The Role and Impact of Industry 4.0 and the Internet of Things on the Business Strategy of the Value Chain—The Case of Hungary
By J. Nagy, Judit Olah, Edina-Timea Erdei, D. Máté, József Popp. Sustainability, 2018
597 citations recorded by the source corpus.
In the era of industrial digitalization, companies are increasingly investing in tools and solutions that allow their processes, machines, employees, and even the products themselves, to be integrated into a single integrated network for data collection, data analysis, the evaluation of company development, and performance improvement. To study the impact of Industry 4.0 on the company we used Porter’s (1985) value chain model, which is particularly useful when paying particular attention to corporate areas which have a primary role in customer value creation. Since the primary impact of Industry 4.0 is perceived in value-creating processes, and has so far had the greatest transformative effect in this area, the model can be considered to be appropriate. The objective of our research is to discover how companies operating in Hungary interpret the phenomenon of Industry 4.0, what Internet of Things (IoT) tools they use to support their processes, and what critical issues they face during adaptation. We applied a dual methodology in our investigation: We sent an online questionnaire to manufacturing and logistical service companies to investigate the IoT tools they use, and the problems they face, and received 43 answers we could evaluate. We also conducted four expert interviews with manufacturing firms to get deeper insights into the application, critical issues and development phases of IoT tools. During our research, we found that the spread of real-time data across companies—given the availability of appropriate analytical tools and methods—can have a significant impact on the entire company. In the case of CPS (Cyber Physical System), CPPS and Big Data Technologies, companies using them have been evaluated as having a higher level of logistic service, more efficient processes with their partners, improved cooperation between certain logistic functions, and higher market and financial performance and competitiveness. Applying more efficient production processes, and achieving better productivity and economies of scale, might also result in increased economic sustainability. Furthermore, we have found that companies have started on the path to digital evolution, and investments of this type have already begun.
Subfields: Industrial and Manufacturing Engineering, Management of Technology and Innovation, Strategy and Management
View Paper: https://www.semanticscholar.org/paper/0429ccb5c4b97af8a3378a7d487079c3d81d7c7d
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In Industrial and Manufacturing Engineering
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Citations in the corpus
- The role of digital innovation in knowledge management systems: A systematic literature review (2021, methodology): “…to guide their business model, especially in a sustainable sense (Bogers et al., 2018; Carayannis et al., 2017; Ghezzi & Cavallo, 2020; Gupta & Bose, 2019; Huesig & Endres, 2019; Lin et al., 2018; Nagy et al., 2018; Pappas et al., 2018; Raut et al., 2019; Seele, 2017; Xia et al., 2017).”
- Evaluation of the Relation between Lean Manufacturing, Industry 4.0, and Sustainability (2019, background): “0 due to many reasons, mainly in regard of work opportunities [57].”
- The applications of Industry 4.0 technologies in manufacturing context: a systematic literature review (2020, methodology): “Indeed, companies using CPS and Big Data tend to have more efficient cooperation with their partners (Nagy et al. 2018).”
- The Service Quality Dimensions that Affect Customer Satisfaction in the Jordanian Banking Sector (2019, background): “Banks face challenges in providing financial services to companies because they are restricted insufficient rules and regulations, lack of lending capacity and methods, lack of an appropriate enabling environment, and inadequate financial and information technology [18] and infrastructure.”