Supply Chain Transparency in the Scandinavian Automotive
Industry
Ali Alipourfallahpasand
Erik Örjas
Graduate School
Innovation and Entrepreneurship Department
Master Degree Project in Innovation and Industrial Management
Supervisor: Johan Brink
Spring 2023
Abstract
The automotive industry can be characterized as a highly competitive and dynamic
landscape, where effective supply chain management practices are crucial for meeting
consumer demands and ensuring sustainable operations. Transparency across the supply
chain is vital for building trust and collaboration among supply chain stakeholders. However,
achieving it can be challenging due to various barriers and areas that require further
development. Accordingly, this research focuses on identifying barriers to achieving supply
chain transparency in the automotive industry and exploring strategies to overcome them and
proposing ways for development. Systematic Literature Review was used to find and analyze
relevant theoretical literature. Additionally, Thematic analysis was employed to analyze the
data collected through semi-structured interviews with key industry professionals. The results
of study show that transparency in supply chains is impacted by a number of principal
obstacles including, regulations and geographical dynamics, scale and values and essential
technologies. These barriers influence transparency levels and overall supply chain
performance. The study suggests various approaches to developing supply chain
transparency, including the integration of advanced technologies such as RFID, the Industrial
Internet of Things (IIoT), and blockchain. Additionally, building trust for collaboration,
communication, and aligning organizational values are identified as crucial factors in
enhancing transparency. It was discovered that collaborative relationships facilitate
knowledge sharing, inventory management, risk management, and value co-creation, leading
to improved competitiveness, innovation, and overall supply chain performance. The insights
from this research provide valuable guidance for automotive companies aiming to improve
transparency, operational efficiency, and responsible business practices within their supply
chains.
Keywords: Supply Chain Management, complexity, transparency, information flow,
collaboration, stakeholders, technological advancements, sustainability, procurement.
1
Acknowledgement
We extend our sincerest appreciation to Johan Brink, our thesis supervisor, for his guidance
and support throughout our research journey. His valuable insights and feedback have
significantly contributed to shaping our understanding of the subject matter and have been
crucial in keeping us motivated and on track.
We would also like to express our gratitude to the faculty members of the Innovation and
Industrial Management program for providing us with the opportunity to pursue this program
and for their valuable teachings and encouragement.
Furthermore, we are grateful to the study participants who generously shared their
experiences and insights, providing us with valuable data to support our research findings.
Lastly, we would like to thank our friends and family for their unwavering support and
encouragement during this journey. Your love and support have been our source of strength
and motivation, and we could not have accomplished this without you.
Thank you all for your support and encouragement.
Ali Alipourfallahpasand Erik Örjas
Gothenburg, May 2023
2
Table of Contents
1. Introduction...............................................................................................................5
1.1. Overview............................................................................................................ 5
1.2. Problem Discussion............................................................................................7
1.3. Delimitations...................................................................................................... 7
1.4. Disposition......................................................................................................... 8
2. Research Purpose and Research Questions............................................................9
3. Research Method.................................................................................................... 10
3.1. Research Strategy and Design..........................................................................10
3.2. Systematic Literature Review.......................................................................... 11
3.3. Interviews......................................................................................................... 13
3.4. Thematic Analysis............................................................................................15
4. Literature Review................................................................................................... 16
4.1. Supply Chain Management.............................................................................. 16
4.2. Obstacles to Supply Chain Transparency.........................................................18
4.2.1. Supply Chain Risk Management............................................................. 19
4.2.2. Supply Chain Uncertainty........................................................................20
4.3. Supply Chain Transparency............................................................................. 20
4.4. Culture and Supply Chain Transparency..........................................................23
4.5. Organization Size and Supply Chain Transparency.........................................24
4.6. Technology and Supply Chain Transparency...................................................24
4.7. Sustainable Supply Chain Management...........................................................26
4.8. Information flow.............................................................................................. 29
4.9. Information asymmetry.................................................................................... 30
4.10. Supply Chain Collaboration and Communication......................................... 30
4.11. Knowledge sharing.........................................................................................31
4.12. Implications....................................................................................................32
5. Empirical Results....................................................................................................34
5.1. Identified Barriers to Transparency..................................................................34
5.1.1. Regulations and Geographical Location..................................................34
5.1.2. Organizational Size and Culture.............................................................. 36
5.1.3. Protecting Critical Technological............................................................ 39
5.2. Strategies for Improving Supply Chain Transparency..................................... 41
5.2.1. Embracing Emerging Technologies.........................................................42
5.2.2. Changing Management Practices............................................................ 42
5.2.3. Willingness to Bear Initial Costs............................................................. 43
3
5.2.4. Organizational Values.............................................................................. 44
5.2.5. Audits and on site visits...........................................................................44
5.3. Findings and Analysis...................................................................................... 45
5.3.1. Obstacles to SCT..................................................................................... 45
5.3.1.1. Regulations and Geographical Location......................................... 46
5.3.1.2. Organizational Size and Culture..................................................... 47
5.3.1.3. Protecting Critical Technology........................................................49
5.3.2. Strategies for Developing SCT..................................................................... 50
5.3.2.1. Technological, Organizational and Expenditure Factors......................50
6. Conclusion............................................................................................................... 54
6.1. Barriers to SCT.................................................................................................54
6.2. Suggestions for Development.......................................................................... 55
6.3. Limitation......................................................................................................... 55
6.4. Suggestions for Future Research......................................................................56
Reference..................................................................................................................... 57
Appendix......................................................................................................................69
4
Chapter 1: The first chapter of the thesis provides an introduction to the research topic and
sets the context for the study. It presents the background information, highlighting the
significance and relevance of the research area. The problem discussion identifies the specific
issues or gaps that the thesis aims to address, emphasizing the importance of studying and
understanding these aspects.
1. Introduction
1.1. Overview
In today's global economy automotive manufacturers must continuously seek out and identify
new ways for collaborating with suppliers and key stakeholders to improve operational
efficiency. This has resulted in an increasingly complex ecosystem as the level of
collaboration and dissemination of knowledge along the Supply Chain (SC) have grown over
the last years (Ada, et al., 2021). Therefore, in order to manage these highly complex
relationships global automakers require adequate information and knowledge in managing
critical activities in the SC (Dev et al., 2013; Hung et al., 2014). At the same time, in the
fast-changing business environment information flow has emerged as the critical factor for
organizations (Sahin & Topal, 2019). Accordingly, in the supply chain context, managers are
facing challenges related to transparency in supply chain relationships, specifically in regard
to the exchange of information and knowledge between customers and suppliers (Lamming et
al., 2001); at the same time, numerous companies face the task of enhancing transparency in
their SC, not only to comply with regulations, but also to streamline operations, ensure high
quality, and promote sustainability. However, regulations and standards require companies to
verify the quality and origin of their products, align with transparency and traceability
standards throughout the SC (Challender, 2014). This can be seen as clear evidence that
Supply Chain Transparency (SCT) has garnered greater interest from both industry and
academia (Chen et al., 2022), undertaken by scholars examining the interplay between the
SC, transparency, and information flow.
When a supply chain can be defined as complex, it is often the result of lacking transparency
and traceability. In such situations, a system is usually not in place to track a product
throughout the supply chain (Elmissity & Elmissity, 2018). Researchers and business
professionals agree that the complexity along the SC is high and increased even further in
recent years (Aelker & Ehm, 2013). The rise in complexity of products, processes, and
organizations has been fueled by various trends, such as globalization, a wider range of
product variants, and reduced manufacturing depth, combined with shorter Product Life
Cycles (PLC). This phenomenon is particularly evident in organizations that operate in global
value networks. It is no longer sufficient for individual companies to compete on their own;
the entire SC must be taken into account (Winkler & Kaluza, 2007). Despite the challenges of
handling complexity in the SC, multiple studies indicate that effective management of
complexity can result in improved supply chain performance (Kearney, 2004; Blecker et al.,
2005; Bozarth et al.2009; Koudal & Engel, 2007; KPMG, 2011; Perona & Miragliotta, 2004;
PricewaterhouseCoopers, 2006; Vachon & Klassen, 2002; Van Der Vorst & Beulens, 2002).
5
Respectively, numerous studies have explored supply chain complexity across various
industries (Wilding, 1998; Vachon and Klassen, 2002; Choi et al., 2001), indicating that
focusing solely on the complexity of information and physical flows within the automotive
SC may not be particularly novel or engaging.
To gain a deeper understanding of the challenges and opportunities associated with managing
complex and global supply chains, this research focuses on studying the supply chains of
major Scandinavian automotive manufacturers. These companies are all major players in the
industry with a significant presence in the global supply chain. However, each company faces
its unique set of challenges in managing their respective supply chains. Volvo Cars, a
Swedish premium car manufacturer, has a complex supply chain with suppliers located in
different parts of the world and makes the supply chain sustainability management a critical
phenomenon in Volvo Cars' operations (VCC, 2021). Volvo Group, on the other hand, is a
global manufacturer of heavy-duty trucks, buses, and construction equipment (VG, n.d.). The
company's SC is highly dependent on raw materials, including sheet metal, which are subject
to price fluctuations and supply chain disruptions. In addition, the company's extensive global
footprint and complex logistics operations makes it vulnerable to transportation-related
disruptions. Scania, another Swedish manufacturer of heavy-duty trucks and buses, faces
similar challenges as Volvo Group in managing its supply chain (Scania, n.d.). Polestar, a
new entrant in the automotive industry, is a subsidiary of Volvo Cars and produces
high-performance electric cars (Polestar n.d.). As a new player in the market, Polestar faces
challenges in securing reliable and high-quality suppliers for delivering components. In
addition, the company's focus on sustainability and ethical sourcing adds another layer of
complexity to its Supply Chain Management (SCM). By studying the supply chains of these
companies, this report aims to uncover both the challenges and opportunities that arise,
ultimately leading to improved transparency in the SC. It also seeks to understand how these
companies have developed and implemented strategies to address these challenges and
improve the performance and efficiency of their supply chains.
