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Journal of Cleaner Production 258 (2020) 120820

Contents lists available at ScienceDirect

Journal of Cleaner Production


journal homepage: www.elsevier.com/locate/jclepro

Review

Are QM models aligned with Industry 4.0? A perspective on current


practices
Muhammad Asif
College of Business Administration, Prince Sultan University, Saudi Arabia

a r t i c l e i n f o a b s t r a c t

Article history: The latest technological developments epitomized in Industry 4.0 have created a disruptive effect on the
Received 8 November 2018 production/service systems and value chains. Industry 4.0, building on the integration of information and
Received in revised form communication technologies, Internet of things, robotics, additive manufacturing, and artificial intelli-
29 July 2019
gence, aims for developing autonomous and dynamic operations to enable the mass production of highly
Accepted 27 February 2020
Available online 29 February 2020
customized products. Industry 4.0 and quality management share the same objective, that is, improving
process performance, yet through different trajectories. However, notwithstanding Industry 4.0 de-
Handling editor: Tomas B. Ramos velopments, quality management models have remained stagnant and failed to keep abreast of these
advancements. This paper evaluates the alignment of quality management models with Industry 4.0. The
Keywords: paper shows that quality models are not congruent with Industry 4.0. The former build on the paradigm
Quality management models that supports establishing formal systems, compliance with specifications, and meeting requirements
Industry 4.0 which are quite irrelevant to Industry 4.0. The paper compares the features of Industry 4.0 against quality
Artificial intelligence models, highlights inadequacies in quality models, and develops recommendations for future quality
Alignment
models. This study is the first to review quality management models in light of the Industry 4.0
Business ecosystem
developments.
© 2020 Elsevier Ltd. All rights reserved.

Contents

1. Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
2. Methodology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
3. QM models . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
4. Industry 4.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
5. Are QM models aligned with Industry 4.0? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
5.1. Mindful QM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
5.2. Intellectual capital management . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
5.3. Making quality predictions from big data . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
5.4. Lean organizational structures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
5.5. Managing networked firms in business ecosystems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
6. Discussion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
7. Conclusions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
8. Limitations and future research directions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

1. Introduction

Quality of a product or service is viewed as a sustainable source


of competitive advantage (Cf. brand image, prestige, and product
E-mail address: masif@psu.edu.sa.

https://doi.org/10.1016/j.jclepro.2020.120820
0959-6526/© 2020 Elsevier Ltd. All rights reserved.
2 M. Asif / Journal of Cleaner Production 258 (2020) 120820

features). Firms strive to differentiate themselves from others are losing their relevance in the modern business context. Industry
based on the quality of their products and services, e.g., Apple, 4.0 based processes will find QM models irrelevant.
Michelin tires, Ritz Carlton hotels, and Toyota Motors (Dess et al., The key contribution of this paper is that it highlights those
2016). Accordingly, firms seek to convey confidence to their cus- areas where QM models have been unable to keep abreast of the
tomers and other stakeholders in the adequacy of their quality latest developments. Previous studies have argued that QM can
systems by implementing QM models. The implementation of address the changing needs of business and that QM practices are
quality models (such as ISO 9001 or TQM) gives customers and universal in terms of applicability and performance improvement
other stakeholders confidence that systems to manage quality are (Rungtusanatham et al., 2005). These studies have argued that QM
in place. may appear to have a faddish character in the beginning, but due to
Firms also endeavor to excel in technology, operations, infor- a rapidly changing environment, “it will remain (or return as) an
mation systems, and support processes. These resources and ca- important issue on the agenda for top management” (Williams
pabilities are leveraged to create new competitive advantages. The et al., 2004, p. 603). However, the findings of this study cast
developments in the realms of technology, information systems, doubt on such claims and suggest that QM models can retain their
knowledge management, organizational design, and business universal applicability only if updated to align with Industry 4.0.
ecosystems are now shaping the modern business. The latest ad- The paper also develops recommendations for future QM models.
vancements in these fields are epitomized in Industry 4.0 (Sanders The rest of the paper is structured as follows: the next section
et al., 2016). Industry 4.0 builds on the integration of information discusses research methodology followed by a discussion of QM
technology, artificial intelligence (AI), and robotics to give rise to models and Industry 4.0. This is followed by a discussion of the
what is called as smart manufacturing (Kagermann et al., 2013). The alignment of QM models with Industry 4.0. The alignment is dis-
adoption of Industry 4.0 is considered as a strategy to increase cussed in terms of five key dimensions, including mindfulness,
product quality, productivity, and make processes smooth and intellectual capital management, making quality predictions from
efficient. big data, lean structures, and management of networked firms. The
Quality models comprise a set of best practices that are estab- discussion section then follows, and the paper ends with conclu-
lished to improve quality and process performance. Industry 4.0 sions, limitations, and future research directions.
and QM share the same objectives of improving quality, produc-
tivity, and flexibility, yet their modus operandi are entirely 2. Methodology
different. QM models proceed through the implementation of best
practices aimed at streamlining processes, reducing variation, and A review protocol was developed to search for relevant papers.
adopting customer-oriented policies and procedures; whereas In- To ensure the rigor, only peer-reviewed papers were included using
dustry 4.0 improves process performance through the integrated the Scopus and Web of Science databases. The search was carried
use of the latest technologies. The Internet of Things and Services out using keywords: “quality management” and “TQM” appearing
networks the entire organization to develop a smart environment. in the title and/or abstract and/or keywords. In an earlier round, a
Digitally designed intelligent machines, warehousing systems, and third keyword “industr* revolution 4” (Industr* includes alterna-
smart production facilities enable end-to-end integration through tive words such as industry and industrial) was also included with
information and communication systems across the whole orga- the keywords mentioned above but that did not produce any paper
nization (Sanders et al., 2016). The use of AI enables accurate pre- in both databases. Further research using the keyword “industr*
diction of customer demands and the management of the entire revolution 4” revealed that only a few papers had been published in
supply chain from inbound logistics to production, outbound lo- the field of engineering, information technology, big data analysis,
gistics, marketing and sales, and service (Kagermann et al., 2013). and other technical fields. These papers were published mainly
The similarity in the objective of these two approaches raises a during 2014-2018. The Web of Science showed only three results
question: do Industry 4.0 and QM models have complementarities/ for “Industr* revolution 4” for the year 2013 which clearly shows
synergies? And, if so, can they be employed together? that Industrial revolution 4.0 is a new topic and still growing.
Research on the crossroads of QM models and Industry 4.0 is QM and TQM literature was searched for the last ten years
scarce. Previous studies have explored the role of Industry 4.0 in (2009e2018). Quality management models have significantly
lean production (Sanders et al., 2016), but the compatibilities and improved within this time window and developments before this
alignment of QM models and Industry 4.0 yet remain to be time are too outdated to be considered in the context of Industrial
explored. Highlighting this scarcity of literature, Gunasekaran et al. revolution 4.0. The web of science and the Scopus returned 876 and
(2018) posed a question for future research: “what changes need to 1014 results, respectively. A review of the abstracts of these papers
be done in QM to commit micro level human involvement with showed that several irrelevant papers existed in this collection and
respect to emerging new technologies such as Blockchain, The required filtering. For example, several papers contained the key-
Internet of Things, Big data, Business analytics, cyber-physical words ‘quality management’ and ‘TQM’ appearing isolated instead
systems and smart supply chains?” (p. 128). This paper proceeds of being a part of the main theoretical framework. To narrow down
the discussion in this direction. The main question addressed in this the search results to more relevant papers, the following criteria
paper is: were applied.
RQ: Are QM models aligned with Industry 4.0? First, to qualify for selection for the review process, the paper
To answer this question, this paper evaluates QM models against had to discuss quality models meant for the whole business.
Industry 4.0 developments to determine if quality models can Accordingly, quality models focusing only on operational and
address the emerging challenges. The features of quality models are technical performance were excluded, including Shingo Prize for
embodied in quality practices discussed in the literature, QM operational excellence, HACCP for technical quality of food prod-
standards (ISO 9001 and ISO 9004), and excellence models (such as ucts, Good Manufacturing Practices (GMP) for technical quality of
EFQM, Baldrige, and Deming). Industry 4.0 and its underpinning pharmaceutical products, Good Laboratory Practices (GLP) for
technologies are discussed in the literature, see, e.g., Kagermann quality management in laboratory operations, and Worldwide
et al. (2013) and Tortorella and Fettermann (2018). The findings Responsible Accredited (formerly apparel) Production (WRAP) for
show that QM models are not aligned with Industry 4.0. Advances textile products quality.
in Industry 4.0 have outpaced QM models. As a result, QM models Second, papers had to discuss a quality model as the main
M. Asif / Journal of Cleaner Production 258 (2020) 120820 3

