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On Industry 4.0, "cobots", IoT and the influence of AI in law, at the Webinar organized by WOLEP with Corporación Universitaria Republicana of Colombia. What WOLEP experts had to say on these topics

On Thursday 1 December 2022, a Webinar dedicated to Industry 4.0 was held, organised by WOLEP in collaboration with Corporación Universitaria Republicana in Bogotá, Colombia. The moderator was Mr. Fernando Buitrago, lawyer, specialist in labour and social security law, specialist in administrative law, professor at the Faculty of Law of Corporación Universitaria Republicana, WOLEP member.

Opening the Webinar, Adelina Zapis, Head of Network Development at WOLEP, presented the evolution of the WOLEP network from its launch in 2021 until today. "We focus on professional collaboration between member lawyers, whom we encourage to participate in joint projects initiated by other colleagues in the network, or to initiate such projects themselves. At the same time, lawyers in the network can provide online advice to clients who request it, directly through the Wolep.com platform," said Ms Zapis. She mentioned several concrete actions carried out by WOLEP in 2022 for the benefit of its members: "As part of our communication campaign, we organise webinars on various legal topics with our members as speakers, write articles and conduct interviews with our members, which we then publish on the Wolep website in 5 international languages."

The first speaker in the webinar hosted by WOLEP and Corporación Universitaria Republicana was Mr Benjamín Martí Esbrí, from Spain, industrial mechanical engineer, specialized in industrial organization and business management, expert in Industry 4.0 technologies, director of ASISTECS.

He gave a presentation and tour of Industry 4.0 to WOLEP members and other guests to see together "how this automation of industrial tasks and company tasks will affect jobs."

"One of my current jobs is as a director of Asistecs, a company that is dedicated to industrial consulting, meaning we are dedicated - we are basically almost all industrial engineers - to improving the productivity of industries. In recent years, our work has been very much focused on digital transformation. A few years ago, we were doing the study of operations and improving operations," said Mr Martí Esbrí.

 

What is Industry 4.0

"We could first of all consider, because it is so important today, the digital transformation which in the industrial world is called Industry 4.0, but in the business world, not in the industrial world (e.g. service companies, consulting companies or law firms), we can call it digital transformation.

Well, it is so important because at this point in the Anglo-Saxon world things are very clear on this. In the Latin world, unfortunately, neither for professionals, nor for companies, nor for public administrations are things so clear. We are at a strategic inflection point, at a moment in the life of companies or, in this case, society, when the environment, paradigms and culture are changing or have already changed," he said.

"Our society doesn't communicate the way it used to. (...) The world has already changed. And there are people, institutions and professionals who don't understand this change. So we are at a critical juncture, when the train is passing and we can do two things: either stay outside the train and miss it and see what happens, or get on it and attack the future. That's why it's important, because the positions haven't been taken yet," warned Martí Esbrí.

We are at a critical juncture where the train is passing and we can do one of two things: either stay off the train and miss it and see what happens, or get on it and attack the future

Mr. Benjamín Martí Esbrí

According to our speaker, a common misconception is to equate robots, which actually belong to the third industrial revolution, with Industry 4.0: "Robots are actually part of the third industrial revolution, they were implemented in the 60s and 70s, especially in mass production sectors such as the automotive sectors, but they are not part of Industry 4.0."

"The fourth industrial revolution is something else - it's not about robots, it's about much more and it affects much more people and how people interact with technology and how people interact with each other.

This Industry 4.0 is really about connected industry. A connection between people, an internet connection between people, between machines, between machines and people, in short, between all members of a company's value system. From the customer, through the company itself and transporters, to the final consumer. Everything being connected. Industry 4.0 is not about robots, it's about cobots. They are what we call collaborative robots, robots that transfer information to other robots, other machines and other people and each time receive it in real time and process it to make decisions," Benjamín Martí Esbrí pointed out.

 

WOLEP, an example of an Industry 4.0 company

The speaker gave WOLEP as an example of Industry 4.0 connectivity. "Here we have WOLEP, a global network of lawyers. WOLEP is a business model that works because of connectivity. If we didn't have internet, I mean if we didn't have wi-fi networks, 4G mobile networks, 5G, even bluetooth, we wouldn't be able to communicate the way we do, and it wouldn't be easy for a lawyer in Colombia to contact a lawyer in Romania. Thanks to WOLEP, this is easy to do. Well, it is simple because the WOLEP business model is based on the main technology that promotes or facilitates all the others, namely connectivity.

Of course, the next technology, all these connected things are done through the internet. And we call this connectivity technology IoT - Internet of Things. And we gain the third technology, all this amount of information is what we call Big Data or the big 'cloud' of data that people are generating in real time every moment."

