Abstract
In developed countries, the majority of manufacturing companies are moving to Industry 4.0 to stay competitive. But as far as concerning the developing countries, there should be need of proper knowledge about the Industry 4.0. This article aims to identify, evaluate, and validate the readiness factors to implement the Industry 4.0 concept. Key insights from manufacturing industries that have adopted Industry 4.0 are presented in this study using a mixture of qualitative and empirical research. A survey questionnaire was used to study 175 manufacturing industries in India’s northern area for this reason. In the beginning, normality testing was done using the Kolmogorov-Smirnov test and the Shapiro-Wilk test. Following this, using the SPSS software, the survey results were examined using non-parametric tests including the Kruskal-Wallis test which has been employed to ensure the statistical deviations among the readiness; Spearman’s correlation test and Chi-square test have been employed for analyzing the significant relationship of each readiness factor with all the Industry 4.0 benefits. The findings of the survey are presented in this article for evaluating the readiness of manufacturing industries. Also, readiness factors were validated based on the benefits realized by manufacturing industries as a result of implementing Industry 4.0 technologies through the development of sixteen hypotheses. To reflect its novelty, this work investigates significant relationship of readiness factors of Industry 4.0 implementation with the benefits achieved. Besides, to the utmost of the author’s knowledge, this survey is the first to examine Industry 4.0 adoption status in Indian manufacturing industries. According to the findings, readiness factors have a significant relationship with the benefits achieved through the implementation of Industry 4.0, and the research agenda for the future are discussed.
Similar content being viewed by others
References
Abdirad M, Krishnan K (2020) Industry 4.0 in logistics and supply chain management: a systematic literature review. Eng Manag J:1–15. https://doi.org/10.1080/10429247.2020.1783935
Albers A, Gladysz B, Pinner T, Butenko V, Stürmlinger T (2016) Procedure for defining the system of objectives in the initial phase of an industry 4.0 project focusing on intelligent quality control systems. Procedia Cirp 52:262–267. https://doi.org/10.1016/j.procir.2016.07.067
Alcácer V, Cruz-Machado V (2019) Scanning the industry 4.0: a literature review on technologies for manufacturing systems. Engineering Science and Technology, an. Int J 22(3):899–919. https://doi.org/10.1016/j.jestch.2019.01.006
Babatunde SO, Udeaja C, Adekunle AO (2021) Barriers to BIM implementation and ways forward to improve its adoption in the Nigerian AEC firms. Int J Build Pathol Adapt 39(1):48–71. https://doi.org/10.1108/IJBPA-05-2019-0047
Baldassarre F, Ricciardi F, Campo R (2017) The advent of industry 4.0 in manufacturing industry: literature review and growth opportunities. In: DIEM: Dubrovnik International Economic Meeting, vol 3. Sveučilište u Dubrovniku, pp 632–643. https://hrcak.srce.hr/187418. Accessed 17 Oct 2020
Bauer W, Hämmerle M, Schlund S, Vocke C (2015) Transforming to a hyper-connected society and economy–towards an “Industry 4.0”. Procedia Manuf 3:417–424. https://doi.org/10.1016/j.promfg.2015.07.200
Binti Aminuddin NA, Garza-Reyes JA, Kumar V, Antony J, Rocha-Lona L (2016) An analysis of managerial factors affecting the implementation and use of overall equipment effectiveness. Int J Prod Res 54(15):4430–4447. https://doi.org/10.1080/00207543.2015.1055849