theoretical framework of the paper. Any paper that mentioned achieving quality policies and objectives. To this end, different QM
quality models tangentially or in passing were excluded as such models exist to facilitate the implementation of QM systems. A
papers cannot generate rich insights needed for this study. Third, as common approach is through certification to ISO 9001 standard.
an extension of the second criteria, the selected paper had to This standard outlines the requirements for QM. Compliance with
discuss constituent practices of the relevant quality models. A these requirements is assessed through independent quality audits
discussion of the constituent practices is needed to understand (Mironeasa and Codin a, 2013). This standard is quite popular as
their impact, dynamics, and relevance to Industry 4.0. Finally, the more than a million organizations have implemented this standard.
selected papers had to discuss at least one additional theoretical Certification to this standard implies that adequate systems are in
concept or management practice, such as Industry 4.0, innovation, place to manage quality. Many international buyers seek standard
knowledge management, intellectual capital management, buyer- certification from their suppliers as a prerequisite for business
supplier relationships, operational performance, healthcare, tech- transactions.
nology management, supply chain management, or service per- ISO 9004:2018 is another standard to sustain QM systems. It is a
formance. The last criteria helped to exclude several irrelevant guidance-rather than the certification-standard. While ISO 9001
papers, such as those discussing only quality models, the evolution brings an organization confidence in the quality of products and
of quality models, quality philosophies, classification of quality services, ISO 9004 provides confidence in an organization’s ability
practices, critical success factors, and critical failure factors of to achieve sustained success. ISO 9004:2018 promotes the
quality management. The papers on the evolution of quality models involvement of top management and requires them to appreciate
(Van Der Wiele and Brown, 2002) are too outdated compared to organizational context, factor in the task and general environment,
Industry 4.0 that emerged in 2011 (Drath and Horch, 2014). The and discern the unique identity of the organization. ISO 9004 uses a
papers on classification of quality practices mainly categorized self-assessment approach and assists ISO 9001 with the purpose of
them into ‘soft/hard’ (Rahman, 2004; Fotopoulos and Psomas, making organizational QM system more successful. ISO 9004 is
2009) or ‘core/infrastructural’ (Zu, 2009) making them irrelevant unique and different from ISO 9001 as it transcends product/service
to the current study. Finally, the papers on critical success factors quality to “quality of the organization” and achieving sustained
focused exclusively on implementation-related factors; a discus- success. However, neither ISO 9001 nor ISO 9004 were developed
sion of other practices and developments, such as Industry 4.0, was to respond to Industry 4.0 developments. Consequently, many de-
beyond the scope of these studies (Seetharaman et al., 2006; velopments which underpin Industry 4.0 remain unaddressed in
Aquilani et al., 2017). After applying these filters, 120 papers were both standards.
shortlisted for further review. Quality management standards, ISO TQM represents another approach to quality management. It
9001, ISO 9004, and business excellence models (Baldrige, EFQM, comprises three components: ‘values’, ‘tools’, and ‘methodologies’,
and Deming Prize) were added to these papers for review. the purpose of which is to increase internal and external customer
These papers and models were reviewed using an inductive- satisfaction using a reduced amount of resources (Klefsjo € et al.,
deductive approach (Orzes et al., 2018). The inductive approach 2006, 2008). The common ‘values’ in TQM are: a focus on cus-
was meant to learn about Industry 4.0 developments and associ- tomers, continuous improvement, focus on processes, and fact-
ated challenges. The outcome of the application of the inductive based decision making. ‘Tools’ are specific matrices or diagrams
approach was an enhanced understanding of Industry 4.0 and (such as fishbone diagram, control charts, and process mapping),
underpinning processes/technologies, and their role in shaping and the ‘methodologies’ are the ways to work which consist of a
modern supply chains, customer service, and the creation of sequence of activities (Klefsjo € et al., 2008). TQM represents a
personalized customer experiences. In applying the inductive popular model for implementing QM.
approach, none of the constructs (such as Industry 4.0, AI, and big Business excellence models (BEMs) provide a self-assessment
data analytics) were defined a priori, rather they emerged from the framework for organizational excellence. Three excellence models
review. For instance, the review entailed that Industry 4.0 builds are of particular interest: Baldrige Criteria for Performance
upon nine key technologies/processes, which are autonomous ro- Excellence (2018), European Foundation for Quality Management
bots, big data analytics, augmented reality, additive manufacturing, (EFQM, 2013) model, and Deming Prize (2019) representing
the cloud, cybersecurity, the Internet of things, horizontal and American, European, and Japanese excellence models, respectively
vertical system integration, and simulations. These undergirding (Holm et al., 2015; Castilla-Polo et al., 2018; Ruokonen and Temmes,
technologies and processes are capable of resulting in smart and 2019). These three models are “recognized worldwide and
intelligent business processes capable of making self-adjustments. considered the mothers of others” (Talwar, 2011, p. 50).
Deductive approach, on the other hand, was meant to explore In addition to these models, a number of QM practices are also
how QM models address the developments associated with In- discussed in the literature, such as customer focus, supplier man-
dustry 4.0. In the deductive approach, the key technologies un- agement, process management, quality leadership, and employees
derpinning Industry 4.0, quality models, their constituent practices development, among many others (Fotopoulos and Psomas, 2009;
were known up front and the purpose was to determine how Zu, 2009). Managers can deploy these practices to develop QM
quality models address these developments. The application of the systems in their organizations. Ebrahimi and Sadeghi (2013)
inductive-deductive approach in assessing the adequacy of quality reviewed QM papers and found seven key practices, including
models is discussed in more detail in the following sections. human resource management, customer focus and satisfaction, top
management commitment and leadership, process management,
3. QM models supplier quality management, quality information and analysis,
and strategic quality planning. These key practices are discussed in
QM concerns how the personal, organizational, and societal the literature to contribute to operational, quality, and financial
resources and processes are steered to achieve quality improvement. Together these practices constitute a QM framework
(International Organization for Standardization, 2015). American which organizations can employ to manage their quality
Society for Quality (2018) defines QM as managing activities and performance.
resources of an organization to achieve objectives and prevent Some industry-specific standards also exist to cater to the
nonconformances; and a QM system as a formalized system for quality needs of particular sectors. For example, Good
documenting processes, procedures, and responsibilities for Manufacturing Practices (GMP) for the pharmaceutical industry,
4 M. Asif / Journal of Cleaner Production 258 (2020) 120820

