Analyzing Industry4.0 Implementation Barriers in Indian SMEs

2021 ◽  
pp. 1-17
Author(s):  
Girish Kumar ◽  
Arjun Bakshi ◽  
Anurag Khandelwal ◽  
Anuj Panchal ◽  
Umang Soni
Keyword(s):  
Industry 4.0 ◽  
Developing Economies ◽  
Small And Medium Enterprises ◽  
Manufacturing Sector ◽  
Risk Mitigation ◽  
Substantial Contribution ◽  
Smart Manufacturing ◽  
Implementation Barriers ◽  
It Training ◽  
Medium Enterprises

Production in small and medium enterprises (SMEs) makes a substantial contribution to the Gross Domestic Product directly and indirectly in developing economies including India. In the present time, applying Industry 4.0 to the SMEs will build a smart manufacturing system that will prove to be economically feasible as well as socially sustainable. The purpose of this study is to identify and prioritize major barriers of implementing Industry 4.0 in Indian SMEs. A questionnaire with 12 barriers which were identified based on the literature survey and expert discussion was made to be filled by industry experts of production, information technology, business and members of the top management in SMEs. Further, Multi-Criteria Decision Making (MCDM) methods like TOPSIS, VIKOR and PROMETHEE are used to find the rank for each barrier. The study reveals that the major implementation barriers of Industry4.0 in Indian SMEs are fear of unemployment, lack of IT training, poor IT infrastructure, etc. The ranking for each barrier will not only help to assess risks in manufacturing, supply chain or business initiative, but also to help the managers in devising risk mitigation plans. This study may be used by firms working under the manufacturing sector.

Evaluation of enablers of cloud technology to boost industry 4.0 adoption in the manufacturing micro, small and medium enterprises

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Geetha Subramanian ◽  
Bhushan T. Patil ◽  
Bhaskar B. Gardas
Keyword(s):  
System Integration ◽  
Industry 4.0 ◽  
Structural Model ◽  
Small And Medium Enterprises ◽  
Manufacturing Sector ◽  
Implementation Process ◽  
Cloud Technology ◽  
Content Type ◽  
Micmac Analysis ◽  
Medium Enterprises

Purpose Cloud technology is extremely critical for the continuing progress of Industry 4.0 and it helps in pooling centralized information for the business. Further, it offers a platform for collaboration for improving the performance of the industry. This paper aims to investigate the factors affecting the implementation of cloud technology for boosting Industry 4.0 adoption in micro, small and medium enterprises (MSMEs) of the manufacturing sector. Design/methodology/approach A total of 14 enablers were considered for the case study which were obtained from the literature survey and shortlisted by the experts of the domain (academia and industries). The interpretive structural modelling (ISM) approach has been used as a methodology for exploring the relationships between the enablers. Matrices impact croises multiplication applique and classment (MICMAC) analysis has been carried out for the validation of the developed structural model. MICMAC analysis helps to identify driving power and dependency potential of all considered enablers. Findings The results of the investigation indicate that three factors, namely, system integration, project management and competitive pressure, were significant. These factors drive all other considered factors in the implementation process. Research limitations/implications The opinions of the experts from the industry and academia were analyzed for the development of the hierarchical model and these inputs could be biased. This investigation intends to help the decision makers in the effective adoption of the cloud and Industry 4.0 technologies and for the formulation of the efficient implementation policies. Originality/value The present study aims to focus on cloud technology as well as Industry 4.0 in the context of manufacturing MSMEs and none of the previous investigations analyzed the enablers that influence the adoption of cloud technology for boosting Industry 4.0, especially using the ISM approach.

scholarly journals Evaluating the Factors that are Affecting the Implementation of Industry 4.0 Technologies in Manufacturing MSMEs, the Case of Peru

Processes ◽  
2019 ◽  
Vol 7 (3) ◽  
pp. 161 ◽  
Author(s):  
Chung-Jen Huang ◽  
Elisa Talla Chicoma ◽  
Yi-Hsien Huang
Keyword(s):  
Industry 4.0 ◽  
Small And Medium Enterprises ◽  
Manufacturing Sector ◽  
Advanced Technology ◽  
Main Question ◽  
Skilled Workers ◽  
Structured Interviews ◽  
Analytic Hierarchy ◽  
Financial Investment ◽  
Medium Enterprises

The micro, small, and medium enterprises (MSMEs) sector plays a very crucial role in the economic and social development of Peru. Unfortunately, the tough access to the use of technologies is one of the weaknesses of this type of enterprises, which implies a low technological intensity production, according to the new technological trends. This study analyzes the factors that are affecting the implementation of Industry 4.0 technologies in Peruvian micro, small, and medium enterprises. According to the findings from the semi-structured interviews, it has identified four factors that respond to the main question of this research—lack of advanced technology, lack of financial investment, poor management vision, and lack of skilled workers. Data from 49 enterprises from the manufacturing sector were used for the assessment. The surveys conducted on business managers were evaluated using a multi-criterion decision-making method by the analytic hierarchy process. The findings of the study generate some recommendations that could be beneficial for the sectors involved with micro, small, and medium enterprises in Peru.

