Impact of Industry 4.0 technologies on the financial performance of manufacturing companies: an empirical study in Cameroon.

Abstract

Purpose. This study aims to assess the impact of Industry 4.0 technologies - specifically Big Data, Internet of Things (IoT), collaborative robots, and Cyber-Physical Systems (CPS) - on the financial performance of manufacturing companies in Cameroon, addressing the research gap in the Sub-Saharan context. Methodology. Adopting a quantitative approach, primary data were collected via questionnaires from 104 manufacturing firms. The study employed Chi-square tests and binary logistic regression to analyse the relationship between technological adoption and key performance indicators, including Return on Assets (ROA), Return on Equity (ROE), turnover, and productivity. Results. The empirical findings indicate that integrating Big Data and IoT has a statistically significant positive effect on all measured financial indicators. Collaborative robots positively impact turnover, whereas Cyber-Physical Systems showed no significant correlation with financial performance in the studied context. The theoretical contribution. This research extends economic production theory to developing economies. It provides empirical evidence that digital transformation serves as a critical production input, significantly enhancing firm output and challenging the “IT productivity paradox” in African manufacturing sectors. Practical implications. The study suggests that manufacturing leaders in developing regions should prioritise investments in Big Data and IoT for immediate efficiency gains. Furthermore, it advocates for government-led subsidy policies to lower entry barriers for automation and foster international competitiveness. Sustainable Development Goals (SDGs): SDG 8: Decent Work and Economic Growth; SDG 9: Industry, Innovation and Infrastructur