The adoption of I4.0 technologies for a sustainable and circular supply chain: an industry‐based SEM analysis from the textile sector

Abstract

AbstractCurrently, researchers have been particularly interested in Industry 4.0 (I4.0) as a combination of novel revolutionary digital technologies. This evolution is transforming how organizations operate to promote sustainable and circular practices. Consequently, this research empirically investigates the capabilities of I4.0 adoption to establish a sustainable and circular supply chain. The study investigates the impact of organizational factors on the deployment of I4.0 technologies to achieve sustainability objectives. Furthermore, this approach combines empirical and qualitative analyses within a methodological framework to investigate the relationship between organizational factors, I4.0 adoption, sustainable, and circular practices. In this context, survey responses have been collected from 323 supply chain professionals in the textile sector in Morocco. Consequently, employing structural equation modeling, our results reveal a strong link between I4.0 adoption and the promotion of circular and sustainable approaches. The study finds a positive association between I4.0 adoption, technological readiness, and environmental responsiveness while highlighting the challenges posed by organizational practices on I4.0 implementation in developing countries. This research contributes to the theoretical foundations of the potential influence of I4.0 technologies, and it provides practical contributions for stakeholders to effectively embrace I4.0 technologies and thereby drive more sustainable and efficient practices.