© 2018 e Author(s). Published by VGTU Press
is is an Open Access article distributed under the terms of the Creative Commons Attribution License (http://creativecommons.
org/licenses/by/4.0/), which permits unrestricted use, distribution, and reproduction in any medium, provided the original author
and source are credited.
*Corresponding author. E-mail: hana.mohelska@uhk.cz
Technological and Economic Development of Economy
ISSN: 2029-4913 / eISSN: 2029-4921
2018 Volume 24 Issue 6: 2225–2240
https://doi.org/10.3846/tede.2018.6397
MANAGEMENT APPROACHES FOR INDUSTRY 4.0– THE
ORGANIZATIONAL CULTURE PERSPECTIVE
Hana MOHELSKA 1*, Marcela SOKOLOVA 2
1,2Department of Management, Faculty of Informatics and Management,
e University of Hradec Kralove, Hradec Kralove, Czech Republic
Received 01 May 2018; accepted 16 July 2018
Abstract. e Industry 4.0 concept describes a decentralized production chain that extends from
design to the supply chain, production, distribution as well as customer service. Cyber Physical
Systems (CPS) employ soware and internet-connected machines that communicate in real-time
to reduce error rates and increase eciency. e basis is the co-operation of separate control units
that are capable of autonomous decision-making, managing the assigned technological unit and
in particular becoming an independent and full member of comprehensive production units. e
Industry 4.0 concept requires continuous innovation and education that not only depends on the
peoples’ skills but also on organizational culture. Appropriate managerial approaches play a vital
role in the development of organizational culture. Most studies discuss technical aspects, but do
not pay attention to managerial approaches and organizational culture, which are a major factor
inuencing the success of this concept. e aim of the paper is to examine the level of organizational
culture in the Czech Republic and to seek appropriate managerial approaches for the development
of organizational culture that can support the environment for innovation in the organization and
therefore facilitate the entrepreneurship in the Industry 4.0 concept. A partial goal will be, among
other things, to identify the implications of Industry 4.0 for human resources. In order to determine
organizational culture in organizations, a large study was carried out in the form of a questionnaire
survey − the Czech translation of Wallach᾽s Questionnaire (1983). According to the ndings, the
respondents perceive the organizational culture in the organizations under review is more bureau-
cratic and supportive than innovative. In their view the signs of innovative culture are not so strik-
ing. It is necessary to change managerial approaches to support innovative solutions.
Keywords: Industry 4.0, organizational culture, managerial approaches, industrial revolution,
Czech Republic, bureaucratic culture, innovative culture.
JEL Classication: M14, M54.
Introduction
e world is at the threshold of the fourth industrial revolution that has already begun. is
is the fourth milestone, which fundamentally changes the working conditions of organiza-
tions.
2226 H. Mohelska, M. Sokolova. Management approaches for Industry 4.0 – the organizational culture ...
Period of industrial revolutions (Pagáč, 2015):
–e rst industrial revolution refers to the period at the end of the 18th century, which
was made possible by the development of coal mining, the steam machinery and the
introduction of the rst machines into production;
–e second industrial revolution took place around the beginning of the 20th century
and its trigger was the introduction of electricity and the rst lines of mass production
are typical of it;
–e third industrial revolution dates back to the 1970s and is marked by the automa-
tion of production and the introduction of the rst information systems and tech-
nologies;
–e fourth industrial revolution − Industry 4.0 takes place at the beginning of the
21st century and is characterized by strong robotics, machine autonomy, use of the
Internet of things and articial intelligence.
Industry 4.0 is a designation for automation of production and change in the labor market
that it will bring. Industry 4.0 is based on the boom of digitization, robotics and automation,
and it is characterized by a blend of information technologies and production processes and
in an intelligent way that is typical of autonomous machines. It is largely based on the Inter-
net of things, which has brought about a number of changes to manufacture and maintenance
in the industry, from the reduction of the production cycle to the automation of machinery
and equipment maintenance.
e fourth industrial revolution means even more complex interconnection of the entire
production process, from development, production, and distribution to aer-sales services.
It employs autonomous robots that control and regulate themselves through network con-
nections and various sensors (cameras, room sensors, temperature sensors, etc.).
In production, this concept represents a revolutionary loss of human labor, as robots will
take over larger part of the work that only could have been performed by humans. Devices
and also products themselves or even semi-nished products, will be equipped with chips
that carry key information about how they are to be processed, when they are to be processed
and the like. Storage systems will behave more or less by themselves; they will send the order
themselves if additional material is needed. Lines will be much easier to reorganize, making
it possible to produce cheaper, small series, or even to produce at the cost of today’s large-
volume products.
Most studies discuss technical aspects, but do not pay attention to managerial approaches
and organizational culture, which are a major factor inuencing the success of this concept.
