Connecting Industry 4.0 to sustainable supply chain: analysis of critical factors

Purpose Industry 4.0 (I4.0) influences the supply chain, including innovation, structure, availability and communication. It influences the supply chain by modifying how products are designed, manufactured, delivered and discarded for the sustainability of an organization. Sustainability emphasizes the use of optimal raw materials, efficient storage and delivery, on-time supply, productivity development, recycling, remanufacturing and refurbishing. The aim of this study is to identify and establish causal relationships among the key aspects that contribute to the success of I4.0-enabled sustainable supply chain (I4eSSC). The objective is to classify these components into discrete categories according to their causal and consequential linkages. Design/methodology/approach This paper presents a three-phase hybrid Criteria Importance Through Inter-criteria Correlation and Grey Decision-Making Trial and Evaluation Laboratory (G-DEMATEL) framework to achieve the stated objectives. A study is conducted to empirically examine the Indian automobile sector in order to illustrate the suitability of the suggested framework. Findings During the initial stage, a total of 26 success factors have been identified for the I4eSSC implementation. During the second part of the study, a total of 20 success factors were found and deemed critical success factors (CSFs). During the concluding stage, it was seen that out of the total of 20 chosen CSFs, nine were categorized in the cause group, whereas the remaining 11 were classified under the effect group. The analysis revealed that the element of “adoption of emerging technology for sustainable product and process development” was assigned the greatest level of importance. Practical implications This study aims to motivate professionals to enhance the integration of I4.0 into sustainable supply chains to maximize the advantages offered by these two separate concepts. It is imperative to devote genuine consideration to the examination of causal group variables in the context of I4eSSC, since these elements possess a direct influence on the overall performance of systems and exert a significant impact on the components within the effect group. Originality/value This study presents an extensive compilation of CSFs pertaining to the implementation of I4eSSC. The primary objective is to determine the relative relevance of these factors and explore the intricate causal relationships that exist among them. Furthermore, this study stands out due to its novel application of a specific decision-making methodology within the field of I4eSSC.