Failing Industry 4.0: A case study of a SME in the Czech Republic

Kód výsledku v IS VaVaI

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Výsledek na webu

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DOI - Digital Object Identifier

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Jazyk výsledku

angličtina

Název v původním jazyce

Failing Industry 4.0: A case study of a SME in the Czech Republic

Popis výsledku v původním jazyce

Industry 4.0 promises to be the future of competitiveness for companies all around the world. While start-ups focus on this area and big companies try to implement smart principles in production, small and medium-sized enterprises (SME) are waiting for their time to come. This article analyzes how a Czech manufacturing company in the transition from small to medium size understood and mastered the implementation of industry 4.0 principles. Failing to meet its own targets the company decided to abort the project due to lack of financial, technical, and human expert resources. The research monitored the SME over a period of four years. While the targets were set in the initial stage already, the outcome was assessed after the full period. Errors and deviations occurring were mapped and employees were asked for their perception on why the company failed. The lack of experience led to a misinterpretation of the target-setting in the initial phase. While the first targets of the project were not even belonging to industry 4.0 principles, the company decided after their implementation to abort the project, leaving the core projects aside. Overestimating own strengths and expertise and underestimating the challenge made the company management reconsider the whole project. It was concluded that the implementation was neither needed nor doable for the SME. This case study gives an insight on the reality of an SME. While failing to understand the principles and underestimating the challenges, the SME management also failed to stick to the project. Assuming SMEs around the world to have similar issues, these companies require external support and knowledge in order to transit towards industry 4.0 asking for a strategy. In case the culture and mentality cannot be changed, SMEs globally may end in a failed transition.

Název v anglickém jazyce

Failing Industry 4.0: A case study of a SME in the Czech Republic

Popis výsledku anglicky

Industry 4.0 promises to be the future of competitiveness for companies all around the world. While start-ups focus on this area and big companies try to implement smart principles in production, small and medium-sized enterprises (SME) are waiting for their time to come. This article analyzes how a Czech manufacturing company in the transition from small to medium size understood and mastered the implementation of industry 4.0 principles. Failing to meet its own targets the company decided to abort the project due to lack of financial, technical, and human expert resources. The research monitored the SME over a period of four years. While the targets were set in the initial stage already, the outcome was assessed after the full period. Errors and deviations occurring were mapped and employees were asked for their perception on why the company failed. The lack of experience led to a misinterpretation of the target-setting in the initial phase. While the first targets of the project were not even belonging to industry 4.0 principles, the company decided after their implementation to abort the project, leaving the core projects aside. Overestimating own strengths and expertise and underestimating the challenge made the company management reconsider the whole project. It was concluded that the implementation was neither needed nor doable for the SME. This case study gives an insight on the reality of an SME. While failing to understand the principles and underestimating the challenges, the SME management also failed to stick to the project. Assuming SMEs around the world to have similar issues, these companies require external support and knowledge in order to transit towards industry 4.0 asking for a strategy. In case the culture and mentality cannot be changed, SMEs globally may end in a failed transition.

Druh

D - Stať ve sborníku

CEP obor

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OECD FORD obor

50204 - Business and management

Projekt

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Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2021

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název statě ve sborníku

Proceedings of the 37th International Business Information Management Association Conference (IBIMA) 30-31 May 2021, Cordoba, Spain

ISBN

978-0-9998551-6-4

ISSN

2767-9640

e-ISSN

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Počet stran výsledku

13

Strana od-do

1923-1935

Název nakladatele

IBIMA Publishing

Místo vydání

Pennsylvania, United States of America

Místo konání akce

Praha

Datum konání akce

12. 3. 2021

Typ akce podle státní příslušnosti

EUR - Evropská akce

Kód UT WoS článku

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