IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i4p2168-d501119.html
   My bibliography  Save this article

Blockchain and Its Impacts on Agri-Food Supply Chain Network Management

Author

Listed:
  • Michael Paul Kramer

    (Department of Wine and Beverage Business, Hochschule Geisenheim University, 65366 Geisenheim, Germany)

  • Linda Bitsch

    (Department of Wine and Beverage Business, Hochschule Geisenheim University, 65366 Geisenheim, Germany)

  • Jon Hanf

    (Department of Wine and Beverage Business, Hochschule Geisenheim University, 65366 Geisenheim, Germany)

Abstract

Blockchain is an emerging meta-technology and considered a new institutional technology with the potential to change the governance of vertically integrated food supply chains. This paper investigates the effects on coordination mechanisms in vertically cooperating agri-food networks that result from the implementation of different blockchain technology platform types (BCTPT). The research is based on an extensive literature overview and exploratory use cases of BCTPT implementations in the agri-food industry which are presented to illustrate the applicability of the findings. Our analysis shows that BCTPT predominantly differentiate through the coordination mechanisms exerting of power, information sharing, decision-making, and collective learning benefits. We also reveal that blockchain use cases with high success rates typically operate in a vertical ecosystem where a focal firm assumes the responsibility for coordinating the activities in the supply chain network. These use cases are typically operationalized in tracking and tracing applications as well as in provenance-based information provision, which either operate in vertically coordinated private blockchain or consortium-type blockchain platforms. We conclude that the choice of a specific BCTPT with its respective coordination mechanisms is a key determinant of the economic success of the intended use case, the efficient management of the supply chain network, and eventually for the chosen digital business model. This paper will close a research gap, as the potential impacts of different blockchain technology platform types on digital agri-food business models and its supply chain management have scarcely been researched.