Worldwide Responsible Apparel Production (WRAP) for the textile 2018a).


sector, Hazard Analysis and Critical Control Points (HACCP) for the Industry 4.0 has the potential to affect people, workplace, or-
food sector, and Good Laboratory Practices (GLP) for laboratories. ganizations, and even the planet. According to the World Economic
Responsible Business Alliance (RBA) is a standard meant for Forum (2018), Industry 4.0 will accompany the following de-
ensuring safe working conditions and supply chains in the elec- velopments. First, AI can help to make intelligent decisions and
tronics industries and industries which use electronics as key reduce material use, decrease energy consumption, clean energy,
components. RBA addresses environment, health and safety, ethics, and solve problems where traditional wisdom did not work. Sec-
and management systems development. The Forest Stewardship ond, increased automation will bring in higher productivity, effi-
Council (FSC) sets standards for what constitutes a responsibly ciencies, and reduce stress on human and environmental resources.
managed forest and is particularly valuable for timber suppliers. Third, Industry 4.0 will enable sharing across devices and facilities,
Green Star assesses the sustainable design, construction, and such as offices, homes, rides, that can reduce consumption-related
operation of buildings and communities. Green Star certification waste and positively impact the life cycle of products. Fourth, In-
promotes construction designs that are healthy, sustainable, and dustry 4.0 allows greater decentralization and decision making by
reduce environmental impact. Similarly, standards also exist for relevant people. For instance, 3D printing can help to make better
software quality. ISO 9126 is an international standard that helps in design and reduce emissions originating from logistics. Finally,
creating a framework for assessing software, see, e.g., Suman and Industry 4.0 will generate real-time data, that is readily available to
Rohtak (2014) for a comparison of software quality attributes and all decision-makers allowing more collaboration, and improved
how different software quality models measures these attributes. quality of decision making.
These standards are meant to manage the technical performance of Managing Industry 4.0 requires a new set of skills, work ethics,
their respective sectors but do not furnish an overarching system and commensurate management systems (World Economic Forum,
for the QM of the whole organization. 2018). However, our current understanding of how to respond to
these challenges is quite limited. Therefore, the need arises to re-
4. Industry 4.0 view the current quality models in light of these developments and
start a debate on the (in)adequacy of these models. In particular,
Industry 4.0 is the usage of intelligent processes and products how to align quality models with Industry 4.0. This paper advances
supported by autonomous data collection and analysis, and with the discussion in this direction.
end-to-end integration, resulting in smart, intelligent, and efficient
processes (Buer et al., 2018). These developments have reached the 5. Are QM models aligned with Industry 4.0?
current form through a long evolutionary process spread over de-
cades. The first industrial revolution introduced mechanical pro- There is a plethora of literature reporting inadequacy of QM
duction and steam-powered machines, hence called models in addressing quality objectives, hampering innovations,
‘mechanization’. The second industrial revolution was character- and a lack of alignment with other organizational initiatives
ized by key developments such as mass production and assembly (Benner and Tushman, 2003; Naveh and Erez, 2004; Hamdoun
line powered by electricity, hence called ‘electrification’. The third et al., 2018). Studies have also shown that QM practices can
industrial revolution was characterized by further advancements in hamper a firm’s responsiveness to change and speed of respon-
autonomous production through the use of electronics and IT, siveness, see, e.g., Benner (2009), Magd and Curry (2003), Naveh
hence called ‘digitization’. The latest Industry 4.0 developments and Erez (2004), Prajogo (2009), Ratnasingam et al. (2013), and
make use of cyber-physical systems, i.e., a fusion of the physical and Wei (2010). Some authors have assigned a contingency perspective
virtual worlds, and builds upon key technologies, including to the success of QM models which states that the success of QM is
autonomous robots, big data and analytics, augmented reality, ad- contingent upon a lot of factors, such as the extent of imple-
ditive manufacturing (3D printing), the cloud, cybersecurity, the mentation of standards, the extent of signals given by certification
internet of things, horizontal and vertical system integration, and to the market, the motivation to implement standards, the sector
simulations (Boston Consulting Group, 2019). Together these de- and the region, and the size of the company, see, e.g., Manders et al.
velopments create intelligent systems undergirding Industry 4.0 (2016). Overall, these studies allude towards a lack of alignment
(Buer et al., 2018). between QM models and other organizational initiatives/features
Industry 4.0 builds on “networks of manufacturing resources (such as innovation, responsiveness, the speed of new product
(manufacturing machinery, robots, conveyor and warehousing development, and knowledge integration mechanisms), though,
systems and production facilities) that are autonomous, capable of none of these studies have taken into consideration the alignment
controlling themselves in response to different situations, self- of QM models with Industry 4.0.
configuring, knowledge-based, sensor-equipped and spatially Similarly, TQM has been criticized for its faddish character and
dispersed and that also incorporate the relevant planning and lacking theoretical foundations. Some studies have attempted to
management systems” (Kagermann et al., 2013, p. 20). It aims to address this criticism; three studies are particularly noteworthy.
develop autonomous and dynamic production, which integrates First, Van Der Wiele et al. (2000) stated three distinct stages in TQM
information and communication technologies to facilitate the mass evolution using ‘fad, fashion, and fit’ theory. They noted that in its
production of highly customized products (Tortorella and earlier stages, TQM was perceived as a fad or fashion that accom-
Fettermann, 2018). Because Industry 4.0 concept is relatively new, panied its widespread adoption. However, the next stage is the fit
many companies struggle to understand it (Sanders et al., 2016). stage whereby TQM will be institutionalized, and in that case, it has
AI, which is the cornerstone of Industry 4.0, is barging its way the potential to make a visible impact on organizational perfor-
into business processes. Firms are using AI to create forecast de- mance. They call the last stage ‘fit’ which means the alignment of
mand, smoothen supply chain, manage logistics, hire employees, TQM with the current management practices. The research of Van
and to serve customers better. Mckinsey Global Institute (2018) Der Wiele et al. (2000) was one of the earliest to point to the
estimates that firms will derive around $1.3trn to $2trn per year need for alignment. In the following sections, we argue that this
in economic value by using AI in manufacturing and supply chains. alignment is still lacking.
In 2017 firms spent around $22bn on AI-related acquisitions and Dani et al. (2006) found that TQM consultants tended to be
mergers, that is about 26 times more than in 2015 (The Economist, generalists with weak links to the core principles of QM. When the
M. Asif / Journal of Cleaner Production 258 (2020) 120820 5

