Industry 4.0 Adoption in the Manufacturing Process : Multiple case study of electronic manufacturers and machine manufacturers

Background: Changing market conditions and increasing competition drive companies to increase their collaboration along the supply chain. Technological innovations enable businesses to increase their integration tremendously. The fourth industrial revolution (Industry 4.0) enables the integration of information technology with industrial technology. The adoption of Industry 4.0 includes many complex technologies that come with challenges for many organizations. Previous research suggests that conventional manufacturing might have to be adjusted to Industry 4.0. Purpose: This thesis identifies and analyzes potential challenges of Industry 4.0 adoption for electronics manufacturers and machine manufacturers and analyzes how processes in manufacturing need to be adjusted to successfully implement Industry 4.0. The purpose of this thesis is to contribute to successful Industry 4.0 adoption in the manufacturing process and therefore to contribute to technological advancement. Method: This thesis conducts a multiple case study and gathers qualitative data by conducting semi-structured interviews. Findings & conclusion: Challenges identified for most companies are standardization, management support, skills and costs. Most companies face data and compatibility challenges. Some companies face the challenge of complexity, information security, scalability and network externalities. Companies with higher levels of maturity are less likely to face environmental challenges.Lean Management was identified as a prerequisite for Industry 4.0 adoption. The adoption of Industry 4.0 is likely to lead to a paperless factory. Furthermore, changes concerning the infrastructure are a main finding. Moreover, it was found that Industry 4.0 does not require major changes from conventional manufacturing processes