IDEAS home Printed from https://ideas.repec.org/a/spr/gjofsm/v23y2022i4d10.1007_s40171-022-00312-1.html
   My bibliography  Save this article

Factors Influencing the Implementation of Industry 4.0 for Sustainability in Manufacturing

Author

Listed:
  • Veepan Kumar

    (FORE School of Management)

  • Prem Vrat

    (The NorthCap University)

  • Ravi Shankar

    (Indian Institute of Technology)

Abstract

Digital transformation leveraging Industry 4.0 is referred to as a strategic solution to handle the challenges given by growing competition and unpredictable customer demands in today’s highly competitive business environment. However, transitioning to Industry 4.0 for sustainable manufacturing would require a thorough understanding of key implementation factors. The objective of this paper is to examine and validate the interrelationships among the factors influencing the implementation of Industry 4.0 for achieving sustainability in manufacturing. To accomplish this objective, the paper used an integrated methodological approach (i.e., TISM and PLS-SEM) to model the factors influencing Industry 4.0 implementation. The total interpretive structural equation modeling (TISM) technique was used to develop the hierarchical structural model in order to investigate the interrelationships among the Industry 4.0 implementation factors. The partial least squares structural equation modeling (PLS-SEM) approach was used to validate the interrelationships identified through TISM. Initially, implementation factors of Industry 4.0 for sustainable manufacturing have been identified. Following the identification of the factors, the opinion of experts was sought through a questionnaire-based survey to finalize them. The hypotheses were analyzed to test the significance of interrelationships among different constructs of Industry 4.0 factors. The findings indicate that factors like environmental regulations for sustainability, adequate labor laws for workforce working in the digital environment, continuous support and commitment from top management, effective restructuring of the organization, adequate support from different stakeholders, and strategic roadmap for digital transformation and branding of green image have the maximum influence on Industry 4.0 implementation for sustainability. Furthermore, the obtained results were in accordance when validated using PLS-SEM. This research will assist practitioners in gaining a thorough understanding of the significance of various implementation factors and their interrelationships.