To address these requirements effectively, it is essential to focus on several key aspects of
supply chain transparency within the Scandinavian automotive industry. This includes
gaining a clear understanding of the current obstacles that hinder transparency in the
industry's supply chain and identifying the techniques, tools, or methods that can be
employed to overcome these challenges and enhance transparency. Furthermore, it is crucial
to acknowledge that the concept of "transparency" is subjective and can vary in its
interpretation among different industries, companies, or individuals. To ensure a
comprehensive understanding of transparency within the chosen context, an extensive
literature review and consultations with experts have been conducted to establish a solid
foundation of knowledge and perspective on the term. This approach can assist companies in
reducing production costs, identifying bottlenecks, and optimizing their SCM. Moreover,
enhancing SCT can enable companies to ensure the sustainability of their supply chains by
identifying and addressing potential environmental and social risks. All these aspects will be
explored and addressed comprehensively within the scope of this project.
6
1.2. Problem Discussion
The escalating complexity and interdependence within the global automotive ecosystem
present significant challenges for automakers. To maintain competitiveness, they must work
with the task of managing this complexity, which requires gathering and interpretation of a
substantial volume of information. In this regard, enhancing transparency in the flow of
information among stakeholders and suppliers emerges as a vital component. However, the
journey toward achieving supply chain transparency encounters various obstacles. These
obstacles hinder the mechanisms that facilitate increased information sharing among
automotive industry stakeholders. As a result, the goal of enhancing transparency faces
significant challenges that must be addressed.
To effectively address these challenges, it becomes essential to dive into the specific factors
that slow down or stop the flow of information within the automotive industry. By
understanding these obstacles, stakeholders can develop strategies to overcome them and
establish a more transparent and efficient supply chain network. Relevantly, in the subsequent
sections of this paper, we aim to explore these obstacles in the Scandinavian automotive
industry context. By examining the current level of transparency in SCM practices, we seek
to identify the key barriers that prevent effective information sharing. Furthermore, we will
explore potential avenues for Scandinavian automakers to improve transparency in how they
manage supply chain related activities. By addressing these challenges head-on and seeking
innovative solutions, the automotive industry can unlock the benefits of enhanced supply
chain transparency, bolstering competitiveness and driving sustainable growth.
1.3. Delimitations
The scope of the study is limited to only include supply chains in the Scandinavian
automotive industry, also the perspective will only be that of automakers thus excluding that
of suppliers and other stakeholders. The study will primarily focus on understanding
upstream SC processes, this includes manufacturing flow management, order fulfillment,
demand management and supplier relationship management.
The reason for choosing Scandinavian automakers as the target group for the report was
because compared to many of its competitors they are generally more collaborative and open
to adopting new practices that align with increasing SCT. Evidence and testament to this can
be seen when considering to what extent that they are open to share information about their
SC practices and overall performance. Scandinavian automakers have generally more
ambitious objectives to become more sustainable, for example many of them have set clear
deadlines as to when they will abandon traditional combustion engines in favor of electric
propulsion technologies. The strategy of being more sustainable has also paid off in other
aspects than just in regard to being more sustainable as over the past decade they have
increased their overall competitiveness on the market. Since this would not have been
possible without adopting many of the ideas that align with SCT it was therefore a logical
choice to select Scandinavian automakers for studying how automakers can become more
transparent. To decide what companies would be included in the group of Scandinavian
automakers we needed to decide on a few factors that would either qualify or disqualify
7
potential candidates. The factors for selecting target companies was determined based on
making sure that the automakers are on the very forefront on adopting processes and
procedures that are the most up to date in regard to managing SC related activities. The
reason as to why this selection was important is because the professionals that will be
selected for having interviews will all have experience working in these companies.
The factors that was considered as whether a automakers was to be included in the group of
selected companies are as follows below:
1. Well established SCM processes: Since the study aims to better understand how
automakers supply chain processes impact SCT and information flow the automakers
need to have a well established and mature system for managing SC related tasks.
2. Geographical Location: The automakers need to have their headquarters and main
operations in Scandinavia.
3. Size: The automakers need to be a considerable player on the market or at the very
least have strong aspirations to be one in the future.
The companies that met all of the above specified criterias are Volvo Group, Scania, Volvo
Cars and Polestar. Thus are these four companies the ones for the professionals that will be
picked for having interviews with.
1.4. Disposition
The disposition of the reports was determined on the objective of outlining findings in a
structured approach given the purpose of the study. Also the order in which the findings are
presented should also follow a logic where all required information for understanding a
reasoning discussed in the report have been presented earlier in the report. The transitions
between chapters also aim to help the reader to get a holistic understanding of the field so that
there are no missed gaps in either literature or empirical findings so when eventually reaching
to the end of the report there should be no loose ends. Finally, the structure has also been
influenced in regard to commonly used and generally accepted ways for structuring a
scientific report. Following the Research Questions and Research Purpose chapter (2), is the
Methodology chapter (3). The Methodology chapter explains how the data was collected and
what the analytical techniques used to analyze the data. Thereafter follows Chapter 4
(Literature Review) where all relevant theoretical frameworks and models on SCT in the
automotive industry are presented and contrasted to other research. The primary focus was to
identify the different challenges that automakers are facing and the tools adopted to manage
them. Chapter 5 presents the findings of the study, the primary aspect influencing how the
findings are organized are identified themes in the literature review. Chapter 6 centers around
presenting the results in a way to address the research questions and provides a summary of
the key findings and conclusions of the study, along with suggestions for further research in
this area.
8
Chapter 2: The second chapter of the thesis focuses on the research purpose and research
questions. It outlines the main objectives and goals of the study, explaining why the research
is being conducted and what the researchers aim to achieve. The chapter presents the specific
research questions that will guide the investigation and help provide insights into the research
topic.
2. Research Purpose and Research Questions
The purpose of the study is to provide insights into how transparent automotive supply chains
are and then also identify what the dynamics are that determine to what extent information is
shared between suppliers and automakers. The paper's purpose extends to also include
strategies that stakeholders in the SC can adopt when attempting to increase SCT. The
primary reason as to why this purpose is relevant can very much be explained by considering
the many disruptions that automakers have faced in recent years, and many cases have proven
to be unsuccessful to fend off. As a result automakers were forced to reduce production as
they didn't have all of the required parts to assemble the cars since they didn't find alternative
ways to deal with the different bottlenecks. When reviewing existing literature there is little
research done on how automakers can deal with these situations but also what the factors are
that determine the level of information that is shared both between organizations but also
internally in the organization. Thus, the primary aim of the study is to shed light on how
automakers' manage supply chain related activities and in what way this influences the level
of transparency in the SC.
With the purpose decided were we able to develop two Research Questions the study should
provide answers to. The first research question centers around identifying what the
mechanisms are that hinders the flow of information in the SC. The reason to have this as
RQ1 is because the overall purpose of the study is to understand why automotive supply
chains are not more transparent. The second Research Question included identifying
strategies and approaches that automakers can adopt in order to increasingly become more
transparent, because one of the aspects included in the study's purpose is to explore ways in
which automakers can become more transparent. The Research Questions that the report aims
to answers is as follows:
RQ1. What are the obstacles for supply chain transparency in the Scandinavian
automotive industry?
RQ2. How can Scandinavian automakers become more transparent in regard to
managing supply chain related activities?
9
Chapter 3: This chapter focuses on the methodology used in the study. It describes the
research design, data collection methods, and data analysis techniques employed to answer
the research questions. The chapter explains why this methodology was chosen and how it
aligns with the research objectives.
3. Research Method
3.1. Research Strategy and Design
According to Guest el al. (2011), the design and planning of a specific analysis are greatly
influenced by the overall approach adopted and desired outcome. In this project, the primary
objective is to gain a comprehensive understanding of the dynamics that impact supply chain
transparency within a Scandinavian context. As a result, the project can be characterized as a
single case study. Hence, while the empirical findings in the report are based on a limited
number of companies, resembling a multiple study, the focus of the research is not on
examining each individual automaker's supply chain management in detail. Instead, the aim
is to investigate the broader implications that adopted supply chain management practices
have on SCT within the Scandinavian automotive context.
Additionally, for this study, inductive reasoning was utilized as a logical process to derive
general conclusions from specific observations gathered through systematic literature review
and semi-structured interviews. This qualitative research methodology aligns with the
diverse, complex, and nuanced nature of qualitative approach (Holloway & Todres, 2003).
The application of thematic analysis as a foundational method for qualitative analysis is also
in line with this approach (Braun & Clarke, 2006). The utilization of grounded theory further
facilitated the systematic generation of a substantive theory based on empirical data (Glaser
& Strauss, 1967).
During the data collection phase, meticulous consideration was given to the selection of data
sources and sampling criteria to ensure the reliability and validity of the findings (Franzosiph,
2004). The selection of samples holds significant importance, and it is imperative for
researchers to comprehend the relationships between source databases, sample
characteristics, and research questions (Gaur & Kumar, 2018). In our study, we carefully
selected a total of 98 articles for the final literature review. The choice of these samples align
with the specific objectives of our research, focusing on distinct purposes within the review,
rather than attempting to encompass the entirety of the population (Drisko & Maschi, 2016;
Krippendorf, 2004). In the context of literature reviews, the magnitude of sample size may be
less noticeable. Since we possessed knowledge of the text population, we were able to adopt
a targeted sampling approach, ensuring that the selected samples were most relevant to our
research objectives. In addition to the selection of data sources and sampling criteria for
literature review, the process of selecting interviews is a crucial aspect of data collection for
thematic analysis in this research. The aim was to align the selection of interviews with the
research objectives and gather valuable insights into the study's focus, which is supply chain
transparency of Scandinavian automotive manufacturers. To achieve this goal, a deliberate
10
sampling approach was employed. Ten semi-structured interviews were conducted with
professionals who possess relevant knowledge and expertise in the field. The selection of
participants was purposeful, aiming to collect empirical data that would facilitate the thematic
analysis.
