Supply chain transparency for sustainability – an intervention-based research approach

Abstract

PurposeThe COVID-19 pandemic has impacted all manufacturing sectors from basic products to luxury goods including the automobile industry. This has necessitated a new line of research on competency building, transparency, and sustainability in automotive supply chains. In this study, the authors examine the competencies required to improve the automotive supply chain routine operations to address the parts supply crisis from multitier suppliers in the post-COVID-19 environment. The authors also propose a list of competencies required in the automotive supply chains to deploy the transparency for sustainability (TfS) framework on a long-term basis.Design/methodology/approachThe authors have adapted a cross-case study process using intervention-based research and a design science approach for use in this study and used multiple sources for data collection such as published literature, operational experience, and critical opinions of original equipment manufacturer representatives. The research design includes interviews with global OEMs practitioners as one of the relevant sources of information.FindingsThe impact of the COVID-19 pandemic outbreak on automotive manufacturing operations and global supply chains is unprecedented. The TfS framework cycle has been validated using the real-world semiconductor supply crisis which deals with multitier sustainable supply chain management (MTSSCM), and the authors found that there are competency gaps when compared with existing literature. The list of key competencies identified along with the formulation of design propositions to facilitate both the supply crisis and collaboration among automotive firms to enhance their business performance were also presented.Research limitations/implicationsThe COVID-19 pandemic is impacting the automobile sector significantly. This situation has created many opportunities and obstacles, but this paper only considers the automotive semi-conductor shortage situation, which may be resolved in the near future when there are more installed capacities. Therefore, it is unclear whether the proposed responses will result in long-term solutions. Further adjustments may be needed to revisit the TfS framework. The research paper only addresses the automotive side of the current supply crisis, but more sustainability issues may arise in the future, which need to be dealt with separately.Practical implicationsResearch findings may prove particularly interesting to global automotive vehicle manufacturers, suppliers and policy makers who are seeking to understand multitier supply networks to resolve the current challenges associated with the post-COVID-19 pandemic situation.Originality/valueIn addition to contributing to developing competency requirements, this study enhances the evolving research stream of MTSSCM by linking it to wider research applications of intervention-based research coupled with design science.