Building blockchain‐driven dynamic capabilities for developing circular supply chain: Rethinking the role of sensing, seizing, and reconfiguring

Abstract

AbstractGlobally, firms face increasing pressure to efficiently utilize resources and minimize costs and may do so through sustainable supply chains and circular economy practices. Emerging technologies, such as blockchain, to enable a circular economy have become a new industrial paradigm. However, firms require building dynamic capabilities through blockchain, which can be key to realizing circular economy model. This study introduces a framework for building blockchain‐driven dynamic capabilities for a circular supply chain. We further use the Decision Making Trial and Evaluation Laboratory (DEMATEL) method to evaluate three major dynamic capabilities and 18 sub‐dynamic capabilities and their interrelationships. The mining industry in Ghana sets the stage for this analysis. The study results show that although blockchain‐driven sensing dynamic capability, seizing dynamic capability, and reconfiguring dynamic capability are crucial for developing a circular supply chain, they do not strictly follow a sequence and overlap. We highlight various cause–effect relationships, providing insights into the role of sensing, seizing, and reconfiguring dynamic capabilities. That information is important to firms, stakeholders, and partners to draft an appropriate strategy to build blockchain‐driven dynamic capabilities for developing a circular supply chain.