Ready, Set, Industry 5.0: the role of organisational psychosocial safety climate, innovation capacity and attitudes towards change

Purpose This study examines psychosocial safety climate, innovation capacity and attitudes towards change in predicting organisational readiness for Industry 5.0, which integrates human-centric elements with advanced technologies. While Industry 4.0 emphasised automation and digitalisation, Industry 5.0 aims to create more collaborative human–machine relationships, necessitating a deeper understanding of organisational social systems. Design/methodology/approach Applying sociotechnical systems theory, we investigate relationships between psychosocial safety climate (PSC), organisational innovation capacity and attitudes towards change in Industry 5.0 readiness. Data from 192 decision-makers in Australian organisations were analysed using structural equation modelling. Findings Results indicate innovation capacity and attitude towards organisational change significantly predict Industry 5.0 readiness, with PSC indirectly influencing readiness through attitudes towards change. The model explains a substantial portion of variance in Industry 5.0 readiness, with both attitude towards change and innovation capacity mediating the PSC-readiness relationship. These findings demonstrate that fostering psychologically safe environments enhances innovation, attitudes and overall readiness for Industry 5.0. Practical implications Organisations focusing on developing strong PSC and innovation capacity, while fostering positive attitudes towards change, will be better positioned to successfully transition to Industry 5.0. The findings highlight the need for a holistic approach, considering both technological and human factors, for successful implementation of Industry 5.0 principles. Originality/value This study is among the first to examine the psychosocial aspects of Industry 5.0 readiness, moving beyond the technological focus of Industry 4.0 research. By applying sociotechnical systems theory to Industry 5.0, we provide a novel framework for understanding the integration of human and technological elements in advanced manufacturing environments.