Supply chain financing (SCF) is an integral part of modern business operations, but it is not without its challenges. Issues such as information asymmetry, lack of digitization, and trust deficits plague the current SCF landscape. However, a promising solution is emerging in the form of blockchain technology.
Blockchain has gained recognition as a game-changing disruptive technology with applications in various industries, including supply chain management and SCF. Its unique features of decentralization, disintermediation, immutability, and transparency make it an ideal candidate to address the existing problems in SCF. Consequently, organizations worldwide are exploring the adoption of blockchain technology for their SCF processes.
Acknowledging the lack of large-scale implementations and research in the field of blockchain in SCF, a study was conducted to fill this gap. The research delved into existing literature and examined information system theories of technology adoption, with a focus on organizational level theories such as the diffusion of innovations (DOI) and technology-organization-environment (TOE) theories.
One significant finding from the study was the crucial role of trust in the adoption of blockchain technology. Though not explicitly highlighted in the theories, trust emerged as a key factor in the research model. The study formulated a model consisting of six determinants (relative advantage, compatibility, complexity, technology readiness, organizational readiness, and environment readiness) that influence the adoption of blockchain in SCF. Trust was further identified as a factor mediating the relationship between these determinants and adoption.
To validate the research model, empirical survey data from 249 respondents across the globe was collected and analyzed. The study confirmed the significance of four determinants – relative advantage, compatibility, organizational readiness, and environment readiness – in driving the adoption of blockchain in SCF. Complexity and technology readiness were found to be non-significant, suggesting a technically mature industry.
The research holds groundbreaking significance for both theory and practice in the field. By combining multiple theories and examining the role of trust, the study offers a comprehensive understanding of blockchain adoption in SCF. Moreover, the global applicability of the findings, gathered from respondents worldwide, amplifies the study’s significance for researchers across different regions.
Private sector managers in buying and selling organizations, financial institutions, government entities, and academia can benefit from this research. The findings provide insights into the benefits, pain points, and implementation conditions of SCF and blockchain technology. Key determinants influencing blockchain adoption in SCF, including the role of trust, are outlined, enabling managers to develop a roadmap for implementing blockchain in their SCF processes.
Public sector policy analysts and managers also stand to gain from this research. The study emphasizes the vital role of government in facilitating the adoption and scaling of blockchain in SCF. Trust in government and clear regulations are highlighted as crucial factors in creating an environment conducive to blockchain adoption in SCF.
In summary, blockchain technology has the potential to revolutionize SCF processes, and this research paves the way for its effective implementation. By addressing key determinants and emphasizing the role of trust and government, the study provides a comprehensive framework for organizations to embrace blockchain in SCF with confidence.
FAQ section:
Q: What is supply chain financing (SCF)?
A: Supply chain financing (SCF) is a vital part of modern business operations that involves financial solutions to optimize cash flow and liquidity in supply chains.
Q: What challenges are associated with SCF?
A: Challenges in SCF include information asymmetry, lack of digitization, and trust deficits.
Q: How is blockchain technology being used in SCF?
A: Blockchain technology is being explored as a potential solution to the challenges in SCF due to its unique features such as decentralization, disintermediation, immutability, and transparency.
Q: What role does trust play in the adoption of blockchain in SCF?
A: Trust is identified as a crucial factor in the adoption of blockchain technology in SCF. It mediates the relationship between determinants of adoption.
Q: What are the determinants influencing blockchain adoption in SCF?
A: The study identifies six determinants: relative advantage, compatibility, complexity, technology readiness, organizational readiness, and environment readiness.
Q: What were the significant findings of the research?
A: The research confirmed the significance of four determinants: relative advantage, compatibility, organizational readiness, and environment readiness. Complexity and technology readiness were found to be non-significant.
Q: Who can benefit from this research?
A: Private sector managers, financial institutions, government entities, academia, and public sector policy analysts and managers can benefit from this research.
Q: What insights does the research provide?
A: The research provides insights into the benefits, pain points, and implementation conditions of SCF and blockchain technology. It outlines key determinants influencing blockchain adoption in SCF, including the role of trust.
Definitions:
– Supply Chain Financing (SCF): Financial solutions to optimize cash flow and liquidity in supply chains.
– Blockchain Technology: A decentralized and transparent digital ledger technology that ensures the secure and immutable recording of transactions.
– Information Asymmetry: A situation where one party has more or better information than the other party in a transaction or business relationship.
– Digitization: The conversion of analog information into digital format.
– Trust Deficits: The lack of trust between parties involved in a business transaction or relationship.
Suggested related links:
– Supply Chain Dive
– Blockchain Technology News
– Forbes – Blockchain
– Deloitte – Supply Chain Management
The source of the article is from the blog xn--campiahoy-p6a.es