Implementing the Industry 4.0 concept requires continuous innovation and education that
not only depend on people’s abilities but also on organizational culture. Appropriate manage-
rial approaches play a vital role in the development of organizational culture.
e aim of the paper is to investigate the level of organizational culture in the Czech
Republic and to seek appropriate managerial approaches to the development of organiza-
tional culture that can support the environment for innovation and therefore facilitate the
entrepreneurship in the Industry 4.0 concept. A partial goal will be, among other things, to
identify the implications of Industry 4.0 on human resources.© 2018 e Author(s). Published by VGTU Pressis is an Open Access article distributed under the terms of the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.*Corresponding author. E-mail: hana.mohelska@uhk.czTechnological and Economic Development of EconomyISSN: 2029-4913 / eISSN: 2029-49212018 Volume 24 Issue 6: 2225–2240https://doi.org/10.3846/tede.2018.6397MANAGEMENT APPROACHES FOR INDUSTRY 4.0– THE ORGANIZATIONAL CULTURE PERSPECTIVEHana MOHELSKA 1*, Marcela SOKOLOVA 2 1,2Department of Management, Faculty of Informatics and Management, e University of Hradec Kralove, Hradec Kralove, Czech RepublicReceived 01 May 2018; accepted 16 July 2018 Abstract. e Industry 4.0 concept describes a decentralized production chain that extends from design to the supply chain, production, distribution as well as customer service. Cyber Physical Systems (CPS) employ soware and internet-connected machines that communicate in real-time to reduce error rates and increase eciency. e basis is the co-operation of separate control units that are capable of autonomous decision-making, managing the assigned technological unit and in particular becoming an independent and full member of comprehensive production units. e Industry 4.0 concept requires continuous innovation and education that not only depends on the peoples’ skills but also on organizational culture. Appropriate managerial approaches play a vital role in the development of organizational culture. Most studies discuss technical aspects, but do not pay attention to managerial approaches and organizational culture, which are a major factor inuencing the success of this concept. e aim of the paper is to examine the level of organizational culture in the Czech Republic and to seek appropriate managerial approaches for the development of organizational culture that can support the environment for innovation in the organization and therefore facilitate the entrepreneurship in the Industry 4.0 concept. A partial goal will be, among other things, to identify the implications of Industry 4.0 for human resources. In order to determine organizational culture in organizations, a large study was carried out in the form of a questionnaire survey − the Czech translation of Wallach᾽s Questionnaire (1983). According to the ndings, the respondents perceive the organizational culture in the organizations under review is more bureau-cratic and supportive than innovative. In their view the signs of innovative culture are not so strik-ing. It is necessary to change managerial approaches to support innovative solutions.Keywords: Industry 4.0, organizational culture, managerial approaches, industrial revolution, Czech Republic, bureaucratic culture, innovative culture.JEL Classication: M14, M54.Introduction e world is at the threshold of the fourth industrial revolution that has already begun. is is the fourth milestone, which fundamentally changes the working conditions of organiza-tions.
2226 H. Mohelska, M. Sokolova. Management approaches for Industry 4.0 – the organizational culture ...Period of industrial revolutions (Pagáč, 2015): –e rst industrial revolution refers to the period at the end of the 18th century, which was made possible by the development of coal mining, the steam machinery and the introduction of the rst machines into production; –e second industrial revolution took place around the beginning of the 20th century and its trigger was the introduction of electricity and the rst lines of mass production are typical of it; –e third industrial revolution dates back to the 1970s and is marked by the automa-tion of production and the introduction of the rst information systems and tech-nologies; –e fourth industrial revolution − Industry 4.0 takes place at the beginning of the 21st century and is characterized by strong robotics, machine autonomy, use of the Internet of things and articial intelligence. Industry 4.0 is a designation for automation of production and change in the labor market that it will bring. Industry 4.0 is based on the boom of digitization, robotics and automation, and it is characterized by a blend of information technologies and production processes and in an intelligent way that is typical of autonomous machines. It is largely based on the Inter-net of things, which has brought about a number of changes to manufacture and maintenance in the industry, from the reduction of the production cycle to the automation of machinery and equipment maintenance. e fourth industrial revolution means even more complex interconnection of the entire production process, from development, production, and distribution to aer-sales services. It employs autonomous robots that control and regulate themselves through network con-nections and various sensors (cameras, room sensors, temperature sensors, etc.). In production, this concept represents a revolutionary loss of human labor, as robots will take over larger part of the work that only could have been performed by humans. Devices and also products themselves or even semi-nished products, will be equipped with chips that carry key information about how they are to be processed, when they are to be processed and the like. Storage systems will behave more or less by themselves; they will send the order themselves if additional material is needed. Lines will be much easier to reorganize, making it possible to produce cheaper, small series, or even to produce at the cost of today’s large-volume products. Most studies discuss technical aspects, but do not pay attention to managerial approaches and organizational culture, which are a major factor inuencing the success of this concept. Implementing the Industry 4.0 concept requires continuous innovation and education that not only depend on people’s abilities but also on organizational culture. Appropriate manage-rial approaches play a vital role in the development of organizational culture. e aim of the paper is to investigate the level of organizational culture in the Czech Republic and to seek appropriate managerial approaches to the development of organiza-tional culture that can support the environment for innovation and therefore facilitate the entrepreneurship in the Industry 4.0 concept. A partial goal will be, among other things, to identify the implications of Industry 4.0 on human resources.
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