Brettel M, Friederichsen N, Keller M, Rosenberg M (2017) How virtualization, decentralization and network building change the manufacturing landscape: an industry 4.0 perspective. Int J Mech Aerospace Ind Mechatron Eng FormaMente 12:47–62. 16p. https://doi.org/10.5281/zenodo.1336426
Chiarini A, Belvedere V, Grando A (2020) Industry 4.0 strategies and technological developments. An exploratory research from Italian manufacturing companies. Prod Plan Control 31(16):1385–1398. https://doi.org/10.1080/09537287.2019.1710304
Dalenogare LS, Benitez GB, Ayala NF, Frank AG (2018) The expected contribution of Industry 4.0 technologies for industrial performance. Int J Prod Econ 204:383–394. https://doi.org/10.1016/j.ijpe.2018.08.019
de Sousa Jabbour ABL, Jabbour CJC, Foropon C, Godinho Filho M (2018) When titans meet–Can industry 4.0 revolutionise the environmentally-sustainable manufacturing wave? The role of critical success factors. Technol Forecast Soc Chang 132:18–25. https://doi.org/10.1016/j.techfore.2018.01.017
Dong L, Neufeld D, Higgins C (2009) Top management support of enterprise systems implementations. J Inf Technol 24(1):55–80. https://doi.org/10.1057/jit.2008.21
Fatorachian H, Kazemi H (2018) A critical investigation of Industry 4.0 in manufacturing: theoretical operationalisation framework. Prod Plan Control 29(8):633–644. https://doi.org/10.1080/09537287.2018.1424960
Field A (2011) Discovering Statistics Using SPSS, 3rd edn. SAGE Publications Ltd, London
Frank AG, Dalenogare LS, Ayala NF (2019a) Industry 4.0 technologies: implementation patterns in manufacturing companies. Int J Prod Econ 210:15–26. https://doi.org/10.1016/j.ijpe.2019.01.004
Frank AG, Mendes GH, Ayala NF, Ghezzi A (2019b) Servitization and Industry 4.0 convergence in the digital transformation of product firms: a business model innovation perspective. Technol Forecast Soc Chang 141:341–351. https://doi.org/10.1016/j.techfore.2019.01.014
Ghadge A, Er Kara M, Moradlou H, Goswami M (2020) The impact of Industry 4.0 implementation on supply chains. J Manuf Technol Manag 31(4):669–686. https://doi.org/10.1108/JMTM-10-2019-0368
Ghobakhloo M (2018) The future of manufacturing industry: a strategic roadmap toward Industry 4.0. J Manuf Technol Manag 29(6):910–936. https://doi.org/10.1108/JMTM-02-2018-0057
Gilchrist A (2016) Industry 4.0: the industrial internet of things. Apress, Berkeley
Gorecky D, Schmitt M, Loskyll M, Zühlke D (2014) Human-machine-interaction in the industry 4.0 era. In: In 2014 12th IEEE international conference on industrial informatics (INDIN). Ieee, pp 289–294. https://doi.org/10.1109/INDIN.2014.6945523
Hermann M, Pentek T, Otto B (2016) Design principles for industrie 4.0 scenarios. In: IEEE 49th Hawaii International Conference on System Sciences (HICSS), Koloa, HI, USA, pp 3928–3937. https://doi.org/10.1109/HICSS.2016.488
Hofmann E, Rüsch M (2017) Industry 4.0 and the current status as well as future prospects on logistics. Comput Ind 89:23–34. https://doi.org/10.1016/j.compind.2017.04.002
Iyer A (2018) Moving from Industry 2.0 to Industry 4.0: a case study from India on leapfrogging in smart manufacturing. Procedia Manuf 21:663–670. https://doi.org/10.1016/j.promfg.2018.02.169
Janjić V, Todorović M, Jovanović D (2020) Key success factors and benefits of Kaizen implementation. Eng Manag J 32(2):98–106. https://doi.org/10.1080/10429247.2019.1664274
Jeschke S, Brecher C, Meisen T, Özdemir D, Eschert T (2017) Industrial internet of things and cyber manufacturing systems. In: Jeschke S, Brecher C, Song H, Rawat D (eds) Industrial Internet of Things. Springer Series in Wireless Technology. Springer, Cham. https://doi.org/10.1007/978-3-319-42559-7_1