Suggested Citation

  • Veepan Kumar & Prem Vrat & Ravi Shankar, 2022. "Factors Influencing the Implementation of Industry 4.0 for Sustainability in Manufacturing," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 23(4), pages 453-478, December.
    • Handle: RePEc:spr:gjofsm:v:23:y:2022:i:4:d:10.1007_s40171-022-00312-1
    DOI: 10.1007/s40171-022-00312-1
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s40171-022-00312-1
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s40171-022-00312-1?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Veepan Kumar & Prem Vrat & Ravi Shankar, 2021. "Prioritization of strategies to overcome the barriers in Industry 4.0: a hybrid MCDM approach," OPSEARCH, Springer;Operational Research Society of India, vol. 58(3), pages 711-750, September.
    2. John Antonakis & Samuel Bendahan & Philippe Jacquart & Rafael Lalive, 2010. "On making causal claims : A review and recommendations," Post-Print hal-02313119, HAL.
    3. David Reeb & Mariko Sakakibara & Ishtiaq P Mahmood, 2012. "From the Editors: Endogeneity in international business research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 43(3), pages 211-218, April.
    4. Kamble, Sachin S. & Gunasekaran, Angappa & Ghadge, Abhijeet & Raut, Rakesh, 2020. "A performance measurement system for industry 4.0 enabled smart manufacturing system in SMMEs- A review and empirical investigation," International Journal of Production Economics, Elsevier, vol. 229(C).
    5. Robert Stanisławski & Andrzej Szymonik, 2021. "Impact of Selected Intelligent Systems in Logistics on the Creation of a Sustainable Market Position of Manufacturing Companies in Poland in the Context of Industry 4.0," Sustainability, MDPI, vol. 13(7), pages 1-25, April.
    6. 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.
    7. Osterrieder, Philipp & Budde, Lukas & Friedli, Thomas, 2020. "The smart factory as a key construct of industry 4.0: A systematic literature review," International Journal of Production Economics, Elsevier, vol. 221(C).
    8. Sarstedt, Marko & Ringle, Christian M. & Smith, Donna & Reams, Russell & Hair, Joseph F., 2014. "Partial least squares structural equation modeling (PLS-SEM): A useful tool for family business researchers," Journal of Family Business Strategy, Elsevier, vol. 5(1), pages 105-115.
    9. Ashish Dwivedi & Dindayal Agrawal & Ajay Jha & Massimo Gastaldi & Sanjoy Kumar Paul & Idiano D’Adamo, 2021. "Addressing the Challenges to Sustainable Initiatives in Value Chain Flexibility: Implications for Sustainable Development Goals," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 22(2), pages 179-197, December.
    10. Carla Gonçalves Machado & Mats Peter Winroth & Elias Hans Dener Ribeiro da Silva, 2020. "Sustainable manufacturing in Industry 4.0: an emerging research agenda," International Journal of Production Research, Taylor & Francis Journals, vol. 58(5), pages 1462-1484, March.
    11. Armstrong, J. Scott & Overton, Terry S., 1977. "Estimating Nonresponse Bias in Mail Surveys," MPRA Paper 81694, University Library of Munich, Germany.
    12. Krzysztof Ejsmont & Bartlomiej Gladysz & Aldona Kluczek, 2020. "Impact of Industry 4.0 on Sustainability—Bibliometric Literature Review," Sustainability, MDPI, vol. 12(14), pages 1-29, July.
    13. Wang, Huaidong & Gu, Yifan & Li, Liquan & Liu, Tingting & Wu, Yufeng & Zuo, Tieyong, 2017. "Operating models and development trends in the extended producer responsibility system for waste electrical and electronic equipment," Resources, Conservation & Recycling, Elsevier, vol. 127(C), pages 159-167.
    14. Daniel Kiel & Julian M. Müller & Christian Arnold & Kai-Ingo Voigt, 2017. "Sustainable Industrial Value Creation: Benefits And Challenges Of Industry 4.0," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 21(08), pages 1-34, December.
    15. Sushil, 2018. "How to check correctness of total interpretive structural models?," Annals of Operations Research, Springer, vol. 270(1), pages 473-487, November.
    16. Dalenogare, Lucas Santos & Benitez, Guilherme Brittes & Ayala, Néstor Fabián & Frank, Alejandro Germán, 2018. "The expected contribution of Industry 4.0 technologies for industrial performance," International Journal of Production Economics, Elsevier, vol. 204(C), pages 383-394.
    17. Li, Ying & Dai, Jing & Cui, Li, 2020. "The impact of digital technologies on economic and environmental performance in the context of industry 4.0: A moderated mediation model," International Journal of Production Economics, Elsevier, vol. 229(C).
    18. Chen, Peng-Ting & Kuo, Shu-Chen, 2017. "Innovation resistance and strategic implications of enterprise social media websites in Taiwan through knowledge sharing perspective," Technological Forecasting and Social Change, Elsevier, vol. 118(C), pages 55-69.
    19. Devendra K. Yadav & Akhilesh Barve, 2016. "Modeling Post-disaster Challenges of Humanitarian Supply Chains: A TISM Approach," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 17(3), pages 321-340, September.
