The impact of industry 4.0 towards organizational performance in manufacturing industry

Wong, Yee Mun (2019) The impact of industry 4.0 towards organizational performance in manufacturing industry. Project Report. Universiti Teknikal Malaysia Melaka, Melaka, Malaysia. (Submitted)

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Abstract

Digitalization of manufacturing process is the need for today’s industry. The manufacturing industry are currently changing from mass production to customized production. The advancement in manufacturing technologies in the industries help in increasing productivity and organizational performance of the industry. This research aims to identify the impact of Industry 4.0 towards organizational performance in manufacturing industry. This research used explanatory research as research design to meet the research objectives. The sampling method is cluster sampling where the questionnaire distributed to manufacturing firm in Melaka. Primary data was collected from the manufacturing industry in Melaka by distributing questionnaire through online to 308 respondents. Statistical Product and Service Solution (SPSS) Version 25.0 was used to analyse the data collected. Multiple regression analysis is being used to test the relationship between independent variables and dependent variable. The results from multiple regression and correlation analysis reveals the organizational performance can be influenced by the six independent variables. Lastly, operational perception made a small but definite positive relationship towards organizational performance. There was a moderate positive relationship between emerging of business model towards organizational performance. Integration of value chain has a strong positive relationship towards the organizational performance. Hence, through this study, researcher can conclude operational, integration of value chain and emerging of business model have significant relationship towards enhancing organizational performance of manufacturing industry.

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