(TQM) fashion busted, consultants started focusing on quality meaningfulness of the work. Semi-automated processes and re-
control expertise. They concluded that fashionable practices return petitive jobs such as tellers, warehouse workers, counter cashiers,
to their technical roots after the hype is over. This study leads to two and assembly line are repetitive and dwindle cognitive engage-
important points: first, the hype that results from the development ment. Thus, ’lack of cognitive engagement and mindfulness’
of vague links and theoretical underpinning bust, sooner or later, emerged as a relevant dimension to understand the impact of In-
and second, the core foundations of QM would persist. It is also dustry 4.0 on the workplace. In this way, the use of inductive
assumed that the lasting part of QM is robust enough and aligned approach led to the development of five dimensions for evaluating
with the contemporary developments in the management field. In quality models. These dimensions include mindfulness, intellectual
this paper, we argue that this is not the case, considering Industry capital management, making quality predictions from big data, lean
4.0. structures, and managing networked firms.
Finally, Williams et al. (2004) noted that after initial branding as An example of the deductive approach was determining if the
a fad, TQM would again be a top-management priority because quality models address the dimensions induced during stage-1 (i.e.,
latest developments in the field of information systems, an inductive approach). An example of the deductive approach was
increasing number of networked organizations, and the need for investigating if the quality models address intellectual capital
improved measures of performance will make TQM rise again. management and mindfulness. In contrast to the inductive
However, we argue that the alignment of TQM with these de- approach, where none of the dimensions was defined a priori, in
velopments yet remains a challenge. the deductive approach, the dimensions related to Industry 4.0
The alignment of quality models with contemporary de- were known up front and the purpose was to determine how they
velopments can be understood by a further elaboration on con- are addressed by the quality models. Overall, the use of the
stituent practices that constitute QM models. Ebrahimi and Sadeghi inductive and deductive approaches served the basis for assessing
(2013) reviewed QM papers and summed up various practices into the adequacy of quality models against the backdrop of Industry
seven key practices, including, customer focus and satisfaction, 4.0.
human resources management, top management commitment and Building on the inductive-deductive approach, this paper
leadership, process management, supplier quality management, developed a five-dimensions framework to assess the alignment of
quality information and analysis, and strategic quality planning. QM models against Industry 4.0. Each of these dimensions repre-
However, these core practices are no more different from those that sents a well-established management idea, though lacking research
appeared in the papers published in the 1990s and even earlier, see, on connections with Industry 4.0 and quality models. Some
e.g., Anderson et al. (1995), Dean and Bowen (1994), representative examples of the theoretical support of these di-
Rungtusanatham et al. (1998), Samson and Terziovski (1999), and mensions are provided in Table 1.
Spencer (1994). This shows that practices embodied in these It should be noted that these dimensions are not exhaustive;
models have reached stagnation and need review. there can be several other dimensions as well, but these di-
Industry 4.0 developments, on the other hand, are relatively mensions provide a starting point for assessing quality models.
new. The term ‘Industry 4.0’ first appeared in 2011 (Drath and Table 2 summarises the transition desired to make QM models
Horch, 2014). Notwithstanding stagnated QM models, de- more relevant.
velopments in Industry 4.0 continue to emerge and shape the
modern business. For instance, Industry 4.0 has enabled highly 5.1. Mindful QM
synchronized operations through information systems that allow
co-production, share core business processes, and work in a busi- Sociotechnical system theory describes an organization in terms
ness ecosystem (Laudon and Laudon, 2012). The concept of the of social and technical side (Read et al., 2015). The social side
supply chain is redefined to a collective value creation process comprises individuals, teams, groups, their interactions, and work
(Gunasekaran and Ngai, 2004). Industry 4.0 based processes have behaviors; the technical side comprises processes, tools, tech-
less linear and more concurrent information flow to support effi- niques, methodologies, and equipment (Manz and Stewart, 1997).
cient demand and supply. The term quality is now defined not only Industry 4.0 developments have happened on the technical side
in terms of product/service specifications but also flexibility, agility, and do not directly pertain to the social side of the organization
responsiveness, and product usage experience, see, e.g., Bernardes (Boston Consulting Group, 2019). This, in turn, creates a lack of
and Hanna (2009). There is growing recognition that intellectual alignment between the social and technical side. The overall effect
capital of a firm needs to be leveraged for generating competitive is that Industry 4.0 jobs promote efficiencies and productivity, are
advantage from highly advanced Industry 4.0 processes (Dess et al., exploitation-oriented (Buer et al., 2018) and ignore the human side.
2016; Hatch and Dyer, 2004). All these developments fall beyond For instance, as AI opens new frontiers for managing tasks, man-
the scope of quality models. agers driven by the need for efficiencies gain remarkable control
As discussed in the methodology section, this paper builds upon over their employees’ routines. As an example, Amazon has
the inductive-deductive approach. An example of the application of patented a wristband capable of tracking hand movements of
the inductive approach was acquiring the knowledge of Industry warehouse workers and uses vibrations to nudge them to be more
4.0 and related developments. The inductive approach helped to efficient (The Guardian, 2018). These exploitation-oriented controls
identify a number of Industry 4.0 dimensions useful to evaluate QM are designed for the higher level of efficiencies but without pro-
models. The review process revealed that Industry 4.0 builds upon moting cognitive engagement in process execution, mimicking
technological, human, information, and knowledge resources, and machines. Exploitation-oriented measures can potentially reduce
complementarities among these resources (Tortorella and the perceived significance and meaningfulness of the job, affecting
Fettermann, 2018). This entails that managing knowledge, skills, employee motivation and job satisfaction.
and capabilities to benefit from Industry 4.0 is a must. Thus, ‘in- Quality models do not offer any panacea to this problem. Rather,
tellectual capital management’ emerged as a core factor in the they promote a rule-based approach which develops traceability
success of Industry 4.0 (Sanders et al., 2016). As another example, mechanisms, reduces variations, and ensures repeatability of pro-
the review process highlighted that Industry 4.0 is reshaping the cesses. Standardization (such as through ISO 9001) is viewed as a
workplace, augmenting the technical side of the organization, means to accomplish these objectives. The routines ensuing from
curtailing the human role, and affecting perceived significance and standardized processes promote automaticity whereby employees
6 M. Asif / Journal of Cleaner Production 258 (2020) 120820

