Technical, information and innovation risks of industry 4.0 in small and medium-sized enterprises – case of Slovakia and Poland
Abstract
The implementation of Industry 4.0 concept brings many risks mainly for small and medium-sized enterprises (SMEs). The objective of the study is a diagnosis and comparison of the perception of selected risk issues connected with Industry 4.0 implementation in Slovak and Polish SMEs, which have knowledge or experience with cluster cooperation. This category of SMEs is specific due to the fact, that not all of the SMEs have experience with cluster cooperation or know this form of doing business. For this purpose, the questionnaire survey of 787 respondents was conducted, focused on the risks of Industry 4.0 that are the most important for SMEs included in three categories: technical readiness, risks of innovation and risks of information. The statistical analysis of the survey results with the application of software STATISTICA and Social Science Statistics calculator leads to the conclusion that, except for the kind of risk of “New products and services”, all the observed risks are perceived as higher by Slovak SMEs than by Polish SMEs. The novelty of this research and its contribution to the body of knowledge lies in identification and evaluation of most important risks for specific group of SMEs related to Industry 4.0 implementation compared in two countries. The results of this research provide useful information for the practical fine-tuning of the policy aimed at transfer to Industry 4.0 in specific field – cluster cooperation, depending on the size of the enterprise.
Keyword : technical risk, information risk, innovation risk, risk management, Poland, Slovakia
How to Cite
Snieška, V. ., Navickas, V. ., Havierniková, K., Okręglicka, M., & Gajda, W. (2020). Technical, information and innovation risks of industry 4.0 in small and medium-sized enterprises – case of Slovakia and Poland. Journal of Business Economics and Management, 21(5), 1269-1284. https://doi.org/10.3846/jbem.2020.12279
This work is licensed under a Creative Commons Attribution 4.0 International License.
References
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Vrchota, J., Volek, T., & Novotná, M. (2019). Factors introducing industry 4.0 to SMES. Social Sciences, 8(5), 10. https://doi.org/10.3390/socsci8050130
Wadhwa, R. (2012). Flexibility in manufacturing automation: A living lab case study of Norwegian metal casting SMEs. Journal of Manufacturing Systems, 31(4), 444–454. https://doi.org/10.1016/j.jmsy.2012.07.008
Wu, D. D., Kefan, X., Hua, L., Shi, Z., & Olson, D. L. (2010). Modelling technological innovation risks of an entrepreneurial team using system dynamics: An agent-based perspective. Technological Forecasting & Social Change, 77(6), 857–869. https://doi.org/10.1016/j.techfore.2010.01.015
Yan, R. (2017). Optimization approach for increasing revenue of perishable product supply chain with the Internet of Things. Industrial Management & Data Systems, 117(4), 729–741. https://doi.org/10.1108/IMDS-07-2016-0297
Birkel, H. S., Veile, J. W., Müller, J. M., Hartmann, E., & Voigt, K.-I. (2019). Development of a risk framework for Industry 4.0 in the context of sustainability for established manufacturers. Sustainability, 11(384), 27. https://doi.org/10.3390/su11020384
Borrego, M., Douglas, E. P., & Amelink, C. T. (2009). Quantitative, qualitative, and mixed research methods in engineering education. Journal of Engineering Education, 98(1), 53–66. https://doi.org/10.1002/j.2168-9830.2009.tb01005.x
Chiarello, F., Trivelli, L., Bonaccorsi, A., & Fantoni, G. (2018). Extracting and mapping industry 4.0 technologies using Wikipedia. Computers in Industry, 100, 244–257. https://doi.org/10.1016/j.compind.2018.04.006
Ching, H. Y., & Colombo, T. M. (2014). Enterprise risk management good practices and proposal of conceptual framework. Journal of Management Research, 6(3), 69–85. https://doi.org/10.5296/jmr.v6i3.5404
Civelek, M., Ključnikov, A., Krištofík, P., & Rozsa, Z. (2019). Barriers in financing microenterprises from the perspective of Czech and Slovak microentrepreneurs. Journal of Business Economics and Management, 20(2), 244–267. https://doi.org/10.3846/jbem.2019.8114
Cochran, W. G. (1977). Sampling techniques. Wiley and Sons.
