Evaluating industry 4.0 and sustainable industrial transformation through economic environmental and operational dynamics

This systematic literature review analyzes the impact of Industry 4.0 (I4.0) on sustainable industrial transformation. Drawing from 100 peer-reviewed articles published between 2017 and 2024, sourced from the Scopus and Web of Science databases, we synthesize findings across economic, environmental, and operational dimensions. The main thematic results indicate that while I4.0 is a powerful enabler of production efficiency and green innovation, the literature is marked by a publication bias towards positive outcomes and significant gaps concerning workforce transformation and negative trade-offs. A key limitation identified is a strong geographic bias towards China and the EU. Our primary contribution is the development of a novel integrative framework connecting the Resource-Based View, Institutional Theory, and Stakeholder Theory to provide a more holistic, testable model of sustainable transformation. This review offers a theory-driven roadmap with critical implications for practitioners and policymakers aiming to navigate the complexities of I4.0.