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Procedia Computer Science 232 (2024) 2117–2126

5th International Conference on Industry 4.0 and Smart Manufacturing

5th International Conference on Industry 4.0 and Smart Manufacturing
The
The Impact of Industry
Impact of Industry 4.0
4.0 on
on Business
Business Performance:
Performance: A
A Multiple
Multiple
Case Study in the Automotive Sector
Case Study in the Automotive Sector
Antonio Piepolia, Francesco Arcidiaconob,c , Luigi Jesus Basileaa, Roberta Pellegrinoaa,
Antonio Piepolia, Francesco Arcidiaconobb,c, Luigi Jesus Basile
Florian Schupp , Tobias Zuehlkeb , Roberta Pellegrino ,
Florian Schuppb, Tobias Zuehlkeb
a
Department of Mechanics, Mathematics and Management, Politecnico di Bari, Via Orabona 4, 70125 Bari, Italy
a
Department of Mechanics,
b Mathematics
Schaeffler and Management,
Automotive Politecnico
Bühl, Bußmatten di Bühl,
1, 77815 Bari, Via Orabona 4, 70125 Bari, Italy
Germany
b
Schaeffler
c Automotive Bühl, Bußmatten 1, 77815 Bühl, Germany
DICAR, University of Catania, Catania, 95124 Italy
c
DICAR, University of Catania, Catania, 95124 Italy

Abstract
Abstract
Industry 4.0 (I4.0) is a transformative industrial paradigm that encompasses a set of technologies and principles that are increasingly
Industry
essential 4.0
for(I4.0) is a transformative
companies operating in industrial paradigm
the automotive that encompasses
sector. By embracinga set theofprinciples
technologiesand and principles that
implementing the are increasingly
associated I4.0
essential for companies
technologies, automotiveoperating
companiesinhave the automotive
the potentialsector. By embracing
to improve thebusiness
their overall principles and implementing
performance, the associated
foster greater I4.0
collaboration
technologies,
within the supplyautomotive companies
chain (SC) have the
ecosystem andpotential
thereby to improve their
strengthen their overall business
competitive edge.performance, foster greater
These technologies drivecollaboration
innovation,
within
enablingthe
thesupply chain (SC)
development ecosystem
of sustainable and thereby
solutions and thestrengthen
alignmenttheir competitive
of products edge. These technologies
with ever-evolving drive innovation,
customer demands. Therefore,
enabling
this studythe development
explores of sustainable
the complex interplaysolutions
betweenand I4.0the alignment of
technologies products
and businesswith ever-evolving
performance customerinsights
by providing demands. Therefore,
from a multi-
this
casestudy
studyexplores the complex
in the automotive interplay
sector. As thebetween I4.0 nature
exploratory technologies
of this and business
research performance
is driven by providing
by the exploration insights from
of pathways, a multi-
topics such
case
as thestudy in the automotive
implementation of I4.0sector. As the exploratory
technologies, their impact nature of this research
on business is driven
performance andbycurrent
the exploration
importantofindustry
pathways, topics
issues suchsuch
as
as the implementation
reshoring and the circular of I4.0 technologies,
economy (CE) were their
alsoimpact on business
discussed. performance
A research protocol wasand developed
current important industry issues
and semi-structured such as
interviews
reshoring and the with
were conducted circular economy
senior (CE) from
managers were also discussed.
six leading A research
European protocol suppliers.
automotive was developed The and semi-structured
results interviews
show how significant
were conducted with senior managers from six leading European automotive suppliers.
improvements in business performance can be achieved by implementing advanced I4.0 technologies aimed at automating The results show how significant
improvements in business
processes and making performance
production lines more canflexible.
be achieved
This led bytoimplementing
improvements advanced I4.0 and
in productivity technologies aimed while
product quality, at automating
reducing
processes
productionand making
costs production
through lines more
the strategic useflexible. This led
of available to improvements
data. Furthermore, in productivity
European and product
automotive quality,are
suppliers while reducing
engaging in
production
collaborativecosts through
initiatives theother
with strategic use of
SC actors available
to stay abreastdata. Furthermore,
of emerging European
innovation automotive
trends, suppliersneeds
to meet customer are engaging
and to helpin
collaborative
share knowledge initiatives with other
and resources. SC actors
Overall, to stay abreast of
the implementation of I4.0
emerging innovation
technologies leadstrends, to and
directly meetindirectly
customertoneeds
more and to help
sustainable
share knowledge
production and resources.
and efficient resourceOverall, the implementation
management, of I4.0 are
as I4.0 technologies technologies
designed toleads directlyefficient
be energy and indirectly to more
and reduce sustainable
emissions.
production and efficient resource management, as I4.0 technologies are designed to be energy efficient and reduce emissions.
© 2023The
© 2024 The Authors.
Authors. Published
Published by ELSEVIER
by Elsevier B.V. B.V. This is an open access article under the CC BY-NC-ND license
© 2023 The Authors. Published by ELSEVIER
(https://creativecommons.org/licenses/by-nc-nd/4.0) B.V. This is an open access article under the CC BY-NC-ND license
This is an open access article under the CC BY-NC-ND license (https://creativecommons.org/licenses/by-nc-nd/4.0)
(https://creativecommons.org/licenses/by-nc-nd/4.0)
Peer-review under responsibility of the scientific committee of 5th
the International
5th International Conference on Industry
Peer-review under responsibility of the scientific committee of the Conference on Industry 4.0 and4.0 andManufacturing
Smart Smart
Peer-review
Manufacturing under responsibility of the scientific committee of the 5th International Conference on Industry 4.0 and Smart
Manufacturing
Keywords: Industry 4.0; technology adoption; quality; productivity; sustainability; energy; circular economy; reshoring; automotive industry;
Keywords: Industry 4.0; technology adoption; quality; productivity; sustainability; energy; circular economy; reshoring; automotive industry;
supply chain;
supply chain;

