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The integration of sustainability, performance measurement and new product development (NPD) is key for aligning environmental and social objectives with business strategies. While previous research has initiated proposals for integrating sustainability into NPD or incorporating sustainability into corporate measurement systems, there is a notable deficiency in studies that comprehensively integrate these three perspectives. In this sense, this study proposes a performance framework (PF) to integrate sustainability performance indicators (PIs) into the measurement system considering the company’s NPD phases.

The PF was developed through a literature review and action research (AR). This resulting PF was positively evaluated by the practitioners in the company.

First, the review enabled the synthesis of an initial conceptual PF with 188 sustainability PIs and a five-step procedure. Then, the empirical results of the AR led to a new PF that presents the systematisation of the PIs database and a practice-based seven-stage approach.

This action-oriented research limits the extent to which this study’s findings can be generalised. Future research should apply the PF in different research designs to produce managerially relevant knowledge.

This PF may provide managers with actionable knowledge that best supports the measurement system integration with sustainability PIs considering the NPD phases.

Integrating sustainability, performance measurement and the NPD has been recognised as critical for supporting decision-making concerning the impact of processes and products. Compared with previous frameworks, the proposed PF extends the existing literature by introducing a systematised PIs database and a novel procedure for integrating sustainability measurement throughout the NDP.

The agri-food industry is experiencing a revolutionary shift due to the introduction of Industry 4.0 technologies to improve efficiency, transparency and sustainability. The importance of agri-food supply chains (AFSC) in promoting sustainability is expanding as the globe struggles with issues including resource scarcity, climate change and population growth. In order to better understand how Industry 4.0 might improve sustainability in a world that is changing quickly, this work aims to focus on identifying various sustainability assessment factors influencing AFSC to increase overall sustainability, minimize resource consumption, cut waste and streamline operations.

Important sustainability assessment factors are identified from the past academic literature and are then validated using the fuzzy-Delphi method. A method called decision-making trial and evaluation laboratory (DEMATEL) is used to examine and analyze structural models with complex causal linkages. The results are then validated using sensitivity analysis.

The factors that emerged as the highest ranked for evaluating the sustainability of Industry 4.0 in AFSC are market competitiveness, and knowledge and skill development, followed by resource efficiency. Industry 4.0 technologies are essential for increasing the marketability of agricultural products because of the major implications of market competitiveness. The significance of knowledge and skill development draws attention to Industry 4.0’s contribution to the promotion of chances for farmers and agricultural employees to increase their capability.

By outlining the nexus between Industry 4.0 technologies and sustainability, the study presents a comprehensive framework that would be relevant for researchers, policymakers and industry stakeholders who want to leverage Industry 4.0 technology to build more sustainable AFSC in the future. The study findings can help the farmers or producers make sensible choices that adhere to sustainability standards and guarantee long-term financial viability.

The originality of this work lies in the identification of sustainability assessment factors especially for AFSC in the era of digitalization which has not been discussed previously.