Strategies for Consultancy Engagement for E-Business Development - A Case Analysis of Australian SMEs

2011 ◽  
pp. 227-245 ◽  
Author(s):  
Shirley Bode ◽  
Janice Burn
Keyword(s):  
Private Sector ◽  
Small Businesses ◽  
Developing Economies ◽  
Small And Medium Enterprises ◽  
Case Analysis ◽  
Business Environment ◽  
Substantial Contribution ◽  
The World ◽  
Medium Enterprises ◽  
The Relationship

It is estimated that there are 1,004,200 private sector small businesses in Australia, of which almost 900,000 were non-agricultural businesses, and 104,500 in the agriculture, forestry and fishing businesses (DEWRSB, 1997). It is also estimated that Small and Medium Enterprises (SMEs)1 employ 51% of the private sector workforce (SBDC, 1999) and so make a substantial contribution to the nation’s economy and employment. This pattern is not unique to Australia but reflected in many developed and developing economies around the world. In general, therefore, SMEs have been strongly encouraged by government to embrace the new e-business environment and expand their global reach with enhanced productivity. However, the relationship between SMEs and e-business has been found to be an uncomfortable fit. SMEs have been reluctant to adopt electronic commerce principles and practices in their day-to-day business transactions (Beer, 1999; DIST, 1998; Shern, 1998; SBI, 1998; Yen, 1998) for a wide variety of reasons.

scholarly journals What Prompts Small and Medium Enterprises to Implement CSR? A Qualitative Insight from an Emerging Economy

2021 ◽  
Vol 13 (2) ◽  
pp. 952 ◽  
Author(s):  
Zengming Zou ◽  
Yu Liu ◽  
Naveed Ahmad ◽  
Muhammad Safdar Sial ◽  
Alina Badulescu ◽  
...  
Keyword(s):  
Emerging Economies ◽  
Developing Economies ◽  
Small And Medium Enterprises ◽  
Customer Behavior ◽  
Policy Makers ◽  
Management Commitment ◽  
Top Management Commitment ◽  
Medium Enterprises ◽  
Corporate Social ◽  
Depth Interviews

The topic of corporate social responsibility (henceforth referred to as CSR) has been a central topic during the last decade, but the majority of the existing literature discusses CSR relationship with large organizations. Whereas, its contribution in small and medium enterprises (henceforth referred to as SME) sector has received little attention. There have been some studies that focused on CSR activities in SME sector quantitatively in the context of developing economies like Pakistan, but the fact is, to date, SME sector of Pakistan is not participating actively in CSR-related activities due to some constraints. The present study is a pioneer attempt, to explore CSR barriers that restrict SME sector of Pakistan from practicing CSR initiatives. For this reason, the present study explores these barriers qualitatively in order to gain in-depth knowledge of different CSR barriers. In doing so, we conducted semi-structured in-depth interviews from 9 SMEs in Lahore city of Pakistan. We performed thematic analysis, which produced five relevant themes of CSR barriers, including: Lack of resources, lack of regulations, lack of top management commitment, lack of CSR knowledge, and passive customer behavior. Our analysis further showed that lack of resources is the most related barrier that hinder SMEs to be engaged in CSR activities. This paper contributes to CSR literature in emerging economies’ context. Through an increased awareness of barriers, policy makers and practitioners may take necessary steps to improve CSR practices in SMEs.

scholarly journals Women’s Economic Empowerment in Vietnam: Performance and Constraints of Female-Led Manufacturing SMEs

2021 ◽  
Vol 14 (6) ◽  
pp. 255
Author(s):  
MinhTam Bui ◽  
Trinh Q. Long
Keyword(s):  
Labor Productivity ◽  
Small And Medium Enterprises ◽  
Manufacturing Sector ◽  
Value Added ◽  
Medium Size ◽  
Formal Sector ◽  
Firm Level ◽  
Average Value ◽  
Significant Difference ◽  
Medium Enterprises

This paper identifies whether there was a performance difference among micro, small and medium enterprises (MSMEs) led by men and by women in Vietnam during the period 2005–2013 and aims to provide explanations for the differences, if any, in various performance indicators. The paper adopts a quantitative approach using a firm-level panel dataset in the manufacturing sector in 10 provinces/cities in Vietnam in five waves from 2005 to 2013. Fixed effect models are estimated to examine the influence of firm variables and demographic, human capital characteristics of owners/managers on firms’ value added, labor productivity and employment creation. We found that men led MSMEs did not outperform those led by women on average. Although the average value added was lower for female-led firms in the informal sector, the opposite was true in the formal sector where women tend to lead medium-size firms with higher value added and labor productivity. The performance disparity was more envisaged across levels of formality and less clear from a gender perspective. Moreover, while firms owned by businessmen seemed to create more jobs, firms owned by women had a higher share of female employees. No significant difference in business constraints faced by women and by men was found.

