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Challenges and Driving Forces for Industry 4.0 Implementation

Author

Listed:
  • Iva Vuksanović Herceg

    (Faculty of Economics, University of Belgrade, 11000 Belgrade, Serbia)

  • Vukašin Kuč

    (Faculty of Economics, University of Belgrade, 11000 Belgrade, Serbia)

  • Veljko M. Mijušković

    (Faculty of Economics, University of Belgrade, 11000 Belgrade, Serbia)

  • Tomislav Herceg

    (Faculty of Economics and Business, University of Zagreb, 10000 Zagreb, Croatia)

Abstract

Industry 4.0 has been a major force framing the societal, economic and technological environment after 2010. Exposed to ongoing digital transformation, companies are able to exploit opportunities offered by Industry 4.0, and are forced to manage immanent risks and barriers. However, studies on opportunities and challenges relevant for the implementation of Industry 4.0 for companies are scarce. In response to this literature gap, the aim of this exploratory research is to provide a deeper analysis of the level of digital transformation of companies in Serbia based on a digital maturity model, and examine their managers’ opinions on the most important driving forces and implementation barriers. The paper uses exploratory research design based on a survey responded to by 122 high-level managers within the Serbian manufacturing sector. Findings show that, contrary to expectations, digitally transforming enterprises do not see human resources as a driving force, but rather as an obstacle to Industry 4.0 implementation, when they lack necessary competences and skills. Resistance to change caused by Industry 4.0 implementation is not seen as an important barrier. On the other hand, efficiency factors represent the main driving force, while the lack of competences and financial resources represent the greatest barriers to Industry 4.0 implementation.

Suggested Citation

  • Iva Vuksanović Herceg & Vukašin Kuč & Veljko M. Mijušković & Tomislav Herceg, 2020. "Challenges and Driving Forces for Industry 4.0 Implementation," Sustainability, MDPI, vol. 12(10), pages 1-22, May.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:10:p:4208-:d:360947
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