Analysis of critical success factors for implementing Industry 4.0 integrated circular supply chain – moving towards sustainable operations

Abstract

Many threats, such as scarcity of sources and climate change, are forcing the business community to examine their commitment towards the environment and society. Because of this pressure, companies have started to implement long term sustainable practices into their operations. An example of this is the adoption of circular supply chain (CSC), Industry 4.0. How the integration of Industry 4.0 and CSC can be implemented to achieve sustainable supply chain operations is an important question for research. Very little discussion is available in current literature in this regard. This study objective is to analyze the critical success factors (CSFs) for this integration. A three-phase study framework has been utilized to achieve the objective. In the first phase, CSFs are identified through literature review and experts’ inputs; in the second phase, an empirical research is conducted for finalization of CSFs and in the last phase, influencing and influenced factors are identified by using Hesitant based Fuzzy DEMATEL. The analysis shows that in the adoption of CSC integrated with Industry 4.0 to achieve sustainability in supply chain operations, ‘knowledge of CSC and Industry 4.0’ is the most important factor followed by ‘top management commitment’. With the help of this research study’s findings, both theoretical and practical contributions are provided which further help the operation. This will assist supply chain managers in achieving sustainability in supply chain operations through an effective adoption of the integration of CSC and Industry 4.0.