Management of industrial enterprise development in conditions of industry 4.0

Abstract

Introduction. The impact of the Industry 4.0 concept on domestic business needs to be considered in the long run, which means that overcoming its problems is not a short-term project. However, the technologies and systems of the fourth industrial revolution have the potential to help Ukrainian enterprises overcome the inefficiencies in their business that have kept domestic enterprises behind. The purpose of the paper is to identify the benefits and challenges that domestic industrial enterprises may face in the process of development during the integration into their activities modern technologies from Industry 4.0. Results. Industry 4.0 can replace outdated systems, such as industrial operations management and resource planning systems, with a single system that is a much more cost-effective way to operate. Three aspects of digitalization have been identified, which form the basis of the Industry 4.0 approach to industrial enterprise development: full digitalization of industrial enterprise operations; redesign of products and services; closer interaction with customers through new processes, products and services. It is determined that the most common problem in the implementation of analytical capabilities in enterprises is the lack of people with experience in conducting analysis. The expanded implementation of Industry 4.0 can provide a sufficient competitive advantage for investors to consider it as a qualifying factor for financing. Six key recommendations that industry should follow in order to implement the Industry 4.0 strategy have been identified. Conclusion. Industry 4.0 is actively promoted around the world and developing countries should benefit the most. Domestic industrial enterprises can use digitalization to increase the efficiency of their horizontal integration, working with global manufacturers to whom they supply a variety of raw materials, parts and components. The domestic market has great potential for the introduction of new technological solutions in the activities of enterprises.