    20. José Celso Contador & Walter Cardoso Satyro & Jose Luiz Contador & Mauro de Mesquita Spinola, 2020. "Flexibility in the Brazilian Industry 4.0: Challenges and Opportunities," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 21(1), pages 15-31, June.
    21. Claudio Sassanelli & Sergio Terzi, 2022. "The D-BEST Reference Model: A Flexible and Sustainable Support for the Digital Transformation of Small and Medium Enterprises," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 23(3), pages 345-370, September.
    22. Sushil & Kamala Kannan Dinesh, 2022. "Structured Literature Review with TISM Leading to an Argumentation Based Conceptual Model," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 23(3), pages 387-407, September.
    23. Mohammed M. Mabkhot & Pedro Ferreira & Antonio Maffei & Primož Podržaj & Maksymilian Mądziel & Dario Antonelli & Michele Lanzetta & Jose Barata & Eleonora Boffa & Miha Finžgar & Łukasz Paśko & Paolo M, 2021. "Mapping Industry 4.0 Enabling Technologies into United Nations Sustainability Development Goals," Sustainability, MDPI, vol. 13(5), pages 1-33, February.
    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. Nilufar U. Babakhanova & Aijan B. Dzhumanova & Marija A. Troyanskaya & Stanislav Benčič & Yelena S. Petrenko, 2024. "SAP-LAP Model of Change Management for the Sustainable Employment of the Population in the Conditions of Dissemination of AI," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 25(1), pages 91-109, September.
    2. Kristina Höse & Afonso Amaral & Uwe Götze & Paulo Peças, 2023. "Manufacturing Flexibility through Industry 4.0 Technological Concepts—Impact and Assessment," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 24(2), pages 271-289, June.
    3. Shivam Gupta & Sachin Modgil & Piera Centobelli & Roberto Cerchione & Serena Strazzullo, 2022. "Additive Manufacturing and Green Information Systems as Technological Capabilities for Firm Performance," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 23(4), pages 515-534, December.
    4. Palash Saha & Subrata Talapatra & H. M. Belal & Victoria Jackson, 2022. "Unleashing the Potential of the TQM and Industry 4.0 to Achieve Sustainability Performance in the Context of a Developing Country," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 23(4), pages 495-513, December.
    5. Md Shihab Shakur & Maishat Lubaba & Binoy Debnath & A. B. M. Mainul Bari & M. Azizur Rahman, 2024. "Exploring the Challenges of Industry 4.0 Adoption in the FMCG Sector: Implications for Resilient Supply Chain in Emerging Economy," Logistics, MDPI, vol. 8(1), pages 1-28, March.
    6. Maja Rožman & Polona Tominc & Tjaša Štrukelj, 2023. "Competitiveness Through Development of Strategic Talent Management and Agile Management Ecosystems," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 24(3), pages 373-393, September.
    7. Thanh Tiep Le & Abhishek Behl & Gary Graham, 2023. "The Role of Entrepreneurship in Successfully Achieving Circular Supply Chain Management," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 24(4), pages 537-561, December.
    8. Laxmi Gupta & Ravi Shankar, 2022. "Adoption of Battery Management System in Utility Grid: An Empirical Study Using Structural Equation Modeling," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 23(4), pages 573-596, December.
    9. John Enrique Sánchez Otero & Jaider Manuel Vega Jurado & Joaquín Alegre Vidal, 2023. "Factors that Influence the Development of Innovations with a Social Focus in the Firm: A Systematic Literature Review," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 24(3), pages 341-360, September.
    10. Santosh Kumar Srivastava & Surajit Bag, 2023. "Recent Developments on Flexible Manufacturing in the Digital Era: A Review and Future Research Directions," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 24(4), pages 483-516, December.
    11. Meri K. Dzhikiya & Veronika V. Yankovskaya & Lyudmila M. Kuprianova & Natalia G. Sapozhnikova & Maria V. Tkacheva, 2024. "Sustainable HRM in the SAP-LAP Model: Flexible Organizational Systems Based on Change Management," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 25(1), pages 1-15, September.
    12. Abhijit Barman & Ashis Kumar Chakraborty & Shib Sankar Sana & Parthasarathi Banerjee, 2024. "Pricing Strategy and Risk-Averse Flexibility in Sustainable Supply Chain: A Dual-Channel Logistics Process Under Reward Contracts and Demand Uncertainty," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 25(4), pages 733-762, December.
    13. Elena G. Popkova & Gulbakhyt Zh. Zholdasbekova & Anastasia A. Sozinova & Tatul Mkrtchyan & Bruno S. Sergi, 2024. "The Black Swan Theory Perspective and the Challenges of the COVID-19 Crisis as Catalysts for Managing a Business," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 25(1), pages 155-171, September.
    14. Margherita Bernabei & Marco Eugeni & Paolo Gaudenzi & Francesco Costantino, 2023. "Assessment of Smart Transformation in the Manufacturing Process of Aerospace Components Through a Data-Driven Approach," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 24(1), pages 67-86, March.

