Unveiling barriers to Industry 5.0adoption in supply chains:a DEMATEL approach

Authors

  • Seema Laddha Department of Management, Universal AI University, Karjat https://orcid.org/0000-0003-2673-2704
  • Anguja Agrawal Department of Management, SIES College of Management Studies, Navi Mumbai

DOI:

https://doi.org/10.1108/RAUSP-08-2023-0146

Keywords:

Barriers, Organizational barriers, Industry 5.0, Regulatory barriers, DEMATEL, Sustainable supply chain practices, Technological barriers, Economic barriers

Abstract

Purpose

The objective of this research is to investigate the barriers impacting the integration of Industry 5.0 (I5.0) in supply chain sustainability. By understanding these challenges, this study aims to provide valuable insights that can guide organizations in successfully implementing the transformative potential of I5.0. The ultimate aim is to improve operational efficiency and advocate for sustainable practices within supply chains.

Design/methodology/approach

Research has used industry expert interviews, a comprehensive literature review and the decision-making trial and evaluation laboratory approach for analysis. Industry expert interviews serve to capture first-hand insights from professionals well versed in the field, providing practical perspectives on the barriers to I5.0 adoption.

Findings

This study identifies technological challenges, organizational barriers, regulatory impediments and economic constraints as pivotal factors inhibiting the widespread adoption of I5.0 in supply chain sustainability.

Research limitations/implications

This research serves as a foundation for future investigations into overcoming barriers to I5.0 adoption, guiding scholars and practitioners in refining strategies for successful implementation.

Practical implications

The findings offer practical insights for organizations aiming to adopt I5.0, informing decision-makers on key challenges and facilitating the development of targeted strategies to overcome them.

Social implications

The social implications lie in fostering sustainable business practices through the adoption of I5.0, contributing to environmental responsibility and societal well-being.

Originality/value

This research contributes original insights from practitioners, policymakers and researchers in navigating the complex landscape of I5.0 adoption, ensuring meaningful contributions to both academia and industry.

Downloads

Download data is not yet available.

References

Adel, A. (2022a). A conceptual framework to improve cyber forensic administration in Industry 5.0: Qualitative study approach. Forensic Sciences, 2(1), 111–129, doi: 10.3390/forensicsci2010009.

Adel, A. (2022b). Industry 5.0: A new era of human-machine collaboration. IEEE Potentials, 41(1), 8–11.

Adel, A. (2022c). Future of Industry 5.0 in society: Human-centric solutions, challenges and prospective research areas. Journal of Cloud Computing, 11(1), 40, doi: 10.1186/s13677-022-00314-5.

Agrawal, A., Sharma, A., Srivastav, P. K., & Devi, M. S. (2023). Managing the barriers of Industry 4.0: Indian pharmaceutical supply chain perspective. 2023 10th International Conference on Computing for Sustainable Global Development (INDIACom), 897–902, IEEE.

Aslam, W., Khan, Z., Khan, A., & Khan, I. (2020). Industry 5.0: A step towards sustainable development and its impact on supply chain management. Journal of Cleaner Production, 253, 119944.

Barata, J., & Kayser, I. (2023). Industry 5.0–past, present, and near future. Procedia Computer Science, 219, 778–788, doi: 10.1016/j.procs.2023.01.351.

Barquet, A. P. B., Pereira-Klen, A., Rozenfeld, H., & Lopes, L. C. (2020). The Industry 5.0 innovation framework for sustainable industrial automation. Journal of Cleaner Production, 253, 119939.

Bhagawati, M. T., Manavalan, E., Jayakrishna, K., & Venkumar, P. (2019). Identifying key success factors of sustainability in supply chain management for Industry 4.0 using DEMATEL method. Proceedings of international conference on intelligent manufacturing and automation: ICIMA 2018 (583–591), Springer Singapore.

Bhatti, U., Kumar, V., & Singh, A. (2020). Industry 4.0 and sustainable supply chain management: A review. International Journal of Operations and Production Management, 40(1), 23–49.

Brynjolfsson, E., & McAfee, A. (2014). The second machine age: work, progress, and prosperity in a time of brilliant technologies, W. W. Norton & Company.

Buchholz, T., Albers, A., Lautenschläger, A., & Kinkel, S. (2021). Industry 5.0 – the role of the human in future value creation. Technological Forecasting and Social Change, 162, 120407.

Chauhan, A. S., Kumari, S., & Kumar, A. (2021a). Industry 5.0 adoption for sustainable supply chain management: A fuzzy-AHP approach. Journal of Cleaner Production, 291, 125620.

