In the context of industrial sociology, the factory system introduced by industrial capitalism transformed labor relations. Which of the following best describes this transformation?

1. Factory work led to the concentration of workers in one place, allowing for more efficient production.

2. The rise of factory work led to the dehumanization of labor, where workers became part of a machine-like process.

3. Factory systems promoted artisan skills and independent craftsmanship.

4. The factory system improved working conditions for laborers, reducing exploitation.