Smart factory performance and Industry 4.0

Existing literature on the Industry 4.0 concept does not empirically verify if, how, and for which types of firms, a greater openness to enabling technologies of Industry 4.0 provides further opportunities.This study analyzes the causal relationship between this degree of openness and performance, with an empirical analysis based on a sample representing local manufacturing units.Performance is measured by the extent of opportunities businesses obtain.The degree of openness is investigated using two indicators: breadth, or the number of technologies used; and depth, or the number of value chain stages involved.The regression models demonstrate that: (1) breadth and (2) depth of Industry 4.0 allow greater…