Chauhan, S., Saini, S. P., & Chauhan, A. (2021b). Industry 5.0: The future of smart manufacturing. International Journal of Mechanical and Production Engineering Research and Development, 11(2), 487–496.

Dwivedi, A., Agrawal, D., Jha, A., & Mathiyazhagan, K. (2023). Studying the interactions among Industry 5.0 and circular supply chain: Towards attaining sustainable development. Computers & Industrial Engineering, 176, 108927.

Dwivedi, Y. K., Rana, N. P., Jeyaraj, A., Clement, M., & Williams, M. D. (2020). Artificial intelligence (AI): Multidisciplinary perspectives on emerging challenges, opportunities, and agenda for research, practice and policy. International Journal of Information Management, 102166.

Frederico, G. F. (2021). Challenges and opportunities in Industry 5.0: A systematic review. Journal of Manufacturing Systems, 60, 250–266.

Frey, C. B., & Osborne, M. A. (2017). The future of employment: How susceptible are jobs to computerisation? Technological Forecasting and Social Change, 114, 254–280, doi: 10.1016/j.techfore.2016.08.019.

Hossain, M. K., & Thakur, V. (2021). Benchmarking health-care supply chain by implementing Industry 4.0: A fuzzy-AHP-DEMATEL approach. Benchmarking: An International Journal, 28(2), 556–581, doi: 10.1108/BIJ-05-2020-0268.

Hsieh, C. H., Lin, C. L., & Yu, P. C. (2020a). Industry 4.0 and smart manufacturing: A review. Proceedings of the International Conference on Industrial Engineering and Operations Management, 2019, 1492–1500.

Hsieh, H. L., Lin, C. C., & Yu, T. H. K. (2020b). Constructing an intelligent inter-factory architecture for Industry 5.0: An exploratory study. International Journal of Production Economics, 225, 107568.

Huang, S. H., Chu, P. Y., Ho, Y. T., & Lee, C.J. (2021a). A hybrid data-driven modeling approach for predicting adoption of Industry 5.0. International Journal of Production Economics, 236, 108272.

Huang, Q., Lin, Y., Zhang, L., & Zhang, L. (2021b). Supply chain cybersecurity under Industry 4.0: A systematic review. International Journal of Information Management, 61.

Ivanov, D. (2023). The Industry 5.0 framework: Viability-based integration of the resilience, sustainability, and human-centricity perspectives. International Journal of Production Research, 61(5), 1683–1695, doi: 10.1080/00207543.2022.2118892.

Jing, B., Cai, H., Huang, X., & Li, L. (2020a). Industry 4.0 and supply chain management: A comparative analysis. International Journal of Production Research, 58(7), 2063–2078.

Jing, X. Y., Shen, W. Z., Xia, Y. B., & Yuan, J. (2020b). Big data analytics in Industry 5.0 and industrial internet of things: A comprehensive literature review. Journal of Cleaner Production, 244, 118814.

Johansson, C., & Sundström, D. (2020). Towards cross-functional collaboration in Industry 5.0: Exploring organizational enablers and barriers. International Journal of Production Economics, 219, 74–87.

Kagermann, H., Wahlster, W., & Helbig, J. (2013). Recommendations for implementing the strategic initiative industrie 4.0: Final report of the industrie 4.0 working group. Retrieved from www.plattform-i40.de/PI40/Redaktion/EN/Downloads/Publikation/industrie-4-0-final-report.pdf

Karmaker, C. L., Ashraf, M. A., & Matin, M. A. (2021). An overview of Industry 5.0: Challenges, opportunities and the way forward. Journal of Cleaner Production, 311, 127766.

Kaur, H., Singh, M., & Sandhu, K. (2020). Industry 5.0: A review of challenges, opportunities and the way forward. Journal of Industrial Engineering International, 16(4), 707–727.

Kumar, A., Jain, V., & Kumari, M. (2021). Industry 5.0: A paradigm shift in manufacturing. Industry 5.0 (1–18), Singapore: Springer.

Lasi, H., Fettke, P., Kemper, H. G., Feld, T., & Hoffmann, M. (2014). Industry 4.0. Business & Information Systems Engineering, 6(4), 239–242, doi: 10.1007/s12599-014-0334-4.

Lee, J., & Kwon, H. (2020). Exploring the role of the Internet of Things (IoT) in sustainable supply chain management: A systematic literature review. Journal of Cleaner Production, 272, 122600.

