EVALUATING THE IMPACT OF ORGANIZATIONAL AND GOVERNMENTAL FACTORS ON INDUSTRY 4.0 READINESS IN PAKISTAN’S TEXTILE SECTOR

Abstract

Industry 4.0 (I4.0) refers to the integration of the latest manufacturing technologies, including Cyber-Physical Systems (CPS), the Internet of Things (IoT), Industrial IoT (IIoT), Cognitive Computing, and Artificial Intelligence, with digital systems to enhance industrial automation and data sharing. Although substantial evidence of Industry 4.0 (I4.0) implementation worldwide has been widely documented, there is a notable lack of evidence on the Pakistani textile industry's preparedness for I4.0 adoption. The paper thus aims to assess the status of Industry 4.0 readiness among Pakistani textile firms. The study employed an explanatory-experimental design, and primary data was collected through structured questionnaires administered to 387 respondents representing various textile companies. The collected data were analyzed using SmartPLS 4, applying both descriptive and inferential techniques. Structural Equation Modeling (SEM) was the primary statistical technique employed. The results collectively indicate that the textile industry in Pakistan is at an initial level of 4.0 in preparation, suggesting limited application of enabling technologies. Thus, the research provides practical knowledge and guidance to industry leaders and policymakers on developing strategic interventions to strengthen I4.0 preparedness and harness its full potential in the textile sector.