BARRIER MODEL DEVELOPMENT FOR INDUSTRY 4.0 TECHNOLOGIES ADOPTION IN SMALL-TO-MEDIUM FOOD AND BEVERAGE INDUSTRY IN JAVA ISLAND, INDONESIA

• Main Author: Nurrahman, Arif
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/84645
• Institution: Institut Teknologi Bandung

Taiwan, striving for global competitiveness, has promoted Industry 4.0, setting a benchmark for its adoption. The adoption of Industry 4.0 is anticipated to enhance company efficiency, productivity, and product customization. Indonesia has developed a strategic plan called Making Indonesia 4.0, in which the food and beverage industry is one of the top priority sectors based on its impact and feasibility. This industry is predominantly composed of small-to-medium industry that struggle to adopt Industry 4.0 technologies. Therefore, this study examines the interrelationships among barriers and identifies the critical obstacles to implementing Industry 4.0 in small-to-medium industry within Indonesia's food and beverage sector. To achieve this, an integrated methodology combining the Delphi Method, Interpretive Structural Modeling (ISM), and Matrix Impact with Cross Multiplication Applied to Classification (MICMAC) analysis is employed. The barriers to Industry 4.0 implementation are conceptualized using the Technology- Organization-Environment (TOE) framework. This study finds that the MICMAC analysis supports the model derived from the ISM results. Insufficient government support, the need for investment, inadequate Industry 4.0 training, and insufficient standardization efforts are critical barriers, located in the independent cluster according to the MICMAC analysis, and are positioned at high levels (level 6, level 5, level 4) in the ISM model.