Maddikunta, P. K. R., Pham, Q.-V., Deepa, N., Dev, K., Gadekallu, T. R., Ruby, R., & Liyanage, M. (2022). Industry 5.0: A survey on enabling technologies and potential applications. Journal of Industrial Information Integration, 26, 100257, doi: 10.1016/j.jii.2021.100257.

Majumdar, A., Kumar, A., & Kumar, P. (2021). Industry 5.0: A review of challenges and opportunities. Smart technologies and innovation for a sustainable future (299–313), Singapore: Springer.

Moktadir, M. A., Rahim, M. A., Habib, M. A., & Shah, N. N. (2018). Industry 5.0: A human-centric approach to Industry 4.0. Journal of Manufacturing Systems, 48, 144–156.

Moore, P., & Wong, C. Y. (2020). Responsible supply chain management in the age of Industry 4.0. International Journal of Production Research, 58(3), 666–668.

Mourtzis, D., Vlachou, E., Georgoulias, K., & Xanthakis, V. (2019). Sustainable manufacturing in Industry 5.0: Challenges, trends, and opportunities. Advances in manufacturing II (123–133), Springer.

Nimawat, D., & Gidwani, B. D. (2021). Identification of cause-and-effect relationships among barriers of Industry 4.0 using decision-making trial and evaluation laboratory method. Benchmarking: An International Journal, 28(8), doi: 10.1108/BIJ-08-2020-0429.

Nofal, S., Al-Nuaimi, A., & Aloudat, A. (2020). Industry 5.0 from a legal perspective: Challenges and considerations. Technology in Society, 63, 101422.

Oksuz, M. F. (2020). Industry 5.0: New challenges in managing organizational change. Procedia Computer Science, 176, 777–784.

Palacios-Argüello, M. F., van Hoek, R., & Diaz-Padilla, G. (2021). Sustainable supply chains: The role of Industry 5.0 technologies. International Journal of Operations & Production Management.

Raj, R., Dwivedi, Y. K., Rana, N. P., Chen, H., & Singh, M. P. (2021). Unfolding Industry 5.0 and sustainable supply chain management: A bibliometric analysis and research agenda. Journal of Cleaner Production, 291, 125855.

Rame, R., Purwanto, P., & Sudarno, S. (2023). Global context of industry 5.0: Current trends and challenges in Indonesia. Jurnal Riset Teknologi Pencegahan Pencemaran Industri, 14, 21–32.

Scherer, A. G., & Palazzo, G. (2011). The new political role of business in a globalized world: A review of a new perspective on CSR and its implications for the firm, governance, and democracy. Journal of Management Studies, 48(4), 899–931, doi: 10.1111/j.1467-6486.2010.00950.x.

Schwab, K. (2016). The fourth industrial revolution, Crown Business.

Singh, R. K., El-Nasr, M. S., & Gupta, S. (2020). Industry 5.0: An insight. International Journal of Production Research, 58(3), 797–803.

Singh, C., Singh, D., & Khamba, J. S. (2021). Analysing barriers of green lean practices in manufacturing industries by DEMATEL approach. Journal of Manufacturing Technology Management, 32(1), 176–198, doi: 10.1108/JMTM-02-2020-0053.

Srivastava, S. K. (2007). Green supply-chain management: A state-of-the-art literature review. International Journal of Management Reviews, 9(1), 53–80, doi: 10.1111/j.1468-2370.2007.00202.x.

Yadav, G., Luthra, S., Huisingh, D., Mangla, S. K., Narkhede, B. E., & Liu, Y. (2020). Development of a lean manufacturing framework to enhance its adoption within manufacturing companies in developing economies. Journal of Cleaner Production, 245, 118726, doi: 10.1016/j.jclepro.2019.118726.

Yakovleva, N., Sarkis, J., & Sloan, T. (2021). Industry 4.0 and circular economy: A comprehensive review. Journal of Cleaner Production, 278, 123822.

Zheng, X., Yuan, X., & Huang, H. (2018). Research on supply chain management in the era of Industry 4.0. Advances in Mechanical Engineering, 10(9), 168781.

Downloads

Published

2024-08-19

Issue

Vol. 59 No. 02 (2024): Sustainable Supply Chain Management (SSCM): Challenges in the XXI Century

Section

Research Paper

License

Copyright (c) 2024 Seema Laddha, Anguja Agrawal

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

Management Department of the School of Economics, Management and Accounting of the University of São Paulo.

The publication of article segments is allowed, subject to prior authorization and source identification.

Copyright is regulated under Licença Creative Commons Attribution