7123MAA Industry 4.0 and Engineering Digital Environment

7123MAA Industry 4.0 and Engineering Digital Environment Assignment Sample 


Implementation of advanced technology in various business operations is the key strength for industry 4.0 in terms of achieving sustainability. Organizations in the technology industry use additive manufacturing, artificial intelligence (AI), robotics, machine learning, augmented reality, or virtual reality (VR) technologies in order to enhance productivity, products quality, energy consumption, and marketing. The study is going to shed light on the impact of implementing specific technology on organizational performance. A case study of Amazon is selected to analyze the impact of utilizing artificial intelligence (AI) in business operations. Besides this, the sustainable development of the organization is going to be analyzed in the context of three main sustainability pillars (environmental, social, and economic).

2.Brief description of the case and selected technology

Amazon is one of the leading technology-based organizations that push its innovation boundaries in order to develop management strategies. As per the view of Dhanabalan & Sathish (2018), customer experience is one of the key strengths of Amazon that helps in developing customer retention and organizational performance as well. Amazon uses artificial intelligence and machine learning technology in several business operations such as logistic management, order tracking and dispatching, and production of technical gadgets all around the world. Amazon has used AI technology to store rotational energy effectively. This artificial technology helps in spreading innovation in all the departmental layers across the globe. This technology has helped the organization in integrating all the systems and innovation to perform every business operation sustainably across the globe (Hofmann et al. 2019). AI technology has powered three main pillars of Amazon which are Alexa, “Amazon recommendation engine”, and “Amazon go store”. Amazon uses AI technology for working together with these three pillars in order to create a developed customer experience.

Amazon has implemented AI technology to enhance customer experience with effective management strategies. The main purpose of implementing AI technology is to integrate all the systems and innovations in order to monitor all the business activities suitably around the globe. Amazon aims to develop customer satisfaction by implementing Advanced technology in the organization.

The study has focused on Amazon’s approach in developing artificial intelligence which is known as the flywheel. Flywheel technology has helped the organization to save rotational energy and make all the systems around the globe integrated. This technology assists in storing energy and spreads constant energy to different parts of systems without wasting energy by turning it on and then off (Mhlanga, 2020). Thus, innovation in a specific area regarding machine learning empowers the effort of other teams through flywheel technology.

3.Impact of selected technology on business performance

Amazon uses AI technology known as the flywheel in order to integrate the overall system all around the globe. As opined by Yao et al. (2017), silos and bureaucracy are two major factors that affect the organizational performance as a unit. Maximum organizations in the 4.0 industry have suffered business issues due to a lack of effective technology in order to integrate the entire organization to push innovations and management strategies. Flywheel technology is a simple tool that has been designed for storing rotational energy in a convenient manner. This automated technology stores energy even when a machine is not being operated constantly (Cioffi et al. 2020). This technology helps in keeping the energy constant for spreading it to different parts without turning on or off a machine.

Flywheel technology helps The organization in keeping a steady continuous innovation and spreading knowledge and energy in all the departments globally. As per the view of Benotsmane, Kovács, & Dudás (2019), Amazon is one of the leading organizations that focuses on machine learning in order to produce efficient tech gadgets for satisfying customers. The concerned technology helps to empower the efforts of all the teams by keeping them updated with the details of new innovations. Henceforth,  all the teams utilize new innovation in driving their products which improves the overall organizational performance all over the world. Usually, a new innovation created in one part of Amazon works as the catalyst in other parts for ensuring growth regarding machine learning or artificial intelligence through flywheel technology (Angelopoulos et al. 2020). AI and machine learning are the major focus zones of the research and development team of Amazon since starting. However, flywheel technology has become the keystone in the business expansion of amazon by connecting all the departments and systems together.

