Building Blocks for Blockchain Adoption in Digital Transformation of Sustainable Supply Chains

Abstract

Global supply chains shift to meet exceeding expectations in supply chains lead to the need for digital technologies in supply chain management. Industry 4.0 has emerged in sustainable supply chain systems, blockchain is prominent, with the potential of immutable transparent data. Blockchains present potential to disrupt supply chains through digital transformation by enabling provenance, visibility, relationships, collaboration, lower costs, and enabling real-time trusted data. Scholars are increasingly investigating blockchain adoption, with an emphasis on technology acceptance modelling. Current research is valuable to understand potentials of blockchain technology in supply chains however, there is limited work on the building blocks for blockchain adoption in digital transformation of supply chains. This study aims to investigate through a systematic literature review and case studies, the building blocks for blockchain adoption in digital transformation of sustainable supply chains. Blockchain adoption in supply chain management is receiving increasing attention, along with highlights of critical factors. This paper offers a building block model that is in three main phases; pre-adoption, adoption, and the post adoption. The model indicates that adoption context, blockchain technology platform offerings, strategic responses, and adoption readiness are some key building blocks, particularly at the pre-adoption phase. Trust and supply chain network, firm resources, and blockchain costs are all considered critical in the considerations of the building blocks. In addition, aligning supply chain objectives with blockchain systems is critical and so is blockchain compatibility. Law and governance are amongst the two prominent challenges in blockchain adoption and should be considered as part of the building blocks for blockchain adoption.