Evolving Dynamic Capabilities: Exploring Implications of Industry 4.0 Digital Technologies on Manufacturing

Research on the future implications of the new industrial revolution (Industry 4.0) for dynamic capabilities is scant and fragmented. This article explores evolving dynamic capabilities resulting from the onset of the new industrial revolution that is Industry 4.0 in the manufacturing context. A survey-based approach was adopted with manufacturing organizations as the unit of analysis. A structural model was developed based on a literature review and assessed using a cross-sectional research design. The results reveal that Industry 4.0 technological applications are not only transforming industrial dynamic capabilities, but also creating new dynamic capabilities. Moreover, organizational cognition I4.0, organizational learning I4.0, and organizational knowledge management capabilities I4.0 act as antecedents of resource orchestration I4.0 and intelligent manufacturing I4.0, which in turn may drive manufacturing transformation.