Adoption of green supply chain management practices and their impact on performance: an exploratory study of Indian manufacturing firms

Research on green supply chain management (GSCM) or sustainable supply chain management (SSCM) has attracted increased attention in recent years. Although GSCM/SSCM has been studied for developed and developing countries, there has been little information about the adoption of GSCM/SSCM practices in India. This article presents one of the earliest surveys on GSCM practices in Indian manufacturing firms. The items for the survey were developed based on the extant literature and feedback from corporates. Some of the major findings of the survey are as follows. We found that the state of adoption of GSCM practices by Indian firms was still in its infancy, the awareness of environmental sustainability was quite low among consumers, and the regulatory framework was also lacking in terms of promoting environmental sustainability. Results of data analysis showed that supplier collaboration for environmental sustainability had a positive impact on environmentally sustainable product design and logistics, which in turn was positively related to competitiveness and economic performance of the firm. We compared the results with the observations made by other researchers for developed and developing countries and provided managerial implications for the government and manufacturers as to what steps need to be taken to generate awareness towards environmental sustainability and facilitate the adoption of GSCM practices among Indian firms to a greater extent. We conclude the paper by indicating directions for future research on GSCM/SSCM.     

Supply chain collaboration: conceptualisation and instrument development

Facing intensified global competition, firms strive for greater supply chain collaboration by leveraging the resources and knowledge of key suppliers and valued customers to reduce uncertainty, lower transaction costs, build core competence, capitalise on opportunities for learning and knowledge creation, and improve competitive position. This study examines the nature and characteristics of supply chain collaboration. Through an extensive literature review, it conceptualises supply chain collaboration as seven interconnecting elements: information sharing, goal congruence, decision synchronisation, incentive alignment, resource sharing, collaborative communication, and joint knowledge creation. It develops valid and reliable instruments to measure supply chain collaboration through rigorous empirical and statistical analysis including structured interviews, Q-sort, and a large-scale study. Predictive validity is evaluated by demonstrating a strong and positive relationship between a firm's level of supply chain collaboration and its performance. The definitions and measures that result provide a rich and structured understanding of supply chain design and operation. They also facilitate empirical research and provide analytical consistency that enables greater sharing and comparison of research results.     

Do interorganisational relationships and knowledge-management practices enhance collaborative commerce adoption?

This research aims to investigate the contributions of interorganisational relationships and knowledge-management practices as predictors of collaborative commerce (c-commerce) adoption. A non-compensatory adoption decision process was modelled using a neural network approach to examine the predictors of c-commerce adoption. A survey was undertaken in 136 firms for this research. The results showed that both interorganisational relationships and knowledge-management processes played an important role in predicting the adoption of c-commerce. In particular, variables from interorganisational relationships such as trust, communication, collaboration, and information sharing are found to contribute strongly to the predictive power of the model when compared with knowledge-management processes. This study provides insights for firms that would like to improve their supply-chain collaboration through the implementation of c-commerce. The findings lead to an understanding of what attributes of interorganisational relationships and knowledge-management processes can contribute to the improved adoption of c-commerce in the supply chain. Unlike past adoption studies which have tended to focus on technology, and organisational and environmental factors, this research examined interorganisational relationships and knowledge-management processes which are increasingly gaining the attention of researchers and practitioners. This study has also extended the existing literature by examining a non-compensatory model for technology adoption.     

Digitalization for supply chain resilience and robustness: The roles of collaboration and formal contracts

Black swan events such as the coronavirus (COVID-19) outbreak cause substantial supply chain disruption risks to modern companies. In today’s turbulent and complex business environment, supply chain resilience and robustness as two critical capabilities for firms to cope with disruptions have won substantial attention from both the academia and industry. Accordingly, this study intends to explore how digitalization helps build supply chain resilience and robustness. Adopting organizational information processing theory, it proposes the mediating effect of supply chain collaboration and the moderating effect of formal contracts. Using survey data of Chinese manufacturing firms, the study applied structural equation modelling to test the research model. Results show that digitalization has a direct effect on supply chain resilience, and supply chain collaboration can directly facilitate both resilience and robustness. Our study also indicates a complementary mediating effect of supply chain collaboration on the relationship between digitalization and supply chain resilience and an indirect-only mediation effect on the relationship between digitalization and supply chain robustness. Findings reveal the differential roles of digitalization as a technical factor and supply chain collaboration as an organizational factor in managing supply chain disruptions. Paradoxically, formal contracts enhance the relationship between digitalization and supply chain resilience but weaken the relationship between supply chain collaboration and supply chain resilience. The validation of moderating effects determines the boundary conditions of digitalization and supply chain collaboration and provides insights into governing supply chain partners’ behavior. Overall, this study enhances the understanding on how to build a resilient and robust supply chain.     

