Impact of Industry 4.0 on supply chain performance

Considering the crucial role Information Technology (IT) plays in achieving performance improvements in business processes, this paper aims to explore the potential impact of the fourth industrial revolution - Industry 4.0 and its associated technological advances on Supply Chain (SC) performance. This study is exploratory research, conducted based on inductive reasoning, which aims to bring new insights into the topic, and to provide forward-thinking for future research. Hence, through conducting a systematic literature review, the paper attempts to explore the impact of Industry 4.0 on SC performance and to conceptualise and develop findings into an operational framework underpinned by Systems Theory. Based on this research, the application of Industry 4.0-enabling-technologies is expected to bring about significant performance improvements in SCM by enabling a holistic approach towards supply chain management resulting from extensive supply chain integration as well as information sharing and transparency throughout the supply chain. Moreover, these technologies allow for huge performance improvements within individual supply chain processes such as procurement, production, inventory management and retailing through enabling process integration, digitisation and automation, and bringing about novel analytical capabilities.