Suggested Citation

  • Michael Paul Kramer & Linda Bitsch & Jon Hanf, 2021. "Blockchain and Its Impacts on Agri-Food Supply Chain Network Management," Sustainability, MDPI, vol. 13(4), pages 1-22, February.
  • Handle: RePEc:gam:jsusta:v:13:y:2021:i:4:p:2168-:d:501119
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/4/2168/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/13/4/2168/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Malcolm Rutherford, 2001. "Institutional Economics: Then and Now," Journal of Economic Perspectives, American Economic Association, vol. 15(3), pages 173-194, Summer.
    2. Sara Saberi & Mahtab Kouhizadeh & Joseph Sarkis & Lejia Shen, 2019. "Blockchain technology and its relationships to sustainable supply chain management," International Journal of Production Research, Taylor & Francis Journals, vol. 57(7), pages 2117-2135, April.
    3. Pietrewicz, Lesław, 2019. "Blockchain: A Coordination Mechanism," Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference (2019), Rovinj, Croatia, in: Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference, Rovinj, Croatia, 12-14 September 2019, pages 137-143, IRENET - Society for Advancing Innovation and Research in Economy, Zagreb.
    4. Ranjay Gulati & Paul R. Lawrence & Phanish Puranam, 2005. "Adaptation in vertical relationships: beyond incentive conflict," Strategic Management Journal, Wiley Blackwell, vol. 26(5), pages 415-440, May.
    5. Corrado Ievoli & Angelo Belliggiano & Danilo Marandola & Giuseppe Pistacchio & Luca Romagnoli, 2019. "Network Contracts in the Italian agri-food industry: Determinants and spatial patterns," Economia agro-alimentare, FrancoAngeli Editore, vol. 21(2), pages 275-306.
    6. Utomo, Dhanan Sarwo & Onggo, Bhakti Stephan & Eldridge, Stephen, 2018. "Applications of agent-based modelling and simulation in the agri-food supply chains," European Journal of Operational Research, Elsevier, vol. 269(3), pages 794-805.
    7. Clifford Bekar & Kenneth Carlaw & Richard Lipsey, 2018. "General purpose technologies in theory, application and controversy: a review," Journal of Evolutionary Economics, Springer, vol. 28(5), pages 1005-1033, December.
    8. J. Carlos Jarillo, 1988. "On strategic networks," Strategic Management Journal, Wiley Blackwell, vol. 9(1), pages 31-41, January.
    9. Hans B. Thorelli, 1986. "Networks: Between markets and hierarchies," Strategic Management Journal, Wiley Blackwell, vol. 7(1), pages 37-51, January.
    10. Lipsey, Richard G. & Carlaw, Kenneth I. & Bekar, Clifford T., 2005. "Economic Transformations: General Purpose Technologies and Long-Term Economic Growth," OUP Catalogue, Oxford University Press, number 9780199290895.
    11. John W. Medcof, 2001. "Resource‐based strategy and managerial power in networks of internationally dispersed technology units," Strategic Management Journal, Wiley Blackwell, vol. 22(11), pages 999-1012, November.
    12. Delli Gatti,Domenico & Fagiolo,Giorgio & Gallegati,Mauro & Richiardi,Matteo & Russo,Alberto (ed.), 2018. "Agent-Based Models in Economics," Cambridge Books, Cambridge University Press, number 9781108400046, January.
    13. Jun-Ho Huh & Seong-Kyu Kim, 2019. "The Blockchain Consensus Algorithm for Viable Management of New and Renewable Energies," Sustainability, MDPI, vol. 11(11), pages 1-26, June.
    14. Delli Gatti,Domenico & Fagiolo,Giorgio & Gallegati,Mauro & Richiardi,Matteo & Russo,Alberto (ed.), 2018. "Agent-Based Models in Economics," Cambridge Books, Cambridge University Press, number 9781108414999, January.
    15. Johannes Sedlmeir & Hans Ulrich Buhl & Gilbert Fridgen & Robert Keller, 2020. "The Energy Consumption of Blockchain Technology: Beyond Myth," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 62(6), pages 599-608, December.
    16. Frolov, Daniil, 2021. "Blockchain and institutional complexity: an extended institutional approach," Journal of Institutional Economics, Cambridge University Press, vol. 17(1), pages 21-36, February.
    17. Marija Jović & Edvard Tijan & Dražen Žgaljić & Saša Aksentijević, 2020. "Improving Maritime Transport Sustainability Using Blockchain-Based Information Exchange," Sustainability, MDPI, vol. 12(21), pages 1-19, October.
    18. Vera Belaya & Jon Henrich Hanf, 2016. "The dark and the bright side of power: implications for the management of business-to-business relationships," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 4(1), pages 1-17, December.
    19. Davidson, Sinclair & De Filippi, Primavera & Potts, Jason, 2018. "Blockchains and the economic institutions of capitalism," Journal of Institutional Economics, Cambridge University Press, vol. 14(4), pages 639-658, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Priyanka Vern & Anupama Panghal & Rahul S Mor & Sachin S. Kamble & Md. Shamimul Islam & Syed Abdul Rehman Khan, 2023. "Influential barriers to blockchain technology implementation in agri-food supply chain," Operations Management Research, Springer, vol. 16(3), pages 1206-1219, September.
    2. Michael Paul Kramer & Linda Bitsch & Jon H. Hanf, 2021. "The Impact of Instrumental Stakeholder Management on Blockchain Technology Adoption Behavior in Agri-Food Supply Chains," JRFM, MDPI, vol. 14(12), pages 1-20, December.
    3. repec:wsr:ecbook:2022:i:viii-006 is not listed on IDEAS
    4. Xiaojing Zheng, 2022. "The Coordination of Multi-Stage Discounts in a Dual Channel Fresh Agricultural Produce Supply Chain: Minimizing the Loss of Quantity and Quality," Sustainability, MDPI, vol. 14(4), pages 1-28, February.
    5. Barbara Richter & Jon H. Hanf, 2021. "Cooperatives in the Wine Industry: Sustainable Management Practices and Digitalisation," Sustainability, MDPI, vol. 13(10), pages 1-20, May.
    6. Ulpan Tokkozhina & Ana Lucia Martins & Joao C. Ferreira, 2023. "Uncovering dimensions of the impact of blockchain technology in supply chain management," Operations Management Research, Springer, vol. 16(1), pages 99-125, March.
