## 2 Literature Review  
### Current Status and Practices of Industry 4.0  
Through Industry 4.0, the manufacturing sector is changing worldwide from a labor-intensive landscape to a digitalization and automation landscape [21]. Cloud computing, cyber-physical systems, intelligent systems, the Internet of Things (IoT), and robotics are all examples of manufacturing technologies that contribute to the growing trend of automated data sharing and configuration or replanning of production [9]. The goal of Industry 4.0 is to deliver IT-enabled mass customization of manufactured goods; to enable the fully adaptable and automated adjustment of the manufacturing process; to track the components and products; to improve communications between parts, machines, and products; to use human-machine interaction (HMI) paradigms; and to accomplish IoT-enabled manufacturing optimization in smart factories. The aim of industry 4.0 is to establish \"smart factories\" where the IoT and cloud technology are used to improve and revolutionize industrial technology [22]. Information-sensing devices and systems, the Internet, and various access networks are all part of the IoT, which is a massive intelligent network capable of providing real-time data and insights. Within the Industry 4.0 framework, situation-aware dynamic service coordination can help to improve industrial autonomy and virtualize the production process [12; 23]. To be competitive in today's global economy, it is imperative for manufacturers to invest in Industry 4.0 [24]. Furthermore, the manufacturing sector continues to the most significant industry in the economy of Malaysia, as it has the biggest multiplier impact on the country's progress and operations. As of the year 2020, approved investments in Malaysia totaled MYR 164 billion, with the industrial sector receiving the largest share at MYR 91.3 billion [25]. Leaders in international manufacturing industries such as Japan, Germany, and the USA see Industry 4.0 as a chance rather than a risk, although certain manufacturers are significantly less confident due to the complication of altering industry boundaries [26]. Despite that, [PERSON] et al. [27] stated that manufacturers are not as ready as they should be for the many features of Industry 4.0 and to reap its benefits. Compared to the United States and Germany, Japan demonstrates a lesser level of readiness for Industry 4.0 [28]. In terms of the industrial revolution, Malaysia's manufacturing sector is currently at a point between Industry 2.0 and 3.0 [29]. The vast majority--98.5%--of Malaysia's 49,101 manufacturing establishments are SMEs, whereas just 1403 are considered to be large firms [30]. The majority of Malaysian industries are SMEs. Currently, SMEs account for 59% of all jobs, and they produced 38% of the country's GDP last year [31]. If SMEs do not realize the critical nature of implementing Industry 4.0 to enhance their manufacturing competitiveness, the country will face a crisis [32]. Only 30% of Malaysian firms are even familiar with Industry 4.0 [33]. Despite widespread recognition among manufacturers of Industry 4.0's potential benefits and chances for increasing competition, the extent of preparation for this shift has varied widely among different nations, industries, and even individual businesses. Executives in Malaysia, however, are largely optimistic as they prepare for Industry 4.0 [34]. According to the Global Competitiveness Index 2017-2018, Malaysia has moved up from the 25 th position (2016-2017) to the 23 rd position (2017-2018) out of 137 economies around the world in terms of overall competitiveness [35]. Money was set aside in the 2019 federal budget to encourage businesses, especially smaller ones, to implement Industry 4.0 technology and digitize their operations, and therefore compete more effectively in the global marketplace.