12 km2 (4.6 mi2) in a single automated mapping flight) and ease
of use (no pilot skills required, you simply throw it into the air, it flies, captures images and lands itself),
eBee can be a great solution for mapping harsh environments and covering large areas.
30 https://www.openrov.com/about/
37
Professionals such as environmental engineers and scientific researchers are increasingly turning to
drones in place of either slower terrestrial surveying equipment, lower-resolution satellite imagery
and expensive, or sometimes unavailable, manned aircraft services.31
- Change monitoring. Digital data allows an operator to document a site or a natural object’s
evolution over time;
- River and flood assessment. Mapping and modelling of river basins is essential in flood
defence programs;
- Forestry. Enables health analysis, biomass estimation, inventory management or impact
assessments;
- Animal management and conservation. Drones can be used to facilitate population counts.
Redbird is based in Paris, France and is a pioneer in the acquisition and analysis of aerial data collected
by UAVs. They offer advanced cloud-based platform. This platform saves costs, ensures safety, and
optimizes resources on construction sites, quarries or mines. Their team consists of over 40
professionals from various background and fields of expertise, and their technical team is composed
of experts in cloud computing, GIS, remote sensing, photogrammetry, signal processing, and software
development. Redbird has recently been acquired by Airware, and they’ve also partnered with
Caterpillar, the leading construction equipment manufacturer in the world.
The acquisition allows Airware to concentrate on the insurance vertical where it helps State Farm and
other customers with inspecting roofs, residential claims management, and commercial underwriting.
Redbird will try to expand its lead as a provider for providing mines, quarries, and construction sites
with drone-captured aerial data an analytics about their production quantities and pace, their
efficiency, and their safety compliance.32
Drone mapping and modelling software provider Pix4D is a major player in drone software solutions.
Pix4D offers precise, georeferenced 2D and 3D maps and models. They have come up with creative
uses for their output, including elaborate real estate and construction models. Pix4D has covered the
entire commercial workflow, with tools from data capture hardware (through their partnership with
Parrot) to analysis and delivery to the client.
31 https://www.sensefly.com/industry/environmental-protection/
32https://techcrunch.com/2016/09/22/airware-buys-redbird-to-build-a-full-stack-commercial-drone-
services-empire/?guccounter=1
38
Pix4D is also very active in working with organizations to bring drone technology to underserved
communities or for disaster relief. The company has done work all over the world to assist after
hurricanes, earthquakes, and other disasters. Learn more on https://pix4d.com/
Swiss company Flyability offers Elios, a collision-tolerant drone. Instead of relying entirely on imperfect
sense and avoid technology, they take an innovative approach: the drone is inside of a freely rotating
cage. The cage means that the inspection drone can be used in a new way – in new spaces, like plants,
mines, container ships, chemical storage tanks or even nuclear power plants.
The company was founded by cousins Dr. Adrien Briod and Patrick Thévoz, who were inspired by the
Fukushima disaster. The realization that there were no robots available to help deal with the problem
drove them to create a solution. Since launching the Elios in 2016 the company has not only provided
a valuable industrial tool but has donated the product to “Robotics Without Borders” for use in
disaster response. Learn more on https://www.flyability.com/
Back in 2014, a little-known company called Airdog launched something that would transform the
drone landscape forever: a quadcopter that automatically followed (and filmed) its subject, thereby
eliminating the need for manual piloting. Sure, this is a standard feature on just about every card-
carrying drone that’s released these days, but Airdog was arguably one of the first to take the idea
and run with it. The only problem, however, was that as soon as Airdog’s Kickstarter campaign gained
a good deal of attention, big companies like DJI and Yuneec adapted the idea for their own products.33
With the ADII, you can customize the drone’s flight path, altitude, and shooting style before you even
start filming. This feature allows you to set up the perfect shot and ensure that your drone will not hit
any obstacles, without having to manually pilot the drone. More on https://www.airdog.com/
33https://www.digitaltrends.com/cool-tech/best-new-crowdfunding-projects-awesome-tech-you-cant-
buy-yet-amabrush-adii/
39
Fig. 10. ADII drone. Source: https://www.flyability.com/
For the 12 month period ending in April 2016, drone sales grew 224 percent from the previous year
period to nearly $200 million, according to a report from retail research firm the NPD group. Drones
are rapidly becoming an indispensable tool in a variety of industries. Some ideas for starting a small
business related to DT may include services like: photography; security surveillance; search and
rescue; building inspections; agricultural surveys; mapping; sales, repair and training.34
Here are some experts’ predictions concerning the development of these technologies:
Cloud computing. Important innovations are making cloud computing more valuable for companies
as they seek to transform their operations and business models. These advances are helping
accelerate deployments of artificial intelligence and Internet of Things solutions, while enabling
deep, analytics-driven insights.
