Critical Factors of Industry 4.0 Implementation in an Emerging Country: Empirical Study

Abstract

The concept of Industry 4.0 is becoming more and more popular all over the world. The implementation of its assumptions in business practice changes the way companies operate. The enormous innovative potential of the Industry 4.0 concept and the intensive use of processes based on the implementation of advanced technologies in its assumptions have an impact on various industries in each country. The article attempts to analyze the critical factors for the implementation of Industry 4.0 in Kazakhstan. Primary and secondary data sources were used for this purpose. The majority of existing government initiatives and reports do not reflect the actual situation. Additionally, these materials do not always represent the experiences or positions of all the parties involved. Opinions of companies and organizations implementing Industry 4.0 solutions remain unexplored. The primary goal of the paper is to fill the cognitive gap by analyzing stakeholder responses and identifying the actual level of their awareness of the development of Industry 4.0. An additional intention of the authors was to empirically establish barriers that companies face while implementing the most desirable technologies, as well as to establish other critical factors, taking into account the specificity of the country under study. The results of the research can be used by policymakers, scientists and other stakeholders to develop forecasts and strategic plans, as well as to develop and conduct further research on the implementation processes of Industry 4.0 in Kazakhstan.

Aligning sustainable development goals with Industry 4.0 for the design of business model for printing and packaging companies

“…Surprisingly, IoT (À1) and additive manufacturing (À1) contribute negatively to SDG10, and the same value was given for SDG13 (additive manufacturing). Considering partnership for the goals, there is a little difference in values between IoT (5), Cloud computing and simulation (6) for partnership for the goals, while big data presented the best result (10) in the alignment degree compared with the rest of the SDGs. For SDG17, respondents also reported the lowest value for additive manufacturing (2) and autonomous robots (1).…”

“…While simulation and system integration contribute significantly to SDG12 and to SDG9, the same acts as a deactivator for SDG4, SDG5 and even SDG10. For SDG8, the greatest value of alignment was achieved by big data (9), followed by cybersecurity (10).…”

“…9 For emerging countries, I4.0 applications of the I4.0 in business practice are a challenge due to critical factors, including unsatisfactory knowledge with employees and managers, weak ICT infrastructure and a lack of regulations at the national level. 10 Through I4.0, these technologies improve (resource) efficiency, efficient technological systems in connected communities and the effectiveness of new and more sustainable methods. 11 An incorporation of sustainability into I4.0 technologies is identified as key to meeting the SDGs for the successful transition to a fully sustainable I4.0.…”

“…Unfortunately, not all governmental reports reflect the actual situation for measuring progress in the I4.0 application. 10 Experiencing recent organizational changes from traditional to sustainable patterns, organizations must adapt to this current technological environment, overcoming I4.0 technology-related barriers. 16 Company success depends on many factors (managerial competencies, management style, changes to the mission and vision, organization commitment to changes, etc.…”

“…Therefore, some countries have started to regulate the implementation of the SDGs through performance indicators at a different level (local, regional, national) depending on local and regional priorities to be coherent with national strategy 9 . For emerging countries, I4.0 applications of the I4.0 in business practice are a challenge due to critical factors, including unsatisfactory knowledge with employees and managers, weak ICT infrastructure and a lack of regulations at the national level 10 …”