Colledani, M., Tolio, T., Fischer, A., Iung, B., Lanza, G., Schmitt, R., & Váncza, J. (2014). Design and management of manufacturing systems for production quality. CIRP Annals, 63(2), 773–796. https://doi.org/10.1016/j.cirp.2014.05.002
Coreynen, W., Matthyssens, P., & Van Bockhaven, W. (2017). Boosting servitization through digitization: Pathways and dynamic resource configurations for manufacturers. Industrial Marketing Management, 60, 42–53. https://doi.org/10.1016/j.indmarman.2016.04.012
Dalenogare, L. S., Benitez, G. B., Ayala, N. F., & Frank, A. G. (2018). The expected contribution of Industry 4.0 technologies for industrial performance. International Journal of Production Economics, 204, 383–394. https://doi.org/10.1016/j.ijpe.2018.08.019
Ghanbari, A., Laya, A., Alonso-Zarate, J., & Markendahl, J. (2017). Business development in the Internet of Things: A matter of vertical cooperation. IEEE Communications Magazine, 55(2), 135–141. https://doi.org/10.1109/MCOM.2017.1600596CM
Götz, M. (2019). The Industry 4.0 induced agility and new skills in clusters. Foresight and STI Governance, 13(2), 72–83. https://doi.org/10.17323/2500-2597.2019.2.72.83
Götz, M., & Jankowska, B. (2017). Clusters and Industry 4.0 – do they fit together? European Planning Studies, 25(9), 1633–1653. https://doi.org/10.1080/09654313.2017.1327037
Grenčíková, A., Kordoš, M., & Sokol, J. (2019). The approach to Industry 4.0 within the Slovak business environment. Social Sciences, 8(4), 104. https://doi.org/10.3390/socsci8040104
Hamada, T. (2019). Determinants of decision-makers’ attitudes toward Industry 4.0 adaptation. Social Sciences, 8(5), 140. https://doi.org/10.3390/socsci8050140
Haseeb, M., Hussain, H. I., Kot, S., Androniceanu, A., & Jermsittiparsert, K. (2019). Role of social and technological challenges in achieving a sustainable competitive advantage and sustainable business performance. Sustainability, 11(14), 3811. https://doi.org/10.3390/su11143811
Heckathorn, D. D. (2011). Comment: Snowball versus respondent-driven sampling. Sociological Methodology, 41(1), 355–366. https://doi.org/10.1111/j.1467-9531.2011.01244.x
Jeschke, S., Brecher, C., Meisen, T., Özdemir, D., & Eschert, T. (2017). Industrial Internet of Things and cyber manufacturing systems. In S. Jeschke, C. Brecher, H. Song, & D. B. Rawat (Eds.), Industrial internet of things (pp. 3–19). Springer Series in Wireless Technology. Springer. https://doi.org/10.1007/978-3-319-42559-7_1
Jovović, D. (2017). Model of open innovations and small and medium-sized enterprises development. Facta Universitatis, Series: Economics and Organization, 14(4), 345–357. https://doi.org/10.22190/FUEO1704345J
Kazancoglu, Y., & Ozkan-Ozen, Y. D. (2018). Analyzing Workforce 4.0 in the Fourth Industrial Revolution and proposing a road map from operations management perspective with fuzzy DEMATEL. Journal of Enterprise Information Management, 31(6), 891–907. https://doi.org/10.1108/JEIM-01-2017-0015
Korcsmáros, E., Mura, L., & Šimonová, M. (2017). Identification of small and medium-sized enterprises development in Slovakia. Journal of Applied Economic Sciences, 12(6), 1702–1712. https://doi.org/10.24136/oc.v8i2.16
Kordos, M. (2018, May 17–18). Risk assessment of SMEs under engaging in cluster cooperation in terms of their territorial impact in Slovakia within the EU context. In Proceedings of the 4th International Conference on European Integration 2018 (ICEI 2018) (pp. 773–780). Ostrava, Czech Republic.
Kovács, G. Y., & Kot, S. (2016). New logistics and production trends as the effect of global economy changes. Polish Journal of Management Studies, 14(2), 115–126. https://doi.org/10.17512/pjms.2016.14.2.11
Masarova, T., Kordos, M., & Sokol, J. (2018, November 22). The impact of Industry 4.0 initiative on society. In Proceedings of International Scientific Conference on the Impact of Industry 4.0 on Job Creation (pp. 155–161). Trencianske Teplice, Slovakia.
