By Mike Schmidt, Director of Industry Communications, Association of Equipment Manufacturers (AEM) --
It’s a matter of some debate, but it appears we’re on the verge of entering a fifth Industrial Revolution.
No longer are certain tasks exclusively assigned to humans. Debates and discussions regarding how the roles of human judgement and critical thinking fit into a modern business environment are happening each and every day. Questions about where (and how) artificial intelligence agents may make strategic decisions on our behalf are starting to yield some answers.
So, what does it all mean? And perhaps more importantly, where does it all lead?
“The jury is still out,” said Taryn Kutches, co-founder of Joyn Collective, a business transformation and change enablement partner for mid-sized and growing companies. “But by every measure, it certainly feels like we’re moving toward a revolution.”
Kutches tackled the topic of how AI, data, and business interact with one another at AEM’s first Momentum Event of 2026, held in early May in Milwaukee, home of AEM’s headquarters. With dozens of association member company representatives in attendance, Kutches outlined why she thinks a fifth Industrial Revolution has arrived and encouraged attendees to try and examine it through the lens of the four that came before it.
A Revolution Defined by the Marriage of Humans and Technology
All four Industrial Revolutions we’ve experienced sought to solve a single fundamental problem: How can we make things faster, cheaper, and at a greater scale? Each also abided by what has long been understood as a strategic pillar of business: Where to compete, how to hire, and how to serve customers is primarily a human responsibility.
“But now that some of things that have always been the responsibility of humans are beginning to be disrupted, and we can’t help but start to think, ‘Does a human need to do this?’” explained Kutches.
What does seem clear, however, is the fifth Industrial Revolution is centered on the marriage of humans and technology.
No longer can we simply invest in and adopt tools, upgrade technology stacks, and wait for value and desired results to appear. Success requires more, and it starts with finding ways to balance business architecture (processes, tools, and systems) and behavioral architecture (people, culture, and overall willingness to change) to adapt to the ever-changing circumstances and environments that surround us.
Unfortunately, most organizations tend to place a greater emphasis on business architecture today. And when it comes time to invest in and adopt AI technology, that emphasis is why they’re most likely to get things wrong in the end.
“We start to ask questions like, ‘How do we take this AI tool and plug it in?’ or ‘How do we use Microsoft CoPilot,” said Kutches. “All of the focus seems to go toward the business architecture side, versus thinking holistically about how and where to change as an organization.”
Success, however, is found with an early focus on the outcome. Not the tool. And according to Kutches, the key to getting things right lies in reframing the question of “How should we use AI?” into “How can our people, processes, and data work in new ways to drive more value?”
Want to be a part of AEM’s next Momentum Event? Register now for the Aug. 20 event at AEM member company Kinze Manufacturing.
See how Joyn Collective’s Taryn Kutches breaks down the real impact of AI, people, and process—watch the video.
AI and its Impacts on Behavioral Architecture
How the introduction and widespread use of AI affect behavioral architecture is often a critically overlooked consideration of organizations today (even though it’s widely accepted people play a role in whether or not any initiative works in the long run). Why?
Quite simply, many of us have yet to find the right combination of strategic rigor and innovative thinking to properly evaluate the technology.
“It really requires taking the time to sit back, reflect, and think about what all new ways are in which we can work together to combine our people with our data and new or existing processes, explained Kutches. “Because what comes of that are new and differentiated outcomes.”
In the not-to-distant future (and with the help of AI) it’s not unreasonable for us as humans to be asked to provide greater levels of judgement and discernment, as well as bring more creativity to our tasks and responsibilities.
According to Kutches, a four-step process can help make it all happen:
- Pick a focus. Whether you’re examining a challenge or an opportunity from a big-picture standpoint or from up close, it’s important for you to clearly define the objective.
- Define the current state. Determine bottlebecks, where processes break down, and how data flows. Because accurately defining all of this acts as a bedrock for what’s to follow.
- Map your desired future state. Don’t think about the “how” at this point, or what tools should be used. Decide where to go, determine what work feels like, and grow in your ability to identify and understand industry signals.
- Develop the roadmap. Ask “what will get us there?” and develop time horizons. Doing so we’ll put you in a position to learn and adapt in order to develop directional clarity, while balancing openness and a willingness to pivot.
“If you’re really clear on where you’re at and where you need to go, how you get there is a lot easier, and what tools you use becomes a lot clearer,” added Kutches.
Taking a Forward-Looking Approach With AI
Then comes the question of what to do next.
Oftentimes, what makes most sense is to view things from a timeframe of zero to 12 months, reflect on the learnings gained, and then map out what Kutches refers to as the “near and next.”
“As you go out in time, the level of fidelity of your actions goes down. But it’s directionally there. In a year from now, or in two or three years, when things change, you’re starting from somewhere and pivoting,” explained Kutches. “And it’s a lot easier to pivot from something, versus trying to define where you should go in a million different directions with a million different possibilities.”
Ultimately, finding significant and sustained success with adoption of AI is simple to understand but difficult to execute. It requires you to be less focused on the tools you deploy and more on how you both lead people through change and align efforts around a shared vision.
“All that said, though, what’s really exciting about the impending fifth Industrial Revolution is technology is giving us an opportunity to really think about who we are, what we want to be, as well as how we can deliver on that in new ways,” said Kutches.
Secure a Spot at AEM’s Upcoming Member Events
Plans are in place to hold two more AEM Momentum Events in 2026:
Registration is open for both events, and AEM members are encouraged to act now to secure their spot.
For more information on AEM Momentum Events, membership opportunities, and association services, contact your Account Success Advisor.
