Human-centric management in the era of Industry 5.0: Opportunities and challenges for business practice

Research objective: This article investigates how the paradigm of Industry 5.0 reshapes management practice by integrating advanced digital technologies with human-centric, sustainable, and resilient business models. The focus is placed on the differences from Industry 4.0, highlighting the co-creation between humans and intelligent systems. Methodology: The study is based on a narrative literature review and an analysis of practical reports by leading consulting firms (McKinsey, Deloitte, PwC) as well as official European Union publications. Additionally, selected case studies of companies implementing Industry 5.0 principles are examined. Main conclusions: Industry 5.0 establishes three fundamental pillars of transformation in management: (1) human-centric leadership that empowers employees, (2) integration of sustainability and circular economy into business strategies, and (3) resilience-oriented governance supported by AI and digital tools. These elements foster hyper-personalization, customer loyalty, and long-term competitive advantage. Application of the study: For business leaders, the transition towards Industry 5.0 requires cultural change, employee reskilling, and the development of business models that combine digital efficiency with ethical responsibility and environmental sustainability. Originality/Novelty of the study: The study contributes to the literature by emphasizing the paradigm shift from efficiency-driven automation in Industry 4.0 towards human-centered, sustainable, and resilient management models in Industry 5.0, offering a fresh perspective on future business practices.