EXPLORING INDUSTRY 4.0 DRIVERS AND THEIR IMPACT ON LOGISTIC SECTOR: A SYSTEMATIC REVIEW

Abstract

Industry 4.0 marks the fourth industrial revolution, characterized by the integration of advanced digital technologies such as the Internet of Things (IoT), artificial intelligence (AI), robotics, big data analytics, and cloud computing into manufacturing and production processes. This evolution aims to create intelligent and efficient manufacturing environments by enhancing computerization, application, and information exchange throughout the value chain. In the logistics sector, a crucial component of global value chains, the adoption of Industry 4.0 technologies is expected to revolutionize operations by offering real-time information, advanced analytics, and self-sustaining processes, which can lead to increased efficiency, reduced costs, and improved customer satisfaction. However, the adoption of Industry 4.0 in Sri Lanka's logistics industry has been slow due to several challenges, including inadequate infrastructure, high implementation costs, and a shortage of skilled personnel. Regulatory and economic factors further complicate the adoption process. This study aims to address these challenges by exploring key factors that affect the performance of logistics firms in Sri Lanka in the context of Industry 4.0. Through a systematic literature review of 45 empirical publications, the study identifies critical components for successful adoption, including technological readiness, organizational culture, and workforce skills. It also examines how economic fluctuations impact the adoption and effectiveness of Industry 4.0 technologies. The findings offer valuable insights for overcoming adoption barriers and optimizing logistics performance, contributing to the broader understanding of Industry 4.0 in logistics and providing a foundation for future research and practice.