Developing environmental and social performance: the role of suppliers’ sustainability and buyer–supplier trust

We explore how environmental and social performance of manufacturing firms can be improved as sustainable supply chain management (SSCM) develops and evolves within a firm from internal to external practices. Importantly, this study considers how key suppliers’ sustainability performance and buyer–supplier trust mediate and moderate such a development. A conceptual framework is developed which relies on resource-based theories and emerging empirical evidence. Then, partial least square methodology is applied on survey data from a sample of Italian manufacturing firms. Results show that manufacturing firms’ sustainability performance improves as SSCM develops; however, while internal practices have a direct impact on performance, the effect of external practices on a manufacturing firm’s sustainability performance is fully mediated by key suppliers’ sustainability performance. Yet, buyer–supplier trust significantly influences the scope of such gains. Since evidence suggests that manufacturing firms are still struggling with how to leverage supply chain innovation potential for sustainable development, this study provides a timely and valuable contribution.     

A Literature Review of Supply Chain Collaboration Mechanisms and Their Impact on Performance

This article contributes a comprehensive literature review fulfilling the identified need for a systematic empirical study examining how well the mechanisms of supply chain collaboration (SCC) correspond with performance. A review of articles during the period of 2000–2017 reveals fundamental trends in adopted methodologies, scopes of SCC, and areas of performance. However, limited research focused on qualitative and simulation-based research in specific industries and geographic sections was found. A need for additional research on horizontal and internal collaboration, elements of power dependence in the relationship with performance, and the effects of SCC mechanisms on environmental and social performance was identified. This article contributes a maturity model for SCC that provides guidance to engineering managers to develop a roadmap for effectively implementing and improving the SCC process. The article suggests that engineering managers may benefit from examining case studies and the systems dynamics tool to explore how different collaboration levels lead to various performance outcomes in future.     

A hierarchical fuzzy TOPSIS approach to assess improvement areas when implementing green supply chain initiatives

Implementing green supply chain management (GSCM) initiatives can generate more business opportunities for firms. It also requires changes in firms’ operational capabilities and resources that may have an adverse effect on firms’ operations performance. In order to achieve sustainable economic and environmental performance, it is essential for companies to evaluate different green initiatives and assess improvement areas when implementing green initiatives. This study proposes a fuzzy hierarchical TOPSIS approach to support such an assessment. It enables decision makers to better understand the complete evaluation process and provide a more accurate, effective and systematic decision support tool. An illustrative case is presented to help researchers and practitioners understand the importance of developing an appropriate organisation strategy in implementing green practices.     

Collaborative networks: a systematic review and multi-level framework

Collaborative networks (CNs) leverage the improving sociability and usability features of information technology to enable and enhance partnering that delivers competitive solutions. This partnering is motivated by business, supply chain, market and technological evolutions that create uncertainty and pressure on independently operating firms. Accordingly, literature on CNs has enhanced practice by shedding light on the collaboration patterns that underlie CNs and the different management mechanisms that are required to cope with the complexity of CNs. The purpose of this article is to systematically review the state-of-the-art of research for CNs with a view to identifying future research potentials and directions. It offers an assembling, critical appraisal and synthesis of the literature on CNs and focuses on the logic and management of CNs. It contributes to knowledge by outlining a multi-level framework of CNs based on the review findings. It is anticipated that the review will serve as the foundation for breaking new grounds in research and further advance the discipline of CNs.     

Influence of initiators on supply chain value creation

Value creation in the supply chain has attracted considerable attention in the literature. It has typically been characterized as being the result of either external or organization spanning, or internal efforts to improve supply chain performance. Few studies have examined the simultaneous effects of internally and externally focused efforts to improve supply chain performance. Moreover, there is no discussion in the literature of the precursors or initial conditions that lead to successful supply chains. Drawing from different theoretical perspectives, two key motivators or initiators of value creation in supply chains are identified: structural mechanisms and relationship building. It is proposed that these initiators have a positive influence on value creation efforts, operationalized by the improvement of supply processes and responsiveness to customer needs (external focus), and internal production processes (internal focus). A structural equation model linking initiators and value creation mechanisms to performance is proposed and tested using data from a large sample of firms. Results suggest that firms that pay attention to initiators may derive greater benefit from their value creation efforts and thus yield improved performance.     

