Industry 4.0 and Its Implications: Concept, Opportunities, and Future Directions

Abstract

This chapter aims to analyze the Industry 4.0 framework, identify the definition and drivers of the Industry 4.0 paradigm, discuss its potential effect, and determine obstacles of the Industry 4.0. For the research methodology, a critical literature review is performed, we relied on the recent studies related to industry 4.0. Findings – This study concluded that Industry 4.0 describes a future production system’s vision; it is an inevitable revolution and radical change, covering a wide range of innovative technologies, and all sectors. Industry 4.0 brings significant advantages to organizations, including real-time data analysis, increased visibility, autonomous monitoring, enhanced productivity, and competitiveness. The key features of Industry 4.0 are collaboration and integration of schemes, both horizontal and vertical. Innovation performs an essential role in organizations, sectors, countries. Industry 4.0 has enormous potential effect in many areas, and its application will have an impact across transforming the work environment. Industry 4.0 leads to potentials in three dimensions of sustainability. The KUKA corporation is an application for industry 4.0, for instance, smart factories, M-2-M, intelligent robots, etc., these technologies help industry 4.0 to separate rapidly. In contrast, there are some barriers, to implementing Industry 4.0 for example financial constraints, technical competency, organizational restraints.