1877-0509 © 2023 The Authors. Published by ELSEVIER B.V. This is an open access article under the CC BY-NC-ND license
1877-0509 © 2023 The Authors. Published by ELSEVIER B.V. This is an open access article under the CC BY-NC-ND license
(https://creativecommons.org/licenses/by-nc-nd/4.0)
(https://creativecommons.org/licenses/by-nc-nd/4.0)
Peer-review under responsibility of the scientific committee of the 5th International Conference on Industry 4.0 and Smart Manufacturing
Peer-review under responsibility of the scientific committee of the 5th International Conference on Industry 4.0 and Smart Manufacturing

1877-0509 © 2024 The Authors. Published by Elsevier B.V.

This is an open access article under the CC BY-NC-ND license (https://creativecommons.org/licenses/by-nc-nd/4.0)
Peer-review under responsibility of the scientific committee of the 5th International Conference on Industry 4.0 and
Smart Manufacturing
10.1016/j.procs.2024.02.032
2118 Antonio Piepoli et al. / Procedia Computer Science 232 (2024) 2117–2126
2 Author name / Procedia Computer Science 00 (2023) 000–000

1. Introduction

The automotive industry has witnessed significant changes in recent decades, with a noticeable shift in leadership
from European to Asian companies [1]. Historically, with their emphasis on engineering excellence, luxury and
performance, European manufacturers have dominated the automotive market. Consequently, Europe has been
established as the global hub for automotive production, renowned for innovation and craftsmanship. In recent years,
however, Asian carmakers, particularly those from Japan, South Korea and China, have emerged as formidable
competitors in the industry [2], being able to reduce costs and offer competitively priced vehicles without
compromising on quality [3]. In response, European car manufacturers and other industry players have relocated some
of their production to these countries to capitalize on lower labor costs in comparison to their European counterparts.
This has facilitated the creation of entire supply chains (SCs) in these areas, further reducing carmakers' production
costs [4]. In recent years, however, the pandemic crisis has led to massive production disruptions throughout the SCs
[5]. As a result, reshoring is one of the emerging trends and refers to the relocation of production to the countries of
origin in order to create more consolidated and resilient SCs [6]. Indeed, reshoring policies aim to create more robust
SCs, support local growth, and improve logistics efficiency across SCs in order to overcome automotive sector's
vulnerability to price shocks due to the recent global conflicts and geopolitical instability [7][8]. In this highly volatile
environment, companies develop more resilient SCs and minimize SC disruptions by exchanging knowledge and
resources with strategic partners [8][9]. At the same time, car manufacturers are facing government and societal
pressures to reduce carbon emissions, reduce waste and adopt circular economy (CE) principles [10]. To develop CE
principles, the synergy between SC actors is crucial [11]. By working together, stakeholders can enable the continuous
flow of recyclable and reusable materials throughout the SC, promote innovation and technological progress, and
ensure transparency and traceability through standardized practices. However, issues related to data availability,
transparency and integration often pose obstacles to this transformation [12][13]. Several scholars therefore discussed
the importance of digital technologies to address these challenges [12][13][14]. Although literature recognizes the role
of digitally advanced technologies in transforming theoretical CE principles into feasible and practical activities
[14][15][16], there are scarce evidence about their path in automotive sector. To maintain a high level of
competitiveness, the automotive sector is experiencing the impact of the fourth industrial revolution, also known as
Industry 4.0 (I4.0) [17]. Collecting, analyzing and sharing key data to improve performance throughout the SC requires
the implementation of the most advanced I4.0 technologies [16]. The I4.0 revolution involves the use of modern
information and communication technology, the integration of industrial automation, data networks and modern
