Analyzing Industry 4.0 Adoption Enablers for Supply Chain Flexibility: Impacts on Resilience and Sustainability

Abstract

Supply chains all around the globe have experienced unprecedented disruptions such as the COVID-19 pandemic, extreme weather events, industrial mishaps, political conflicts, and war. In response to these disruptions, supply chains have implemented various strategies. However, as the global supply chain industry encompasses a wide range of activities and forms complex networks, these strategies need to be more flexible for effective implementation to fulfill consumer demand under various global challenges. Flexible practices can significantly reduce the response time to disruptions and play a pivotal role in bolstering resilience and sustainability aspects of processes, especially when they are assisted with industry 4.0 technologies. The seamless integration of flexible supply chain processes with Industry 4.0 technologies forms a powerful alliance that fosters resilience and sustainability. The synergized capabilities of industry 4.0 technologies and flexibility can empower supply chains to navigate uncertainties and withstand disruptions. This study incorporates an integrated approach consisting of interpretive structural modeling, fuzzy, and adaptive neuro-fuzzy inference systems to the intricacies of building flexible practices for resilient and sustainable supply chains through digital technologies for societal and economic development. The results of this research offer significant theoretical advancements to the literature on supply chains in the areas of flexible practices, resilience, and sustainability in the supply chain through Industry 4.0 technologies. © The Author(s) under exclusive licence to Global Institute of Flexible Systems Management 2024.