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The process to merge the application of Industry 4.0 concepts into practice in the entire manufacturing environment is complex. There are tremendous increments of the scientific papers being published in the area of Industry 4.0 from 2011 until 2019, indicating a significant interest in this issue, which results in numerous attempts to define it. Manufacturers had defined it in two main categories: (i) from technical point of views this view can be described as the digitization and automation of manufacturing environment's in addition to an increased communication enabled by the creation of a digital value chain; and (ii) operational point of views, Industry 4.0 is considered as integrated, adapted, optimized, service-oriented, and interoperable manufacturing process with the implementation of a list of advanced technologies [1]. Leaders in global manufacturing industries such as the United States, German and Japan treat Industry 4.0 as an opportunity, not as a threat even though some manufacturers are slightly less confidence because of the complexity on reshaping the industries boundaries [2]. Nonetheless, [3] claimed that the level of preparation of manufacturers to individual dimensions of Industry 4.0 and the ability to take the advantages of Industry 4.0 is lower than expected. Japan, for example, shows a lower level of preparation for Industry 4.0 in comparison to US and German [4]. The development of Industry 4.0 also transforms the landscapes of Asian countries close to Malaysia such as Singapore and China. Singapore Economic Development Board launched the Smart Industry Readiness Index to assist manufacturers to start their first step towards implementation of Industry 4.0 by evaluating their current readiness [5]; China government introduced an initiative namely "Made in China 2025" to promote their industries into high-tech mode to secure in global market [6]. As manufacturing industries is one of the contributors to national income, Industry 4.0 start emerging relatively in manufacturing industries in Malaysia presently. As Industry 4.0 is relatively a new concept, manufacturers in Malaysia may a shortage of knowledge about the exact impacts and cost-effective of the Industry 4.0 related Abstract: Despite as a strong manufacturing economist in ASEAN, manufacturers in Malaysia are the beginners who are lack of proper understanding of the concepts and practices of Industry 4.0. The purpose of this paper is to identify the issues and challenges of Industry 4.0 from industry-based companies' aspect by conducting a literature review. This paper also highlighted the comparison between the potential challenges stated in the Malaysia National Policy on Industry 4.0 with the challenges proposed by previous studies of other countries. This paper is a literature review on previous studies regards to challenges or issues on implementation of Industry 4.0 from 2015 to 2019. Total 11 challenges in the processes of implementation Industry 4.0 into manufacturing companies are reviewed. Compared to previous studies, Malaysia National Policy on Industry 4.0 overlooked 3 challenges on Industry 4.0. This is the first review paper to compare the existing challenges in Industry 4.0 with the potential challenges stated in the Malaysia National Policy on Industry 4.0.

Is Malaysia ready for Industry 4.0? Issues and Challenges in Manufacturing Industry