Kagermann H, Wahlster W, Helbig J (2013) Securing the future of German manufacturing industry: recommendations for implementing the strategic initiative INDUSTRIE 4.0. In: Final report of the Industrie 4.0 working group, Forschungsunion, Berlin, Germany, pp 1–79 available at: https://www.din.de/blob/76902/e8cac883f42bf28536e7e8165993f1fd/recommendations-for-implementing-industry-4-0-data.pdf (assessed 20 June 2020)
Kamble SS, Gunasekaran A, Gawankar SA (2018a) Sustainable Industry 4.0 framework: a systematic literature review identifying the current trends and future perspectives. Process Saf Environ Prot 117:408–425. https://doi.org/10.1016/j.psep.2018.05.009
Kamble SS, Gunasekaran A, Sharma R (2018b) Analysis of the driving and dependence power of barriers to adopt industry 4.0 in Indian manufacturing industry. Comput Ind 101:107–119. https://doi.org/10.1016/j.compind.2018.06.004
Kang HS, Lee JY, Choi S, Kim H, Park JH, Son JY, Kim BH, Do Noh S (2016) Smart manufacturing: past research, present findings, and future directions. Int J Precis Eng Manuf-Green Technol 3(1):111–128. https://doi.org/10.1007/s40684-016-0015-5
Karami A, Jones BM, Kakabadse N (2008) Does strategic human resource management matter in high-tech sector? Some learning points for SME managers. Corp Gov 8(1):7–17. https://doi.org/10.1108/14720700810853365
Kiel D, Müller JM, Arnold C, Voigt KI (2017) Sustainable industrial value creation: benefits and challenges of industry 4.0. Int J Innov Manag 21(8):1740015. https://doi.org/10.1142/S1363919617400151
Kumar S, Suhaib M, Asjad M (2020) Industry 4.0: complex, disruptive, but inevitable. Manag Prod Eng Rev 11(1):43–51. https://doi.org/10.24425/mper.2020.132942
Li L (2018) China’s manufacturing locus in 2025: with a comparison of “Made-in-China 2025” and “Industry 4.0”. Technol Forecast Soc Chang 135:66–74. https://doi.org/10.1016/j.techfore.2017.05.028
Liao Y, Deschamps F, Loures EDFR, Ramos LFP (2017) Past, present and future of Industry 4.0-a systematic literature review and research agenda proposal. Int J Prod Res 55(12):3609–3629. https://doi.org/10.1080/00207543.2017.1308576
Liu Y, Xu X (2017) Industry 4.0 and cloud manufacturing: a comparative analysis. J Manuf Sci Eng 139(3). https://doi.org/10.1115/1.4034667
Lu Y, Cecil J (2016) An Internet of Things (IoT)-based collaborative framework for advanced manufacturing. Int J Adv Manuf Technol 84(5-8):1141–1152. https://doi.org/10.1007/s00170-015-7772-0
Luthra S, Kumar A, Zavadskas EK, Mangla SK, Garza-Reyes JA (2020) Industry 4.0 as an enabler of sustainability diffusion in supply chain: an analysis of influential strength of drivers in an emerging economy. Int J Prod Res 58(5):1505–1521
Monostori L, Kádár B, Bauernhansl T, Kondoh T, Kumara S, Reinhart G, Sauer O, Schuh G, Sihn W, Ueda K (2016) Cyber-physical systems in manufacturing. CIRP Ann Manuf Technol 65(2):621–641. https://doi.org/10.1016/j.cirp.2016.06.005
Morrar R, Arman H, Mousa S (2017) The fourth industrial revolution (Industry 4.0): a social innovation perspective. Technol Innov Manag Rev 7(11):12–20. https://timreview.ca/sites/default/files/Issue_PDF/TIMReview_November2017.pdf#page=12. Accessed 27 Nov 2020
Müller J, Maier L, Veile J, Voigt KI (2017) Cooperation strategies among SMEs for implementing industry 4.0. In Digitalization in Supply Chain Management and Logistics: Smart and Digital Solutions for an Industry 4.0 Environment. Proc Hamburg Int Conf Log (HICL) 23:301–318). Berlin: epubli GmbH. https://doi.org/10.15480/882.1462
Müller JM, Buliga O, Voigt KI (2018) Fortune favors the prepared: how SMEs approach business model innovations in Industry 4.0. Technol Forecast Soc Chang 132:2–17. https://doi.org/10.1016/j.techfore.2017.12.019
