4.5 Article

Critical Success Factors of Industry 4.0 in Automotive Manufacturing Industry

Journal

IEEE TRANSACTIONS ON ENGINEERING MANAGEMENT
Volume 69, Issue 5, Pages 2439-2453

Publisher

IEEE-INST ELECTRICAL ELECTRONICS ENGINEERS INC
DOI: 10.1109/TEM.2020.3017004

Keywords

Automotive engineering; Organizations; Manufacturing industries; Production; Smart manufacturing; Automotive; critical success factors; empirical; industry 4; 0 (I4); performance

Funding

  1. Indian Institute of Management Indore [SM/06/2019-20]

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This article empirically examines the critical success factors (CSF) for implementing I4 technologies in the Indian automotive manufacturing industry. The study finds that data governance is the most critical factor, followed by legal aspects and collaboration and teamwork. These findings provide guidance for automotive manufacturing firms in adopting I4 technologies successfully.
Industry 4.0 (I4) technologies are gaining increased importance in the manufacturing industry, as they can provide several benefits such as an increase in efficiency, lower costs, higher revenues, etc. This article empirically examines the critical success factors (CSF) for implementing I4 technologies in Indian automotive manufacturing industry. In this regard, CSF and performance outcomes of I4 technologies are identified from published literature. The relationships between CSF and performance outcomes are then examined by regression analysis. The results indicate that Data governance is the most critical factor, as it affects all the four performance outcomes (operational, product, economic, and responsiveness). Similarly, Legal aspects affects three out of the four performance outcomes (operational, product, and economic performance), while Collaboration and teamwork affects only operational performance and responsiveness. The study provides an understanding of factors which are critical in achieving performance outcomes about I4 technologies in the automotive manufacturing industry. The findings can also help automotive manufacturing firms toward an informed decision making in terms of various strategies required to adopt I4 technologies successfully.

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