production techniques like smart manufacturing, human-machine interaction, 3D printing and remote control [18].
Advances in automation, artificial intelligence and data analytics have led to a revolution in production processes,
resulting in greater efficiency in the resources and operations of companies [19]. Indeed, I4.0 technologies enable the
digitalization and automation of production processes, which not only leads to an increase in productivity but also
enables companies to significantly improve product quality and material traceability along the production lines
[20][21]. Moreover, the adoption of I4.0 technology, such as big data analytics, IoT and cloud, allows firms to manage
large amounts of data strategically, streamlining processes and reacting quickly to demand volatility through the
sharing of key information with SC stakeholders [19][20][22]. I4.0 technologies, which are able to monitor the
production processes, are increasingly being used for the reduction of the environmental impact, the optimization of
the energy consumption and the adoption of the CE principles. [10][23]. In fact, automotive companies are increasingly
adopting I4.0 technologies to maintain and pursue their competitive edge in the market and to adapt themselves to the
continuous changes in their operations [19]. However, uncertainties remain regarding the costs and business
performance outcomes of implementing specific I4.0 technologies, especially to support new competitive strategies
such as those based on CE principles and reshoring. Consequently, there is a need for organizations to assess their
readiness to adopt I4.0, innovate business models, and develop new products and services [24][25][26][27]. For these
reasons, an explorative multiple case study was conducted, aiming to understand how automotive suppliers can achieve
increased economic and environmental benefits by adopting I4.0 technologies. A further aim of this research is to
explore the impact of adopting I4.0 technologies on business performance and how automotive suppliers can gain a
competitive advantage by aligning these technologies with CE and reshoring principles. Investigating the adoption of
I4.0 and its impact on business performance is valuable [23][28], as the alignment of SC partners regarding I4.0
advancement is still incomplete [29]. Given that the research aims to understand how automotive suppliers are
 Antonio Piepoli et al. / Procedia Computer Science 232 (2024) 2117–2126 2119
Author name / Procedia Computer Science 00 (2023) 000–000 3

approaching I4.0 today, a research protocol has been developed based on a previous literature review, with the aim of
obtaining information to fill the gaps identified in the literature and to answer the following research questions:
• RQ1: How do automotive suppliers leading I4.0 technologies’ implementation?
• RQ2: How do I4.0 technologies impact on automotive suppliers’ business performance?
The remainder of the paper is structured as follows: Section 2 provides a brief introduction to the research design and
methodology, Section 3 presents results emerged from the case studies, Section 4 discusses the implications, future
research and limitations for academia, managers, and policymakers, followed by Conclusions.

2. Methodology

A multiple case study approach was adopted for this research, which enhances external validity by comparing
results and analyzing through 'within-case' and 'cross-case' analyses, thus utilizing a replication logic [30]. Case studies
are also ideal for gaining access to a phenomenon that was previously inaccessible. Each case study consists of a
'whole' study in which facts are gathered from different sources and conclusions are drawn from these facts. Reliability
was addressed through a series of procedures during the case design phase, data collection and analysis. Firstly, during
the data design phase, a detailed case protocol was created to enable systematic and replicable data collection.
Secondly, each interview was conducted face-to-face, audio-recorded (unless the interviewee objected) and finally
transcribed. Transcripts have been the basis of the qualitative analysis with a high degree of reliability and traceability
of the data [31].