3.2. Systematic Literature Review
Although there may be differing opinions, researchers commonly describe the literature
review process either by outlining distinct stages (Burnard, 1991; Downe-Wambolt, 1992) or
by explaining it within the context of continuous text (Berg, 2001; Catanzaro, 1988). The
integrative literature review is a research approach that involves reviewing, critiquing, and
synthesizing relevant literature on a specific topic (Torraco, 2005). In the context of this
project focused on the Scandinavian automotive industry, the systematic literature review
(SLR) was conducted to gain an understanding of existing literature frameworks and their
connection to empirical findings. The SLR explored various key areas related to the industry,
including supply chain management practices, complexity, culture, technology, and size, and
their correlations with the supply chain transparency. By collecting and analyzing data in
these areas, the primary objective was to uncover obstacles to SCT, evaluate the level of
transparency demonstrated by Scandinavian automotive manufacturers in their SCM
practices, and identify strategies for enhancing transparency in supply chain related activities.
This comprehensive review of the literature aimed to provide insights into the current state of
knowledge regarding supply chain transparency in the Scandinavian automotive industry. By
reviewing the literature and critically analyzing its findings, the study aimed to contribute to a
deeper understanding of the relationships between SCM practices and various factors such as
complexity, culture, technology, and company size and geographical location. All in all, the
main goal of this integrative literature review was to inform decision makers, practitioners,
researchers, and policymakers about the existing knowledge and gaps in the field. By
shedding light on the challenges and opportunities related to SCT in the Scandinavian
automotive industry, the review aimed to offer valuable insights and recommendations for
improving transparency and enhancing SCM practices in this specific context.
Accordingly, the process of conducting systematic literature review involves several stages,
including planning, selection, extraction and execution. In the planning stage, the focus is on
defining the purpose of review, creating a protocol, and testing it. During selection, the
emphasis is on searching for relevant literature and using practical screening methods. The
extraction stage involves collecting and evaluating data, including quality appraisal. Finally,
in the execution stage, the studies are synthesized, and the review was conducted.
11
Systematic Literature Review
Fig. 1
In order to focus on specific areas of literature, we examined suggestions made by previous
authors and identified gaps in the research on SCT in the automotive industry. Accordingly,
after a thorough analysis of selected papers, several models were identified that either built
upon or contradicted previous findings, which mainly focused on reasons for transparency.
However, we aimed to simplify the topic by breaking down transparency within the
automotive supply chain into three interconnected areas. Through our assessment of 93
articles, we discovered that the literature gap was most profound in three areas: organization,
critical technology and culture. Organization refers to aspects connected to how internal
organizational dynamics impact the overall level of transparency in the SC. Protecting core
technologies is an aspect that most managers acknowledge the importance of and thus it's an
aspect that they consider when planning and managing SC related activities, more practically
for example it is a common practice to sign non-disclosure agreements before starting a
collaboration. Finally, literature also highlights implications that certain geographical and
regulatory differences can have on SCT. Since legislative and government authorities have
the ability to develop and implement policy that can have considerable impact on market
dynamics companies need to be willing to adopt different strategies in relation to managing
SC related activities in a way that there will be differences in SCT between geographical
regions.
12
The flow diagram of studies’ screening and selection
Fig. 2
3.3. Interviews
Semi-structured interviews offer a versatile approach that strikes a balance between structure
and flexibility, allowing for focused exploration of specific topics while also accommodating
the complexity of the chosen research phenomenon (Galletta, 2013). One of the primary
advantages of the semi-structured interview is that it provides a framework for targeted
discussions while granting the investigator the freedom to delve into relevant ideas that may
arise during the interview process (Adeoye‐Olatunde & Olenik, 2021). In this research, we
conducted semi-structured interviews to gather additional insights from industry experts
specifically with employees of Volvo Cars, Volvo Group, Polestar, and Scania. In
semi-structured interviews the important text passages are not always found in the direct
context of the question that was asked.
13
Interview table
Respondent Company Position Duration
no. (Minutes)
1 Volvo Cars Transformation leader 34
2 Volvo Group SC Specialist 31
3 Polestar Digital Buyer 46
4 Polestar Senior Digital Buyer 26
5 Polestar Category Manager 31
6 Polestar Contract and Risk Specialist 59
7 Volvo Cars SC Specialist File
8 Polestar Buyer 39
9 Polestar Buyer EPS 49
10 Polestar / Scania Senior Digital Buyer 41
Table 1
The interviewees were selected based on their expertise and experience in the automotive
industry supply chain, particularly in relation to information flow and transparency. The
interview questions were designed to gain a better understanding of the current state of
information flow in the industry, challenges faced, and potential solutions to improve
transparency. The interview data was analyzed alongside the literature review findings to gain
a more comprehensive understanding of the research topic. The combination of both primary
and secondary research methods allowed the researchers to triangulate findings and gain a
more robust understanding of the state of information flow in the automotive industry SC and
how to improve transparency. The professionals selected for interviewing were all currently
employed by one of the four identified automakers, a majority of the interviewees also had
experience from other automers identified and included in the study. When considering what
position and title they have, a majority had a position within procurement and some kind of
role as buyer was the most recurring. The reason as to why these professionals were selected
was because after reviewing what kind responsibilities were included within their role it was
determined that they were the people most able to provide insights into the automakers
existing SCM processes. This notion that buyers had had the best understanding of these
things became very clear after the initial set of four interviews had been conducted. By seeing
how their experiences aligned with the literature the decision was made to more clearly target
employees working within the purchasing function. Consequently all interviews following
this initial review to a varying degree experience in a role connected to purchasing.
14
3.4. Thematic Analysis
Thematic analysis is a method used to carefully examine and interpret qualitative data, such
as interview responses, in order to identify patterns and themes. It involves organizing the
data into categories and then identifying overarching themes that capture the main ideas and
insights. Thematic analysis involves a systematic examination of narrative materials by
deconstructing the text into smaller units of content and subjecting them to descriptive
analysis (Sparker, 2005). It aims to identify recurring patterns and themes that cut across
individual interviews or a collection of interviews (DeSantis & Noel Ugarriza, 2000).
Through thematic analysis, researchers can provide a comprehensive, qualitative
understanding of the data, offering rich and nuanced insights into the subject matter (Braun &
Clarke, 2006). In the context of this research project on transparency in the automotive
supply chain within the Scandinavian industry, thematic analysis was employed to uncover
important themes related to the research questions. The aim was to understand the obstacles
to transparency, assess the current transparency levels of Scandinavian automotive
manufacturers, and explore strategies for future enhancement. The data were carefully
examined, and codes, categories, and themes were generated to capture the main findings.
These findings were then connected with information obtained from the systematic literature
review, addressing identified gaps, and providing a comprehensive understanding of supply
chain transparency in the Scandinavian automotive industry.
15
Chapter 4: The following chapter provides a comprehensive overview of existing research
and scholarly works relevant to the research topic. The chapter examines key theories,
concepts, and empirical studies that contribute to the understanding of the research problem.
It identifies gaps, inconsistencies, and debates in the literature, laying the foundation for the
subsequent analysis and discussion in the study.
4. Literature Review
4.1. Supply Chain Management
The framework that provides a comprehensive understanding of the activities comprising
supply chain management is developed by Lambert et al. (1998). The authors identify eight
processes that constitute a company's SCM activities. This framework offers a broad view of
the processes involved and demonstrates how all functions within an organization collaborate
with SCM. One significant aspect highlighted by the framework is the breadth of processes
involved in supply chain management and the extent to which all functions within an
organization contribute to its success. By examining these processes, the framework offers a
clear depiction of how different functions within an organization work together to achieve
effective SCM. Additionally, the framework emphasizes the emergence of information flow
as a result of the various activities within a supply chain. This dynamic underscores the
importance of accessibility and shared information among stakeholders. The model also
highlights the critical role of information exchange in SCM and prompts further exploration
of the extent to which stakeholders have access to and share relevant information.
SCM framework
Fig. 3 (Lambert, Cooper, Pagh, 1998)
16
In the early 1980s, SCM was originally introduced by consultants (Oliver & Webber, 1982),
and since then, it has been the focus of considerable attention (LaLonde, 1998). Since the
early 1990s, scholars have strived to structure supply chain management (Stevens, 1989;
Ellram, 1993). Bechtel and Jayaram (1997) identified the major contributions from the
literature and the generic schools of SCM thought in their work. They also pinpointed the
fundamental assumptions of SCM that will require challenge in the future. According to
Lambert and Cooper (2000), a crucial paradigm shift in contemporary business management
is the acknowledgement that individual businesses no longer compete solely as independent
entities but as members of larger supply chains. This shift has resulted in an era of
internetwork competition, in which competition involves not only brand versus brand or store
versus store, but also suppliers, brands, and stores competing as part of a larger supply chain
against other supply chains.
The complexity of the SC remains a current area of focus. As noted by Davis (1993),
effectively managing the SC is a formidable task, requiring the intricate management of
logistics within the supply chain. This encompasses the flow of products/services and
associated information from their origin to their point of consumption, resulting in significant
complexities. In order to understand information flow in the industry it's important to
remember that it's an area that is much more complex than logistics. As Lambert (1998)
explains that SCM goes into all functions and departments in an organization. Much more
complex as there are several “underlying” processes that need to be minded since also
material flows up and down along the value chains as product returns is a factor that needs to
be minded by actors. In the more complex system highlighted by Lambert one clear
conclusion that can be drawn is the extent of trade offs that arises due to the high level of
interdependence in modern organization as activities performed by a certain function impacts
also other departments work activities. As a result it is perceived that organizations need to
make tradeoffs between different objectives in the supply chain. To strike a balance between
these trade-offs, companies must gather relevant data that emerges from managing these
diverse activities. However, determining the right data for driving competitive positions can
be challenging for innovators, as it may not always be a matter of big or small data, but rather
identifying the critical pieces of information that are most relevant. While Lambert (1998) did
not specifically propose a supply chain management information flow chart, his supply chain
management chart implicitly highlights the importance of information flow in managing the
different components of the supply chain. Nevertheless, various scholars and practitioners
have developed information flow charts that build on Lambert's framework. One such
example is the supply chain management information flow chart developed by Mentzer et al.
(2001), which outlines the flow of information among the different components of the supply
chain, including suppliers, manufacturers, distributors, and customers.
Six departments participate in the flow of information and products across the supply chain.
However, three of these departments, which are more closely connected to downstream
suppliers, fall outside the scope of this research. The other three departments, namely
logistics, manufacturing, and procurement, are deemed more pertinent as they have a closer
relationship with upstream suppliers, including tier 1 and 2 suppliers.