Nagabhushana TS, Shah J (1999) Manufacturing priorities and action programmes in the changing environment: an empirical study of Indian industries. Int J Oper Prod Manag 19(4):389–400. https://doi.org/10.1108/01443579910254240
Naji K, Gunduz M, Salat F (2021) Assessment of preconstruction factors in sustainable project management performance. Eng Constr Archit Manag 28(10):3060–3077. https://doi.org/10.1108/ECAM-05-2020-0333
Nick G, Szaller Á, Bergmann J, Várgedő T (2019) Industry 4.0 readiness in Hungary: model, and the first results in connection to data application. IFAC-PapersOnLine 52(13):289–294. https://doi.org/10.1016/j.ifacol.2019.11.185
Nicoletti B (2018) The future: procurement 4.0. In: Agile Procurement. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-61085-6_8
Nimawat D, Das Gidwani B (2022) Challenges facing by manufacturing industries towards implementation of industry 4.0: an empirical research. Int J Interact Des Manuf 16(4):1371–1383. https://doi.org/10.1007/s12008-022-00961-7
Nimawat D, Gidwani BD (2020) Industry 4.0 in various sectors: review and future scope. J Prod Res Manag 10(3):5–26. https://doi.org/10.37591/joprm.v10i3.3914
Nimawat D, Gidwani BD (2021a) Identification of cause and effect relationships among barriers of Industry 4.0 using decision-making trial and evaluation laboratory method. BIJ 28(8):2407–2431. https://doi.org/10.1108/BIJ-08-2020-0429
Nimawat D, Gidwani BD (2021b) Prioritization of important factors towards the status of industry 4.0 implementation utilizing AHP and ANP techniques. BIJ 28(2):695–720. https://doi.org/10.1108/BIJ-07-2020-0346
Nimawat D, Gidwani BD (2022) An overview of industry 4.0 in manufacturing industries. Int J Ind Syst Eng 40(4):415–454. https://doi.org/10.1504/IJISE.2022.122820
Nosalska K, Piątek ZM, Mazurek G, Rządca R (2020) Industry 4.0: coherent definition framework with technological and organizational interdependencies. J Manuf Technol Manag 31(5):837–862. https://doi.org/10.1108/JMTM-08-2018-0238
Oesterreich TD, Teuteberg F (2016) Understanding the implications of digitisation and automation in the context of Industry 4.0: a triangulation approach and elements of a research agenda for the construction industry. Comput Ind 83:121–139. https://doi.org/10.1016/j.compind.2016.09.006
Oettmeier K, Hofmann E (2017) Additive manufacturing technology adoption: an empirical analysis of general and supply chain-related determinants. J Bus Econ 87(1):97–124. https://doi.org/10.1007/s11573-016-0806-8
Palazzeschi L, Bucci O, Di Fabio A (2018) Re-thinking innovation in organizations in the industry 4.0 scenario: new challenges in a primary prevention perspective. Front Psychol 9:30. https://doi.org/10.3389/fpsyg.2018.00030
Park S, Huh JH (2018) Effect of cooperation on manufacturing it project development and test bed for successful industry 4.0 project: safety management for security. Processes 6(7):88. https://doi.org/10.3390/pr6070088
Pereira AC, Romero F (2017) A review of the meanings and the implications of the Industry 4.0 concept. Procedia Manuf 13:1206–1214. https://doi.org/10.1016/j.promfg.2017.09.032
Peukert B, Benecke S, Clavell J, Neugebauer S, Nissen NF, Uhlmann E, Lang KD, Finkbeiner M (2015) Addressing sustainability and flexibility in manufacturing via smart modular machine tool frames to support sustainable value creation. Procedia CIRP 29:514–519. https://doi.org/10.1016/j.procir.2015.02.181
Plackett RL (1983) Karl Pearson and the chi-squared test. Int Stat Rev/Revue Internationale de Statistique 51(1):59–72. https://doi.org/10.2307/1402731
