Unveiling the inhibitors to CPS adoption in freight logistics: a TOE-based perspective

Purpose The digital evolution of production and logistics systems requires seamless integration of various functions. Cyber-physical systems (CPS) can streamline operations, reduce costs and optimise freight transport dynamics. Therefore, CPS adoption is essential to transform existing logistics infrastructure by connecting logistical equipment to cyberspace. This research addresses the critical issue of low CPS adoption in logistics. By analysing the barriers, the study proposes effective strategies to increase CPS integration significantly. Design/methodology/approach This study used the technology-organisation-environment (TOE) framework and identified 18 barriers to CPS adoption in freight logistics. The barriers were then analysed using the fuzzy data-driven multi-criteria decision-making (MCDM) method, i.e. fuzzy-based decision-making trial and evaluation laboratory (Fuzzy-DEMATEL). Findings The computational analysis of the proposed framework shows that “the complexity of CPS and lagged data-driven logistics infrastructure” (T1) is a major technological inhibitor to CPS adoption. The “high cost of CPS technology” (O8) and a “lack of top management support” (O3) are the top causal inhibitors at the organisational level. “Lack of data governance and regulatory framework” (E2) is the main environmental inhibitor. Practical implications The causal mapping of the TOE-based barriers helps policymakers and logisticians to develop strategies or follow recommended adoption strategies to improve CPS adoption in logistics. Originality/value This study is a pioneering effort to unveil the adoption barriers of CPS in the freight logistics industry and suggest strategies for fostering adoption. This research could provide valuable insights for logistics organisations to support CPS-driven logistics modernisation.