Blockchain technology in supply chain management: Applications, challenges, and opportunities in the UAE and USA's automotive, clothing, and marine logistics industries

Abstract

Blockchain technology blends various digital innovations to create time-stamped records that are uniquely identified and arranged chronologically. Its core attributes, such as decentralization, immutability, security, transparency, and traceability, position it as a potentially disruptive force. Many organisations are exploring blockchain applications across sectors like finance, healthcare, logistics, and supply chain management. Despite its potential to transform supply chains, empirical research on blockchain's implementation lags behind practical applications. Many real-world uses remain in the pilot stage without substantial academic support or evidence-based guidance for industry professionals. Thus, there is an urgent need for empirical research to analyse blockchain's implications for supply chains, providing insights into adoption considerations, application possibilities, and scalability factors. This qualitative research uses four case studies involving prominent organisations at various phases of blockchain adoption within industries such as automotive, clothing, and maritime logistics. It also includes an examination of secondary data sources detailing reported blockchain uses and an executive workshop discussing blockchain-enabled traceability in supply chains. The study uses Nvivo V-12 software for data analysis, involving 22 participants in the executive workshop and 11 in semi-structured interviews. The research results offer recommendations for implementing blockchain in supply chain operations, from initial adoption to expanding implementation across various supply networks. It examines key industry drivers, primary application domains, and industry-specific features that impact blockchain adoption and utilization in supply chain management. Furthermore, it investigates decision-making procedures for blockchain implementation within the supply chain domain and provides detailed advice on blockchain application, particularly in traceability. The implications of this research are extensive for both academia and professional practice. For academia, it provides new empirical evidence and frameworks to enhance the understanding of blockchain's role in supply chains, offering a foundation for future research. For practitioners, it delivers actionable insights and recommendations for adopting and scaling blockchain within supply chains. This includes guidance on overcoming barriers, leveraging drivers, and considering industry-specific traits that affect blockchain implementation. Additionally, the study's findings can assist policymakers in creating supportive environments for blockchain innovation in supply chains. This study makes significant contributions to the field of blockchain adoption in the supply chain. It presents new empirical evidence on the primary motivations behind blockchain adoption, highlighting considerations like customer service, risk management, and quality assurance. Additionally, it introduces three key frameworks: a cross-sectoral framework that captures the main motivations, application areas, and industry characteristics influencing blockchain adoption; a decision model guiding the selection of blockchain technology and its application within the supply chain; and a theoretical framework identifying different perspectives to facilitate further theory development in blockchain-SCM research. These findings and frameworks provide valuable insights for practitioners and equip industry professionals with tools to navigate the complexities of blockchain implementation, ensuring a more efficient and transparent supply chain landscape.