The Fourth Industrial Revolution, also known as Industry 4.0, is transforming the business world as we know it. With the rapid advancement of technology, organizations must adapt and embrace new technologies to remain competitive. Quality management practices have also evolved over time. Total Quality Management (TQM) has been a popular approach that emphasizes the integration of people and social aspects alongside technical and production-related factors. However, with the advent of Industry 4.0, there is a need for quality practices to adapt and align with modern methodologies. Quality 4.0 is the new era of quality management practices that combines advanced technologies with traditional quality management practices to achieve efficiency, effectiveness, and creativity in business operations.
Quality 4.0 represents an evolution of quality practices that seeks to identify gaps among existing practices and digitally transform them to achieve greater performance. The concept of Quality 4.0 is a continuous process that requires significant commitments from all stakeholders, a considerable period, and financial assets. The implementation of Quality 4.0 practices requires different factors, including top management support, customer-centeredness, training and learning, process management, quality information and analysis, leadership, employee skills, cybernetics, and big data.
Social and technical quality practices are crucial for small and medium-sized enterprises (SMEs) to apply Industry 4.0 practices. Industry 4.0 technologies can help to promote circular economy integration, and there is a positive relationship between I4.0 technology and circular economy practices to achieve firm performance. Organizational resources combined uniquely can provide a sustainable competitive advantage, and capabilities are created when resources are integrated and utilized together. Social factors are important for achieving circular economy practices, and there is a positive relationship that exists between Quality 4.0 social factors and circular economy practices. Therefore, to acquire long-term competitive advantages, it is necessary to engage in both social and technical Quality 4.0 activities, as social practices support technical practices in manufacturing organizations.
The scientific paper proposes several hypotheses in relation to Quality 4.0 (Q4.0), Industry 4.0 technologies (IT4.0), and circular economy practices (CEP). The paper suggests that there is a positive relationship between Q4.0 social and technical factors and IT4.0, and that technical QM practices mediate the relationship between social QM practices and outcome variables. The paper also suggests that IT4.0 has a mediating role between Q4.0 social factors and CEP.
The study population consists of small, medium, and large manufacturing firms in Malaysia. The data was analyzed using the partial least square structural equation modeling method (PLS-SEM) technique. The results indicate that all the constructs achieve the minimum reliability and validity threshold. The paper emphasizes the importance of top-level management and leadership in a successful I4.0 implementation and highlights the significance of training and education in obtaining I4.0 implementations. The study constructs were found to have R2 values above 0.13, indicating a moderate to large effect size. Additionally, Q2 values were calculated using blindfolding techniques, and all constructs had Q2 values above 0, indicating good predictive relevance.
The study aims to investigate the role of Quality 4.0 factors in promoting Industry 4.0 technologies and circular economy practices. The study uses both PLS-SEM and ANN techniques to analyze the relationships between the variables. The results indicate that social factors of Quality 4.0 have a positive relationship with circular economy practices, and social factors also have a significant and positive relationship with technical factors. The study findings are consistent with past literature, which highlights the importance of social and organizational factors in promoting circular economy practices and achieving quality performance in the digital era.
The study also identifies Quality 4.0 readiness factors, such as top-level management support, customer-centeredness, training and learning, process management, quality information and analysis, leadership, employee skills, cybernetics, and big data, as important factors for promoting IT4.0 and CEP. Overall, this study contributes to the growing body of literature on the interplay between Quality 4.0, Industry 4.0, and circular economy practices in SMEs. The authors suggest that SME owners and managers should prioritize social Quality 4.0 practices when implementing Industry 4.0 technologies. The paper also discusses limitations of the study and suggests future research directions.
In conclusion, Quality 4.0 is the new era of quality management practices that combines advanced technologies with traditional quality management practices to achieve efficiency, effectiveness, and creativity in business operations. The study highlights the importance of social and technical Quality 4.0 activities to achieve long-term competitive advantages. The study also emphasizes the importance of top-level management and leadership in a successful I4.0 implementation, as well as the significance of training and education in obtaining I4.0 implementations. By prioritizing social Quality 4.0 practices, organizations can promote circular economy practices and achieve sustainable and efficient practices in the manufacturing industry.
Authors
Huang, Z., Shahzadi, A., & Khan, Y. D. (2022). Unfolding the Impact of Quality 4.0 Practices on Industry 4.0 and Circular Economy Practices: A Hybrid SEM-ANN Approach. Sustainability, 14(23), 15495. https://doi.org/10.3390/su142315495