17
4.2. Obstacles to Supply Chain Transparency
Another critical aspect of understanding the status and infrastructure of the supply chain is
recognizing the barriers that limit its transparency. This understanding becomes essential
when aiming to address these barriers and enhance supply chain visibility. The challenges
identified in the literature review and expert opinions clarifies various obstacles faced by
companies in achieving transparency:
● One significant barrier is the issue of Data Quality, Collection, and Storage (DQCS).
Companies often struggle with the collection of vast amounts of data, as it involves
substantial costs and logistical difficulties (Harbert, 2020). Outdated data collection
methods, such as Excel spreadsheets and paper, hinder real-time data availability and
introduce the risk of errors and counterfeiting (Rogerson and Parry, 2020). Ensuring
data quality is crucial, particularly given the need for data disclosure and the presence
of reliable information (Bateman and Bonanni, 2019).
● The Vague Short-Term Return on investment (VSTR) is another barrier that hinders
supply chain transparency efforts. The high costs associated with implementing
technologies like blockchain and IIoT make it challenging for companies to justify
their investment in the short term (Calvert, 2020; Luthra et al., 2018). This different
perspective on ROI, particularly from a financial standpoint, poses a challenge for
CFOs (Bateman and Bonanni, 2019). Furthermore, the fear of losing competitive
advantage (DCA) acts as a barrier to supply chain transparency. Companies are often
reluctant to disclose extensive information due to proprietary concerns and the
potential risk of compromising their competitive position (Bateman and Bonanni,
2019; Doorey, 2011). Balancing the need for transparency with protecting proprietary
information becomes a delicate task.
● Another barrier is the Lack of Stakeholder Awareness (LSA) regarding the importance
of a transparent supply chain. Upstream and downstream stakeholders may not fully
grasp the benefits or comprehend the necessity of transparency (Končar et al., 2020).
This lack of understanding, coupled with technological disparities and cultural
differences among supply chain entities, makes onboarding stakeholders and
implementing transparency initiatives challenging (Egels-Zandén and Hansson, 2016;
Bag et al., 2021).
● Customer Privacy (CP) is also a significant concern that hinders supply chain
transparency. Companies hesitate to share customer data to avoid breaching privacy
and confidentiality, as this could lead to a decline in customer trust and loyalty
(Sachdev, 2019). The use of tracking technologies raises security concerns, and in
case of a data breach the impact on the company's reputation would be severe (Končar
et al., 2020).
● Low Technology Adoption (LTA) presents a barrier, as nascent technologies like
blockchain and IoT are not yet widely understood or easily adopted by users
(Francisco and Swanson, 2018). Additionally, there is a shortage of skilled personnel
18
with sufficient training to effectively apply these advanced technologies (Ahmed and
Omar, 2019).
● Underdeveloped Infrastructure (UI) poses challenges to achieving supply chain
transparency. Limited internet connection, frequent interruptions, and low Wi-Fi
adoption in certain geographical regions create obstacles for effectively managing
interconnected devices and equipment across supply chain stakeholders (Luthra et al.,
2018; Botta et al., 2016).
● Regulatory Issues (RI) add complexity to the pursuit of transparency. Standardization,
certification, and country-specific permits related to technologies like blockchain and
IIoT can significantly delay implementation processes (Al-Fuqaha et al., 2015). The
lack of clear governance systems and regulatory support further hampers the
necessary approvals for transparent supply chain initiatives (Batubara et al., 2018).
Recognizing these barriers is crucial for companies aiming to enhance supply chain
transparency. By understanding and addressing these challenges. Accordingly, Volvo Cars,
Volvo Group, Scania, and Polestar, as prominent players in the automotive industry, have
established a significant presence within the global supply chain. Despite their industry
stature, each company encounters distinct challenges when it comes to managing their
respective supply chains. These challenges encompass various aspects, including enhancing
transparency, ensuring data quality, navigating return on investment considerations,
preserving competitive advantage, addressing stakeholder awareness, safeguarding customer
privacy, fostering technology adoption, managing infrastructure limitations, and complying
with regulatory requirements. Recognizing and addressing these challenges is significantly
important for these companies to optimize their supply chain operations and maintain a
competitive edge in the automotive market of the Scandinavian industry.
4.2.1. Supply Chain Risk Management
SC risk management typically involves a series of steps, including risk identification,
assessment and mitigation (Ghadge, 2013). Same process takes place for managing risk in a
networked environment (Hallikas et al. 2004) while also acknowledging the interconnected
nature of systematic risks (Basole & Bellamy, 2014). Addressing one risk may potentially make
the other one worse (Chopra & Sodhi, 2004) and risk can affect multiple entities in the
network simultaneously. One factor that makes risk management a connected topic to SCT is
the role of the networks and its complexity. Moreover, the structure of the supply network
has a direct impact on SC risk (Kim et al., 2015), indicating that a macro-level risk
assessment is necessary in a network context (Ho et al., 2015). The interconnectedness and
importance of risk management and supply chain transparency is undeniable. The steps
involved in risk management apply to both traditional and networked environments, with an
acknowledgment of the interdependencies and potential trade-offs between risks.
Furthermore, the complexity of supply chain networks and the influence of their structure
highlight the need for a comprehensive and network-centric approach to risk assessment and
mitigation.
19
4.2.2. Supply Chain Uncertainty
Supply chain uncertainty is a challenge that the majority of companies have faced so far (Hult
et al., 2010). This issue arises from the growing intricacy of global supply chain networks,
leading to heightened possibilities of delivery delays and quality issues (Bhatnagar and Sohal,
2005). As far back as Davis (1993), it has been emphasized that these uncertainties, which
have a disruptive effect on complex networks, pose a significant problem that requires
thorough comprehension (Simangunsong et al., 2012). The automotive industry is one of the
most complex and competitive industries in the world, with a highly interconnected and
globalized SC network. This supply chain network comprises multiple tiers of suppliers and
manufacturers that are responsible for sourcing, assembling, and delivering various
components and products that make up a vehicle. However, with such a complex and vast
network, SC uncertainty is one of the most significant challenges facing the automotive
industry today. One of the main sources of supply chain uncertainty in the automotive
industry is the high degree of variability and unpredictability in demand. With changing
consumer preferences, increasing competition, and the emergence of new technologies, it can
be challenging for automotive manufacturers to accurately forecast demand for their
products. As a result, they may end up overproducing or under-producing, leading to
inventory pile ups or stockouts, which can have severe implications on the entire SC network.
Another significant source of uncertainty is the increasing complexity of the automotive SC.
Automotive manufacturers source materials and components from all over the world, and any
disruption in the supply of these materials and components can cause significant disruptions
throughout the entire supply chain network. Moreover, supply chain disruptions can occur
due to various reasons, including natural disasters, political unrest, transportation disruptions,
supplier bankruptcy, quality issues, and labor disputes, to name a few. The uncertainty in the
automotive supply chain also makes it difficult for manufacturers to implement effective
supply chain strategies. Automotive companies must have robust and agile supply chain
strategies that enable the automaker to adapt to changing market conditions and unforeseen
disruptions. This requires close collaboration with suppliers and other stakeholders,
leveraging technology to improve visibility and transparency in the supply chain network,
and developing risk mitigation plans to address potential disruptions.
4.3. Supply Chain Transparency
In the context of SCT, the term 'transparency' can have different interpretations. Scholars
have provided varying definitions of SCT with its link to visibility, traceability, and
sustainability including Egels-Zandén et al. (2015); James & Montgomery (2017); Awaysheh
& Klassen (2010); Sodhi & Tang (2019); Birkey et al. (2018); Kraft et al. (2018), Barling et
al. (2009); and Garcia-Torres et al. (2019). For instance, Egels-Zandén et al. (2015) address
the limited academic discussion on SCT in their paper and develop a multidimensional
definition of SCT. They argue that three underlying trade-offs shape a firm's visibility
outcomes and suggest that managers must choose between a compliance or cooperation
approach to SCT. Doorey (2011) examines the use of information disclosure as a regulatory
tool to influence business behavior and notes that transparency is often viewed as a means of
promoting learning and positive institutional change. Scholars argue that a lack of empirical
20
evidence and inconsistent definitions of SCT currently exist, which underscores the need for
a multidimensional definition that considers different trade-offs. Managers must choose
between a compliance or cooperation approach to SCT, with both approaches having different
outcomes. Additionally, information disclosure is viewed as a regulatory tool that can
influence business behavior and promote positive institutional change. Therefore, companies
should be encouraged to move towards SCT, which can have positive impacts on their
sustainability performance and relationship with stakeholders.
The growing trend of supply chain transparency (SCT) is explored by ManMohan et al.
(2019), who note that companies are increasingly disclosing information about product
origins, testing results, and suppliers' compliance with labor standards through various
channels. However, the authors argue that the collection and disclosure of such information
can be costly and may not provide clear benefits. They define visibility as a company's efforts
to understand its upstream supply chain operations and transparency as the company's
disclosure of information about its supply chain operations and product compliance with
consumer norms. The authors provide examples of companies implementing SCT and
highlight the potential benefits of both SCT and visibility for the company.
In line with this, SCM managers must be aware of the crucial role played by transparency in
facilitating supply chain integration (Cao et al., 2015). Transparency and integrity are
recognized as essential elements that foster trust within multi-tier supply chains involving
interdependent actors from production to consumption (Cao et al., 2021a; Powell et al.,
2021). Cao et al. (2015) further emphasize the significance of understanding the cultural
alignment between organizations during supply chain integration. They stress that a
company's values and beliefs significantly influence its management of relationships with
external stakeholders, emphasizing the need to align existing leadership objectives with
information sharing across organizations. Thus, it is essential for SCM managers to consider
these factors when implementing SCT practices, as highlighted by Cao et al. (2015). By
doing so, SCM managers can effectively navigate the complexities of integrating supply
chains, promote trust-building mechanisms, and align organizational cultures to facilitate
successful supply chain integration endeavors.
Mol (2015) contributes to the discussion by addressing transparency in global value chains.