"When data is unstructured, it is very difficult to analyze it with smart business tools. And that's when the other great technology is born, which is Artificial Intelligence," said the Spanish expert. "Artificial Intelligence is able to think in a similar way to humans and at the same time interact with other artificial intelligences. In this way, this large amount of data, some of it unstructured and that is in various sources, can be collected and analysed by this Artificial Intelligence and, at the same time, it has the ability to learn from itself and from humans."

WOLEP is an example of using one of these technologies - connectivity - which allows us to do things and be connected in different places in real time

He also said that the transition to Industry 4.0 is not the smoothest, as "98% of firms, i.e. SMEs, have difficulties investing in these new technologies in their day-to-day business. For this reason, at Asistecs we have created a technology startup, it's called Productika and it's a spin-off of our consulting firm, but it's designed as an economic means to facilitate the digital transformation of companies and industries. We already have three or four law firms and several accounting and consulting firms that have joined Productika to enjoy the benefits of this platform."

"When we talk about industrial transformation or digital transformation, we don't just have to think about industries or companies selling products. We also need to think about companies that sell services, like you, the law firms," Benjamín Martí Esbrí stressed.

 

The fourth industrial revolution and its effect on jobs

At the end of his speech, the Iberian industrial engineer addressed people's main fear about Industry 4.0: job losses: "Every time I finish a conference or a presentation - and there have been several - there is always someone who approaches me and asks me: «When machines do all the work that humans do, what are we humans going to do? Who will pay our social security? How are we going to retire?» People are afraid. Well, it makes sense to think about that, doesn't it? In, shall we say, a conservative way, but in the end the answer is very simple. Jobs will change, low value-added jobs will disappear, new jobs will emerge where people will be able to add value, on the one hand, and on the other hand, there are jobs that we don't allocate enough resources to and that we could allocate more resources to."

Every time I finish a conference or a presentation, there's always someone who approaches me and asks, "When machines do all the work that humans do, what are we humans going to do? Who's going to pay our social security? How are we going to retire?" People are afraid. Well, it makes sense to think about that, doesn't it? The answer is very simple

"The machines will be able to work on their own. For example, we are very close to having autonomous cars, cars that will operate over a 5G mobile network, receive information and drive without human assistance. What will this involve? That the taxi profession will disappear and in 20 years people will not even know what the taxi profession was. We'll call a car, it'll come to us, it'll take us home... and the taxi driver will be history."

The first speaker at the WOLEP webinar organised with the Corporación Universitaria Republicana concluded in an optimistic way: "There is no doubt that technology has always been the key to human progress. And this time will be no different. Every time there has been an industrial revolution, we have worked less and lived much better."

 

Silvio de Candia, lawyer, WOLEP member (Spain): "It's a revolution and we lawyers have to adapt"

The second speaker of the day was Mr Silvio de Candia, partner at the law firm Maley Abogados in Malaga, Spain, specialist in commercial and financial law, WOLEP member. He said that the topic of the discussion, Industry 4.0, "is very relevant in the different sectors we represent, we cannot work without the help of technology. Also, the work that is carried out within the legal profession undoubtedly needs this technology".

"Years ago, the way of working was obviously quite different. Today, and with the pandemic, we've seen a big change and we're seeing how now we can run our own business with a mobile phone, with a laptop and travel, interact with clients, interact with colleagues; and what we're doing now, because we're in Latin America and Spain, we're giving these presentations, we're giving this seminar, while everyone is in their office, at the University, on the radio, so the technology tools are great. In the field of Law, this is also seen because, for example, the management of a business, such as a law firm, is predominantly digital. Of course, there is the image of lawyers with their documents, and that, in part, remains, because after all, these are things that have to be on paper, physically", De Candia noted.

In the field of law, this is also observed because, for example, the management of a business, such as a law firm, is predominantly digital

According to the Spanish lawyer, it has become inevitable that technology will be used in case management and client relations: "The truth is that we meet with clients virtually, because the client may be in another country, such as in Colombia, may be an individual or director of a company or multinational, and we meet virtually to save time, to have more benefits in terms of time management of the work we have to do."

"Similarly, with the WOLEP network, it's impressive how different professionals, lawyers from different countries can connect with each other and share cases, clients and do teamwork, similar to what a face-to-face meeting would entail. And I think this revolution - because it is a revolution - is here to stay and we need to adapt."

"I think face-to-face meetings and physical presence are always welcome and will always remain so. But there are projects, there are businesses in law that can be managed successfully online. The truth is that there are no borders anymore, we are seeing that right now," concluded De Candia, who said he was open to the novelties that Industry 4.0 brings to legal work.

"I repeat, in terms of international relations, the network we are part of, WOLEP, has given us the opportunity to be in contact with different professionals globally. A lawyer can work from anywhere and anytime, and this gives the Client the guarantee of efficiency."

