Digital supply chain to unlock new agility: a TISM approach

Abstract

PurposeTraditional supply chain arrangements have failed to keep up with escalating customer demands and breakthrough innovations. The way forward is a flexible yet innovative network that leverages ecosystem partners and digital tools to unlock new agility. The paper aims at identifying and analyzing numerous critical success factors (CSFs) that may improve the efficiency of a digital supply chain.Design/methodology/approachTwelve CSFs are identified in this paper through an extensive literature survey. Expert opinion has been considered and the hierarchical structure built using total interpretative structural modeling (TISM) which highlights the interdependencies between these CSFs. Cross-impact matrix multiplication (MICMAC) is used to determine the driving and dependence power of each factor.FindingsThis study identified 12 CSFs through an extensive literature survey. The ISM model resulted in six different levels beginning from redesign organization at the bottom of the structure. The TISM model explained why redesigning the organization is pivotal to bringing about novel agility in the supply chain. MICMAC analysis confirmed that the following enhanced the success of a digital supply chain: Sales and Operation Planning Strategies, Strategic Sourcing Techniques, Smart Manufacturing Processes and Warehouse Management.Research limitations/implicationsVarious other components contributing to the 12 CSFs identified in this paper may be discovered and detailed in future research. Additionally, further research is required to expand the existing technology-based services structural model to a more empirical form.Practical implicationsThis study offers a comprehensive but not exhaustive list of CSFs essential to digital supply chain growth. It will enable market experts and leaders to concentrate on key factors leading to tactical decisions and maximum value for firms.Originality/valueThe paper seeks to add to the body of knowledge on real digitally-led supply chain transformation, which is still in its early stages. This study is one of the first, if not the first, to examine success factors critical to the improvement of the performance of the supply chain. It lays the foundation for further research in this field.