Porter ME, Heppelmann JE (2014) How smart, connected products are transforming competition. Harv Bus Rev 92(11):64–88. https://www.gospi.fr/IMG/pdf/porter-2014-hbr_how-smart-connected-products-are-transforming-competitionhbr-2014.pdf. Accessed 26 Jan 2019
Robson C, McCartan K (2016) Real world research, 4th edn. John Wiley & Sons
Sackey SM, Bester A, Adams D (2017) Industry 4.0 learning factory didactic design parameters for industrial engineering education in South Africa. S Afr J Ind Eng 28(1):114–124. https://doi.org/10.7166/28-1-1584
Sader S, Husti I, Daroczi M (2019) Quality management practices in the era of industry 4.0. Zeszyty Naukowe Politechniki Częstochowskiej Res Rev Czestochowa Univ Technol 35:117. https://doi.org/10.17512/znpcz.2019.3.10
Sadiq Sohail M, Boon Hoong T (2003) TQM practices and organizational performances of SMEs in Malaysia: some empirical observations. BIJ 10(1):37–53. https://doi.org/10.1108/14635770310457539
Safar L, Sopko J, Dancakova D, Woschank M (2020) Industry 4.0—Awareness in South India. Sustainability 12(8):3207. https://doi.org/10.3390/su12083207
Sarvari PA, Ustundag A, Cevikcan E, Kaya I, Cebi S (2018) Technology roadmap for industry 4.0. In: Ustundag A, Cevikcan E (eds) Industry 4.0: managing the digital transformation. Springer, Cham, pp 95–103. https://doi.org/10.1007/978-3-319-57870-5_5
Saunders M, Lewis P, Thornhill A (2009) Research methods for business students. Pearson education
Schlechtendahl J, Keinert M, Kretschmer F, Lechler A, Verl A (2015) Making existing production systems Industry 4.0-ready. Prod Eng 9(1):143–148. https://doi.org/10.1007/s11740-014-0586-3
Schneider P (2018) Managerial challenges of Industry 4.0: an empirically backed research agenda for a nascent field. Rev Manag Sci 12(3):803–848. https://doi.org/10.1007/s11846-018-0283-2
Schöggl JP, Rusch M, Stumpf L, Baumgartner RJ (2023) Implementation of digital technologies for a circular economy and sustainability management in the manufacturing sector. Sustain Prod Consump 35:401–420. https://doi.org/10.1016/j.spc.2022.11.012
Seufert S, Meier C (2016) From eLearning to digital transformation: a framework and implications for L&D. Int J Corp Learn 9(2):27–33. https://doi.org/10.3991/ijac.v9i2.6003
Sevinc A, Gür Ş, Eren T (2018) Analysis of the difficulties of SMEs in industry 4.0 applications by analytical hierarchy process and analytical network process. Processes 6(12):264. https://doi.org/10.3390/pr6120264
Shah R, Ward PT (2007) Defining and developing measures of lean production. J Oper Manag 25(4):785–805. https://doi.org/10.1016/j.jom.2007.01.019
Shokri A, Waring TS, Nabhani F (2016) Investigating the readiness of people in manufacturing SMEs to embark on Lean Six Sigma projects: an empirical study in the German manufacturing sector. Int J Oper Prod Manag 36(8):850–878. https://doi.org/10.1108/IJOPM-11-2014-0530
Sindhu J, Choi K, Lavy S, Rybkowski ZK, Bigelow BF, Li W (2018) Effects of front-end planning under fast-tracked project delivery systems for industrial projects. Int J Constr Educ Res 14(3):163–178. https://doi.org/10.1080/15578771.2017.1280100
Sony M, Aithal S (2020) Transforming Indian engineering industries through industry 4.0: an integrative conceptual analysis. Int J Appl Eng Manag Lett 4(2):111–123. https://mpra.ub.uni-muenchen.de/102872/. Accessed 13 Jan 2021
Sony M, Naik S (2019) Key ingredients for evaluating Industry 4.0 readiness for organizations: a literature review. BIJ 27(7):2213–2232. https://doi.org/10.1108/BIJ-09-2018-0284
Srinivas G (2020) Industry 4.0 in India-a study on opportunities and challenges. Int J Recent Adv Inf Technol Manag 4(1):1–7. http://www.management.eurekajournals.com/index.php/IJRAITM/article/view/401/458. Accessed 12-06-2020