Table 1
Illustrative examples of theoretical support for the criteria.

Dimensions for evaluation of Illustrative examples of theoretical support


quality models

Mindful QM Brown and Ryan (2003); Dane (2011); Bjurstro€m (2012); Oly Ndubisi (2012); Kroon et al. (2017)
Intellectual capital management Ataseven et al. (2014); Bornemann (2015); Dess et al. (2016); Hatch and Dyer (2004); Kim et al., (2009); Shih et al. (2011)
Making quality predictions from Akter and Wamba (2016); Erevelles et al. (2016); Lee (2017)
big data
Lean organizational structure Womack et al. (1990); Womack and Jones (2003); Hajmohammad et al. (2013); Tsironis and Psychogios (2016); Fredriksson and
Isaksson (2018); Sunder et al. (2018)
Managing networked firms Miles et al. (2005); Riedl et al. (2009); Laudon and Laudon (2012); Chen et al. (2014); Kim (2016); Polese et al. (2018)

Table 2
Rethinking the current perspectives and practices in quality models.

The desired transition of quality models:

Dimensions From To

Mindful QM 1. Automaticity 1. Cognitive engagement


2. Standardized routines 2. Mindful task execution
3. Compliance with rules and procedures 3. The direction of attention towards one’s ongoing experience
4. Evaluating and questioning the value of a routine
Intellectual capital 1. Managing employees 1. Managing human, social, and intellectual capitals
management 2. Managing human resources
Making quality predictions 1. Anticipating customer requirements and 1. Making accurate prediction using big data.
from big data addressing them. 2. Using big data to determine changing customer preferences, enable agility,
flexibility, and responsiveness, to create delightful customer experiences.
Lean structures 1. Developing formal systems through manuals, 1. Coexistence of technology and human-based simplicity
procedures, work instructions, and records 2. Alignment of human-side with new lean structures
2. Establishing documented evidence for quality
processes
Managing networked firms 1. Defined boundaries and scope of operations 1. Management of networked firms operating in business ecosystems
in business ecosystems 2. Management of a relatively stable set of partners 2. Managing collective value creation
and suppliers 3. Going beyond supplier management to integration with other firms for strategic
3. Supplier management advantage.

