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Integrating industry 4.0 technologies into green supply chains: An empirical investigation of pathways to green innovation and circular economy

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  • Shahzad, Fakhar
  • Ben Zaied, Younes
  • Zhang, Qingyu

Abstract

Despite the growing recognition of the transformative potential of Industry 4.0 technologies to advance sustainability goals, the existing evidence often needs to pay more attention to the actual integration of these technologies in supply chain dynamics. This study aims to bridge this gap by integrating a practice-based view and supply chain practice view framework to uncover the complex nexus that forms a sustainable circular economy. The required data was collected through a structured questionnaire (n = 358) from supply chain professionals of Pakistani manufacturing firms. The proposed model was tested using partial least squares structural equation modeling, bootstrapping, and importance–performance map analysis. The findings portray the positive role of Industry 4.0 technologies and green supply chain integration in driving green innovation for sustainable products and processes, and provide concrete examples of their practical application in a sustainable circular economy. The outcomes contributed to the development of sustainable business strategies for Industry 4.0 technologies-based green supply chain integration, providing significant theoretical grounds and a practical roadmap for integrating these technologies into the manufacturing supply chain. Importantly, the study's findings directly impact supply chain professionals and provide practical guidance for manufacturers navigating the changing landscape and achieving sustainable goals.

Suggested Citation

  • Shahzad, Fakhar & Ben Zaied, Younes & Zhang, Qingyu, 2026. "Integrating industry 4.0 technologies into green supply chains: An empirical investigation of pathways to green innovation and circular economy," International Journal of Production Economics, Elsevier, vol. 291(C).
    • Handle: RePEc:eee:proeco:v:291:y:2026:i:c:s0925527325003445
    DOI: 10.1016/j.ijpe.2025.109859
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