Productivity Enhancements through Fourth Industrial Revolution Technologies: Comparison of Small-and Medium-Sized Enterprises with Large Enterprises

Abstract

The purpose of this paper is to compare small-and medium-sized enterprises (SMEs) against large enterprises (LEs) in terms of their productivity enhancements through Fourth Industrial Revolution (IR4) technologies, specifically in the context of developing countries. This study adopted a quantitative approach. Questionnaires were distributed to Malaysian manufacturers registered under Malaysia External Trade Development Corporation MATRADE via email and in-person at the Smart Manufacturing Uprising conference in Kuala Lumpur. A total of 76 valid responses were obtained and analyzed using multiple regression. SMEs’ productivity was found to have significantly increased due to the Internet of Things and digital automation without sensors, while LEs’ productivity revealed a significant improvement from integrated engineering systems. The small sample size of 76 raises generalizability issues. Thus, large-scale quantitative research is recommended to validate the relationships identified in this study. The study is among the first to identify and compare the significant relationships between IR4 technologies and productivity enhancements among SMEs and LEs. The findings are of interest to academics as well as to public and private sector practitioners in directing resources to technologies that enhance productivity.