Enhancing Supply Chain Resilience: The Impact of 4.0 Technologies

Abstract

Background: Every company has a supply chain (SC) and must deal with its uncertainty, which can provoke a bullwhip effect; resilience of SCs is a main characteristic to be achieved. However, studies on the creation of digital SCs adopting Industry 4.0 (I4.0) are very scarce and require more attention.

Objectives: Industry 4.0 is very little studied in the field of resilience of SCs, despite the huge benefits it can provide. This study aims to evaluate I4.0 to improve both strategic and operational performance.

Method: Initially, a deep literature has been carried out to find out the requirements to improve the resilience of a SC and how I4.0 can contribute. Then, a framework has been developed using Internet of Things (IoT), artificial intelligence (AI), augmented reality (AR) and virtual reality (VR).

Results: The resilience of SC is a very new topic, and I4.0 can provide great benefits. The designed framework can improve resilience by integrating new technologies.

Conclusion: Adopting I4.0 into the SC can be challenging, but it is mandatory to integrate it to keep competitiveness high and improve the resilience of the company. Internet of Things can collect data, analysed by AI and made available with AR and VR to operators.

Contribution: This study helps in closing the gap between the need of resilience in SC and technological solutions based on I4.0. This improves warehousing, inventory management and demand forecasting with distribution communications and information technology.