 

José Carlos Pérez Arias, lawyer member WOLEP (Spain): Legal concepts involved in Industry 4.0

After Mr De Candia's speech, another WOLEP member, Mr José Carlos Pérez Arias from Spain, lawyer specialised in public law and sports law, PhD in law, Managing Partner SMARTLOU, took the floor.

He pointed out that he comes from Campo de Gibraltar, where one of the most important industrial chemical centres in Spain is located, and is therefore very familiar with the subject he presented during the WOLEP - Corporación Universitaria Republicana webinar.

According to Pérez Arias, the advent of new technologies has meant a change in habits from all points of view, and industry and companies have experienced a technological evolution in recent years, which requires new regulatory responses. Mr Pérez Arias then reviewed the most important moments that marked the first, second and third industrial revolutions.

His report on the legal concepts involved in Industry 4.0 was also very interesting. Among the topics covered by our Spanish member were:

- Data protection

- Artificial Intelligence: According to Pérez Arias, AI encompasses argumentation models for decision making, classification and extraction of judicial texts or the creation and planning of a legislative system. “AI is present in these areas. AI is not a tangible thing, it is the element that has streamlined processes in industry”, he said

- Telework and occupational risk prevention

- Cyber security

- Cryptocurrencies

- eGovernment

- Telecommunications

- Startups

- Robotics

- EU legislation on Industry 4.0 (regulations on data protection, robotics, virtual currencies, cyber risks, electronic communications)

- National regulations (Spain): decrees, organic laws on telecommunications, protection of personal data and guarantee of digital rights, science, technology and innovation

In his conclusions, Mr Pérez Arias highlighted the legal consequences of using typical Industry 4.0 technologies. "Companies that are part of Industry 4.0 must learn to live with the legal risks. New regulations can always emerge and they need to be prepared for this changing scenario. Industry 4.0 companies should bear in mind that they do not have regulations to cover all scenarios. There will always be a legal risk, so the ability to adapt to new scenarios must be assessed."

Companies that are part of Industry 4.0 must learn to live with the legal risks. New regulations can always emerge and they need to be prepared for this changing scenario

The expert believes it is important to establish specific laws for certain products on the market. (For example, is a national blockchain law needed?). So, the lack of comprehensive regulation of new technologies remains a problem for Industry 4.0 at the moment, and it is imperative that society adapts by adjusting the legislative framework. But this will not be achieved on its own, and is needed in conjunction with the training of legal professionals. "Now, in areas such as data protection or finance, ongoing training is essential," Pérez Arias warned.

 

Fernando Buitrago, lawyer, WOLEP member (Colombia): New aspects of work in Industry 4.0

The fourth speaker of the Industry 4.0 Webinar was Mr Fernando Buitrago from Bogotá, Colombia, WOLEP member, lawyer specialized in labour and social security law, specialist in administrative law, professor at the Faculty of Law of Corporación Universitaria Republicana, co-organizer of the event.

He noted that "the field of work, especially the productive field, has undergone transformations in recent decades, which has brought important consequences for both human work and the structure within organisations.

Today, we are still wondering where the work of the future is heading. It is no secret to anyone since the changes that have come to the labour sector, especially after the pandemic and COVID-19. Technology and the whole digital world is driving us to be more and more digital, more and more computerised, and somehow all these expectations are making each of our businesses evolve in a more agile and specialised way, as some companies are doing. For example, this is the case with Asistecs, which helps companies and collaborators not just in the European Union but around the world to adapt to these changes."

The future that organisations around the world are shaping will be a collaborative, automated one, "in which every time the workforce will grow as such," said the Colombian lawyer.

The key to adaptation, he says, is training: "It is important to train individuals in this digital transformation." The South American lawyer said the COVID-19 pandemic and the restrictions it brought have acted as an accelerator for the transformations that were already underway:

"Companies and organisations around the world have been promoting remote working policies. This sudden shift to remote working that took place overnight has the potential, in one way or another, to accelerate changes in human work and, as a result, the mentality of the business world may be transformed in the idea of work organisation. (...) Social and economic changes influence in one way or another the economic activity of all companies, all economies and the developing world."

Many things will never be the same in the world of work. Freelance or flexible working, collaborative networks, will increase

However, according to Fernando Buitrago, excesses and dehumanisation must be avoided in this area:

"The International Labour Organisation (ILO) has already warned of the new risks of this new regulation and has said, as in other global crises, that a coordinated, comprehensive international response is needed that prioritises people, human beings and human dignity at the heart of this important technological change."

What will the work of the future look like? "Freelance or flexible working, collaborative networks, will grow. (...) The work of the future will no longer require the boss to assess productivity based on time control to ensure the productivity of work in his company.

And finally, to conclude, the issue of policy generation based on social, corporate and business responsibility. This is necessary because, indeed, we need to create a digital world that is immune to the virus of precariousness, implying decent digital work for all...", the WOLEP member concluded, with much consideration.


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