Blockchain. Organisations across a wide range of sectors are already experimenting with blockchain
technology to establish trust networks, improve transparency, and reduce friction and costs. Despite
fierce debate, interest in cryptocurrencies powered by blockchain remains strong. Industrial
applications will expand, encompassing the obvious financial uses as well as innovative solutions for
energy, trade, marketing, healthcare, security and more.
Artificial Intelligence. Stanford University’s Scientists believe that by 2030, cities will use Artificial
Intelligence (AI) to ensure the safety of the population. According to the forecast, the AI will help to
prevent crimes and even act as an assistant in court proceedings. According to Gartner, global
34 https://www.thebalancesmb.com/best-drone-business-ideas-4125154
40
business value derived from artificial intelligence (AI) is projected to total $1.2 trillion in 2018,
an increase of 70 percent from 2017. AI-derived business value is forecast to reach $3.9 trillion
in 2022.35
Big Data. The analysis of large amounts of data is already widely used by various companies. With
the growing amount of information and the AI evolution, big data will develop and will be adapted
to be applicable to even more spheres of life. Big Data will be one of the online marketing tools. This
technology will allow quick processing of huge amounts of data about purchasing behaviour.
Immersive experiences. Augmented reality (AR), virtual reality (VR) and mixed reality are changing
the way people perceive and interact with the digital world. Combined with conversational
platforms, a fundamental shift in the user experience to an invisible and immersive experience will
emerge. International Data Corp estimates that total spending on AR/VR products and services will
rise from $9.1 billion in 2017 to nearly $160 billion in 2021, representing annual growth rate
of 113.2%.
35 https://www.gartner.com/newsroom/id/3872933
36https://www.forbes.com/sites/louiscolumbus/2017/05/23/the-state-of-3d-printing-
2017/#5c30ea7c57eb
37 https://www.cadcrowd.com/blog/3d-printing-trends-to-watch-in-2018/
38 http://news.mit.edu/2017/new-3-d-printer-10-times-faster-commercial-counterparts-1129
39 https://newatlas.com/desktop-metal-3d-printing/50654/
41
Drone technology. Most people still think of a drone, as a sophisticated military technology or
a hobbyist’s tool for capturing images, taking videos of family or sporting events. However,
businesses across industries realize that drones have multiple commercial applications, some
of which go beyond basic surveillance, photography, or videos, and they are already using them
to transform daily work in some industries. Apart from reaching wider scope of applications, and
making its way to new business sectors, the following is expected by many experts:
- Artificial intelligence. Next generation of drones will inevitably be powered by AI. AI allows
machines such as drones to make decisions and operate themselves on the behalf of their
human controllers.
- Drone swarms. A swarm, where a number of drones move and act as one unit, is already
a powerful weapon tested by military, but can also have commercial applications. Swarms could
check pipelines, chimneys, power lines and industrial plants cheaply and easily. They can be
used on big farms, where they spot plant disease and help manage water use, or spray
pesticides and herbicides only in the exact spot needed, all working cooperatively to cover the
area and fill in gaps. Swarms could also be more effective in difficult rescue missions. RoboBee
project is developing tiny drones smaller than a paper clip and weighing a tenth of a gram.
Thousands of RoboBees could be used for weather monitoring, surveillance – or even crop
pollination as the number of honey bees declines.40
- Nano drones. The recent trend in the evolution of drones is their miniaturization. Nano drones
are the smallest and they usually have the same dimensions as insects. They are usually more
durable and cheaper than other conventional quadcopters and drones due to their technical
simplicity.
- Delivery drones. It is highly probable, assuming that necessary regulations will be introduced,
that drones will be used as a means of package transport. At this moment, Amazon is testing
their Amazon Prime Air service. This means that when you order a package, it will be delivered
to you in less than 30 minutes, instead of a few days.
- Public transport. However futuristic it may sound, drones are becoming vehicles for
transporting people. There are companies, that have already developed effective solutions.
Chinese UAV company Ehang showcased its rapid transport solution — the Ehang 184, which
can carry one person weighing up to 100kg and cover 30 — 50kms from a single charge.
At this moment, UAVs and other technologies related to Industry 4.0 are growing at such a fast pace,
that their potential applications are becoming hard to follow, and we cannot be sure what other
ground breaking innovations or discoveries will bring to the subject. However, we can be sure of one
thing, that these technologies do create massive business opportunities, you just need to get
prepared for them.
40 http://www.bbc.com/future/story/20170425-were-entering-the-next-era-of-drones
42
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