This study examines how Industry 4.0 manufacturing applications have positive associations with production system integration, supply chain agility, and operational performance. A formal VAF analysis (VAF approximately 43.5%) confirms partial mediation. It has become increasingly important for businesses in recent years to focus on digital transformation and smart manufacturing technologies. Considering this, this study examines the effects of Industry 4.0 applications on the operational capabilities of businesses and their impact on performance. Partial Least Squares Structural Equation Modeling (PLS-SEM) is also used as a means of data analysis to evaluate the predictive power of the research model using PLSpredict. A total of 300 manufacturers participates in the research, and the data obtained from 300 of them is analyzed and found to have a strong and significant effect on the integration of production systems. In addition, production system integration is found to improve supply chain agility, and supply chain agility is observed to impact operational performance positively and significantly. Industry 4.0 applications largely impact operational performance through production system integration and supply chain agility, according to the mediation results. Based on the results of PLSpredict, the research model is not only explanatory but also predictive. As a result, the research shows that Industry 4.0 production applications enhance business performance by strengthening operational integration and supply chain agility, while also serving as a key technological transformation enabler for manufacturing firms. Beyond its operational implications, this study also suggests that Industry 4.0-enabled integration and agility may contribute to more adaptive and efficiency-oriented manufacturing operations, laying a foundation for longer-term operational resilience. As such, this research contributes to both the theoretical and managerial literature on digital production technologies and operations management.
Haldun TURAN (Mon,) studied this question.