scholarly journals MSMEs as Engine of Economic Growth in Nigeria: Challenges and Prospects of Scalability

2018 ◽  
Vol 2 (1) ◽  
pp. 1-10
Author(s):  
Emmanuel Okokondem Okon
Keyword(s):  
Economic Growth ◽  
Growth And Development ◽  
Developing Economies ◽  
Small And Medium Enterprises ◽  
Business Environment ◽  
Technological Systems ◽  
Economic Growth And Development ◽  
Area Of Concern ◽  
Medium Enterprises ◽  
A Company

Growing or expanding the Micro, Small and Medium Enterprises (MSMEs) sector of the economy is one key strategy to achieve economic growth and development. Micro, Small and Medium Enterprises (MSMEs) scalability (growth or expansion) have become an area of concern for economic growth in developing economies. People use the term in reference to computer or other technological systems, but those in business also use the word to describe the adaptability of a company (Thibodeaux, 2015) in today‘s fast-paced business environment where the focus on customer satisfaction is at an all-time high. This article discusses the concept of scalability as it relates to business and non-scalable components of business process as well as the importance of being scalable. It also looked at some of the challenges and practices that prevent effective scalability of MSMEs in Nigeria and the way forward.

scholarly journals RISK MITIGATION FOR SMALL AND MEDIUM-SIZED ENTERPRISES (SMES) IN THE MIDDLE OF VOLATILITY IN THE WORLD’S ECONOMY CONDITION

2021 ◽  
Vol 4 (1) ◽  
pp. 34-39
Author(s):  
Gresika Bunga Sylvana
Keyword(s):  
Business Processes ◽  
Small And Medium Enterprises ◽  
Risk Mitigation ◽  
The Great Depression ◽  
The World ◽  
National Leaders ◽  
World Economic ◽  
Economy Condition ◽  
Medium Enterprises ◽  
The Impact

ABSTRACT Indonesia's economic growth in the first quarter of 2020 of 2.97% was released by the Central Statistics Agency (BPS). It is undeniable, that number is the lowest growth rate in the last 19 years. We understand that the economic disruption caused by the COVID-19 pandemic did occur in various parts of the world. A significant economic slowdown is a big task for many national leaders. Some world economic experts even mention that the disruption of the economy due to this pandemic can resemble the effects of the Great Depression of 1930 ago. If we review the impact of the COVID-19 pandemic which has caused extraordinary disruption in the economic field, it is seen that Micro, Small, and Medium Enterprises (MSMEs) are a sector that is quite severe. Basically, the concept of risk management is not commonly used in SMEs business processes. This is because, in general, the resources owned by SMEs are quite limited. However, in this paper I want to illustrate at least there are simple concepts that can be applied by SMEs.

scholarly journals Demystifying small and medium enterprises’ (SMEs) performance in emerging and developing economies

2018 ◽  
Vol 18 (4) ◽  
pp. 269-281 ◽  
Author(s):  
Ndeye Ndiaye ◽  
Lutfi Abdul Razak ◽  
Ruslan Nagayev ◽  
Adam Ng
Keyword(s):  
Developing Economies ◽  
Small And Medium Enterprises ◽  
Medium Enterprises

A systematic literature review of open innovation in small and medium enterprises in the past decade

foresight ◽  
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Huma Sikandar ◽  
Umar Haiyat Abdul Kohar
Keyword(s):  
Literature Review ◽  
Open Innovation ◽  
Resource Constraints ◽  
Developing Economies ◽  
Small And Medium Enterprises ◽  
Content Type ◽  
The Past ◽  
Prisma Statement ◽  
Major Factors ◽  
Medium Enterprises

Purpose There is a growing trend of open innovation (OI) in small and middle enterprises (SMEs) these days, yet the implementation of OI in SMEs is a challenge because of their financial and resource constraints. This study aims to identify and analyze the past trends, barriers and outcomes and major factors influencing the implementation of OI in SMEs. Design/methodology/approach This review is based on 40 published articles from the Scopus database. It selects highly cited papers published from 2010 to 2019. The PRISMA statement template is used to explain the overall process of selection and rejections of the relevant articles. Findings The study contributes in two ways. First, through a comprehensive literature review, the authors highlight the overall development of the concept of OI in the literature over the past 10 years and highlight the findings of the significant studies. Second, the authors provide detailed representations of the OI literature by calculating yearly publications and identifying the SMEs which mostly implement OI practices, journals that publish a relevant article, OI-related publications in different disciplines and geographical locations in which most of the OI studies have been conducted. The study also reveals the most cited articles, journals and authors. Originality/value The authors conclude this paper with the argument that although much research has been done in the OI field, still there is a need to establish tools, models and methods that could facilitate SMEs in OI, especially for developing economies.

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