PERCEPTUAL EFFECTS OF INDUSTRY 4.0 ON LEADERSHİP AND HUMAN RESOURCE MANAGEMENT

Abstract

We are on the brink of the Fourth Industrial Revolution, which is the new trend of today’s business administration industry. In order to take advantage of this revolution, businesses need to prioritize the concept of Strategic Transformational Leadership in their management. The concept, which strongly influences employees, is a form of leadership that enables organizational goals to take precedence over personal expectations, and ensures a paradigmatic transformation in employees. Hence, charismatic authority, self-confidence, inspiration, intellectual approach, providing vision and forming sincere relationships matter more in this kind of leadership approach, since this concept is a journey that includes modernization of the former leadership approach. Once the journey begins, the return is not only impossible but also costly, as the implementation of the concept and technologies of Industry 4.0 are unlimited. This revolution entails concepts such as Smart Production, Internet of Things, Internet of Services, Cybernetic Systems and Digital Transformation. Among basic occupational factors related to this transformation are Transformational Leadership experience, developing a smart organization culture, increasing the rate of reorganization and structuring the management in terms of these perceptual effects. Namely, businesses need to consider the most important restrictors such as a product and service structure fit to Cyber Physical Systems, which is the main idea of Industry 4.0, smart machines, sensors, microcomputers, value chain networks, product digitalization, and new engineering subjects in the configuration of transformational leadership appropriate for a future management approach, smart organization culture and reorganization. The study aims to provide a viewpoint on transformational leadership, which encourages innovation and learning in organizations by adopting Industry 4.0, smart organization culture and reorganization approach. Moreover, the aim of the study includes informing businesses of the ways of reorganization and instructs them how to design their new generation management organizations in line with these concepts. Additionally, the study contains businesses’ vision management in the context of Industry 4.0 in industrial context