Process model for the successful implementation and demonstration of SME-based industry 4.0 showcases in global production networks

Abstract

AbstractSmall and medium-sized enterprises (SMEs), many of which operate as suppliers in global production networks (GPN), often times lack behind large enterprises in terms of Industry 4.0 implementation. For this reason, scientific contributions recommend SMEs to approach Industry 4.0 through pilot projects in which individual Industry 4.0 use cases are developed and implemented. Hence, to allow for a targeted development and implementation of Industry 4.0 use cases for SMEs in GPN, this paper proposes a five-step process model that seeks to make use of Industry 4.0 potentials in terms of increased product qualities and logistics performances within such networks. In contrast to existing process models, this paper follows a holistic approach that initially focuses on the identification of potential problems that impede increased product qualities and logistics performances. Building upon these problems, potential Industry 4.0 solutions are derived and transferred into use cases using a structured idea generation and selection process. After the successful implementation of the use case, the procedure is completed by the conversion of the use case into a showcase that might serve as a lighthouse project illustrating the potentials of Industry 4.0 for other production network partners. For testing its practicability, the procedure is exemplarily applied to the GPN of an automotive supplier.