    7. Chauhan, Chetna & Kaur, Puneet & Arrawatia, Rakesh & Ractham, Peter & Dhir, Amandeep, 2022. "Supply chain collaboration and sustainable development goals (SDGs). Teamwork makes achieving SDGs dream work," Journal of Business Research, Elsevier, vol. 147(C), pages 290-307.
    8. Maro Vlachopoulou & Christos Ziakis & Kostas Vergidis & Michael Madas, 2021. "Analyzing AgriFood-Tech e-Business Models," Sustainability, MDPI, vol. 13(10), pages 1-17, May.
    9. Antonello Cammarano & Vincenzo Varriale & Francesca Michelino & Mauro Caputo, 2023. "Blockchain as enabling factor for implementing RFID and IoT technologies in VMI: a simulation on the Parmigiano Reggiano supply chain," Operations Management Research, Springer, vol. 16(2), pages 726-754, June.
    10. Pandey, Vivekanand & Pant, Millie & Snasel, Vaclav, 2022. "Blockchain technology in food supply chains: Review and bibliometric analysis," Technology in Society, Elsevier, vol. 69(C).
    11. Sumit Kumar Rana & Hee-Cheol Kim & Subhendu Kumar Pani & Sanjeev Kumar Rana & Moon-Il Joo & Arun Kumar Rana & Satyabrata Aich, 2021. "Blockchain-Based Model to Improve the Performance of the Next-Generation Digital Supply Chain," Sustainability, MDPI, vol. 13(18), pages 1-16, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jon H. Hanf & Silva Atoyan & Linda Bitsch & Taras Gagalyuk, 2019. "Supply chain networks in the Armenian agribusiness: Setting a benchmark," Economia agro-alimentare, FrancoAngeli Editore, vol. 21(2), pages 359-378.
    2. Bitsch, Linda & Hanf, Jon H., 2022. "The perfect match: interpersonal relationships and their impact on chain management," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 25(3), March.
    3. Xhoxhi, Orjon & Imami, Drini & Hanf, Jon & Gjokaj, Ekrem, 2022. "Too much power or no power: when does intermediary's power result into better wine and happier farmers?," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 25(5), December.
    4. Gagalyuk, Taras & Hanf, Jon, 2008. "Mission impossible: Vertical collaboration in Ukraine," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 8(2), pages 78-89.
    5. Gagalyuk, Taras, 2012. "Goal achievement in supply chain networks: A study of the Ukrainian agri-food business," Studies on the Agricultural and Food Sector in Transition Economies, Leibniz Institute of Agricultural Development in Transition Economies (IAMO), volume 64, number 64, September.
    6. Cannavale, Chiara & Esempio, Anna & Ferretti, Marco, 2021. "Up- and down- alliances: A systematic literature review," International Business Review, Elsevier, vol. 30(5).
    7. Mark Knell & Simone Vannuccini, 2022. "Tools and concepts for understanding disruptive technological change after Schumpeter," Jena Economics Research Papers 2022-005, Friedrich-Schiller-University Jena.
    8. Sturgeon, Timothy J., 1997. "Does Manufacturing Still Matter? The Organizational Delinking of Production from Innovation," UCAIS Berkeley Roundtable on the International Economy, Working Paper Series qt2g22d9d2, UCAIS Berkeley Roundtable on the International Economy, UC Berkeley.
    9. Karhu, Esa Kristian & Laine, Kalle & Ahola, Jyrki & Kotonen, Ulla, 2002. "Generating competitiveness through interfirm co-operation: the forest industry of South Karelia and small and medium size subcontracting companies," ERSA conference papers ersa02p192, European Regional Science Association.
    10. Christiaan Hogendorn & Brett Frischmann, 2020. "Infrastructure and general purpose technologies: a technology flow framework," European Journal of Law and Economics, Springer, vol. 50(3), pages 469-488, December.
    11. Terranova, Roberta & Turco, Enrico M., 2022. "Concentration, stagnation and inequality: An agent-based approach," Journal of Economic Behavior & Organization, Elsevier, vol. 193(C), pages 569-595.
    12. Hanf, Jon & Belaya, Vera, 2008. "Retail internationalization and ist impact on the Russian agri - food business," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 13(3), pages 239-252.
    13. Patrizia Pastore & Antonio Ricciardi & Silvia Tommaso, 2020. "Contractual networks: an organizational model to reduce the competitive disadvantage of small and medium enterprises (SMEs) in Europe’s less developed regions. A survey in southern Italy," International Entrepreneurship and Management Journal, Springer, vol. 16(4), pages 1503-1535, December.
    14. Kroll, Henning & Berghäuser, Hendrik & Blind, Knut & Neuhäusler, Peter & Scheifele, Fabian & Thielmann, Axel & Wydra, Sven, 2022. "Schlüsseltechnologien," Studien zum deutschen Innovationssystem 7-2022, Expertenkommission Forschung und Innovation (EFI) - Commission of Experts for Research and Innovation, Berlin.
    15. Gagalyuk, Taras & Hanf, John, 2008. "Mission Impossible: Vertical Collaboration in Ukraine," BANWA: A Multidisciplinary Journal, University of the Philippines Mindanao, vol. 8(2), pages 1-12.
    16. Sophie Giordano & Elisabeth Roucolle, 2001. "Modele Comptable Et Representation Des Organisations En Reseau," Post-Print halshs-00584651, HAL.
    17. Ahlert, Klaus-Henning & Corsten, Hans & Gössinger, Ralf, 2009. "Capacity management in order-driven production networks--A flexibility-oriented approach to determine the size of a network capacity pool," International Journal of Production Economics, Elsevier, vol. 118(2), pages 430-441, April.
    18. Björkman, Ingmar & Kock, Sören, 1995. "Social relationships and business networks: The case of Western companies in China," International Business Review, Elsevier, vol. 4(4), pages 519-535.
    19. Bernard Aritua & Clemens Wagener & Norbert Wagener & Michał Adamczak, 2021. "Blockchain Solutions for International Logistics Networks along the New Silk Road between Europe and Asia," Logistics, MDPI, vol. 5(3), pages 1-14, August.
    20. Wei-ping Wu & Alicia Leung, 2005. "Does a Micro-Macro Link Exist Between Managerial Value of Reciprocity, Social Capital and Firm Performance? The Case of SMEs in China," Asia Pacific Journal of Management, Springer, vol. 22(4), pages 445-463, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:13:y:2021:i:4:p:2168-:d:501119. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.