While the literature generally views value chain transparency positively, with assumptions of
increased sustainability and consumer empowerment, the author cautions that visibility is
becoming subject to power struggles, with markets and states seeking control for their own
purposes, potentially misaligning transparency, and empowerment. This poses challenges and
raises the need for research on arranging transparency in value chains to meet the demands of
democracy and sustainability. The author questions the assumption that more visibility is
always better and argues against value chain secrecy as a desirable alternative.
Fraser et al. (2020) contribute to the discourse on sustainability in supply chain management
by emphasizing the increasing importance of companies taking responsibility for their entire
supply chains, leading to the development of multi-tier SCM. Their analysis focuses on a case
study of multi-tier supply chain transparency in the cobalt supply chain for electric vehicles.
21
Using an abductive approach, the authors assess the level of transparency achieved before
and after an auditing and mapping project. The study sheds light on the challenges involved
in operationalizing SCT and provides recommendations for companies to enhance visibility
for sustainability in multi-tier supply chains. In parallel, Wulff (2019) delves into
organizational transparency from an institutional perspective, employing Nudie Jeans Co. as
a case example. The study delves into the process of implementing transparency and its
ramifications. By combining an institutional perspective with a longitudinal approach, the
researcher investigates how transparency work emerges through a translation process within
the organization, addressing legitimacy concerns and uncovering both intended and
unintended consequences. The study concludes that transparency possesses the potential to
drive organizational change and introduces the concept of balanced visibility to elucidate the
delicate equilibrium between translations, rationales, and consequences associated with
organizational transparency.
The literature shares a common focus on supply chain transparency and its implications for
sustainability, accountability, and corporate behavior. While transparency is defined in
various ways, the papers agree that it involves disclosing information about a company's
supply chain operations and practices to stakeholders. Although the benefits and challenges
of achieving supply chain transparency are discussed, none of the papers explicitly addresses
the information flow transparency of the automotive industry. The automotive industry is a
complex supply chain that has faced various scandals related to safety issues, emissions
cheating, and labor rights violations, raising questions about information flow transparency
and accountability. As the automotive industry plays a crucial role in global trade and its
impact on the environment and society is significant, it is crucial to examine the information
flow transparency of the industry. This could include exploring the information exchange
between stakeholders, visibility regarding production processes, materials sourcing, and labor
practices, and the impact of transparency on sustainability, accountability, and consumer
trust. Further research is necessary to explore the concept of information flow transparency in
the automotive industry and its potential benefits and challenges. Improving information flow
transparency in the industry can enhance sustainability, accountability, and reputation, which
would be beneficial for both the industry and society as a whole.
Efficiency in the supply chain
Goals Descr.
Gauge risks Map potential risks connected to legislation and challenges connected to
and set goals supplier delivery. Considering historic patterns is one potential way for
better understanding the bigger system for how things are interrelated and
connected.
Visualize the In order to increase understanding of the supply chain one uses
supply chain visualization tools to better see material flows. Through this approach it's
22
easier to develop a system view for how the supply chain really works and
how it can best be managed.
Collect Gather information on common practices in order to gain more insight on
actionable proven methods that stakeholders are using. The aim with doing this is to
information increase understanding of what potential changes in existing SC practices
might lead to improvement.
Engage Given the information gained by the two previous steps, start to address
areas which where greatest potential lies. This is done most effectively by
focusing on a specific issue and working to develop a solution that leads
to better improvement. Examples in which this can be done is through
reaching out to supply chain stakeholders to increase collaboration on
areas such as contracts, support systems and monitoring. One way for how
this could be done is through involving a third party that can help.
Disclose Organizations need after this to decide on a level they want to disclose
relevant information to customers, in addition to these they need to be
mindful of what legislative requirements institutions are upholding.
Table 2
4.4. Culture and Supply Chain Transparency
Culture plays a significant role in the context of supply chain transparency in the automotive
industry. Understanding cultural differences is crucial for identifying variations in perceptions
and behaviors related to information systems (IS) design, risks, adoption, use patterns,
outcomes, service quality, and attitudes towards piracy and privacy. Previous research has
utilized Hofstede's taxonomy, which encompasses dimensions such as power distance,
uncertainty avoidance, individualism-collectivism, and masculinity-femininity, to measure
and define cultural variations (Hofstede, 1984; Hofstede et al., 1991).
In the context of supply chain transparency, cultural differences can impact how
organizations approach and implement transparency practices. For example, cultural
dimensions such as power distance and uncertainty avoidance may influence the willingness
of organizations to disclose information about their supply chain operations (Kumar &
Bjorn-Andersen, 1990). Collectivist cultures may prioritize collaboration and cooperation in
achieving transparency goals, while individualistic cultures may emphasize
compliance-driven approaches (Thatcher et al., 2003). Additionally, cultural factors can shape
perceptions of service quality and attitudes towards privacy and piracy, which are crucial
considerations in the automotive industry's supply chain operations (Kettinger et al., 1995;
Husted, 2000; Milberg et al., 1995; Shore et al., 2001).
By recognizing and understanding the cultural dimensions at play, organizations operating in
the automotive industry can tailor their supply chain transparency strategies to align with the
cultural values and expectations of stakeholders. This includes considering the role of power
23
distance, uncertainty avoidance, individualism-collectivism, and masculinity-femininity in
shaping transparency practices. By doing so, organizations can enhance their relationships
with suppliers, consumers, and other stakeholders, ultimately leading to improved
sustainability, accountability, and trust within the automotive supply chain.
4.5. Organization Size and Supply Chain Transparency
Understanding the role of firm size in the context of supply chain transparency is essential for
the automotive industry. Research indicates that larger enterprises tend to have better
economic performance and productivity (Chandran & Rasiah, 2013). As firms expand, they
become more conscious of their corporate and social responsibilities, leading to a richer
understanding of the corporate environment and social responsibility (Chandran & Rasiah,
2013). This understanding prompts larger firms to allocate more resources towards fulfilling
their corporate social responsibility, including efforts related to supply chain transparency. In
contrast, small and medium-sized enterprises (SMEs) may lack the incentive to prioritize
sustainability in their supply chains without a regulatory framework for green supervision
(Chandran & Rasiah, 2013). These external institutional frameworks, along with the pressure
and impetus they bring, create opportunities for China to transform its economic structure and
embrace green development.
4.6. Technology and Supply Chain Transparency
The significance of technology as a collection of tools in facilitating the adoption of supply
chain transparency within the automotive industry should not be underestimated.
Accordingly, Astill et al. (2019), identified the enhancement of transparency as a critical
factor for driving the development of traceability and technologies as enablers of
transparency. The automotive industry is witnessing an increasing interest in the use of
technology to enhance transparency in the SC. Several researchers are exploring the potential
of Industry 4.0 advanced technologies like Blockchain, the Industrial Internet of Things
(IIoT), artificial intelligence (AI), and Radio Frequency Identification (RFID), to improve the
visibility and transparency of the SC. These technologies are capable of capturing, storing,
and sharing data in real-time, thus enabling accurate tracking of products and components
throughout the SC. For example, blockchain can be utilized to create an unalterable digital
ledger that records all transactions and movements in the SC, thus providing a transparent
and secure record of every step in the process. This technology is a groundbreaking
infrastructure based on a network designed on the Internet, which facilitates the transfer of
the values of items through encryption by computer (Jamalipour & Alipourfallahpasand,
2020). Similarly, the use of IoT sensors can enable the monitoring of the location and
condition of products and components as they move through the SC, providing real-time data
that can be used to optimize logistics and avoid delays or disruptions. Furthermore, AI and
machine learning can be employed to analyze SC data and identify patterns and insights that
can improve transparency and predict potential disruptions. Predictive analytics, for instance,
can be leveraged to anticipate disruptions caused by natural disasters, geopolitical events, or
other factors, allowing companies to take proactive measures to mitigate risk and maintain a
continuous material supply. In general, the use of advanced technologies in the automotive
24
industry has the potential to revolutionize the SC and provide greater transparency, efficiency,
and security. Furthermore, information flow plays a crucial role in enhancing transparency
and traceability in the SC. It can be considered as an independent factor that affects the
complexity of the SC, or as an interrelated factor that influences the use of technology to
improve transparency. The intensity of information flow has been associated with the
complexity of the SC. The more complex the supply chain is, the higher the need for
visibility and traceability. Thus, increasing transparency can help organizations break down
complexity and improve performance.
The automotive industry's enhanced supply chain transparency relies on the synergistic
combination of RFID1 technology, the IIoT2, and blockchain. RFID technology serves as a
crucial enabler, facilitating connectivity, and information exchange within the supply chain
network (Kumar, 2006). By providing a unique identification for objects and devices, RFID
enables effective communication and information exchange, promoting transparency within
the IIoT framework (Greengard, 2015). Integrating RFID with other technologies, such as
data analytics and advanced tracking systems, generates valuable insights that enhance supply
chain visibility (Grackin, 2015). In the Scandinavian automotive industry, leveraging RFID
technology can bring numerous benefits, including real-time tracking of goods, improved
inventory management, accurate product identification, and overall supply chain efficiency.
This integration promotes transparency by addressing challenges like counterfeit products,
unauthorized diversions, and disruptions, fostering trust among stakeholders (Grackin, 2015).
Furthermore, the IIoT plays a pivotal role in developing real-time information for supply
chain management, thereby enhancing transparency within the automotive industry (Haddud
et al., 2017). By leveraging sensors and tags, the IIoT enables seamless communication and
information dissemination among objects and devices, revolutionizing data collection and
analysis (Zelbst & Sower, 2016). RFID, as a core component of the IIoT, offers advanced
monitoring, collection, and analysis capabilities, empowering real-time decision-making
(Real-Time Innovations, 2015). Through the IIoT and RFID integration, the automotive
industry gains access to a wealth of real-time data, enabling proactive decision-making,
streamlined production processes, and improved logistics operations. This fosters
transparency by optimizing operations, mitigating risks, and ensuring a higher level of
visibility throughout the supply chain network. The automotive companies can respond
promptly to issues, thereby enhancing supply chain transparency and operational efficiency
(Prakash, 2016).