2.1. Selection of cases

The choice of suppliers as the unit of analysis in this research is justified by their central role in a company's core
competitiveness. Suppliers are a critical resource for SCs, since they have a direct impact on the competitiveness of
the whole SC, including factors such as cost, quality, technology and product introduction [20]. Understanding KPIs
that influence supplier performance is critical for companies seeking long-term competitive advantage [32]. In
addition, the automotive industry was selected as the research setting because it invests heavily in I4.0 technologies
compared to other manufacturing sectors [28]. Given the importance of Europe in automotive manufacturing and
markets [1], the study focused on European companies. Six medium-sized and large companies agreed to take part in
the study, which increased the generalizability of the results. The study did not include suppliers that had not
implemented any I4.0 technology. The case companies (Tab. 1) are European suppliers of metal and plastic
components to the automotive industry, located in Germany, Italy, Slovenia and Spain. The interviews were conducted
with senior managers who oversaw these projects from the planning phase to the evaluation of the results. As this
study explores the implementation of I4.0 technologies in automotive supplier companies through engagement with
their managers, it is anticipated that the participants possess a comprehensive understanding of the topic.
2120 Antonio Piepoli et al. / Procedia Computer Science 232 (2024) 2117–2126
4 Author name / Procedia Computer Science 00 (2023) 000–000

Table 1. Sample overview

COMPANY BRANCH OF ACTIVITY COUNTRY SIZE INFORMANTS’ JOB TITLE

Company1 Manufacture of basic metals Italy Large R&D Director

Company2 Manufacture of plastic products Germany Large Head of Operation Technologies

Company3 Powder metallurgy Italy Large Chief Digital Office

CEO,
Company4 Manufacture of plastic products Italy Medium Engineering & R&D Director,
Management controller
Manufacture of fabricated plastic
Company5 Slovenia Medium R&D Director
and metal products

Company6 Casting of metals Spain Medium Innovation & Digitalization Director

2.2. Field data collection and interviews

The interviews were conducted in accordance with a research protocol designed after a thorough review of the
literature in order to obtain detailed information from the case companies. Interviews are used as a source of
information in our research because they are one of the most important sources of information for case studies.
Structured interviews were used because they are particularly useful in neighborhood studies requiring formal
interviews. In this study, the same research protocol questions were used for all samples. Interviews were conducted
according to the interviewee's schedule and availability [33]. To ensure the rigor of the research, attention was paid to
the thoroughness of the interview protocol and the avoidance of leading questions. Because of the cross-cutting nature
of the research topics, the research protocol was shared with the respondents beforehand to familiarize them with the
topics to cover during the survey. Data collection for this study involved conducting approximately one-hour remote
interviews between January and March 2023. All interviews were audio-recorded for accuracy and subsequently
transcribed [29]. This process allowed for the creation of a comprehensive report, which was shared with the company
informants to ensure the reliability of the collected data [31][33].

2.3. Within-case and cross-case analysis

This section discusses the qualitative research methodology used during the transcript analysis [34][36]. This
approach is flexible and suitable for different types of data, including interviews. The research team familiarized
themselves with the case reports and several meetings were held to discuss and compare the cases. Within-case
analysis and cross-case analysis are two methods commonly used in qualitative research, particularly case study
research. Within-case analysis is a stage of data analysis in which each individual case is explored and analyzed in
order to gain an in-depth understanding of the specific case under study. In the within-case analysis, the interviews
were transcribed identifying label first-order indicators. The analysis process evolved from first-order indicators
rooted in informants' terms to second-order themes of theoretical relevance during the subsequent cross-case analysis,
in which several cases or units of study are compared and related to each other in order to identify similarities,
differences and trends among the cases analyzed. This helped to interpret the differences between the cases and to
establish a link between the I4.0 technologies implemented and their impact on business performance. With the aim
of generalizing findings from individual cases and drawing broader conclusions that can be applied to other similar
situations, a data structure was constructed to visualize the progression from raw data to terms, themes and concepts
[37].
 Antonio Piepoli et al. / Procedia Computer Science 232 (2024) 2117–2126 2121
Author name / Procedia Computer Science 00 (2023) 000–000 5

3. Results

This section describes the different I4.0 projects in the sample and their impact on company performance. In line
with this classification of complexity of each I4.0 technology [35], the sample was listed in descending order of the
complexity of the I4.0 technologies implemented by each company, from the highest (Company1) to the lowest
(Company6). In addition, targeted questions were asked in this sense to understand the main motivations that drove
these companies to undertake such projects, as this study also explores whether and how these implementations have
supported the development of reshoring and CE policies.

