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Impact of blockchain technology on green supply chain practices: evidence from emerging economy

Mobashar Mubarik (Faculty of Technology Management and Business, Universiti Tun Hussein Onn Malaysia, Batu Pahat, Malaysia)
Raja Zuraidah Raja Mohd Rasi (Faculty of Technology Management and Business, Universiti Tun Hussein Onn Malaysia, Batu Pahat, Malaysia)
Muhammad Faraz Mubarak (School of Economics and Business, Kaunas University of Technology, Kaunas, Lithuania) (Faculty of Management Sciences, Shaheed Zulfiqar Ali Bhutto Institute of Science and Technology (SZABIST), Karachi, Pakistan)
Rashid Ashraf (Higher Colleges of Technology, Abu Dhabi, United Arab Emirates) (Universiti Tun Hussein Onn Malaysia, Batu Pahat, Malaysia)

Management of Environmental Quality

ISSN: 1477-7835

Article publication date: 27 May 2021

Issue publication date: 20 July 2021

2012

Abstract

Purpose

This study investigates the impact of blockchain technology on green supply chain practices with the aim to promote pro-environmental settings in supply chains of manufacturing firms. Moreover, mediating role of environmental orientation is examined between blockchain technology and green supply chain practices. Also, moderating role of technological orientation in this connection is undertaken.

Design/methodology/approach

The authors have applied a quantitative methodology in which a questionnaire was developed from literature. After that, data are collected from manufacturing firms of Malaysia. The data collected are analysed by using PLS-SEM in which multiple regression and moderation are applied.

Findings

The results of this study confirm the positive impact of blockchain on green supply chain practices. Also, the mediating role of environmental orientation is revealed in this relationship. Moreover, technological orientation is confirmed as a moderator which strengthens the relationship between blockchain technology and green supply chain practices.

Research limitations/implications

This study has collected data from manufacturing firms of Malaysia. However, the authors have not undertaken service sector firms. Thus, they recommend future researchers to consider service sector firms in this context. Moreover, they have taken SMEs for this study and have neglected large firms. Therefore, in future, large firms could be taken to test the current study's perspective in them. Furthermore, this study suggests to the policymaker and managers, especially of manufacturing concerns, to infuse Industry 4.0 technologies such as blockchain technology because of its manifold benefits.

Practical implications

This study suggests to the policymaker and managers, especially of manufacturing concerns, to infuse Industry 4.0 technologies such as blockchain technology because of its manifold benefits. First, it will enhance the integration across the streams of the supply chain; secondly, it will improve the demand and supply planning which will eliminate the extra production and will enable firms to adopt just-in-time production by saving various costs associated otherwise. Importantly, these processes are against the pro-environmental behaviour which is pivotal to achieve green supply chain practices.

Originality/value

This study contributes by joining the technological perspective of Industry 4.0 technologies and sustainability perspective of green supply chain in manufacturing concerns. In addition, the related concepts of technological orientation and environmental orientation are also undertaken to further adjoin the former fields. As a practical contribution, this study will, first, enhance the integration across the streams of supply chain; secondly it will improve the demand and supply planning which will eliminates the extra production and will enable firms to adopt just-in-time production by saving various costs associated otherwise. It is also suggested to instil pro-environmental behaviour or environmental orientation in the employees at all levels of firm. Moreover, technological orientation should also be improved by emphasizing on the importance of technology for environmentally friendly and green supply chain practices.

Keywords

Acknowledgements

Funding: This Research Work is entirely funded by Research and Management Centre of University Tun Hussein Onn Malaysia (RMC–UTHM), and FRGS Grants vote number K073 under Ministry of Education, Malaysia (MOE).

Citation

Mubarik, M., Raja Mohd Rasi, R.Z., Mubarak, M.F. and Ashraf, R. (2021), "Impact of blockchain technology on green supply chain practices: evidence from emerging economy", Management of Environmental Quality, Vol. 32 No. 5, pp. 1023-1039. https://doi.org/10.1108/MEQ-11-2020-0277

Publisher

:

Emerald Publishing Limited

Copyright © 2021, Emerald Publishing Limited

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