Managing supply chains for sustainable operations in the era of industry 4.0 and circular economy: Analysis of barriers

Organizations are struggling to leverage emerging opportunities for maintaining sustainability in the global markets due to many barriers in the era of Industry 4.0 and circular economy. The main aim of this study is to analyze these barriers to improve the sustainability of a supply chain. Our study identifies the major criteria for sustainable operations and barriers that need to be overcome to achieve the objectives of sustainability through literature review and experts' opinions. An integrated approach comprising Analytic Hierarchy Process (AHP) and Elimination and Choice Expressing Reality (ELECTRE) is used to analyze these barriers and ensure the sustainable supply chain operations. Resource circularity, increasing profits from green products, and designing processes for resource and energy efficiency have been found to be as major sustainability criteria. There are many barriers to the implementation of Industry 4.0. These barriers include but are not limited to, a lack of a skilled workforce that understands Industry 4.0, ineffective legislation and controls, ineffective performance framework, and short-term corporate goals. The study finds that ineffective strategies for the integration of industry 4.0 with sustainability measures, combined with a lack of funds for industry 4.0 initiatives, are just two of the major barriers. The findings of the study will help organizations to develop an effective and integrated strategic approach that will foster sustainable operations through the utilization of improved knowledge of Industry 4.0 and the circular economy.

Automated summary

The study identifies major criteria for sustainable operations and barriers to achieving sustainability in the supply chain, including resource circularity, increasing profits from green products, and designing processes for resource and energy efficiency.