3.1. Adoption of I4.0 technologies

First, respondents were asked why they undertook projects to implement I4.0 technologies. Table 2 provides a
summary of the results, showing that most companies implemented I4.0 technologies mainly to improve productivity,
thus reducing activities that do not add value, and improving product quality performance, thus increasing customer
satisfaction. Only Company2 stated that it implemented these technologies to build a robust production system with
in-country partners, guaranteeing them the highest quality standards. Company2 also undertook a joint I4.0 project
with other SC members related to the CE concerning the implementation of sensors to track recyclable components
throughout the SC; stressing that it will be an issue to be addressed in the coming years. The rest of the sample
indicated that they have not implemented I4.0 technologies involving CE or reshoring topics.

Table 2. Overview of projects implemented by the sample.

Company
(starting year of Project Code Project Description Motivation
investments)
Improve logistic efficiency
Implementation of autonomous vehicles for the
Project1 Improve traceability of materials within warehouses
Company1 internal transport of materials
Reduce the number of accidents
(2016)
Implementation of a mathematical model making
Project2 Automation of production processes
production lines flexible by incoming materials.

Flexibilization of the production lines to get short- Secure the production location in their country
Project1
quality tolerance Maintain quality leadership
Company2 Implementation of sensors to identify and track
Project2 Track recyclable components
(2019) recyclable components along SC.
An alert system capable of parametrizing energy
Project3 Achieve energy efficiency
consumption with the real-time needs of the plant.

Connection of equipment into a single dynamic

Project1 Centralize and exploit available data
Company3 control system
(<2010) Implementation of artificial intelligence in business Develop reliable customized reports for managers
Project2
system and clients

Company4 Implementation of a system for the parametric Solve time delays

Project1
(2017) casting quotation of the production Reduce production costs

Optimize quality performance

Company5 Implementation of production line monitoring
Project1 Achieve energy efficiency
(2018) systems
Eliminate non-value-added tasks
Company6 Implementation of production line monitoring
Project1 Collect data to optimize performance
(2018) systems
2122 Antonio Piepoli et al. / Procedia Computer Science 232 (2024) 2117–2126
6 Author name / Procedia Computer Science 00 (2023) 000–000

3.2. I4.0 projects implemented by the sample

Table 3 summarises the projects implemented by our sample, describing the basic I4.0 technologies implemented
and the front-end applications according to pre-established classification [35]. In addition, the level of complexity of
the technologies implemented was defined for each company by classifying the sample from stage 1 (low advanced
I4.0 technologies) to stage 3 (advanced I4.0 technologies).

Table 3. Classification of I4.0 technologies implemented.

Company Smart Smart Smart Smart Supply Stage of

I4.0 technologies
Manufacturing Products Working Chain Implementation
Cloud Digital platform
Flexible Autonomous Remote
Company1 IoT with other business Stage III
production lines Smart Products operations
Big Data Analytics units and suppliers

Cloud Digital platform and

Flexible Autonomous Remote
Company2 IoT other business units Stage III
production lines Smart Products operations
Big Data Analytics with SC members

Cloud Automation of
production lines Digital platform
Passive Smart Remote
Company3 IoT with other business Stage II
Data Products monitoring
Big Data Analytics units and customers
virtualization
Cloud Digital platform
Automation of Active Smart Remote
Company4 IoT with other business Stage II
production lines Products operations
Big Data Analytics units and suppliers

Vertical
integration Digital platform
Cloud Remote
Company5 Energy / with other business Stage I
IoT monitoring
management units
Traceability
Vertical
Cloud Remote
Company6 integration / / Stage I
IoT monitoring
Traceability

3.3. Impact of I4.0 technologies on business performance

A final section of the protocol focused on individualising the impact of these I4.0 technologies on companies'
business performance. The impact of individual projects on business performance is detailed below.
• Company1Project1: This project improved internal traceability, optimised external and internal material flow and
increased workplace safety. The automated shuttles proved to be more efficient than human workers, resulting in
improved logistics activities and a reduction in accidents in the workplace.
• Company1Project2: The results exceeded expectations, as the solutions implemented significantly increased the
productivity and flexibility of the production line. By adapting process parameters to the characteristics of each
coil, production efficiency and quality performance improved, leading to the elimination of non-conforming
mechanical parts and a return on investment over expectation. The availability of data allowed processing to be
carried out at lower temperatures without compromising product quality. In addition, the project contributed to a
reduction in emissions and improved internal traceability of materials along the entire production lines. Operators
expressed satisfaction with the changes made to the production lines, which improved the working environment.
Given the high return on investment and the benefits achieved, top management extended the project to all the
company's plants and began sharing the implementation results, risks and opportunities with customers and
suppliers in order to commercialise the technology in the marketplace.
 Antonio Piepoli et al. / Procedia Computer Science 232 (2024) 2117–2126 2123
Author name / Procedia Computer Science 00 (2023) 000–000 7