Agile supply chain strategy and supply chain performance: complementary roles of supply chain practices and information systems capability for agility

The paper examines the mediating effect of supply chain (SC) practices on the relationship between agile supply chain (ASC) strategy and SC performance. It further examines the moderating effect of information systems (IS) capability for agility on this mediated relationship. Using the theoretical lenses of complementarity and the information processing view of the supply chain, we hypothesise that strategic supplier partnership, customer relationship, postponement and lean practices, mediate the relationship between ASC strategy and SC performance. We further hypothesise that IS capability for agility moderates each of these mediated relationships. We empirically test the hypotheses using survey data from members of senior and executive management in the logistics/supply chain functions of 205 firms. The paper contributes to the literature on ASCs by theoretically explaining and empirically demonstrating how SC practices and IS capability for agility act together to effect a positive relationship between ASC strategy and supply chain performance.     

A systematic review of China’s belt and road initiative: implications for global supply chain management

China’s Belt and Road Initiative (BRI) is one of the world’s largest infrastructure projects, with its potential political and economic impact being widely discussed since its inception in 2013. Yet the phenomenon has received only limited attention in the Supply Chain Management (SCM) literature. In response, we first conduct a broad systematic review of the literature to assess how China’s BRI is portrayed. Using this as a backdrop, we then distil the likely impact of the BRI on location decisions and supply chain flows. Finally, in a broader discussion of the SCM literature, we explore the implications of the BRI for future research in four key areas: supply chain configuration, supply chain resilience, sustainable SCM, and cross border SCM. While these areas are not new, the BRI presents a unique context that can be used to enhance theory and understanding in each area. The BRI reduces time distance independent of geographical distance by diverting supply chain flows from established routes to new routes via far less accessible regions. This introduces new risks and sustainability issues that call for multi-criteria decision support systems. Another important issue is the adoption and diffusion of the BRI since this will ultimately determine project success.     

Understanding supply chain management: critical research and a theoretical framework

Increasing global cooperation, vertical disintegration and a focus on core activities have led to the notion that firms are links in a networked supply chain. This strategic viewpoint has created the challenge of coordinating effectively the entire supply chain, from upstream to downstream activities. While supply chains have existed ever since businesses have been organized to bring products and services to customers, the notion of their competitive advantage, and consequently supply chain management (SCM), is a relatively recent thinking in management literature. Although research interests in and the importance of SCM are growing, scholarly materials remain scattered and disjointed, and no research has been directed towards a systematic identification of the core initiatives and constructs involved in SCM. Thus, the purpose of this study is to develop a research framework that improves understanding of SCM and stimulates and facilitates researchers to undertake both theoretical and empirical investigation on the critical constructs of SCM, and the exploration of their impacts on supply chain performance. To this end, we analyse over 400 articles and synthesize the large, fragmented body of work dispersed across many disciplines such as purchasing and supply, logistics and transportation, marketing, organizational dynamics, information management, strategic management, and operations management literature.     

Complementarity effect of governance mechanisms on environmental collaboration: does it exist?

This study evaluates the effect of pre-existing relational governance mechanisms on environmental collaboration. Specifically, our study distinguishes between structural and process dimensions of relational governance mechanisms so as to facilitate a more nuanced investigation into the inherent complementarities and performance implications. Using data collected from 145 US firms and a combination of methodologies – three-stage least squares and structural equation modelling, a number of direct, complementary and mediation effects are hypothesised and tested. The three-stage least squares methodology was adopted to overcome endogeneity and simultaneity issues inherent in the hypotheses covering complementarity. Contrary to conventional wisdom, structural and process governance mechanisms were not found to act as complements for environmental collaboration. Instead, the effect of structural mechanisms was found to be completely mediated by the process mechanisms. Thus, process mechanisms of relational governance were found to be much more important in promoting advanced practices such as environmental collaboration. Our results also document the significant mediating role of environmental collaboration. Implications for future research and practice are offered.     

What modelling research on supply chain collaboration informs us? Identifying key themes and future directions through a literature review

Although research regarding supply chain collaboration has been increasing, studies reviewing supply chain collaboration remains limited. This review paper categorises supply chain collaboration and identifies different themes in this research field. Articles were collected based on a designed keywords list and specific subject restrictions in citation databases. Text-mining technology and conceptual criteria were used to categorise and screen articles into different categories. Finally, cluster analysis was used to group articles and identify emerging themes. From the year 1999 to 2017, a total of 678 articles regarding supply chain collaboration were found. These were sorted into six categories: levels of collaboration, industries, supply chain stages, company scales, forms/methods of collaboration and typology of article, and into corresponding sub-categories. 380 articles employing modelling approach where collaboration forms the core of analysis were screened for hierarchical cluster analysis, resulting in four clusters: information sharing paradigm, joint decision-making paradigm, resource sharing paradigm and coordinating contract paradigm. Eleven themes were finally identified based on the four clusters. The number of articles in the field of supply chain collaboration shows an increasing trend by year. However, most of the collaborations discussed were still at a low level. It is expected to explore a higher level of collaborations and related themes in future research.     

