Supply Chain Information Sharing: Modeling the Barriers

Supply Chain Information Sharing: Modeling the Barriers

Akshay A. Pujara (Department of Mechanical Engineering, S.V. National Institute of Technology, Surat, India) and Ravi Kant (Department of Mechanical Engineering, S.V. National Institute of Technology, Surat, India)
DOI: 10.4018/ijisscm.2015010102
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The purpose of this paper is to present an approach for modeling the barriers of information sharing (IS) in supply chain (SC) by developing the relationship between various information sharing barriers (ISBs). Using interpretive structural modeling (ISM), the result shows a hierarchy-based model and the mutual relationships among the ISBs. The result shows that there is a group of ISBs having high driving power and low dependence which requires maximum attention and of strategic importance while another group consists of those ISBs which have high dependence and are the resultant actions. This categorization provides an important guideline to top management to differentiate between independent and dependent ISBs and their mutual relationships which are playing the role of roadblocks for effective IS in SC.
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Operational strategies of organizations have been shifted towards integrated SC strategies rather than independent operations with both suppliers and customers (Silveira & Arkader, 2007). Supply Chain Management (SCM) is a key strategic approach for increasing organizational effectiveness and the realization of organizational goals. SCM helps in achieving the co-ordination between organizations as well as with customers (Dath, Rajendran, & Narashiman, 2010). The information sharing (IS) enabled supply chain (SC) needs closer relationships among its partners. It requires a level of trust, commitment, co-operation, co-ordination and collaboration between SC members for its success (Richey, Che, Upreti, Fawcett, Adams, 2009). There are many factors which hinders in achieving SC benefits to the organizations. These factors are known as Information sharing Barriers (ISBs).

Many researchers (see Table 1) have discussed the various ISBs which hinder organizations to implement IS. Pujara, Kant, & Singh (2011) discussed the mutual effect of eleven ISBs over each other. They developed relationships among eleven identified ISBs. In this paper, eighteen ISBs (see Table 1) have been chosen on the basis of literature review and the opinions of experts from both industry and academia for development of structural model.

ISM is a well-established methodology for identifying relationships using group learning process among specific items which define a problem or an issue (Warfield, 1974; Sage, 1977). Therefore, in this research, ISBs have been analyzed using the ISM approach.

The main objectives of this paper are to identify and rank the ISBs, to establish relationships among the identified ISBs using ISM, and to discuss the organizational implications of this research and suggest directions for future research.

Table 1.
Information sharing barriers in SC
ISB Number (ISB No.)Information Sharing Barriers (ISB)References
Tokar et al., (2011) Awad and Nassar (2010) Johnson (2010) Lee et al., (2010) Forsuland and Jonsson (2009) Gonzalex et al., (2010) Matook et al., (2009) Richey et al., (2009) Archer et al., (2008) Bakker et al., (2008) Fawcett et al., (2008) Adebanjo et al., (2006) Cassivi (2006) Storey, Emberson, Godsell, & Harrison (2006) Storey, Emberson, & Reade (2005) Childerhouse et al., (2003a) Childerhouse et al., (2003b) Larsen et al., (2003) Lambert et al., (1998)
1Lack of Top Management Support
2Lack of Strategic Planning
3Lack of Information Flow
4Lack of organization structure
5Lack of Supportive Culture
6Lack of trust
7Lack of SCM benefits
8Lack of SCM measure
9Lack of SC integration
10Lack of training and education
11Lack of IS/IT
12Lack of cost sharing
13Lack of Fund
14Un-realization of Boundaries of SC
15Unwillingness to Share information
16Lack of supplier competencies
17Resistance to change
18Risk of Data Loss

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