This Master Thesis report in Production systems at the School of Engineering at Jön-köping University is about a study that describes Industry 4.0 and the implications and application of it to industry. Industry 4.0 is a broad German initiative concerning the entire industry, concluding that increased automation within industry is a recommend-ed course of action to secure competitiveness on a global market. The main driver of that new manufacturing era is the Internet that supports and connects all entities and human in the system. Therewith, Industry 4.0 describes a final state after the consecu-tive fourth industrial revolution. The initiative is increasing in significance since fun-damental concepts like the integrative approaches and technologies have been devel-oped over time, which focuses on information and communication technology, (indus-trial) internet of things, cyber-physical (production) systems, smart factories, smart agents and smart products. Available technologies influence automation in production systems, which lead to the traditional automation pyramid to become substituted with heterarchical structures that results in a smart factory with decentralised control tech-nology and autonomous automation subsystems. But this study does not just reflect upon the theoretical view onto Industry 4.0, it also includes an investigation within a case company. This investigation revealed how the initiative is being put into practice at the time of the study on the basis of one exemplary company. The focus of the in-vestigation was if and how the integrative approaches were implemented and which I4.0 technologies were applied. That revealed that the case company works on the integration but not all of the enabling technologies are developed yet so that an I4.0 manufacturing scenario would be achievable.It can be concluded that general statements cannot be given about how and when a future development of industry will take place in particular. Reaching an I4.0 state is an ongoing process with various factors involved, which are not all discussed in this study.