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Unlocking new opportunities in the industry 4.0 era, exploring the critical impact of digital technology on sustainable performance and the mediating role of GSCM practices

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  • Tao, Zhibin
  • Chao, Jiaxiao

Abstract

In the context of industry 4.0, digital technology has become one of the core drivers of production and operations for enterprises, promoting the transformation of businesses towards more sustainable development models. Concurrently, green supply chain management (GSCM) practices contribute to the development of sound business strategies for driving sustainable development. This study examines the impact of digital technology on sustainable performance in the context of industry 4.0, from the perspective of practice-based view (PBV) theory and information processing theory (IPT). It also focuses on the mediating role of GSCM practices in the influence of digital technology on sustainable performance. Data was collected from 486 manufacturing enterprises in China for empirical analysis using the PLS-SEM method. The results indicate that: (1) Under the industry 4.0 context, digital technology (IDT) has a significant positive impact on environmental performance (EP), economic performance (ECP), and social performance (SP). (2) IDT has a significant positive effect on green manufacturing (GM), green purchasing (GP), green design (GD), green information systems (GIS), reverse logistics (RL) and investment recovery (IR). (3) GM, GP, GD, GIS, RL, IR have significant positive effects on EP, ECP and SP. (4) Among the six different dimensions of GSCM practices, IDT has a partially mediating effect through CM on EP, a partially mediating effect through GM on ECP and SP, a partially mediating effect through GP on EP and SP, a partially mediating effect through GD on EP, ECP, and SP, a partially mediating effect through GIS on ECP and SP, a partially mediating effect through RL on EP, ECP, and SP. Finally, IDT has a partially mediating effect through IR on EP and SP. It is noteworthy that GP does not have a mediating effect between IDT and ECP, GIS does not have a mediating effect on EP, and IR does not have a mediating effect between IDT and ECP. By conducting in-depth research on the impact of digital technology on the economic, environmental, and social performance of enterprises in the industry 4.0 environment, this study aims to promote the enhancement of sustainable performance for businesses. It also aims to provide specific strategies and practical guidance for enterprises to promote sustainable development in the industry 4.0 era.

Suggested Citation

  • Tao, Zhibin & Chao, Jiaxiao, 2024. "Unlocking new opportunities in the industry 4.0 era, exploring the critical impact of digital technology on sustainable performance and the mediating role of GSCM practices," Innovation and Green Development, Elsevier, vol. 3(3).
    • Handle: RePEc:eee:ingrde:v:3:y:2024:i:3:s2949753124000377
    DOI: 10.1016/j.igd.2024.100160
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