Strategic response to Industry 4.0: an empirical investigation on the Chinese automotive industry

Strategic response to Industry 4.0: an empirical investigation on the Chinese automotive industry PurposeThe purpose of this paper is to examine the strategic response to Industry 4.0 for Chinese automotive industry and to identify the critical factors for its successful implementation.Design/methodology/approachA technological, organizational, and environmental framework is used to build the structural models, and statistical tools are used to validate the model. The data analysis helps to determine which factors have impact on the strategic response and whether their relationships are positive or negative. Interpretive structural modeling method is applied to further analyze these derived factors for depicting the relationship.FindingsThe result shows that company size and nature do not increase the use of advanced production technologies, while other factors have positive impacts on improving the technology adoption among the companies surveyed.Practical implicationsA strategic response to Industry 4.0 not only helps in improving organizational competitiveness, but it also has social and economic implications. For this purpose, empirical data are collected to measure the understanding of Industry 4.0 in the Chinese automotive industry.Originality/valueDespite the fact that the Chinese Government has proposed the “Made in China 2025” approach as a way to promote smart manufacturing, little empirical evidence exists in the literature validating company’s perspective toward Industry 4.0. This paper is to fill the research gap. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Industrial Management & Data Systems Emerald Publishing

Strategic response to Industry 4.0: an empirical investigation on the Chinese automotive industry

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Publisher
Emerald Publishing
Copyright
Copyright © Emerald Group Publishing Limited
ISSN
0263-5577
DOI
10.1108/IMDS-09-2017-0403
Publisher site
See Article on Publisher Site

Abstract

PurposeThe purpose of this paper is to examine the strategic response to Industry 4.0 for Chinese automotive industry and to identify the critical factors for its successful implementation.Design/methodology/approachA technological, organizational, and environmental framework is used to build the structural models, and statistical tools are used to validate the model. The data analysis helps to determine which factors have impact on the strategic response and whether their relationships are positive or negative. Interpretive structural modeling method is applied to further analyze these derived factors for depicting the relationship.FindingsThe result shows that company size and nature do not increase the use of advanced production technologies, while other factors have positive impacts on improving the technology adoption among the companies surveyed.Practical implicationsA strategic response to Industry 4.0 not only helps in improving organizational competitiveness, but it also has social and economic implications. For this purpose, empirical data are collected to measure the understanding of Industry 4.0 in the Chinese automotive industry.Originality/valueDespite the fact that the Chinese Government has proposed the “Made in China 2025” approach as a way to promote smart manufacturing, little empirical evidence exists in the literature validating company’s perspective toward Industry 4.0. This paper is to fill the research gap.

Journal

Industrial Management & Data SystemsEmerald Publishing

Published: Apr 9, 2018

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