perform a task because it is always done like that, without cognitive the latter is a formal process involving teamwork, brainstorming
engagement. Over time, these routines are hardened to become a sessions, quality circles, ideas sharing, collective refining of ideas,
default method dwindling the space for creativity. Thus, a key and presenting those ideas to the management (Prashar and
limitation of these (standardized) routines is that they hamper the Antony, 2018).
mindful execution of processes and limit opportunities for
continuous improvement. Mindfulness which is essential to pro-
moting cognitive engagement in the workplace remains missing in 5.2. Intellectual capital management
quality models.
Fostering creativity and innovation requires curbing automa- Intellectual capital refers to the flow of knowledge available to
ticity and promoting a mindful approach whereby the value of each an organization (Baron and Armstrong, 2007). Intellectual capital
practice is astutely ascertained. Mindfulness is defined as “the comprises two distinct types of capitals e human and social. Hu-
awareness that arises out of intentionally attending in an open and man capital is defined as a set of capabilities, knowledge, skills, and
discerning way to whatever is arising in the present moment” experiences of the company’s employees (Hatch and Dyer, 2004).
(Shapiro, 2009, p. 555). A mindful approach to QM is the opposite of Successful organizations differentiate from others by engaging
traditional QM routines; it requires observing rather than just their human capital. The networks and working relationships of
seeing, ascertaining rather than mere conforming, and conscious employees constitute ‘social capital’ which extends beyond the
actions rather than automaticity (Bjurstro € m, 2012). Mindfulness organization to create learning opportunities through external
allows employees to regulate their motivation and behavior (Brown parties such as suppliers, alliance partners, and customers. The
and Ryan, 2003). Further, mindful employees are better self-leaders human and social capital of a firm constitutes the intellectual
(Houghton and Neck, 2002), thus, reducing the need for external capital which is the worth of the intangible assets of a firm
leadership (Kroon et al., 2017). The need for mindfulness is signif- including employee skills and experience, reputation, employee
icantly increased in the modern workplace which tends to decouple loyalty, company values, brand image, and customer relationships.
cognitive engagement from the task and promotes non-thinking These intangible assets build upon the knowledge and skills of
functions. However, all quality models are mute on this impor- employees and therefore, require particular attention (Dess et al.,
tant aspect. 2016).
An argument counter to ours could be that that QM models The need to manage intellectual capital of an organization is
encourage continuous improvement, thus, going beyond mere further reflected from the constituent practices of Industry 4.0, i.e.,
compliance to incorporating improvements. However, we argue managing big data, AI, robotics, IoT, quantum computing, and 3D
that mindfulness and continual improvement are not the same. The printing, among many others (Tortorella and Fettermann, 2018).
former is a heedful process representing an attentive state of mind The fusion of digital-, physical- and virtual-worlds requires an
at the individual level and is an always happening process, whereas entirely different set of skills which are developed, nurtured,
managed, and institutionalized within the organization (World
M. Asif / Journal of Cleaner Production 258 (2020) 120820 7

Economic Forum, 2018). Industry 4.0 may make some set of skills vendors and partners who can deliver quality data. The importance
obsolete and highlights the need of others. Thus, maintaining a of this standard is particularly highlighted against the backdrop of
repository of the relevant set of skills is of utmost importance to Industry 4.0 which builds digital processes and supply networks.
utilize Industry 4.0 to its fullest potential. In particular, developing Exchanging quality data with partners in the network is the
adequate ‘capabilities’ and ‘capacity’ is essentially required to run cornerstone of value-adding collaborations. ISO 8000 discusses
highly skilled Industry 4.0 based processes. The capabilities, in this data governance and acquisition of quality data and information;
case, refers to honing the required set of skills, while capacity refers however, it neither guides nor requires organizations to use data for
to the availablity of adequate resources. However, QM models are customer and market segmentation, creating new product and
mute on the management of skill set, developing relevant capa- process differentiation, developing new core capabilities, data-
bilities and capacity. This is shown in Table 3 which lists three forms based risk management, and creating unique strategic competi-
of capital: human, social, and intellectual capital. Quality models tive advantages.
discuss only human resources management which is a subset of It is important to note that QM models do not prohibit the use of
human capital management. AI in gleaning rich insights, but neither they promote it. Indeed,
condoning this critical aspect implies that QM models are indif-
ferent to Industry 4.0 and the management of quality is left to the
5.3. Making quality predictions from big data subjective perceptions and understanding of individual managers
(Gunasekaran et al., 2018). Managing product/service quality based
Owing to Industry 4.0, the modern quality is about gleaning rich on AI and data-based insights need to be incorporated in the
insights from large data and making accurate predictions to un- mainstream QM models. Bringing these features in mainstream
derstand customer needs better (Akter and Wamba, 2016). Since quality models would also help to avoid ethics-related issues that
customer requirements are fluid and changing, making accurate may stem from the misuse of big data.
predictions is of utmost importance (Erevelles et al., 2016). Amazon
and Otto, a German e-commerce merchant, represent two exam-
ples that build their quality parameters from large databases using 5.4. Lean organizational structures
AI.
Amazon has employed algorithms that are capable of predicting QM models tend to promote a mechanistic work design as they
demand for millions of products as early as 18 months ahead. The develop formal channels of communication, compliance with rules
demand, in this case, epitomizes all product specifications (The to promote order, and prevent variations from the established
Economist, 2018b). For instance, in case of clothes, color, size, fab- methods. The purpose of developing these structures is to promote
ric composition, the rate of product returns by customers, and as- a systematic approach to QM. The latest ISO 9001: 2015 standard
sociation of a product sale with another product, scalability, risk uses the term ‘documented information’ (clause 7.5) for this pur-
factor, agility and flexibility in demand management, all constitute pose, it requires creating (clause 7.5.1) and controlling documented
a rich profile of parameters of a product. Similarly, Otto develops its information (clause 7.5.3). In general, A QM system usually has
relevant quality measures using AI. It purchases around 200,000 three layers of documentation. The top one is a quality manual, the
items a month from third-parties without any human intervention. second layer is of procedures, and the third layer is of work in-
Defining product- and quality-specifications in such a large variety structions. ‘Records’ are in addition to these layers. The second and
of products, sizes, and colors will be impossible to carry out third layer, in particular, can make a system bulky and bureaucratic.
manually. Hence, it is not surprising why some authors attribute bureaucracy,
Managing quality in such contexts means being able to make rigidity, and inflexibility to the QM models (Martinez-Lorente and
quick and accurate predictions about what really matters to the Martinez-Costa, 2004; Hamdoun et al., 2018).
customer, i.e., a combination of different parameters that will The problem of QM systems induced bureaucracy can be espe-
produce the best customer experience (Lee, 2017). Only organiza- cially cumbersome in a healthcare setup. Technical protocols for
tions employing best-class analytics to make accurate predictions administering medicines at the top of the layers of QM documen-
will acquire a competitive advantage (Akter and Wamba, 2016). tation can make a system slow when quick responsiveness is
However, this critical foundation of identifying and managing essentially required. It is noted that doctors in hospitals spend over
customer requirements is missing in the QM models. One notable two-third of their time in paperwork which makes processes less
exception is ISO 8000 standard meant for facilitating the exchange efficient and doctors prone to burnout (Forbes, 2016). Similarly, in
of quality data (International Organization for Standardization, the aviation industry where quick responsiveness is of utmost
2018). The standard addresses how data is encoded and importance, heavy documentation and bulky systems may under-
formatted to deliver quality information reliably. It defines quality mine efficiencies and adversely affect employees’ morale.
data as “portable data that meets stated requirements.” The stan- Industry 4.0 and AI-based systems, eliminate the need for these
dard makes it possible to contract for quality data and identify structures (Sanders et al., 2016). These systems build digital twins,

