Analyzing Managerial and Technological Barriers to the Adoption of Industry 4.0: An “ISM” and “MICMAC” Approach

The aim of this study is to identify the barriers that affect the implementation of Industry 4.0, establish the relationship among the barriers using interpretive structural modeling (ISM), and identify the driving power and dependence of the identified barriers using matriced' impacts croised-multiplication applique' and classment (cross-matrix multiplication applied to classification) (MICMAC) analysis. Industry 4.0, a different acronym for the fourth industrial revolution, is considered an important concept for the digitalization of the manufacturing sector as it results in the efficient use of resources, reduced lead time, and improved product quality. A contextual relationship matrix is constructed based on questionnaire responses from industry and academia. Then, a hierarchical relationship among the identified barriers is established using the ISM method. Subsequently, driving power and dependence of the identified barriers are identified using MICMAC analysis. The analyzed results help determine the significance of the identified barriers and their relative importance, which will in turn help researchers and policymakers in the implementation of the Industry 4.0 concept. In this article, we also suggest that the government should frame the policy to provide financial and technical support and subsidies for transforming conventional factories into smart factories, and proper training should be given to the workforce so that they can cope with the real-time needs of the industries.