Whether you know it or not, we are in the midst of the fourth industrial revolution. Massive changes are on the horizon, and I want you to be prepared to meet those changes head on. In fact, change is happening so rapidly, we can’t even guess at all the details. However, we can prepare by looking at what has happened in the past—in the first, second and third industrial revolutions.
The First Industrial Revolution
The first industrial revolution started in the early 1700s, with the invention of the steam engine and steam power. This ushered in an era factories and machines, mostly for clothing production. We also saw steam powered boats in this time, and railroads joining together cities and countries.
It was at this point in time that the world got a bit faster, a bit livelier. The world was suddenly connected in a way that it had not been before. Productivity increased, and people were moving to cities in droves to be a part of it.
This revolution changed the way people worked, where they lived, how they commuted, and how they spent their time. At the tail end of this time, we even saw oil, petrol, and gas too.
The Second Industrial Revolution
In the mid to late 1800s, the second industrial revolution began. Electricity entered the scene, revolutionizing how factories operated. It was at this time that labor within factories became increasingly specialized. Instead of people moving to different areas of the factory, it was now the goods and services that shifted. And there’s no better example than Henry Ford’s production line.
On Ford’s production line, every single person had a specific role to fulfill. Prior to this period, one person oversaw the completion of the whole product. At this point in time, one person would stay at a station, completing the same task for hundreds of products. This radically increased efficiency.
Under Ford’s watch, one car was manufactured every 32 seconds.
The Third Industrial Revolution
This is where we’ve been for the past half-century—the computer revolution. This is where the world started going in the micro-processing, microchip direction. Personal computers, handheld devices, and the internet are trademarks of this revolution. Things that were previously achieved through in-person or analog became digitized.
Much of the same was still happening at this point, but industries sought to become more efficient through digital processes. So same tasks, different technologies.
Moving Through the Industries
Each of these Industrial Revolutions built upon the last. The second revolution improved upon and refined factory work and transportation, while the third revolution brought analog into the digital era. The tasks have remained the same, while the methods have become increasingly efficient. The fourth revolution will happen in much the same way. We’ll see an increase in efficiency for many of the same tasks.
In fact, the fourth revolution is already here in many ways. Drones, virtual reality, AI, robotics, and 3D printing are all advancements of old ideas. We’re essentially looking at the merging of digital biology and computing power.
The Fourth Industrial Revolution
As we continue to move into the era of the fourth revolution, we will continue to see improvements upon digital capabilities. Take maps, for example. In the second revolution, we were still using paper maps to navigate the world. The third revolution marked digital maps—it was only a few decades ago, but you could study a map on the computer.
The next level to that is already here—now we have GPS on our smartphones that announces step-by-step directions. You could argue that there was even a step in between when people would print out directions from MapQuest. Now, we know exactly how far we are from our destination at any given point, even if we change our speed or hit traffic.
Then came Waze, the app that not only directs you, but monitors in real time how to get where you’re going faster. So, if an accident occurs down the road, you can get redirected and save five minutes. Ultimately, we’re still using a map to go from one location for another, but the methods for doing so have changed dramatically from our pen and paper days.
Another example is how we sign contracts. What once occurred in a room with all parties present to sign a paper, now occurs digitally through an app. I predict that the next step is secured contracts through Blockchain. These smart contracts are actually being coded into Ethereum’s blockchain now. We’ll start assigning these contracts to digital wallets, and money will be able to move from one wallet to another without a manual transaction.
We’re living in what is one of the most exciting times in human history. The changes will be rapid, but incredible. And if you position yourself to see the possibilities, like digital contracts, you can position yourself for massive gain.
Live your Freedom, Live Your Legacy, On Your Own Terms,
M.C. Laubscher is a husband, dad, podcaster & Cashflow Specialist. He helps business owners and investors create, recover, warehouse & multiply cashflow. You can learn more about exclusive cash flow strategies in M.C.’s new video series at https://www.yourownbankingsystem.com/
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