Table 3
The focus of QM models on human, social, and intellectual capital.

Human capital Social capital Intellectual capital

Definition Knowledge, skills, capabilities, and The network and working relationships of people The value of assets such as reputation, employee
experiences of people. both within and outside an organization. Social loyalty, customer relationships, company values, brand
It is a key source of quality innovations. capital creates opportunities for quality innovation image, and experience and skills of employees. It is an
approximation of the knowledge assets of employees.
The focus of QM models mainly discuss human resources Lack of an explicit focus Lack of an explicit focus
the management but lack an explicit focus on
current developing and leveraging human capital.
QM
models
8 M. Asif / Journal of Cleaner Production 258 (2020) 120820

i.e., a virtual representation of processes and assets (Kagermann modern organization. However, managing highly synchronized and
et al., 2013). Further, they are capable of making intelligent ad- networked firms goes beyond supplier management. Further,
justments based on real-time data and maintain digital records, supplier management practices presented in QM models fail to
making ‘establishing evidence’ features of traditional models address the management of shared processes in the ecosystem,
irrelevant (Buer et al., 2018). AI-based systems give rise to lean managing firms’ interactions, and dynamics of co-value creation.
structures which bring operational efficiencies and make decision- Future QM models need to pay particular attention to shared value
making quicker (Hajmohammad et al., 2013). Consider the example creation.
of an AI-based parcel delivery system. Delivering a dozen parcels
appears to be straightforward, but the number of possible routes 6. Discussion
adds up to several trillion (The Economist, 2018a). An AI-based
algorithm counting upon the best route, traffic congestion, QM has a long history and has been applied worldwide to
sequence of delivery, driver working hours, and several other fac- improve quality performance. Industry 4.0 represents the latest
tors, would develop the optimal delivery schedule and route saving developments that bring fundamental changes in organizational
miles, fuel, and drivers’ time. In sum, AI-based systems result in processes, roles of employees, and the overall workplace. QM
operations that are lean, efficient, and more responsive (Tortorella models and Industry 4.0 share a common objective, that is,
and Fettermann, 2018). The development, maintenance, and man- improving organizational performance (Gunasekaran et al., 2018).
agement of lean structures emanating from Industry 4.0 is beyond However, this paper shows that QM models are not aligned with
the scope of quality models. Hence, firms may feel that quality Industry 4.0 and need to be updated. Some of the key aspects of lack
models are outdated and irrelevant to their processes. of alignment are as follows.
First, Industry 4.0 developments have taken place on the tech-
5.5. Managing networked firms in business ecosystems nical side of the organization. Automation, intelligent systems, and
AI dwindle the human role in the workplace. Further, these de-
QM models assume the organization as a distinct and stable velopments are exploitation-oriented, which means they promote
entity whose scope, processes, and boundary are well defined. The efficiencies and streamline processes (Sanders et al., 2016). An
scope of the organization is the key information in QM certification imbalanced emphasis of Industry 4.0 on the technical side only,
as it informs how far the QM system extends within a company’s reduces employee cognitive engagement and perceived meaning-
operations and what is excluded. Further, QM models assume a fulness of job, which can entail boredom, errors, and burnout. This,
relatively static environment and a stable set of partners and sup- in turn, reduces the quality of work and adversely affects job
pliers. However, modern organizations, owing to the development satisfaction. Bringing mindfulness to modern jobs to make people
of virtual platforms, network to form a business ecosystem where more cognitively involved and increase their perceived value of job
each organization is intricately networked and dependent on needs to be addressed in future quality models (Shapiro, 2009).
others (Miles et al., 2005). These firms use the highly synchronized Second, Industry 4.0 comprises the latest developments in en-
information system to coordinate value chain to produce product/ gineering, IT, nanotechnology, cloud computing, and AI (Buer et al.,
service collectively (Kulmala et al., 2005). For example, Li & Fung, a 2018). These developments make some types of skills obsolete and
Hong Kong based supply chain company (annual revenue $18.83bn others more relevant. Managing the required repertoire of skills,
in 2015), handles product development, raw material procurement, knowledge, and capabilities is essential to harvesting Industry 4.0
production planning, quality assurance, and shipping virtually. The benefits (World Economic Forum, 2018). These knowledge bases
company does not own any fabric factories or machines; instead, it exist not only in explicit and tacit resources but also in social net-
outsources all of its work to a network of more than 15000 sup- works (i.e., social capital). Traditional QM models focus on the
pliers in 40 countries all over the world. Renowned brands like development of human resources which is a small subset of intel-
Reebok, Guess, Levi-Strauss, Ann Taylor, and major retailers lectual capital and an insufficient requirement for managing
worldwide use this platform for their routine operations. Buyers knowledge-intensive Industry 4.0. The need, therefore, arises to
place orders using the extranet platform of the company which manage the human, social, and intellectual capital of firms on a
then shares orders related information to suppliers and tracks the systematic basis. QM models need to be updated for this pivotal
entire production process (Laudon and Laudon, 2012). feature underpinning Industry 4.0.
Online firms such as Amazon, eBay, and Alibaba, all provide a Third, building on big data, AI, and advanced analytical ap-
virtual platform used by buyers and sellers. Credit card companies proaches, the modern concept of quality is about creating unique
and logistics providers also use the same platform to provide ser- customer experiences (cf. meeting a specified set of customer re-
vices seamlessly. All these firms work collectively to create value quirements) (Erevelles et al., 2016). Virtual reality facilitates prod-
without being constrained by physical boundaries and location. uct customization that appeals to the customer. Defining and
Their operations are handled collectively and are customer driven, managing quality for fluid and impermanent customer re-
less linear, and focus on creating better value and efficient response quirements need better consideration in QM models. Building on
to market demand. All these aspects go beyond the scope of QM the analysis of big data, a challenge for managers is to make ac-
models. Further, many organizations are increasingly adopting the curate predictions about what actually matters to the customer
model of co-creating value. The concept of ‘complementors’ further (Akter and Wamba, 2016). Making right predictions based on big
explains this model (Brandenburger and Nalebuff, 1995). Com- data is the new face of customer service quality and needs to
plementors are those firms that operate in different businesses but addressed in future QM models (Erevelles et al., 2016).
work collectively to create value for their customers. For example, Fourth, Industry 4.0 entails lean structures (Sanders et al., 2016).
hardware, no matter, how advanced, is useless without the soft- Traditional QM models, in order to create a systematic approach to
ware. Video game consoles are useless without video games (Dess the management of quality, develop structures which usually take
et al., 2016). The dynamics and intricacies of these business models, the form of policy documents, procedures, instructions, records,
especially collective value creation, go beyond the scope of tradi- and traceability mechanisms all of which make management sys-
tional quality models. tems bulky (Asif et al., 2010). Industry 4.0 renders these structures
Although one can argue that QM models require ‘managing and processes redundant as it uses real-time data and AI to deter-
suppliers’ which can cover the supplier network complexities of a mine the most efficient way to task execution (Buer et al., 2018).
M. Asif / Journal of Cleaner Production 258 (2020) 120820 9

