The Mediating Role of Organizational Culture in Resource Repurposing and the Transition from Industry 4.0 to 5.0: Evidence from the Architectural, Engineering, and Construction Industry

In a time of extraordinary global volatility, the survival and competitiveness of the Architectural, Engineering, and Construction (AEC) industry rely less on technological supremacy and more on cultural agility to repurpose resources effectively. Although Industry 4.0’s digital transformation offered tools for operational efficiency, the new Industry 5.0 paradigm emphasizes a human-centric approach, with organizational culture serving as a crucial link between advanced technology and organizational resilience. This study explores how organizational culture mediates resource repurposing and the shift from Industry 4.0 to Industry 5.0 in the AEC sector. Using Partial Least Squares Structural Equation Modeling (PLS-SEM) with a sample of 120 AEC professionals, it examines how cultural traits—viewed as strategic leadership influence, employee adaptability, and innovation— mediate operational results. The results indicate that employee technology use and innovation are key drivers of resource reconfiguration, directly improving productivity and lowering project costs. Importantly, the findings show that organizational culture is not merely a background factor but a strategic enabler that partly mediates the link between Industry 4.0 adoption and cost savings. Thus, this research offers a theoretical framework for AEC firms to harness cultural flexibility as a strategic resource, advancing beyond simple digital adoption to embed innovation for sustainable long-term growth.