Digitalization of manufacturing for implanting value, configuring circularity and achieving sustainability
Journal of Advances in Management Research
ISSN: 0972-7981
Article publication date: 27 October 2022
Issue publication date: 24 January 2023
Abstract
Purpose
This paper explores the relationships between Industry 4.0-driven technologies and the circular economy-driven business model (CEDBM) components of value creation, delivery and capture along manufacturing processes.
Design/methodology/approach
Based on the literature, a research model is developed in which the three CEBDM components are represented by five components: product service system (PSS), product design, industrial symbiosis (IS), consumer interaction and pay-per-use/rental. For each of these five components, enabling Industry 4.0 technologies are identified and vague interdependence relationships were assessed using a fuzzy decision-making trial and evaluation laboratory (DEMATEL) method.
Findings
This paper contributes to the literature by exploring the relationships of the CEDBM components of value creation, value delivery and value capture with Industry 4.0-driven technological enablers. In addition, causal relationships between Industry 4.0 technologies and their relevance for facilitating CE-enabled manufacturing processes are identified, and finally, Industry 4.0-driven technological enablers of CE are categorized as base and front-end technologies.
Research limitations/implications
The findings suggest that value delivery-based differentiation provides new avenues for value creation and innovative forms of value capture in CEDBMs.
Practical implications
Practitioners can use the findings to develop a roadmap for Industry 4.0-driven technological solutions for CE.
Social implications
CE-driven processes of manufacturing provide not only opportunities for value capture, creation and delivery but also avenues for customer-centric product and service development and effective resource utilization.
Originality/value
This paper is the first to identify value creation, delivery and capture processes along with Industry 4.0-enabled manufacturing processes.
Keywords
Acknowledgements
The authors thank the anonymous reviewers and editor for their insights and suggestions which helped enhance the quality of the paper.
Citation
Prakash, G. and Ambedkar, K. (2023), "Digitalization of manufacturing for implanting value, configuring circularity and achieving sustainability", Journal of Advances in Management Research, Vol. 20 No. 1, pp. 116-139. https://doi.org/10.1108/JAMR-01-2022-0010
Publisher
:Emerald Publishing Limited
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