Development of an industry 4.0 transformability index for manufacturing systems

Purpose Evaluation of the extent of transformability of an existing system into an industry 4.0 (I4.0) compatible system is indispensable for both the technical and economic planning for implementing I4.0. This paper aims to propose a procedure to evaluate the transformability of an existing manufacturing system into an I4.0 system. Design/methodology/approach Six significant components of a manufacturing system and their five levels of modifications essential for the decision of transformation are identified. Based on expert opinion on facilitation and the impact of the transformation of one component on the transformation of others, a graph theory-based procedure for estimation of transformability index (TI) along with its relative and threshold values is proposed. Findings The paper introduced the concept of transformability into manufacturing systems. It proposed a simple procedure for calculating the ideal, relative and threshold value for TI to assess the suitability of the up-gradation of any manufacturing system into the I4.0 system. Research limitations/implications Though the proposed procedure is based on six system components and their five levels of facilitation, it is quite versatile and able to integrate new components and different facilitation levels according to system requirements for their impact analysis in the transformation process. It can be extended to other domains like services and health care. Further, it can be used to estimate and establish the transformability criteria of a factory/service unit/industry from its current state to any regime. Practical implications The proposed method for deducing the TI, relative transformability index (RTI) and their threshold values would be a handy tool for decision-makers to assess the upgrading suitability of the entire manufacturing system and its component for use in the new regime or scrapping. It would provide mathematical and scientific support to the transformability decisions by assessing the influence of transforming one component to others and the system. This study would pave the way for further explorations in the domain of transformability. Originality/value In the light of available literature and best of the author's knowledge, this study is the first of its kind that has applied the concept of transformability of existing manufacturing systems toward I4.0 compatible systems and proposed a procedure to estimate TI, RTI and their threshold values.