• Company2Project1: Using I4.0 technologies such as Cloud and IoT, the company has achieved high-quality
production and the ability to adapt production lines to different raw materials, while maintaining the strict quality
standards required by customers. This project has enabled the company to maintain its position as a quality leader
in the market. The wealth of data available allows the company to track material process parameters throughout
the production process and predict monthly production times and energy consumption. It has also been possible
to set up an energy-saving alarm system to enable the machines to minimise consumption during production
stoppages. In addition, the autonomous parameterisation of processes has resulted in environmental benefits such
as reduced CO2 emissions.
• Company2Project2: Thanks to this implementation, recyclable materials can be tracked throughout the
production line and, through collaborative projects with other SC stakeholders, these components can be tracked
throughout the SC.
• Company3Project1: Virtual commissioning reduced downtime during equipment configuration. This project led
to production optimisation, as data analysis reduced production time and improved material traceability. In
addition, the availability of a large amount of data allowed the company to perform analyses to calibrate process
parameters to improve quality performance and reduce energy consumption and environmental impact.
• Company3Project2: This project has improved the decision-making process for operators through predictive
alerts that reduce response times. This has led to a reduction in non-conforming parts, improved quality
performance, reduced line stoppages and increased efficiency in remote operations. In addition, this
implementation has increased operator knowledge of the correct use of equipment.
• Company3Project3: Helping managers make decisions with clear dashboards increases predictive analysis and
reduces intervention times. In addition, the development of customised reports for customers has increased
customer and supplier confidence by sharing reliable data.
• Company4Project1: As a result of these initiatives, Company4 was able to meet delivery times and compliance
parameters, the primary objective of the project. In addition, the automation of quality activities led to an increase
in productivity. Energy and environmental performance were also improved through the choice of I4.0 technology
equipment, which inherently consumes less energy and produces less CO2. In addition, the search for
environmentally friendly raw materials and design has helped to create high-quality, environmentally friendly
products with lower CO2 emissions. Greenhouse gas emissions have also been reduced thanks to a calculation
system that prioritises environmentally friendly production.
• Company5Project1: As a result of this project, the company has improved its ability to respond to customer needs
and increased customer satisfaction. These implementations have enabled the company to gather useful data to
perform strategic predictive analysis to improve productivity. In addition, energy efficiency in terms of cost and
consumption was achieved by planning energy use and identifying the needs of critical machines, processes and
stages. A further objective was to redeploy human resources to strategic activities by automating lower value-
added activities.
• Company6Project1: As the projects are still ongoing, the exact benefits have not yet been defined.

4. Implications

In this section, we explore the multi-faceted findings of our research, which provide a valuable benchmark for
automotive managers to understand the opportunities to improve business performance through the implementation
of I4.0 technologies. The implementation challenges faced by the sample and the strategies used to harness the
transformative power of I4.0 are discussed below:
• Today, larger suppliers have typically implemented highly advanced technologies. Many of their projects involve
linking machines on the shop floor, deploying autonomous robots and implementing artificial intelligence across
different business units. These technologies have been used to create more flexible lines, support decision-making
processes and steer the company towards efficient business performance. In addition, the ability to independently
set line parameters has facilitated multi-vendor sourcing, broadened the supplier base and reduced raw material
procurement costs.
2124 Antonio Piepoli et al. / Procedia Computer Science 232 (2024) 2117–2126
8 Author name / Procedia Computer Science 00 (2023) 000–000

