From real-time visibility to operational benefits – tensions on unfinished paths

Abstract

PurposeVisibility is the need of the hour for each organization involved in the supply chain, and scholars have made few previous efforts to understand patterns driving visibility in transportation platforms. However, many companies have not been able to achieve sufficient levels of practical implementation across the supply chain. Therefore, this study focuses on exploring, why the real-time visibility transportation platforms fail to operationalize.Design/methodology/approachThis study utilizes action research as a methodology for pragmatism to understand supply chain professionals' viewpoint regarding the operationalization of real-time visibility. The research addresses a complex transportation network of a fast-moving consumer goods company. Wherein, both a greater need for visibility and improvements are also more challenging.FindingsTensions amongst complementors, the platform owner, and the Control Tower of a focal company explain the different impacts of freight forwarders and own fleet carriers on shipment compliance. Integrating subcontractors is a cost-intensive practice for complementors that increases asymmetry and reduces co-created value. The willingness of freight forwarders to exert control contributes to tension competition versus collaboration.Research limitations/implicationsThe model identifies the dynamics that explain how managers can navigate the tension over time by controlling contradictory loops driving shipment compliance. Findings can help managers develop plans, conduct pilots, and collaborate to unlock value from real-time visibility. The research findings can be informative for the European Union bodies and help work out a policy that reduces the asymmetry of benefits and contribute to the more sustainable development of digital industrial platforms.Originality/valueThe contribution lies in (1) providing a study of the factors affecting achieving real-time visibility, (2) distinguishing complementors (3) identifying tensions amongst complementors and platform owner as critical for successful platform deployment, (4) conceptualizing a pattern of behavior emerging amongst the platform partners and (5) outlining avenues for future research.