Therefore, QM models need to be updated to align with these de- 8. Limitations and future research directions
velopments (Tortorella and Fettermann, 2018).
Finally, Industry 4.0 develops new business models, such as This paper analyzed the quality models from the perspective of
‘complementors’ and ‘business ecosystems’ where multiple firms five dimensions. These dimensions are only illustrative, not
co-create value (Dess et al., 2016). These firms work in an integrated exhaustive. A critical review of quality models from other aspects,
and seamless manner to create value for the customer such as their suitability in healthcare and aviation, can yield in-
(Brandenburger and Nalebuff, 1995). The management of opera- sights missing in this study. Second, this paper only highlights the
tions of networked firms is different from the supplier manage- lack of alignment. It does not furnish guidance on the features of
ment required in traditional QM models. Future QM models need to future models. The questions like, ‘what will be the underlying
address this transition. structure and core values of future quality models? and ‘should the
It should be noted that although traditional quality models do new model be prescriptive or descriptive?’ are not addressed in this
not hamper the adoption of Industry 4.0, but they don’t address it paper. These questions present an opportunity for future research.
either. Quality models are mute on these aspects, and the reason for The development of a QM model addressing Industry 4.0 may be
this indifference is also apparent: the quality models have gradually easy to say, but hard to do. Nonetheless, identifying and recog-
evolved through incremental improvements over several decades; nizing such limitations is the starting point for subsequent
Industry 4.0, on the other hand, represents the latest developments improvements.
surfaced after 2011. Since Industry 4.0 is emerging as the founda- Second, this study only reviewed quality models for
tion block of modern businesses, ignoring these developments and organization-wide QM. There is a significant body of literature and
leaving them to managers’ discretion can be counter-productive. quality models discussing quality from the technical perspectives.
The above discussion raises a question: will Industry 4.0 abolish For instance, the Shingo Prize for operational excellence, technical
the need for QM models? Indeed, similar questions have been standards for food quality (i.e., HACCP), pharmaceuticals (GMP),
raised in the context of a lean production system (Sanders et al., laboratories (GLP), among many others. Future studies may include
2016; Tortorella and Fettermann, 2018). Our findings highlight a review of technical models as well to glean richer insights.
that Industry 4.0 has mainly affected the technical side of the or- Third, this research applied ceratin filters during the selection of
ganization. The social side needs to be developed and aligned to the papers. As a result, several articles perceived to be irrelevant were
technical side to reap maximum benefits from Industry 4.0 de- excluded. For instance, papers studying the evolution of quality
velopments (Carayon et al., 2015). The developments related to the models, critical success factors, and the classification of quality
social side include, but are not limited to, mindfulness, intellectual practices were excluded. There is a probability of type-II error (i.e.,
capital management, psychological ownership and perceived sig- false negative) in this approach, that is, erroneously excluding
nificance of the job (Read et al., 2015). Further, developing human relevant papers. Excluded articles might generate insights currently
and intellectual capital can produce a synergistic effect in har- missing in this study. For instance, studies on critical success factor
nessing value from the technical side. Addressing the social side may reveal factors that entail success amidst Industry 4.0
and making it aligned with the technical side is the area where challenges.
quality models can be of particular help. Future research can be carried out along several dimensions.
QM is an evergreen theme in contemporary management Research should empirically investigate incompatibilities between
(Gunasekaran et al., 2018). Previous studies have argued that QM quality systems and Industry 4.0 and how managers can overcome
models remain applicable to changing business scenarios (Van Der these incompatibilities? Further, how future quality models could
Wiele, 1998; Van Der Wiele and Brown, 2002), and that “quality be built considering these five dimensions. Initial research could
management is here to stay” (Sousa and Voss, 2002, p. 91). Our take the form of longitudinal studies. For example, using data from
findings warn that QM models will stay only if updated and aligned firms equipped with AI-based processes, case studies should
with Industry 4.0. In short, the adage “survival of the fittest” also investigate how QM practices interact with Industry 4.0. Firms with
applies to QM models. sophisticated technological processes having implemented quality
systems, such as Amazon, Apple, Otto, ING Bank, and Li & Fung, may
provide an ideal sample for such research. Cross-sectional research
could investigate the impact of Industry 4.0 on ’quality’ perfor-
7. Conclusions mance of firms.

QM models build upon the paradigm of economic efficiencies, References


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