摘要:Purpose– Current study examines how Industry 4.0 technologies affect operational performance improvement. The study also examined the mediation effect of team effectiveness that almost neglected in the previously conducted studies. Design/methodology/approach – The target population was operations managers in the textile sector. Data were collected using a survey questionnaire from 153 respondents was subjected to PLS-SEM for analysis. Findings – Findings revealed that team effectiveness is the significant antecedent for Industry 4.0 technologies. Moreover, found that team effectiveness positively contributes to performance improvement initiatives in the textile sector of Punjab. Furthermore, the results show, if the employees involved as a team in decision making and implementation of Industry 4.0 technologies, they feel motivated and perform better. Further, the results show that team effectiveness mediates among Industry 4.0 technologies and performance improvement initiatives. Practical implications – Current study provides valued practical implications for the top management and policymakers to ensure the team effectiveness towards Industry 4.0 technologies to get performance improvement initiatives. Originality/value – The proposed model considers the cyber-physical system (CPS) and the social constructionist theory (CST) in the domain of Industry 4.0 technologies to tackle team effectiveness. The current study is the novel addition in the literature by using team effectiveness as a mediator. Furthermore, it ascertains that Industry 4.0 technologies are anticipated to be a game-changing player in operational performance improvement.