Application of Fourth Industrial Revolution technologies to enhance supply chain sourcing: A systematic literature review

Abstract

Background: In an era marked by rapid technological advancements, the manufacturing sector is increasingly adopting Fourth Industrial Revolution (4IR) technologies to streamline sourcing processes within supply chains. Sourcing and supplier management are crucial to achieving competitive advantages, cost reductions and sustainable practices.

Objectives: The study examines the application and the integration of various 4IR technologies in sourcing activities to achieve improved supplier selection, cost control, on-time delivery and supply chain resilience.

Method: A systematic literature review (SLR) was conducted, following a structured methodology across five stages: database selection, keyword generation, application of filters (inclusion and exclusion criteria), search area selection and final document review. The Scopus database was used for data collection, and VOSviewer was employed for keyword co-occurrence analysis.

Results: Out of 1530 documents, 16 relevant studies were identified, highlighting the usage of specific 4IR technologies in the sourcing process. Simulation, Internet of things (IoT), machine learning (ML), additive manufacturing and radio frequency identification (RFID) were found to be critical technologies.

Conclusion: Fourth Industrial Revolution technologies are pivotal in optimising sourcing Key Performance Indicators (KPIs), although gaps exist in the literature around ethical sourcing, augmented reality and cybersecurity. Moreover, the study identifies emerging trends such as crowdsourcing and IoT, which indicate a shift towards data-driven decision-making in sourcing.

Contribution: This study serves as an eye-opener to unveil appropriate 4IR technologies that could be deployed by supply chain managers to ensure effective manufacturing sourcing operations. The study also unveils further research on ethical sourcing and cybersecurity.