IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v12y2020i10p4208-d360947.html
   My bibliography  Save this article

Challenges and Driving Forces for Industry 4.0 Implementation

Author

Listed:
  • Iva Vuksanović Herceg

    (Faculty of Economics, University of Belgrade, 11000 Belgrade, Serbia)

  • Vukašin Kuč

    (Faculty of Economics, University of Belgrade, 11000 Belgrade, Serbia)

  • Veljko M. Mijušković

    (Faculty of Economics, University of Belgrade, 11000 Belgrade, Serbia)

  • Tomislav Herceg

    (Faculty of Economics and Business, University of Zagreb, 10000 Zagreb, Croatia)

Abstract

Industry 4.0 has been a major force framing the societal, economic and technological environment after 2010. Exposed to ongoing digital transformation, companies are able to exploit opportunities offered by Industry 4.0, and are forced to manage immanent risks and barriers. However, studies on opportunities and challenges relevant for the implementation of Industry 4.0 for companies are scarce. In response to this literature gap, the aim of this exploratory research is to provide a deeper analysis of the level of digital transformation of companies in Serbia based on a digital maturity model, and examine their managers’ opinions on the most important driving forces and implementation barriers. The paper uses exploratory research design based on a survey responded to by 122 high-level managers within the Serbian manufacturing sector. Findings show that, contrary to expectations, digitally transforming enterprises do not see human resources as a driving force, but rather as an obstacle to Industry 4.0 implementation, when they lack necessary competences and skills. Resistance to change caused by Industry 4.0 implementation is not seen as an important barrier. On the other hand, efficiency factors represent the main driving force, while the lack of competences and financial resources represent the greatest barriers to Industry 4.0 implementation.