    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. Palash Saha & Subrata Talapatra & H. M. Belal & Victoria Jackson, 2022. "Unleashing the Potential of the TQM and Industry 4.0 to Achieve Sustainability Performance in the Context of a Developing Country," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 23(4), pages 495-513, December.
    2. Yu, Yubing & Zhang, Justin Zuopeng & Cao, Yanhong & Kazancoglu, Yigit, 2021. "Intelligent transformation of the manufacturing industry for Industry 4.0: Seizing financial benefits from supply chain relationship capital through enterprise green management," Technological Forecasting and Social Change, Elsevier, vol. 172(C).
    3. Idiano D’Adamo & Massimo Gastaldi & Jacopo Piccioni & Paolo Rosa, 2023. "The Role of Automotive Flexibility in Supporting the Diffusion of Sustainable Mobility Initiatives: A Stakeholder Attitudes Assessment," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 24(3), pages 459-481, September.
    4. Özköse, Hakan & Güney, Gül, 2023. "The effects of industry 4.0 on productivity: A scientific mapping study," Technology in Society, Elsevier, vol. 75(C).
    5. 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).
    6. Sehrish Atif & Shehzad Ahmed & Muhammad Wasim & Bassam Zeb & Zeeshan Pervez & Lorraine Quinn, 2021. "Towards a Conceptual Development of Industry 4.0, Servitisation, and Circular Economy: A Systematic Literature Review," Sustainability, MDPI, vol. 13(11), pages 1-27, June.
    7. Wong, David T.W. & Ngai, Eric W.T., 2023. "The impact of advanced manufacturing technology, sensing and analytics capabilities, and planning comprehensiveness on sustained competitive advantage: The moderating role of environmental uncertainty," International Journal of Production Economics, Elsevier, vol. 265(C).
    8. Manjot Singh Bhatia & Saurabh Kumar, 2022. "Linking stakeholder and competitive pressure to Industry 4.0 and performance: Mediating effect of environmental commitment and green process innovation," Business Strategy and the Environment, Wiley Blackwell, vol. 31(5), pages 1905-1918, July.
    9. Colombari, Ruggero & Geuna, Aldo & Helper, Susan & Martins, Raphael & Paolucci, Emilio & Ricci, Riccardo & Seamans, Robert, 2023. "The interplay between data-driven decision-making and digitalization: A firm-level survey of the Italian and U.S. automotive industries," International Journal of Production Economics, Elsevier, vol. 255(C).
    10. Li, Ying & Dai, Jing & Cui, Li, 2020. "The impact of digital technologies on economic and environmental performance in the context of industry 4.0: A moderated mediation model," International Journal of Production Economics, Elsevier, vol. 229(C).
    11. Turkcan, Hulya & Imamoglu, Salih Zeki & Ince, Huseyin, 2022. "To be more innovative and more competitive in dynamic environments: The role of additive manufacturing," International Journal of Production Economics, Elsevier, vol. 246(C).
    12. Ana Teresa Tavares-Lehmann & Celeste Varum, 2021. "Industry 4.0 and Sustainability: A Bibliometric Literature Review," Sustainability, MDPI, vol. 13(6), pages 1-15, March.
    13. Bai, Chunguang & Dallasega, Patrick & Orzes, Guido & Sarkis, Joseph, 2020. "Industry 4.0 technologies assessment: A sustainability perspective," International Journal of Production Economics, Elsevier, vol. 229(C).
    14. Peerally, Jahan Ara & Santiago, Fernando & De Fuentes, Claudia & Moghavvemi, Sedigheh, 2022. "Towards a firm-level technological capability framework to endorse and actualize the Fourth Industrial Revolution in developing countries," Research Policy, Elsevier, vol. 51(10).
    15. Calış Duman, Meral & Akdemir, Bunyamin, 2021. "A study to determine the effects of industry 4.0 technology components on organizational performance," Technological Forecasting and Social Change, Elsevier, vol. 167(C).
    16. Guillermo Fuertes & Jorge Zamorano & Miguel Alfaro & Manuel Vargas & Jorge Sabattin & Claudia Duran & Rodrigo Ternero & Ricardo Rivera, 2022. "Opportunities of the Technological Trends Linked to Industry 4.0 for Achieve Sustainable Manufacturing Objectives," Sustainability, MDPI, vol. 14(18), pages 1-36, September.
    17. Kazancoglu, Yigit & Sezer, Muruvvet Deniz & Ozkan-Ozen, Yesim Deniz & Mangla, Sachin Kumar & Kumar, Ajay, 2021. "Industry 4.0 impacts on responsible environmental and societal management in the family business," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    18. Favi, Claudio & Marconi, Marco & Mandolini, Marco & Germani, Michele, 2022. "Sustainable life cycle and energy management of discrete manufacturing plants in the industry 4.0 framework," Applied Energy, Elsevier, vol. 312(C).
    19. Manu Sharma & Anil Kumar & Sunil Luthra & Sudhanshu Joshi & Arvind Upadhyay, 2022. "The impact of environmental dynamism on low‐carbon practices and digital supply chain networks to enhance sustainable performance: An empirical analysis," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1776-1788, May.
    20. Alok Raj & Anand Jeyaraj, 2023. "Antecedents and consequents of industry 4.0 adoption using technology, organization and environment (TOE) framework: A meta-analysis," Annals of Operations Research, Springer, vol. 322(1), pages 101-124, March.

    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:spr:gjofsm:v:23:y:2022:i:4:d:10.1007_s40171-022-00312-1. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.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.