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Conceptualizing the Promise of Industry 4.0 Technology Adoption: Case Study of Indonesian Automotive Industry

Published: 27 September 2019 Publication History

Abstract

Leading the car market in the Southeast Asia region, Indonesian automotive industry is considered as one of important pillars of manufacturing sector due to its significant contribution to national economic growth. Along with the presence of the next wave industrial revolution, Industry 4.0 creates an opportunity for the Indonesian government to not only stimulate further growth of the sector, but also increase energy efficiency simultaneously. However, the complexity of structural challenges that exists in the automotive industry has raised a question, what aspects or factors that could accelerate the technology adoption process? This paper aims to explore the policy structure that could influence the growth of Industry 4.0 technology adoption in improving energy efficiency in the Indonesian automotive industry. The exploration will be explored through a qualitative conceptual model, developed within system dynamics modeling approach, to provide an understanding of the causal relationship and dynamics between factors included in the fourth industrial ecosystem creation in Indonesia.

References

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Indonesian Ministry of Industry, Making Indonesia 4.0. Kemenperin NKRI, 2018.
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A. Rojko, "Industry 4.0 Concept: Background and Overview," Int. J. Interact. Mob. Technol., vol. 11, no. 5, pp. 77--90, 2017.
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M. Russmann et al., "Industry 4.0: The Future of Productivity and Growthin Manufacturing Industries," Bost. Consult. Gr., p. 2, 2015.
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McKinsey Global Institute, "The Archipelago Economy: Unleashing Indonesia's Potential," 2012.
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Indonesian Ministry of Industry, "Siap-siap Pelaku Industri, Kemenperin Bakal Luncurkan Indi 4.0," 2018. [Online]. Available: http://kemenperin.go.id/artikel/20054/Siap-siap-Pelaku-Industri,-Kemenperin-Bakal-Luncurkan-Indi-4.0-.
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Indonesian Agency of The Industrial Research and Development, "Indonesia Industry 4.0 Readiness Index (INDI 4.0)," Indonesia Industrial Summit 2019, Jakarta, 2019.
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K. Renaud and J. Van Biljon, "Predicting Technology Acceptance and Adoption by the Elderly: A Qualitative study," no. October, pp. 6--8, 2008.
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A. Torres, "Identifying Challenges and success factors towards Implementing Industry 4.0 technologies in the Shipbuilding Industry," p. 2014, 2014.
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  1. Conceptualizing the Promise of Industry 4.0 Technology Adoption: Case Study of Indonesian Automotive Industry

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    ICIBE '19: Proceedings of the 5th International Conference on Industrial and Business Engineering
    September 2019
    398 pages
    ISBN:9781450376532
    DOI:10.1145/3364335
    Permission to make digital or hard copies of all or part of this work for personal or classroom use is granted without fee provided that copies are not made or distributed for profit or commercial advantage and that copies bear this notice and the full citation on the first page. Copyrights for components of this work owned by others than ACM must be honored. Abstracting with credit is permitted. To copy otherwise, or republish, to post on servers or to redistribute to lists, requires prior specific permission and/or a fee. Request permissions from [email protected]

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    • The Hong Kong Polytechnic: The Hong Kong Polytechnic University

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    New York, NY, United States

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    Published: 27 September 2019

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    Author Tags

    1. Automotive Industry
    2. Industry 4.0
    3. Policy Analysis
    4. System Dynamics Modeling
    5. Technology Adoption

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