| Ms.Saba Khan Ph.D. Research Scholar Department of Management G H Raisoni University Saikheda, (M.P.) India |
Abstract
The transition to Industry 5.0 marks a paradigm shift in manufacturing, emphasizing human-centric digital transformation (HCDT) as a pathway to achieving sustainability. This paper explores the challenges and opportunities of embedding sustainability within manufacturing systems through the integration of advanced digital technologies such as artificial intelligence (AI), Internet of Things (IoT), and digital twins. Key barriers include legacy system integration, skill gaps, high implementation costs, and ethical concerns surrounding AI and data privacy. At the same time, significant opportunities arise from enablers such as workforce digital upskilling, sustainable digital leadership, circular economy integration, and human–AI collaboration. Drawing on global case studies and emerging lessons from the Indian manufacturing sector, the paper highlights how Industry 5.0 can align with the United Nations Sustainable Development Goals (SDGs) by fostering environmental stewardship, social equity, and economic resilience. Policy recommendations emphasize the role of governments in providing incentives, regulatory frameworks, and infrastructure, while managerial implications underscore the importance of organizational culture, change management, and measurable sustainability outcomes. The findings contribute to both academic discourse and industrial practice by offering a framework that links HCDT with sustainable manufacturing, guiding firms toward resilience and inclusivity in the digital era.