Stentoft J, Adsbøll Wickstrøm K, Philipsen K, Haug A (2020) Drivers and barriers for Industry 4.0 readiness and practice: empirical evidence from small and medium-sized manufacturers. Prod Plan Control 32(10):1–18. https://doi.org/10.1080/09537287.2020.1768318
Stock T, Seliger G (2016) Opportunities of sustainable manufacturing in industry 4.0. Procedia CIRP 40:536–541. https://doi.org/10.1016/j.procir.2016.01.129
Theorin A, Bengtsson K, Provost J, Lieder M, Johnsson C, Lundholm T, Lennartson B (2017) An event-driven manufacturing information system architecture for Industry 4.0. Int J Prod Res 55(5):1297–1311. https://doi.org/10.1080/00207543.2016.1201604
Türkeș MC, Oncioiu I, Aslam HD, Marin-Pantelescu A, Topor DI, Căpușneanu S (2019) Drivers and barriers in using Industry 4.0: a perspective of SMEs in Romania. Processes 7(3):153. https://doi.org/10.3390/pr7030153
UNIDO. (2020). Industrial Development Report 2020. Industrializing in the digital age. Available at: https://www.unido.org/sites/default/files/files/2019-12/UNIDO%20IDR20%20main%20report.pdf. Accessed 15 Feb 2021
Vaidya S, Ambad P, Bhosle S (2018) Industry 4.0-A glimpse. Procedia Manuf 20:233–238. https://doi.org/10.1016/j.promfg.2018.02.034
Wagire AA, Rathore APS, Jain R (2019) Analysis and synthesis of Industry 4.0 research landscape: using latent semantic analysis approach. J Manuf Technol Manag 31(1):31–51. https://doi.org/10.1108/JMTM-10-2018-0349
Wan J, Yi M, Li DI, Zhang C, Wang S, Zhou K (2016) Mobile services for customization manufacturing systems: an example of industry 4.0. IEEE Access 4:8977–8986. https://doi.org/10.1109/ACCESS.2016.2631152
Wang S, Wan J, Li D, Zhang C (2016a) Implementing smart factory of industrie 4.0: an outlook. Int J Distrib Sens Netw 12(1):3159805. https://doi.org/10.1155/2016/3159805
Wang S, Wan J, Zhang D, Li D, Zhang C (2016b) Towards smart factory for industry 4.0: a self-organized multi-agent system with big data based feedback and coordination. Comput Netw 101:158–168. https://doi.org/10.1016/j.comnet.2015.12.017
Witkowski K (2017) Internet of things, big data, industry 4.0–innovative solutions in logistics and supply chains management. Procedia Eng 182:763–769. https://doi.org/10.1016/j.proeng.2017.03.197
Zhou W, Piramuthu S, Chu F, Chu C (2017) RFID-enabled flexible warehousing. Decis Support Syst 98:99–112. https://doi.org/10.1016/j.dss.2017.05.002
Author information
Authors and Affiliations
Contributions
The authors confirm responsibility for the following: study conception, data collection, analysis and interpretation of results, and manuscript preparation.
Corresponding author
Ethics declarations
Ethical approval
Not applicable.
Consent to participate
Not applicable.
Consent for publication
Not applicable.
Competing interests
The authors declare no competing interests.
Additional information
Publisher’s Note
Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.
Rights and permissions
Springer Nature or its licensor (e.g. a society or other partner) holds exclusive rights to this article under a publishing agreement with the author(s) or other rightsholder(s); author self-archiving of the accepted manuscript version of this article is solely governed by the terms of such publishing agreement and applicable law.
About this article
Cite this article
Nimawat, D., Gidwani, B.D. An initial survey on the readiness of Industry 4.0 adoption in the manufacturing industries. Int J Adv Manuf Technol 129, 1613–1630 (2023). https://doi.org/10.1007/s00170-023-12385-y
Received:
Accepted:
Published:
Issue Date:
DOI: https://doi.org/10.1007/s00170-023-12385-y