In terms of blockchain technology, it provides accessibility, authenticity verification,
authorization, and security to supply chain information (Cottrill, 2018). By utilizing a shared
ledger, blockchain ensures the immutability and transparency of transaction records (IBM,
2018). Blockchain, with its own characteristics, not only improves the quality of recorded
data, but also constantly informs users of any changes in the data (Jamalianpour &
Alipourfallahpasand, 2022). The integration of RFID technology within the IIoT
complements blockchain by enabling near real-time information entry into blockchain blocks,
1 Radio Frequency Identification
2 Industrial Internet of Things
25
ensuring accurate and prompt recording of supply chain information (Cottrill, 2018). This
combination establishes a secure and tamper-proof record of transactions, enhances
traceability, and promotes accountability throughout the supply chain (IBM, 2018).
Additionally, blockchain technology facilitates collaboration and trust among supply chain
partners. With a shared and transparent ledger, participants gain real-time visibility into the
supply chain, fostering efficient coordination and enabling timely interventions when
discrepancies or anomalies arise (IBM, 2018). The integration of blockchain and RFID
technology enhances data accuracy, security, traceability, and collaboration, ultimately
contributing to operational efficiency and customer satisfaction within the automotive
industry's supply chain (Cottrill, 2018).
All in all, the close interplay between RFID technology, the IIoT, and blockchain is vital for
achieving enhanced supply chain transparency in the automotive industry. RFID serves as a
foundational technology, facilitating seamless connectivity and communication, while the
IIoT enables real-time data collection, analysis, and decision-making. The integration of
blockchain further strengthens transparency by ensuring the authenticity and security of
supply chain information. Together, these technologies optimize operations, mitigate risks,
and foster trust among stakeholders, positioning automotive companies for success in the
ever-evolving landscape of supply chain transparency.
4.7. Sustainable Supply Chain Management
In the context of sustainable supply chain management (SSCM), previous studies have
primarily focused on economic and environmental performance, often neglecting the social
dimension (Seuring and Müller, 2008; Ramos et al., 2014). Furthermore, empirical studies on
SSCM in developing economy enterprises and SMEs are limited (Seuring and Müller, 2008;
Ramos et al., 2014). Therefore, there is a need for a framework that helps enterprises identify
and implement their sustainability development schemes, particularly considering the
moderating role of firm size on SCM practices and performance (Hsu et al., 2017). By
examining the impacts of SSCM practices on different firm size categories in China, this
research aims to shed light on the relationship between firm size, supply chain transparency,
and sustainability performance in the automotive industry. Understanding these dynamics can
assist automotive enterprises in formulating effective strategies to enhance supply chain
transparency, address sustainability challenges, and improve their overall performance in a
socially responsible manner.
Seuring & Müller (2008) defined sustainable supply chain management as the management
of material, information, and capital flows, as well as collaboration among companies
throughout the supply chain. This approach considers all three dimensions of sustainable
development - economic, environmental, and social - which are derived from customer and
stakeholder requirements. To effectively safeguard against environmental and social threats
and risks, implementing SSCM entails fostering a value-based ethical culture across the
organization, creating an adaptable "green" IT infrastructure, and aligning corporate strategy
with sustainable development goals.
26
House of SSCM
Fig. 4 (Teuteberg & Wittstruck, 2010)
True sustainability lies at the intersection of environmental, social, and economic
considerations, and it involves a comprehensive approach to integrating these elements into
an organization’s strategic vision and long-term objectives. To achieve sustainability,
organizations must embrace multiple activities that explicitly address environmental, social,
and economic goals (Carter & Rogers, 2008). To achieve true sustainability, businesses must
consider not only the impact of their actions on the environment, but also on society and the
economy. This requires taking a comprehensive approach that recognizes the
interconnectedness of these three pillars and prioritizes responsible practices aligned with the
organization's values and mission. Stakeholder engagement, risk management, and
continuous improvement are essential in ensuring progress towards sustainability goals. In
the automotive industry, achieving sustainability requires a deep understanding of the
environmental and social impact of its supply chain, which can be achieved through
transparency. SCT involves making information about the production process, suppliers, and
environmental and social impact accessible to all stakeholders. This enables organizations to
identify and address issues related to labor practices, human rights, and environmental impact
throughout the SC. A holistic approach to sustainability, where environmental, social, and
economic considerations are considered at every stage of the production process, can be
achieved through transparency. By embracing transparency and sustainability, organizations
in the automotive industry can create a positive impact on the environment and society, while
also achieving long-term economic success.
The importance of SCT in SCM has been emphasized by Fraser et al. (2020), while Fritz
(2020) includes the management of information and communication technologies as part of
sustainable supply chain management. However, due to the complexity of global supply
chains, achieving transparency can be difficult, expensive, and time-consuming (Busse et al.
2017a; Doorey 2011; Fraser et al. 2020). To address this issue, new technologies such as
27
blockchain and digital platforms have been proposed as tools to facilitate the assessment and
exchange of sustainable supply chain information (Francisco and Swanson, 2018; Fritz,
2020). Nonetheless, there is a need for a deeper understanding of SCT, including what
information should be shared through these technologies and who should be involved in the
sharing process.
SSCM framework
Fig. 5
Moreover, sustainability involves a broader perspective that encompasses SC activities and
extends beyond an organization's boundaries. Supply chain transparency is a critical
component of sustainable business practices. By incorporating sustainability principles into
supply chain management activities, organizations can create a more resilient and less
imitable set of processes that can yield long-lasting benefits. Therefore, when organizations
prioritize sustainability in their strategic planning, they can effectively integrate
environmental and social considerations into their operations, while also achieving economic
objectives. By aligning sustainability with supply chain management, organizations can
create a more holistic and responsible approach to doing business that considers the impact
on people, the planet, and profits. The implementation of Sustainable Supply Chain
Management (SSCM) practices, as mentioned earlier, involves establishing ethical values,
creating a "green" IT infrastructure, and aligning corporate strategy with sustainable
development goals. These practices result in greater transparency throughout the supply
chain. By establishing ethical values, companies ensure that suppliers are held to high ethical
standards. This involves conducting due diligence on suppliers to ensure they are not
involved in any unethical practices, such as forced labor or environmental degradation. This,
in turn, creates greater transparency as companies can track the practices of their suppliers
and ensure that they are adhering to ethical standards. Secondly, the creation of a "green" IT
infrastructure allows for the tracking and reporting of sustainability metrics throughout the
supply chain. This means that companies can monitor their suppliers' sustainability practices,
such as carbon emissions or water usage, and ensure that they are meeting sustainability
28
targets. This leads to greater transparency as companies can see the impact of their suppliers'
practices on the environment and make informed decisions accordingly. Finally, aligning
corporate strategy with sustainable development goals ensures that sustainability is integrated
throughout the entire supply chain. This means that companies can work collaboratively with
their suppliers to achieve sustainability targets, and suppliers are held accountable for their
sustainability practices. This leads to greater transparency as companies can track the
progress of their suppliers and ensure that they are making meaningful strides towards
sustainability.
4.8. Information flow
The integration of information flow within the supply chain has emerged as a critical factor in
achieving collaboration and enhancing supply chain management (SCM) practices (Power &
Bahri, 2005; Pereira, 2009; Vickery et al., 2009). This emphasis on information flow stems
from the recognition that effective communication and access to accurate information can
lead to significant improvements in supply chain performance. OEMs in the Scandinavian
automotive industry, for instance, can benefit from leveraging the additional resources and
expertise of suppliers to develop cost-effective and higher-quality products (Lindquist et al.,
2008; Fliess & Becker, 2006). Additionally, the role of suppliers in the supply chain has
evolved from being mere providers of goods and services to strategic partners who contribute
to innovation and product refinement (Bowersox & Calantone, 1998). By collaborating
closely with suppliers and sharing relevant information, organizations can tap into the
suppliers' knowledge and capabilities, ultimately leading to the development of superior
products. This collaborative approach acknowledges the asymmetric information distribution
within the supply chain and seeks to bridge the information gap through effective information
flow.
The advancements in information technology have significantly impacted supply chain
operations, playing a pivotal role as an enabler of improvements (Lindquist et al., 2008).
Information technology systems and solutions, such as big data analytics and the Internet of
Things (IoT), have revolutionized supply chain transparency and visibility. Real-time
monitoring of goods, resources, and information allows organizations to make informed
decisions and respond promptly to changing market conditions. By leveraging the power of
information technology, organizations in the Scandinavian automotive industry can enhance
their global operations and stay competitive in a dynamic marketplace. However, it is
important to note that while information technology is a critical enabler, it is just one aspect
of a broader supply chain framework. Achieving supply chain transparency and enhancing
information flow requires a comprehensive approach that includes effective collaboration,
process integration, and the adoption of relevant technologies (Bowersox & Calantone,
1998). Based on the literature provided, It is undeniable that effective information flow is
crucial for achieving collaboration and enhancing SCM practices in the Scandinavian
automotive industry. The integration of information flow with suppliers allows for improved
product development and innovation, while information technology serves as an enabler,
driving improvements in global operations. By embracing these principles and leveraging
29
appropriate technologies, organizations can achieve transparency in their supply chains,
leading to enhanced performance and competitiveness in the industry.
4.9. Information asymmetry
The theory of information asymmetry was initially introduced by Akerlof (1970) in a book
titled "The Market for Lemons: Quality Uncertainty and the Market Mechanism." Akerlof
employed the automobile market as a case study to illustrate the concept of information
asymmetry. The fundamental premise of Akerlof's theory revolves around the idea that in
certain markets, buyers rely on limited information or statistics to assess the value of goods,
while sellers possess more comprehensive knowledge about the specific product.
Consequently, sellers are incentivized to offer lower-quality products. As the quality of goods
declines, it adversely affects the overall market size (Auronen, 2003). The theory of
information asymmetry gained prominence in the 1980s and 1990s as it provided an
explanation for phenomena that could not be adequately elucidated using traditional
economic frameworks. In essence, this theory posits that the absence of information
symmetry between buyers and sellers in certain markets can lead to unfavorable outcomes
(Alipourfallahpasand, 2021).