Suggested Citation

  • Iva Vuksanović Herceg & Vukašin Kuč & Veljko M. Mijušković & Tomislav Herceg, 2020. "Challenges and Driving Forces for Industry 4.0 Implementation," Sustainability, MDPI, vol. 12(10), pages 1-22, May.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:10:p:4208-:d:360947
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/12/10/4208/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/12/10/4208/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Grinstein, Amir & Goldman, Arieh, 2006. "Characterizing the technology firm: An exploratory study," Research Policy, Elsevier, vol. 35(1), pages 121-143, February.
    2. Katrin Oettmeier & Erik Hofmann, 2017. "Additive manufacturing technology adoption: an empirical analysis of general and supply chain-related determinants," Journal of Business Economics, Springer, vol. 87(1), pages 97-124, January.
    3. Michael Segal, 2018. "How automation is changing work," Nature, Nature, vol. 563(7733), pages 132-135, November.
    4. Christian Arnold & Daniel Kiel & Kai-Ingo Voigt, 2016. "How The Industrial Internet Of Things Changes Business Models In Different Manufacturing Industries," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(08), pages 1-25, December.
    5. Müller, Julian Marius & Buliga, Oana & Voigt, Kai-Ingo, 2018. "Fortune favors the prepared: How SMEs approach business model innovations in Industry 4.0," Technological Forecasting and Social Change, Elsevier, vol. 132(C), pages 2-17.
    6. Joseph Evans Agolla, 2018. "Human Capital in the Smart Manufacturing and Industry 4.0 Revolution," Chapters, in: Antonella Petrillo & Raffaele Cioffi & Fabio De Felice (ed.), Digital Transformation in Smart Manufacturing, IntechOpen.
    7. Marco Savastano & Carlo Amendola & Francesco Bellini & Fabrizio D’Ascenzo, 2019. "Contextual Impacts on Industrial Processes Brought by the Digital Transformation of Manufacturing: A Systematic Review," Sustainability, MDPI, vol. 11(3), pages 1-38, February.
    8. Julian Marius Müller & Daniel Kiel & Kai-Ingo Voigt, 2018. "What Drives the Implementation of Industry 4.0? The Role of Opportunities and Challenges in the Context of Sustainability," Sustainability, MDPI, vol. 10(1), pages 1-24, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Burak Eldem & Aldona Kluczek & Jan Bagiński, 2022. "The COVID-19 Impact on Supply Chain Operations of Automotive Industry: A Case Study of Sustainability 4.0 Based on Sense–Adapt–Transform Framework," Sustainability, MDPI, vol. 14(10), pages 1-32, May.
    2. Theerasak Nitlarp & Supaporn Kiattisin, 2022. "The Impact Factors of Industry 4.0 on ESG in the Energy Sector," Sustainability, MDPI, vol. 14(15), pages 1-19, July.
    3. Cihan Ünal & Cemil Sungur & Hakan Yildirim, 2022. "Application of the Maturity Model in Industrial Corporations," Sustainability, MDPI, vol. 14(15), pages 1-25, August.
    4. Maja Trstenjak & Tihomir Opetuk & Hrvoje Cajner & Natasa Tosanovic, 2020. "Process Planning in Industry 4.0—Current State, Potential and Management of Transformation," Sustainability, MDPI, vol. 12(15), pages 1-25, July.
    5. Jan Zavadsky & Zuzana Zavadska & Katarzyna Szczepanska-Woszczyna, 2021. "Quantification of the Process Improvement Exigency Related to Industry 4.0," European Research Studies Journal, European Research Studies Journal, vol. 0(Special 4), pages 65-86.
    6. Roland Zs. Szabo & Iva Vuksanović Herceg & Robert Hanák & Lilla Hortovanyi & Anita Romanová & Marian Mocan & Dragan Djuričin, 2020. "Industry 4.0 Implementation in B2B Companies: Cross-Country Empirical Evidence on Digital Transformation in the CEE Region," Sustainability, MDPI, vol. 12(22), pages 1-20, November.
    7. Titov Sergei & Trachuk Arkady & Linder Natalya & RD Pathak & Danny Samson & Zafar Husain & S Sushil, 2023. "Digital transformation enablers in high-tech and low-tech companies: A comparative analysis," Australian Journal of Management, Australian School of Business, vol. 48(4), pages 801-843, November.
    8. Radosław Drozd & Radosław Wolniak, 2021. "Metrisable assessment of the course of stream-systemic processes in vector form in industry 4.0," Quality & Quantity: International Journal of Methodology, Springer, vol. 55(6), pages 2161-2176, December.
    9. Szymon Jarosz & Mariusz Soltysik & Malgorzata Zakrzewska, 2020. "The Fourth Industrial Revolution in the Light of Social and Competence Changes," European Research Studies Journal, European Research Studies Journal, vol. 0(Special 1), pages 530-548.
    10. Mahyar Kamali Saraji & Dalia Streimikiene & Grigorios L. Kyriakopoulos, 2021. "Fermatean Fuzzy CRITIC-COPRAS Method for Evaluating the Challenges to Industry 4.0 Adoption for a Sustainable Digital Transformation," Sustainability, MDPI, vol. 13(17), pages 1-20, August.
    11. Syed Hammad Mian & Bashir Salah & Wadea Ameen & Khaja Moiduddin & Hisham Alkhalefah, 2020. "Adapting Universities for Sustainability Education in Industry 4.0: Channel of Challenges and Opportunities," Sustainability, MDPI, vol. 12(15), pages 1-33, July.
    12. Artur Pollak & Agata Hilarowicz & Maciej Walczak & Damian Gąsiorek, 2020. "A Framework of Action for Implementation of Industry 4.0. an Empirically Based Research," Sustainability, MDPI, vol. 12(14), pages 1-16, July.
    13. Bojana Bajic & Nikola Suzic & Slobodan Moraca & Miladin Stefanović & Milos Jovicic & Aleksandar Rikalovic, 2023. "Edge Computing Data Optimization for Smart Quality Management: Industry 5.0 Perspective," Sustainability, MDPI, vol. 15(7), pages 1-19, March.
    14. Anna Michna & Joanna Kruszewska, 2022. "Determining the Level of Use of the Industry 4.0 Solutions in the COVID-19 Pandemic Era: Results of Empirical Research," Sustainability, MDPI, vol. 14(14), pages 1-26, July.