AI technology is located in every business sector in Amazon, it helps to spread information throughout all the departments. Thus, main insights regarding machine learning discovered by the “product recommendation team” have been shared through the organization to improve overall innovation and product quality in different parts of the globe. Machine learning and AI technology empower three major products of Amazon that are “Amazon recommendation engine”, “Amazon go store”, and Alexa. As per the studies of Frank, Dalenogare, & Ayala (2019), AI bot Alexa is the first virtual assistance technology based on voice-power that has been created through machine learning. However, it faces initial challenges regarding customer experience. Therefore, flywheel technology has helped to integrate all the teams to work on new innovations integrated and make Alexa beneficial for other Amazon products. Initially, Alexa was integrated with prime video, Amazon music, and various personalized products. However, continuous improvement of machine learning allows Alexa to add value in customers’ lives such as capital one and Liberty mutual. Capital one allies customers to make digital payments through Amazon, while Liberty mutual provides automated insurance-related information.

Flywheel technology also helped in developing machine learning technology used in “Amazon Go store”. Cashier less “Amazon Go store” helps in collecting data to track down shopping trends of customers. Besides this, “Amazon’s recommendation engine” is one of the most successful implementations of AI technology that produces around 35% of the organization’s revenue (forbes, 2021). The flywheel approach helps in integrating all the data from customer purchase and preference and browsing history to prepare a personalized list of most required products according to the customer’s perception. Moreover, “Amazon web service” is one of the most successful AI-based approaches that play a significant role in the sustainability of the company (Candanedo et al. 2018). Thus, flywheel technology allows the organization to encourage research and innovation to improvise in expanding the business performance of the entire organization.

4.Sustainable development in business in reference to sustainability pillars

Sustainability pillars Sustainable development
Environmental Amazon focuses on sustainable development by reducing carbon emissions. The organization aimed to reach “net zero carbon” by 2040 (aboumazon, 2021). In order to reduce carbon emissions, Amazon has started to convert 100% energy consumption with renewable energy by 2025.

Amazon has established the largest windmill in Texas as the source of renewable energy. Besides this, new electrical vehicles have been used in product delivery to reduce emissions. Recyclable packaging materials are one of the key strategies to develop environmental sustainability (Hofmann et al. 20198). AI technology allows the integration of all the sustainability strategies developed by different sectors in order to prepare an effective environmental sustainability plan.

Economical The flywheel approach helps in integrating all the innovation insights of Amazon to improvise the ideas in business operations all over the globe. It helps in improving overall innovation business operation through artificial intelligence technology. It helps in developing product quality through successive research and development in different parts of the organization. AI technology and machine learning help to develop successful products such as “amazon go store”, Alexa, and “Amazon’s recommendation engine” which helps to enhance customer experience significantly (Cioffi et al. 2020). All these products help organizations to satisfy customers in order to enhance economic sustainability. Besides this, Amazon’s web service is one of the most successful AI-based services that has been purchased by NASA and the NFL.
Social Amazon majorly prioritized social sustainability in order to improve customer experience. Making strong relationships and engaging all the stakeholders are the key strategies of the organization in terms of social sustainability. Flywheel technology helps in integrating “amazon’s recommendation engine” that works on analyzing customers’ purchases, browsing history to identify the impact of Amazon’s product on customer purchasing behaviour (Sima et al. 2020). Besides this, AI technology helps in identifying customers’ demands and requirements in order to innovate new ideas on product creation. It also assists in analyzing the impact of business strategies on social life.

Table: Sustainability of Amazon

5. Conclusion

It has been concluded from the above study that artificial intelligence helps Amazon in achieving immense success in industry 4.0. The study has focused on the brief description of the selected case study on Amazon in order to evaluate the main purpose of this assignment.  Besides this, the selected technology of artificial intelligence has been evaluated here briefly. The impact of artificial intelligence on the management strategy of Amazon has been critically analyzed in the study. The benefits of implemented advanced technology have been illustrated in the context of business performance. Furthermore, the sustainable development of the organization has been assessed in reference to social, economical, and environmental aspects.



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forbes, (2021), How Amazon Has Reorganized Around Artificial Intelligence And Machine Learning, retrieved on: 29th October, 2021, from: https://www.forbes.com/sites/blakemorgan/2018/07/16/how-amazon-has-re-organized-around-artificial-intelligence-and-machine-learning/?sh=3d15ffcd7361

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