An intuitionistic fuzzy based grey OPA methodology to ERP software selection under sustainability and Industry 4.0 compatibility

Abstract

Purpose The purpose of this paper is to show Industry 4.0 technologies the potential of Industry 4.0 technologies to reduce the environmental impact of manufacturing processes and transform business models towards sustainability. In this study, the ERP selection process is examined with sustainability and Industry 4.0 criteria under fuzzy and grey uncertainty methodologies.

Design/methodology/approach A case study employed the intuitionistic fuzzy sets-based grey ordinal priority approach (OPA-G) methodology to evaluate sustainability criteria that are in line with the 17 Sustainable Development Goals (SDGs) by the United Nations and seven generic framework applications of Industry 4.0 compatibility. This approach was particularly chosen to address the uncertainties involved in selecting appropriate and reliable ERP software.

Findings In this study, the enterprises often prioritize economic performance over environmental and social criteria. However, there is also recognition of the importance of integrating Industry 4.0 technologies such as cloud and edge computing, artificial intelligence, the Internet of Things, and big data in ERP selection processes to foster sustainable practices.

Practical implications Industry 4.0 technologies enhance sustainability by providing real-time data analytics, increasing supply chain transparency, and optimizing resources to minimize waste and environmental impact. These innovations help businesses align with global sustainability standards, balancing economic, environmental, and social goals considering the circular economy (CE) while appealing to conscious consumers and investors.

Originality/value This study introduces a novel use of the intuitionistic fuzzy set-based grey OPA methodology to evaluate sustainability criteria in ERP software selection, focusing on incorporating sustainability uncertainties and highlighting the importance of Industry 4.0 technologies for sustainable development under CE.