Common coordination issues are often connected to inability to accurately predict and
calculate optimal values for price, quantity and time as these are critical aspects to improve
internal operations. Reasons as to why information asymmetry is a common occurrence in
many industries are getting a better price, losing competitive edge, ensuring compatibility of
information systems, not getting controlled or dictated by other stakeholders, maintaining
bargaining power and other strategic reasons (Voosoghidizaji, 2019). Supply chain
management has historically been very centralized where collecting and thereafter not being
too willing to share it with other stakeholders have been the main rule. However as due to
strong trends primarily connected to ICT developments and digitalization have resulted in
previously ways of working have become much harder to defend as the benefit with adapting
more collaborative and open ways of working in order to co-create new solutions been new
approaches have become much more common and the automotive industry is no exception.
Supply chain transparency & its relevance to information asymmetry
Fig. 6
4.10. Supply Chain Collaboration and Communication
To ensure transparency in the supply chain of the automotive industry, collaboration and
communication among supply chain partners are crucial. Collaborative relationships between
firms can facilitate knowledge sharing, inventory management, and risk management, leading
to enhanced competitiveness and improved firm performance. The ability to identify, use, and
30
assimilate both internal and external resources and information is essential for achieving
supply chain capability. Efficient capabilities can help organizations achieve logistics
performance at a lower cost, while efficacy-related capabilities allow for better
responsiveness to consumer needs and maintenance of relationships with supply chain
partners. Effective communication can help reduce uncertainty and inventory levels and
ensure timely delivery of high-quality goods and services at a reasonable cost. Therefore, it is
critical for companies to develop specific capabilities and seek total supply chain
coordination with appropriate business partners. (Handfield and Bechtel, 2002; Fawcett and
Magnan, 2004; Sheu et al., 2006; Masten and Kim, 2015; Purwaningrum and Yaniasih, 2012;
Du et al., 2012).
Supply Chain Collaboration
Fig. 7 (Liao et al., 2017)
According to Kim (2009), supply chain collaboration (SCC) aims to closely integrate internal
functions with external operations of suppliers, customers, and other channel members to
improve competitive performance. Rosenzweig (2009) suggests that greater engagement in
Internet-enabled commerce with supply chain partners leads to better performance. Lin et al.
(2010) proposed a model that addresses the drivers of innovation in supply chain
management, while Wu et al. (2014) found that information sharing and collaboration have a
partial mediation effect on supply chain performance. These studies confirm that value
co-creation and value constellations drive innovation in channel integration and positively
affect supply chain performance. Therefore, fostering collaborative relationships and
effective communication among supply chain partners can improve transparency in the SC of
the automotive industry, leading to enhanced competitiveness and better overall performance.
4.11. Knowledge sharing
Knowledge transfer is vital for improving supply chain performance and establishing
effective supply chain systems (Cerchione & Esposito, 2016). The complexities and
disruptions encountered in supply chains often stem from the level of knowledge possessed
31
by firms (Cerchione & Esposito, 2016). In today's complex corporate environments,
knowledge transfer plays a crucial role in addressing new challenges faced by supply chain
management (Lim et al., 2017). The objective of this study is to identify the factors of supply
chain complexity that impact the process of knowledge transfer (Lim et al., 2017). To
enhance supply chain functions and gain a competitive edge in highly competitive
environments, it is essential to develop and communicate current information that positively
impacts the supply chain (Huang et al., 2010). Knowledge sharing among diverse
stakeholders, including customers, suppliers, and partners, has a significant influence on
various business sectors, such as customer service, production cycles, departmental
cooperation, and alliance partner connections (Rajabion et al., 2019). This collaborative
partnership, empowered by knowledge transfer, ultimately leads to improved customer
service and the delivery of high-quality, unique, and innovative products (Akhavan &
Namvar, 2021).
In the automotive industry, knowledge sharing plays a critical role in ensuring transparency
within the supply chain. By exchanging information, expertise, and insights among
stakeholders, organizations promote collaboration, innovation, and learning, which contribute
to improved decision-making and organizational effectiveness. Informal channels, such as
conversations, documentation repositories, training and workshops, communities of practice,
mentoring and coaching, online collaboration tools, knowledge sharing events, and
recognition and incentives, facilitate knowledge sharing among individuals and
organizations. These channels enable the dissemination and access of relevant information,
best practices, and industry standards. By fostering a culture of knowledge sharing, the
automotive industry can enhance transparency in its supply chain, enabling the identification
and resolution of potential issues, regulatory compliance, and building trust with
stakeholders. Knowledge sharing enables stakeholders to make informed decisions,
understand the origin and manufacturing processes of automotive components, and verify the
sustainability and ethical practices involved in the supply chain. Ultimately, knowledge
sharing supports the automotive industry's efforts to achieve greater transparency, traceability,
and accountability in its supply chain operations.
4.12. Implications
The figure 8 presents a comprehensive framework for understanding the interconnections and
relevance of different areas in achieving supply chain transparency in the automotive
industry. At the foundation of this framework is supply chain management, which is essential
for managing the flow of goods and services from the point of origin to the point of
consumption.
Supply chain management is a complex process that involves multiple tiers of suppliers,
numerous components, and many stakeholders. Subsequently, as it was mentioned, one way
of conceptualizing the complexity of automotive supply chains is by identifying different
"domains" within the SC. These domains can include different tiers of suppliers, different
regions, and different types of products. Understanding the interactions and dependencies
between these domains is crucial for achieving transparency. Accordingly, risk management
32
is an essential aspect of achieving SCT. Risks are inherent in any supply chain, and managing
those risks is essential for ensuring that transparency is achievable and sustainable. The
different types of risks that are specific to the automotive industry include supplier
bankruptcy, quality control issues, and geopolitical risks. Understanding these risks and
developing effective strategies for managing them is an important part of the framework.
Uncertainty is another challenge that is common in automotive supply chains, particularly in
the current global environment. The sources of uncertainty can include geopolitical risks,
natural disasters, and changes in consumer demand. Managing uncertainty is essential for
achieving supply chain transparency. Transparency is the goal of the framework. This
includes understanding the different dimensions of transparency, such as visibility,
traceability, and accountability, and developing strategies for achieving transparency in the
automotive industry. Product traceability is an important aspect of transparency, as it enables
stakeholders to trace products from their point of origin to their final destination. Measuring
the effectiveness of transparency efforts is essential for ensuring that progress is being made.
This includes identifying appropriate metrics for measuring different aspects of supply chain
transparency, such as supplier performance, quality control, and environmental impact.
Supply Chain Transparency Framework
Fig. 8
33
Chapter 5: This chapter explores and discusses the outcomes obtained from the data
collection process, offering a comprehensive examination of the results. The empirical
findings are closely examined and interpreted in relation to the research objectives and
research questions outlined earlier in the thesis, providing valuable insights into the research
topic and its implications.
5. Empirical Results
5.1. Identified Barriers to Transparency
In this section, we explore the barriers to transparency that were identified through the
contributions of multiple contributors. These barriers can be categorized into three
sub-sections: Regulations and Geographical Location, Organizational Size and Culture, and
Protecting Critical Technology.
5.1.1. Regulations and Geographical Location
In this subsection the impact of regulations and geographical location on legal disputes and
negotiations was discussed. The primary findings of this subsection primarily originated from
interviews conducted with Contributor 3, 6, 8, and 10. It was also explored that there are
differences between the United States and Europe in terms of resolving conflicts through
court proceedings and settlement agreements. Additionally, the flexibility that was observed
in China's approach to dispute resolution was another factor. The section also touches upon
the role of arbitration in adopting more assertive negotiation strategies and how the nature of
the relationship between parties can significantly influence the outcome of negotiations.
Triangle of R&GL
Fig. 9
Geographical proximity and cultural differences emerged as significant factors in supplier
evaluation. Contributor 6 highlighted the importance of bridging cultural differences and
reducing lead times, transportation costs, and supply chain risks. He stated that "Bridging
34
cultural differences is crucial in supplier evaluation. It helps us foster effective collaboration
and minimize lead times, transportation costs, and overall supply chain risks'' [Contributor
6]. This suggests that organizations take into account the geographical location of suppliers
when making evaluations. In practice, organizations might prioritize suppliers located in
close proximity to their operations to optimize supply chain logistics. Respectively,
companies understand that minimizing distances can lead to faster deliveries, reduced
shipping costs, and improved overall operational efficiency. By considering the geographical
location of suppliers, organizations also aim to enhance supply chain agility, responsiveness,
and customer satisfaction. Relevantly, Contributor 3, mentioned how proximity of suppliers
to manufacturing facilities plays a crucial role in ensuring effective communication and
collaboration, which are essential for transparency. "When suppliers are located closer to the
manufacturing sites, it becomes easier to establish regular face-to-face interactions,
exchange information, and conduct on-site audits, leading to improved transparency"
[Contributor 3]. This close proximity facilitates effective communication and collaboration,
ultimately leading to improved transparency in the supply chain. The ability to have direct
and frequent interactions with suppliers enhances transparency by enabling real-time
information sharing, timely issue resolution, and a better understanding of each other's
operations and practices.
Accordingly, Contributor 8 provided insights into the impact of regulations on transparency.
The size and country of the supplier were found to be influential in determining transparency
levels. He mentioned, "Regulatory measures were identified as crucial in enhancing
transparency and accountability. These findings indicate that regulations play a role in
shaping supplier evaluation practices'' [Contributor 8]. These insights from Contributor 8
indicate that regulatory factors cannot be overlooked when considering supply chain
transparency. Organizations must take into account the regulatory environment in which
suppliers operate and consider the impact of regulations on transparency levels. The findings
suggest that compliance with regulations is not only a legal obligation but also a strategic
imperative for organizations aiming to enhance supply chain transparency and build
sustainable supplier relationships. Furthermore, Contributor 10 noted that being a subsidiary
to a larger company can provide synergies in negotiations, resulting in more favorable terms.
This aspect of supplier relationships can be influenced by regulations and geographical
location considerations. The contributor emphasized that, "Regulations and geographical
location can significantly impact the dynamics of negotiation between suppliers and
organizations. Understanding and navigating these factors is essential for successful
negotiations'' [Contributor 10]. These findings highlight the interplay between regulations,
geographical location, and negotiation dynamics in supplier evaluations. This information
elaborates the advantages that can arise from the affiliation of a supplier with a larger parent
company. By leveraging the resources, reputation, and market power of the parent company,
subsidiaries can often negotiate more advantageous terms with suppliers. This finding
highlights the significance of considering the size and corporate structure of suppliers when
evaluating their suitability.
