Development of a Risk Framework for Industry 4.0 in the Context of Sustainability for Established Manufacturers

Birkel H, Veile J, Müller J, Hartmann E, Voigt KI (2019)


Publication Type: Journal article

Publication year: 2019

Journal

Book Volume: 11

Pages Range: 384

Journal Issue: 2

URI: https://www.mdpi.com/2071-1050/11/2/384

DOI: 10.3390/su11020384

Open Access Link: https://www.mdpi.com/2071-1050/11/2/384

Abstract

The concept of “Industry 4.0” is expected to bring a multitude of 
benefits for industrial value creation. However, the associated risks 
hamper its implementation and lack a comprehensive overview. In 
response, the paper proposes a framework of risks in the context of 
Industry 4.0 that is related to the Triple Bottom Line of 
sustainability. The framework is developed from a literature review, as 
well as from 14 in-depth expert interviews. With respect to economic 
risks, the risks that are associated with high or false investments are 
outlined, as well as the threatened business models and increased 
competition from new market entrants. From an ecological perspective, 
the increased waste and energy consumption, as well as possible 
ecological risks related to the concept “lot size one”, are described. 
From a social perspective, the job losses, risks associated with 
organizational transformation, and employee requalification, as well as 
internal resistance, are among the aspects that are considered. 
Additionally, risks can be associated with technical risks, e.g., 
technical integration, information technology (IT)-related risks such as
data security, and legal and political risks, such as for instance 
unsolved legal clarity in terms of data possession. Conclusively, the 
paper discusses the framework with the extant literature, proposes 
managerial and theoretical implications, and suggests avenues for future
research.

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How to cite

APA:

Birkel, H., Veile, J., Müller, J., Hartmann, E., & Voigt, K.-I. (2019). Development of a Risk Framework for Industry 4.0 in the Context of Sustainability for Established Manufacturers. Sustainability, 11(2), 384. https://doi.org/10.3390/su11020384

MLA:

Birkel, Hendrik, et al. "Development of a Risk Framework for Industry 4.0 in the Context of Sustainability for Established Manufacturers." Sustainability 11.2 (2019): 384.

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