Bridging Compliance and Capabilities: A Methodological Framework for Desirable Transformations in Industry 4.0 & 5.0

This paper develops a methodological framework for addressing ethical conflicts in Industry 4.0 and 5.0 systems by bridging compliance requirements with capability development. Through analysis of industrial case studies, we demonstrate how algorithmic technologies intensify traditional ethical tensions while creating new forms of moral suffering. The literature review reveals limitations in current approaches that either prioritize technical compliance over situated ethical reasoning or lack operational tools for implementation. Building on Ricoeur's practical philosophy, Bégin's empowerment model and Herreros' collective reflexivity, we propose an integrated methodology combining moral distress diagnostics with participatory intervention design. The framework's novelty lies in its dual focus on regulatory conformity and capability-building, guided by sustainable work principles that address both human dignity and ecological viability. While offering concrete tools for ethical risk management, the approach acknowledges structural constraints that may limit transformative potential in certain industrial contexts. The study contributes to operational ethics literature by providing adaptable analytical grids for collective judgment while opening new research avenues at the intersection of industrial engineering and moral philosophy.