    15. Bo-Rui Yan & Qian-Li Dong & Qian Li & Fahim UI Amin & Jia-Ni Wu, 2021. "A Study on the Coupling and Coordination between Logistics Industry and Economy in the Background of High-Quality Development," Sustainability, MDPI, vol. 13(18), pages 1-24, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Roland Zs. Szabo & Iva Vuksanović Herceg & Robert Hanák & Lilla Hortovanyi & Anita Romanová & Marian Mocan & Dragan Djuričin, 2020. "Industry 4.0 Implementation in B2B Companies: Cross-Country Empirical Evidence on Digital Transformation in the CEE Region," Sustainability, MDPI, vol. 12(22), pages 1-20, November.
    2. Julian Marius Müller & Daniel Kiel & Kai-Ingo Voigt, 2018. "What Drives the Implementation of Industry 4.0? The Role of Opportunities and Challenges in the Context of Sustainability," Sustainability, MDPI, vol. 10(1), pages 1-24, January.
    3. Mariani, Marcello & Borghi, Matteo, 2019. "Industry 4.0: A bibliometric review of its managerial intellectual structure and potential evolution in the service industries," Technological Forecasting and Social Change, Elsevier, vol. 149(C).
    4. Violeta Sima & Ileana Georgiana Gheorghe & Jonel Subić & Dumitru Nancu, 2020. "Influences of the Industry 4.0 Revolution on the Human Capital Development and Consumer Behavior: A Systematic Review," Sustainability, MDPI, vol. 12(10), pages 1-28, May.
    5. Christian Arnold & Kai-Ingo Voigt, 2019. "Determinants of Industrial Internet of Things Adoption in German Manufacturing Companies," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 16(06), pages 1-21, October.
    6. Ancillai, Chiara & Sabatini, Andrea & Gatti, Marco & Perna, Andrea, 2023. "Digital technology and business model innovation: A systematic literature review and future research agenda," Technological Forecasting and Social Change, Elsevier, vol. 188(C).
    7. Bartoloni, Sara & Calò, Ernesto & Marinelli, Luca & Pascucci, Federica & Dezi, Luca & Carayannis, Elias & Revel, Gian Marco & Gregori, Gian Luca, 2022. "Towards designing society 5.0 solutions: The new Quintuple Helix - Design Thinking approach to technology," Technovation, Elsevier, vol. 113(C).
    8. Tao, Zhibin & Chao, Jiaxiao, 2024. "Unlocking new opportunities in the industry 4.0 era, exploring the critical impact of digital technology on sustainable performance and the mediating role of GSCM practices," Innovation and Green Development, Elsevier, vol. 3(3).
    9. Zhengxin Wang & Minghuan Shou & Shuai Wang & Ruinan Dai & Keqian Wang, 2019. "An Empirical Study on the Key Factors of Intelligent Upgrade of Small and Medium-sized Enterprises in China," Sustainability, MDPI, vol. 11(3), pages 1-16, January.
    10. Silvia H. Bonilla & Helton R. O. Silva & Marcia Terra da Silva & Rodrigo Franco Gonçalves & José B. Sacomano, 2018. "Industry 4.0 and Sustainability Implications: A Scenario-Based Analysis of the Impacts and Challenges," Sustainability, MDPI, vol. 10(10), pages 1-24, October.
    11. Popkova, Elena G. & Bogoviz, Aleksei V. & Lobova, Svetlana V. & DeLo, Piper & Alekseev, Alexander N. & Sergi, Bruno S., 2023. "Environmentally sustainable policies in the petroleum sector through the lens of industry 4.0. Russians Lukoil and Gazprom: The COVID-19 crisis of 2020 vs sanctions crisis of 2022," Resources Policy, Elsevier, vol. 84(C).
    12. Judit Nagy & Judit Oláh & Edina Erdei & Domicián Máté & József Popp, 2018. "The Role and Impact of Industry 4.0 and the Internet of Things on the Business Strategy of the Value Chain—The Case of Hungary," Sustainability, MDPI, vol. 10(10), pages 1-25, September.
    13. Paiola, Marco & Schiavone, Francesco & Khvatova, Tatiana & Grandinetti, Roberto, 2021. "Prior knowledge, industry 4.0 and digital servitization. An inductive framework," Technological Forecasting and Social Change, Elsevier, vol. 171(C).
    14. Sumona Mukhuty & Arvind Upadhyay & Holly Rothwell, 2022. "Strategic sustainable development of Industry 4.0 through the lens of social responsibility: The role of human resource practices," Business Strategy and the Environment, Wiley Blackwell, vol. 31(5), pages 2068-2081, July.
    15. Stornelli, Aldo & Ozcan, Sercan & Simms, Christopher, 2021. "Advanced manufacturing technology adoption and innovation: A systematic literature review on barriers, enablers, and innovation types," Research Policy, Elsevier, vol. 50(6).
    16. Inês Ribeiro & Florinda Matos & Celeste Jacinto & Hafiz Salman & Gonçalo Cardeal & Helena Carvalho & Radu Godina & Paulo Peças, 2020. "Framework for Life Cycle Sustainability Assessment of Additive Manufacturing," Sustainability, MDPI, vol. 12(3), pages 1-22, January.
    17. Calabrese, Armando & Costa, Roberta & Tiburzi, Luigi & Brem, Alexander, 2023. "Merging two revolutions: A human-artificial intelligence method to study how sustainability and Industry 4.0 are intertwined," Technological Forecasting and Social Change, Elsevier, vol. 188(C).
    18. Michela Piccarozzi & Barbara Aquilani & Corrado Gatti, 2018. "Industry 4.0 in Management Studies: A Systematic Literature Review," Sustainability, MDPI, vol. 10(10), pages 1-24, October.
    19. Narayanamurthy, Gopalakrishnan & Tortorella, Guilherme, 2021. "Impact of COVID-19 outbreak on employee performance – Moderating role of industry 4.0 base technologies," International Journal of Production Economics, Elsevier, vol. 234(C).
    20. de Lucas Ancillo, Antonio & Gavrila Gavrila, Sorin, 2023. "The Impact of Research and Development on Entrepreneurship, Innovation, Digitization and Digital transformation," Journal of Business Research, Elsevier, vol. 157(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:12:y:2020:i:10:p:4208-:d:360947. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.