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2023 | OriginalPaper | Chapter

The Importance of Digital Readiness on Manufacturing SMEs’ Performance Aiming Towards Industry 4.0: A Case Study

Authors : M. Charbonneau-Genest, Sébastien Gamache

Published in: Flexible Automation and Intelligent Manufacturing: The Human-Data-Technology Nexus

Publisher: Springer International Publishing

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Abstract

It is increasingly advocated by authors that Industry 4.0 is the way forward to retain market competitiveness. However, the high failure rate of digital technologies’ implementation seems to fuel the slow progress of manufacturing SMEs to fully engage in its digital transformation. This phenomenon seems to come from a generalized absence of organizational changes which are necessary for the successful deployment of digital technologies. There seems to be a blur in the literature between digital maturity and digital readiness which deserves to be addressed. This paper targets the technical, technological, and organizational prerequisites to be implemented in manufacturing SMEs. The most frequently cited prerequisites in the literature are: Lean, agility, knowledge management, data accessibility, business strategy, dedicated financial resources, and cybersecurity. The objective of this paper is to study the effect of these prerequisites on the overall performance of a manufacturing company (production volume, manufacturing time, turnaround time, and reaction time) in order to prioritize them in a SME context. The prioritization is demonstrated by a Design of Experiments and a Monte-Carlo simulation, both of which were based on real data from a Quebec manufacturing SME. The results show that Lean offers a much greater potential than the other prerequisites. Additionally, business strategy, if not supported by the other prerequisites, has very little impact on the whole system. Several of the prerequisites observed during the simulation were implemented in the field to validate their impact in a real-life setting, which made it possible to support the conclusion of the study.

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Metadata
Title
The Importance of Digital Readiness on Manufacturing SMEs’ Performance Aiming Towards Industry 4.0: A Case Study
Authors
M. Charbonneau-Genest
Sébastien Gamache
Copyright Year
2023
DOI
https://doi.org/10.1007/978-3-031-17629-6_66

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