A green supply chain is a requirement for profitability

Many companies are not dramatically changing to more sustainable environmental practices despite pressure from the investment community, the government and consumers. This study explores a simple model that companies can use to understand and improve supply chain sustainability practices. It applies this model in two case studies, Coca-Cola, a leader in global sustainability, and Apple, a company that has only recently started to develop a sustainability strategy. The model was developed through a review of existing research and an application of supply chain principles. The results of this study demonstrate that following this model to eliminate waste throughout the supply chain will make the supply chain more profitable. The outcomes from this study highlight the importance for every company to do so in order to stay competitive. This study is unique in the relative simplicity of its model, combined with the supporting evidence that a sustainable supply chain is the same as a supply chain that is using best practices to reduce waste.     

Proactive environmental strategies and performance: role of green supply chain processes and green product design in the Chinese high-tech industry

Though many firms still believe that passive environmental strategies are sufficient, it is pertinent that they move beyond this belief and take a proactive supply chain-wide environmental stance so as to create a sustainable environment. In this paper, we seek to extend current work within green supply chain management by considering multiple green supply chain capabilities and performance measures. We hypothesise the linkage between environmental orientation, green supply chain capabilities and performance by drawing upon stakeholder theory and natural resource-based view. More importantly, our study is the first to distinguish between product and process-related capabilities in the green supply chain area and study their direct and mediating role with respect to environmental and financial performance measures. Using survey data collected from 256 Chinese-based high-tech firms, we analyse several hypothesised relationships. Our results provide strong support for the significant role that green product design and green supply chain processes can play in improving firms’ environmental and financial performance. Interestingly, our results also suggest that green product design may not have a direct impact on financial performance.     

Social and environmental risk management in resilient supply chains: A periodical study by the Grey-Verhulst model

As sustainability and allied concerns are at present gaining greater than before attention amongst stakeholders, enterprises are enforced to consider social and environmental risk assessments along with conventional economic risk assessments. Hence to advance sustainable competitive advantages, the property of resilience is becoming a success factor for enterprises. Resilience is the property of enterprises or their supply chains to resume operations after disruptions and to regain its sustainable competitive advantages quickly and effectively. This study essentially focuses on identifying drivers of social and environmental risk management (SERM) in resilient supply chains and to acknowledge the importance of these drivers towards the implementation of SERM practices of enterprises. Representative case studies of three electronics manufacturing firms were also considered in this research to gain practical insights. Periodical data analysis has been piloted for the collected datasets from these companies. Since the sequences of the collected data show saturated sigmoidal tendencies, the Verhulst model fits best with the data sequences. A Grey-Verhulst model has been implemented in this research and was practically tested for case firms to exemplify the data sequences of prediction and to effectually improve the SERM performances of firms.     

Operational design of a supply chain system using the Taguchi method,response surface methodology,simulation, and optimization

Managing a supply chain to meet an organization's objectives is a challenge to many firms. It involves collaboration in multiple dimensions, such as cooperation, information sharing, and capacity planning. In this research, we focus on identifying the ‘best’ operating conditions for a supply chain. We propose a hybrid approach that incorporates simulation, Taguchi techniques, and response surface methodology to examine the interactions among the factors, and to search for the combination of factor levels throughout the supply chain to achieve the ‘optimal’ performance. This study makes it possible for firms to understand the dynamic relations among various factors, and provides guidelines for management to minimize the impact of demand uncertainty on the performance of the supply chain. The results help the manufacturer determine the proper plant capacity and adopt the right level of delayed differentiation strategy for its products. We also quantify the potential gains of cooperation among different members of the supply chain. Using such knowledge, a manufacturer can develop an appropriate incentive plan to motivate the retailers and suppliers to collaborate, and to realize the potential of the entire supply chain.     

Sustainable supply chains for supply chain sustainability: impact of sustainability efforts on supply chain risk

Supply chain managers across the globe are finding it difficult to manage the increasingly complex supply chains despite adopting a variety of risk mitigation strategies. Firms on the other hand have also been adopting various kinds of environmental and social sustainability practices in recent times to reduce carbon footprint and improve their image on the social front. However, very few studies in the extant literature have examined the impact of sustainability practices on supply chain risk. We address this important gap in literature by empirically testing this relationship, using primary data from six manufacturing sectors and 21 different countries including developed as well as emerging markets across the globe. Our findings indicate that risk mitigation strategies do not always reduce the actual supply chain risk experienced by firms, whereas sustainability efforts help reduce supply chain risk, especially in emerging market contexts. In addition, we find that, while reactive risk mitigation strategies on their own fail to reduce supply chain risk, they are effective when used in conjunction with sustainability efforts. We also find that preventive risk mitigation efforts are only effective in mature supply chains such as the OECD countries.