• The projects of medium sized suppliers mainly concerned the implementation of I4.0 technologies applied to the
collection and monitoring of data from the line, to make production lines more efficient through the analysis and
management of the available data.
• All the sample confirmed that all the first projects are based on the implementation of Cloud and Iot technologies,
which are considered essential to advance the roadmap objectives, highlight the importance of tailoring the
application of these technologies to specific operational areas and processes to ensure successful implementations.
• I4.0 technologies have been used to improve productivity with the primary aim of developing smart
manufacturing by making production lines more efficient through improved material and data traceability, process
automation and machine connectivity. Productivity gains have increased output through data analytics, while at
the same time reducing the cost of production by enabling predictive activities and accurate demand forecasting.
In addition, the ability to independently set production line parameters has enabled multi-vendor sourcing, which
has led to an explosion in the number of suppliers and has also reduced raw material procurement costs.
• The implementation of I4.0 technologies and the subsequent strategic analysis of the data collected from the
production line improved the quality performance of all sample members by significantly reducing the number
of defects, reducing the production of non-conforming items and thus increasing the productivity of conforming
items. In addition, the automation of quality control activities has accelerated production while maintaining the
quality standards required by the customer. As a result, the company has been able to maintain high quality
standards and reduce production time, resulting in increased customer satisfaction.
• Real-time data analysis using I4.0 technologies minimizes energy consumption by adapting to the energy needs
of the entire plant while maintaining standard quality and production rates. In addition, an energy-saving alarm
system has been implemented to enable machines to minimize real-time consumption during production
stoppages. By using data to track process gas emission rates, waste and recyclable materials, I4.0 technologies
help companies reduce their environmental footprint.
• Implementation challenges identified by the sample that did not lead companies to include the lack of
implementation guidelines and skilled labor due to the specialized knowledge required to use the technology
correctly, the high cost of implementation, the volatility of raw materials costs and the need to respond to
constantly evolving customer requirements and trend innovations. Only one project related to the implementation
of a SC sharing platform for tracking recyclable components is relevant to CE solutions, and no companies
reported implementing Industry 4.0 (I4.0) technologies for reshoring solutions.
• Despite the high level of investment required, the implementation of I4.0 technologies can significantly enhance
productivity through cost savings, and greener and more efficient processes. These implementations have
increased digital skills across the organization, as each project addresses different business units. Automation of
processes reduces human intervention and workplace accidents, since tasks supported by I4.0 technologies
provide real-time machine status and predictive maintenance alerts. For these reasons human resources have been
redeployed to different business units with higher value-added tasks.
• In addition, companies are engaging in collaborative initiatives with other SC actors to stay abreast of emerging
innovation trends, meet customer needs and foster the sharing of knowledge and resources. These initiatives focus
primarily on monitoring material traceability by implementing smart warehouses and common platforms to
improve efficiency, data transparency and trust throughout the SC.

5. Conclusion

This study provides industry managers with valuable insights into the business performance improvement
opportunities offered by I4.0 technologies, showing how these implementations are helping to mitigate the global
challenges faced by European automotive suppliers. The results showed that more significant improvements in
business performance were achieved by automotive suppliers using advanced I4.0 technologies. Productivity
improvements and the development of smart manufacturing were the main goal for the implementation of I4.0
technologies. The findings also highlighted the importance of staff training, as the appropriate use of such technologies
can help users reap the full benefits of I4.0 implementations. The implementation of these technologies has improved
quality performance by minimizing the number of non-conforming parts and production times, thereby increasing
customer satisfaction. In addition, the strategic analysis of available data has helped to minimize energy consumption,
 Antonio Piepoli et al. / Procedia Computer Science 232 (2024) 2117–2126 2125
Author name / Procedia Computer Science 00 (2023) 000–000 9

run processes at lower temperatures and maintain production rates in line with the actual needs of the plant, without
compromising product quality. However, even non-advanced I4.0 technologies can achieve similar results by
adjusting process parameters based on data analysis to track process gas emission rates, waste, recyclable materials
and energy consumption. The strategic use of data accelerates the decision-making process and resource management
within the SC, where collaboration with other stakeholders can increase trust and competitiveness. Overall, the results
of this study showed how these technologies offer a competitive advantage, increasing customer satisfaction,
competitiveness and leading to a positive return on investment. By using I4.0 technologies effectively, companies can
achieve significant improvements in various aspects of their operations and gain competitive advantages in the
marketplace, proving to be a booster for profitability and sustainability. Future challenges include the development of
CE solutions, smart warehouses and platforms for sharing information with other SC actors. The study has several
limitations. Firstly, despite implementing similar technologies, the sample achieved different results due to different
applications of these technologies in different business units, suggesting context-dependent results. The research also
lacked a deeper quantitative assessment of business performance, which would have provided additional insight into
companies' experiences and perceptions. In addition, the research primarily examined the perspective of European
automotive suppliers. It did not explore in depth the perspectives of other SC actors, continents and industries. Finally,
the results may not be generalizable due to the limited sample size.

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