Managing organizations in the era of industry 5.0: Through the lens of management control systems
List of Authors
  • A.K Siti-Nabiha , SeeKai T

Keyword
  • Industry 5.0, Human-centric, Sustainability, Business Resilience, Management Control Systems

Abstract
  • Unlike Industry 4.0 (I4.0), which focuses primarily on technology-driven culture, Industry 5.0 (I5.0) emphasizes human-centric approaches, business resilience, and sustainability. The purpose of this research is to investigate how organizations integrate and balance the three principles of I5.0 within their Management Control Systems (MCS). The study aims to address the gap in understanding how organizations adapt their MCS to these new principles. Following a systematic literature review (SLR) approach, this article reviews 12 articles written in English on “management control systems” and “Industry 5.0” or “Industry 4.0” from 2020 to 2024. The databases used for the literature search in this paper were ScienceDirect. We synthesize the current knowledge in this field by connecting and combining existing research. Additionally, the findings guide practitioners in systematically assessing context factors and consequences of their MCS design and highlight avenues for future research. The SLR integrates and synthesizes the existing body of research, thereby consolidating the current knowledge in this domain. Furthermore, this study can provide practitioners with a framework to systematically evaluate the contextual factors and implications associated with the design of their MCS, illuminating potential avenues for future scholarly inquiry. This paper offers scientific and practical value by synthesizing the diverse definitions and conceptualizations present in the current literature, and by identifying directions for future research in the field of I5.0. This paper offers pioneering insights into the obstacles and hurdles organizations face when trying to incorporate I5.0 principles into their MCS. Additionally, it provides organization leaders and industry practitioners with valuable guidance from the literature on how to navigate and overcome these challenges to successfully adopt the principles of I5.0.

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