Supply chain development drivers in industry 4.0 in Ukrainian enterprises

Abstract

Research background: Industry 4.0 is a response to rapid technical progress, caused by the dominant role of information technology, which covers and penetrates virtually into all the aspects of people's economic and social activities. At present, the terms “Digital Supply Chain”, “Supply Chain 4.0”, “Digital logistics”, and “Smart logistics” are widely used in business, and in particular, in the theory and practice of supply chain management (SCM). This demonstrates the relevance of the implementation of Industry 4.0 innovations into the practical activities of manufacturing, trading, and logistics companies, interconnected by networking in the process of delivering products or services to final consumers. In turn, this causes fundamental changes in the structure of supply chains, their business processes and behaviours, making existing approaches to management obsolete. Purpose of the article: The article aims at identifying supply chain development drivers under the conditions of ‘Industry 4.0’; determining the effect of DT in the cross-section of strategic and operational changes of supply chain; clarifying the readiness and capacity for DT implementation in the enterprises activity as exemplified by the enterprises operating in Ukraine in various fields of activity. Methods: Stratified proportional sampling was applied as the research method. Ukrainian enterprises of different size, involved in different supply chains, were considered as an object of research. The attitude of the Ukrainian enterprises to the DT implementation is presented, and the results are compared to the relevant research data in other countries. Findings & Value: This study will be valuable to both scientists and practitioners. Scientists will be able to understand the conceptual transformation of SC under the influence of DT. Practitioners will become aware of the following issues: current SCM trends and requirements; DT effects on the strategic and operational levels of the classical model of management; the level of readiness and ability of the Ukrainian enterprises to implement DT in their activities as compared to the enterprises in other countries.