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This paper aims to investigate the impact of Industry 4.0 (I4.0) technologies on knowledge creation for innovation purposes by assessing the relationships among the variety of I4.0 technologies adopted (breadth I4.0), the penetration of these technologies within the firm’s value chain activities (depth I4.0) and the mediating role of both internal (inter-functional (IF)) and external [with knowledge-intensive business services (KIBS)] collaborations in this process.

The study employed a quantitative research design. By administering a survey to entrepreneurs, chief operation officers or managers in charge of the operational and technological processes of Italian manufacturing firms, the authors collected 137 useful questionnaires. To test this study's theoretical framework and hypotheses, the authors ran regression and mediation analyses.

First, the results highlight the positive link between breadth I4.0 and depth I4.0. Moreover, the results show the key role played by increased collaboration among the firm’s business functions and by relationships with KIBS in creating knowledge to innovate processes and products when I4.0 technologies are adopted.

The variety of I4.0 technologies adopted enables a firm to use such technologies in various value chain activities. However, the penetration of I4.0 into the firm’s value chain activities (depth I4.0) does not per se directly imply the production of new knowledge, for which a firm needs internal collaboration among different business functions, in particular with the production area, or collaboration with external partners that favor I4.0 implementation, such as KIBS.

To achieve innovation goals by creating new knowledge, especially in the manufacturing industries, firms should encourage internal and external collaboration when I4.0 technologies are adopted. Moreover, policy makers should not only consider fiscal incentives for the adoption of such technologies, but also encourage the building of networks between adopting firms and external actors.

The study is one of the first attempt that provides empirical evidence of how I4.0 enables the creation of knowledge to innovate processes and products, highlighting the relevance of collaboration both within the company and with external partners.

This study comprehensively reviews the Fourth Industrial Revolution, which refers to Industry 4.0 (IR 4.0) applications in small and medium enterprises (SMEs). Multinational companies and big corporations have the capacity and resources to implement IR 4.0, but SMEs are limited due to financial constraints, expertise and lack of resources. Even so, IR 4.0 is required as technologies evolve and market demand has changed how firms do business.

To uncover the potential of IR 4.0 and critical determinants of SMEs’ adoption of IR 4.0, this study presents a bibliometric analysis to evaluate the current research streams in IR 4.0 adoption among SMEs through bibliographic coupling. Furthermore, this review provides a glimpse of the future by analyzing prospective trends on IR 4.0 in SMEs.

Bibliographic coupling produces five clusters: (1) challenges and barriers in IR 4.0 implementation among SMEs, (2) technological adoption of IR 4.0, (3) opportunities and benefits of IR 4.0, (4) business model innovation and (5) implication of IR 4.0 on SMEs technologies. On the contrary, co-word analysis produces three clusters: (1) technologies in IR 4.0, (2) strategy and management of IR 4.0 among SMEs and (3) IR 4.0 model for SMEs.

Implications are directly related to business owners, policymakers and technology developers meeting the needs of the industry and SMEs, which are the focus of this review.

The findings contribute significantly to the body of knowledge by presenting a state-of-the-art science mapping approach to uncover the knowledge structure and intellectual linkage of IR 4.0 adoption within SMEs.