Mittal, S., Khan, M. A., Romero, D., & Wuest, T. (2018). A critical review of smart manufacturing & Industry 4.0 maturity models: Implications for small and medium-sized enterprises (SMEs). Journal of Manufacturing Systems, 49, 194–214. https://doi.org/10.1016/j.jmsy.2018.10.005
Mittal, S., Khan, M. A., Romero, D., & Wuest, T. (2019). Smart manufacturing: Characteristics, technologies and enabling factors. Journal of Engineering Manufacture, 233(5), 1342–1361. https://doi.org/10.1177/0954405417736547
Müller, J. M., & Däschle S. (2018). Business model innovation of Industry 4.0 solution providers towards customer process innovation. Processes, 6(12), 260. https://doi.org/10.3390/pr6120260
Müller, J. M., Kiel, D., & Voigt, K.-I. (2018). What drives the implementation of Industry 4.0? The role of opportunities and challenges in the context of sustainability. Sustainability, 10(1), 247. https://doi.org/10.3390/su10010247
Mura, L., & Mazák, M. (2018). Innovative activities of family SMEs: Case study of the Slovak regions. Online Journal Modelling the New Europe, 27, 132–147. https://doi.org/10.24193/OJMNE.2018.27.06
Neugebauer, R., Hippmann, S., Leis, M., & Landherr, M. (2016). Industrie 4.0 – From the perspective of applied research. Procedia CIRP, 57(1), 2–7. https://doi.org/10.1016/j.procir.2016.11.002
Pavlović, M., Radosavljević, M., & Milojević, R. (2018). The role of information technology in the implementation of lean concept. Facta Universitatis. Series: Economics and Organization, 15(4), 349–362. https://doi.org/10.22190/FUEO1804349P
Pejić Bach, M., Bosilj Vukšić, V., Suša Vugec, D., & Stjepić, A. M. (2019). BPM and BI in SMEs: The role of BPM/BI alignment in organizational performance. International Journal of Engineering Business Management, 11, 1847979019874182. https://doi.org/10.1177/1847979019874182
Prause, M. (2019). Challenges of Industry 4.0 technology adoption for SMEs: The case of Japan. Sustainability, 11(20), 5807. https://doi.org/10.3390/su11205807
Schröder, M., Indorf, M., & Kersten, W. (2014, November 15–18). Industry 4.0 and its impact on supply chain risk management. In Proceedings of the 14th International Conference Reliability and Statistics in Transportation and Communication (RelStat’14) (pp. 35–36). Riga, Latvia.
Sommer, L. (2015). Industrial revolution – Industry 4.0: Are German manufacturing SMEs the first victims of this revolution? Journal Industrial Engineering Management, 8(5), 1512–1532. https://doi.org/10.3926/jiem.1470
Tao, F., Cheng, Y., Zhang, L., & Nee, A. Y. (2017). Advanced manufacturing systems: Socialization characteristics and trends. Journal of Intelligent Manufacturing, 28(5), 1079–1094. https://doi.org/10.1007/s10845-015-1042-8
Tupa, J., Simota, J., & Steiner, F. (2017). Aspects of risk management implementation for Industry 4.0. Procedia Manufacturing, 11, 1223–1230. https://doi.org/10.1016/j.promfg.2017.07.248
Vaidya, S., Ambad, P., & Bhosle, S. (2018). Industry 4.0 – a glimpse. Procedia Manufacturing, 20, 233–238. https://doi.org/10.1016/j.promfg.2018.02.034
Vrchota, J., Volek, T., & Novotná, M. (2019). Factors introducing industry 4.0 to SMES. Social Sciences, 8(5), 10. https://doi.org/10.3390/socsci8050130
Wadhwa, R. (2012). Flexibility in manufacturing automation: A living lab case study of Norwegian metal casting SMEs. Journal of Manufacturing Systems, 31(4), 444–454. https://doi.org/10.1016/j.jmsy.2012.07.008
Wu, D. D., Kefan, X., Hua, L., Shi, Z., & Olson, D. L. (2010). Modelling technological innovation risks of an entrepreneurial team using system dynamics: An agent-based perspective. Technological Forecasting & Social Change, 77(6), 857–869. https://doi.org/10.1016/j.techfore.2010.01.015
Yan, R. (2017). Optimization approach for increasing revenue of perishable product supply chain with the Internet of Things. Industrial Management & Data Systems, 117(4), 729–741. https://doi.org/10.1108/IMDS-07-2016-0297