35
Moreover, the interplay between regulations, geographical location, and negotiation
dynamics further emphasizes the complexity of supplier evaluations. Regulations can shape
the contractual framework within which negotiations take place, imposing certain
requirements and constraints on both buyers and suppliers. Geographical location
considerations, on the other hand, can influence the accessibility of suppliers, transportation
costs, and logistical aspects, all of which can impact negotiation outcomes. All in all, these
insights from Contributor 10 emphasize the need to consider the broader context in which
supplier evaluations occur. It is not only the supplier's individual capabilities and
performance that matter but also the relationships they have with parent companies and the
regulatory and geographical factors that shape these relationships. By recognizing and
accounting for these interrelated factors, organizations can make more informed and strategic
decisions in supplier evaluations. Finally, Regarding the differences between the United
States and Europe, it is commonly understood that the US tends to have a more litigious
approach, with companies often resorting to court proceedings to resolve conflicts within the
automotive industry. On the other hand, Europe is known for prioritizing alternative dispute
resolution methods, such as arbitration and mediation, which promote negotiation and
collaboration.
5.1.2. Organizational Size and Culture
This subsection the impact of organizational size and culture on supply chain transparency
will be clarified. It shows how organizational size influences bargaining power, control, and
transparency in supplier relationships. Additionally, it dives deep into the influence of
internal organizational culture on information flows and the adoption of transparent practices.
The subsection also discusses the cost implications of changing IT systems and the time
constraints faced by employees in improving transparency processes. The primary findings of
this subsection primarily originated from interviews conducted with Contributor 1, 5, 7, 8, 9,
and 10.
Triangle of S&C
Fig. 10
36
Contributor 7 emphasized the importance of flexibility and cultural sensitivity in supplier
collaboration. When collaborating with suppliers, companies operate within a diverse global
landscape with varying cultural norms and practices…"In today's globalized business
environment, flexibility and cultural sensitivity are paramount in supplier collaboration. By
understanding and adapting to the cultural behaviors of our suppliers, we can build trust,
improve communication, and foster stronger relationships, ultimately enhancing
collaboration outcomes" [Contributor 10]. By recognizing and embracing these differences,
organizations can foster stronger relationships and enhance collaboration outcomes. This
involves adapting communication styles, decision-making processes, and even business
practices to align with the cultural preferences of suppliers. For example, in some cultures,
building personal relationships and establishing trust before engaging in business negotiations
is crucial. Demonstrating cultural sensitivity and flexibility enables companies to navigate
these nuances, establish rapport, and foster successful collaborations with suppliers.
Relevantly, Contributor 8 focused on the challenges associated with negotiation in supplier
collaboration, particularly within global supply chains. She mentioned, "Negotiating with
suppliers in global supply chains can be a complex endeavor. Cultural differences and
diverse business practices add layers of challenges'' [Contributor 8].
Having said that, negotiating with suppliers requires a deep understanding of their needs,
motivations, and cultural contexts. Global supply chains often involve partners from different
countries, each with its own unique cultural norms and business practices. This complexity
can create challenges in finding common ground and reaching mutually beneficial
agreements. To address this, organizations must develop effective negotiation skills that
account for cultural differences and adapt their strategies accordingly. Seeking assistance
from experienced negotiators within the organization who possess cultural insights can
provide valuable guidance and increase the likelihood of successful negotiations with
suppliers. Both findings emphasize the significance of culture in supply chain transparency
and highlight its potential as a barrier to achieving it. Organizations that prioritize cultural
sensitivity can establish stronger collaborative relationships, promote effective
communication, and navigate cultural barriers more effectively. Relevantly, Contributor 5,
emphasized the significance of team dynamics and organizational culture in facilitating
communication and knowledge sharing within the supply chain. "Effective communication
and knowledge sharing within the supply chain are not solely dependent on technology or
processes; they are deeply influenced by the dynamics within the teams and the
organizational culture" [Contributor 5].
In this context, team dynamics refers to the way individuals in a team interact, communicate,
and collaborate with each other. In the context of supply chain management, a positive team
dynamic is essential for fostering effective communication and collaboration among team
members. When team members have a good rapport, they are more likely to openly share
information, ideas, and concerns, leading to better decision-making and improved supply
chain performance. organizational culture refers to the shared values, beliefs, and behaviors
that characterize an organization. In the context of supply chain management, a culture that
promotes communication and knowledge sharing is vital. If an organization values open and
37
transparent communication, it encourages employees to share information and ideas freely,
creating an environment that supports effective collaboration and problem-solving. As it was
mentioned, by focusing on team dynamics and organizational culture, Contributor 5
emphasized that an organization should foster an environment where individuals feel
comfortable expressing their opinions and sharing knowledge. This can be achieved through
various means, such as team-building activities, clear communication channels, and
recognition of contributions. When team members feel valued and empowered, they are more
likely to actively participate in discussions, share their expertise, and contribute to better
decision-making processes. It is clear that improved communication and knowledge sharing
have several benefits for supply chain management. First, it enhances visibility and
transparency within the supply chain, allowing stakeholders to have a better understanding of
the processes, potential issues, and opportunities for improvement. Second, it facilitates
quicker and more effective decision-making since relevant information is readily available
and accessible to the decision-makers. Third, it strengthens collaboration with suppliers by
fostering trust and alignment of goals, leading to enhanced efficiency and responsiveness in
the supply chain.
The comments provided by Contributors 1, 9, and 10 explained the challenges associated
with obtaining crucial information from suppliers during the due diligence process. In today's
complex global supply chains, ensuring transparency and accountability in sourcing practices
has become a critical concern for organizations. Contributor 1's emphasis on the challenges of
obtaining information from suppliers during due diligence revolves around the difficulty of
tracing products or raw materials back to their source… "The challenge we face during due
diligence is the ability to trace products or raw materials back to their original source"
[Contributor 8]. This issue is often encountered in global supply chains where products pass
through multiple intermediaries before reaching the end consumer. The lack of transparency
and traceability can make it challenging to ensure ethical sourcing, sustainability, and
compliance with regulations. Without a clear understanding of the origin of products or raw
materials, it becomes difficult to assess their quality, authenticity, and adherence to
environmental and social standards. Accordingly, contributor 10 confirmed that while
suppliers are generally open with information, some sensitive information can be of an
organizational or product-specific nature. He mentioned that "While suppliers are generally
open to sharing information, there are certain areas where they tend to be more guarded.
Sensitive information of an organizational or product-specific nature may be withheld.
Additionally, the transparency levels may vary depending on factors such as the country of
the supplier and the size of their operations'' [Contributor 10]. This point of view suggests
that suppliers may be willing to share certain information but may be more guarded when it
comes to proprietary knowledge or confidential aspects of their operations. It underscores the
importance of striking a balance between the need for transparency and the protection of
sensitive information.
Furthermore, Contributor 10 noted that the country and size of the supplier are important
factors affecting transparency. Different countries may have varying degrees of regulatory
frameworks, governance practices, and cultural norms regarding transparency. Similarly, the
38
size of the supplier can influence its willingness and capacity to provide information
effectively. Smaller suppliers may face resource constraints or lack sophisticated systems for
data management, making it more challenging to obtain comprehensive information. The
mention of security as a barrier to transparency implies that suppliers may be concerned
about the potential risks associated with sharing sensitive information. Security breaches,
intellectual property theft, or unauthorized disclosure of trade secrets are legitimate concerns
that suppliers need to address. However, regulatory measures can play a crucial role in
enhancing transparency and accountability. Regulations that mandate certain levels of
disclosure, reporting, and compliance can help create a standardized framework for supplier
information sharing and mitigate security risks. By providing clear guidelines and
enforcement mechanisms, such measures can encourage suppliers to be more transparent
while protecting their confidential information.
Moreover, Contributor 9 emphasized on a significant obstacle faced when trying to obtain
information from suppliers which is their reluctance to cooperate. This reluctance can be
attributed to two main factors: potential costs and confidentiality concerns…"Suppliers often
exhibit reluctance to cooperate fully during the due diligence process" [Contributor 9].
Suppliers often fear that sharing certain information may lead to increased costs for their
business. They might worry that disclosing details about their production processes, sources
of raw materials, or environmental and social compliance measures could result in additional
expenses. This concern arises from the potential need to make improvements or adjustments
to meet the requirements set by organizations or regulatory bodies. Confidentiality concerns
also play a role in supplier reluctance. Suppliers may possess valuable knowledge about their
business practices, proprietary technologies, or trade secrets that give them a competitive
advantage. Sharing such information may threaten their position in the market, as it could be
exploited by competitors or undermine their unique selling points. As a result, suppliers are
often hesitant to disclose these sensitive details, creating a barrier to obtaining comprehensive
information during the due diligence process. These factors collectively hinder effective due
diligence and pose challenges for organizations seeking to thoroughly assess their suppliers.
Without access to crucial information, it becomes difficult to evaluate suppliers' loyalty to
ethical and sustainable practices, compliance with regulations, and overall transparency in
their operations. Organizations must find ways to address these concerns, foster trust with
suppliers, and establish mutually beneficial relationships that prioritize transparency and
accountability.
5.1.3. Protecting Critical Technological
This subsection focuses on the crucial aspect of protecting critical technological information
within the supply chain. With the existence of fear of valuable information being leaked to
competitors, this subsection explains the potential risks associated with such leaks, including
the possibilities of forward and backward integration and intellectual property rights
infringement. To address this concern, non-disclosure agreements (NDAs) take center stage
as the pivotal first step in establishing relationships with suppliers. Recognizing the
importance of this initial measure, the subsection emphasizes its role in safeguarding
proprietary information. Additionally, the subsection explores the significance of audits as a
39
means of effectively monitoring sustainable processes within the supply chain.
Complemented by on-site visits, these audits offer valuable opportunities to ensure
transparency and accountability throughout the entire operational network. By focusing on
the protection of critical technological information and employing these measures,
organizations can mitigate risks, foster trust with suppliers, and maintain a secure and
transparent supply chain ecosystem. The primary findings of this subsection primarily
originated from interviews conducted with Contributor 2, 4, 7, and 10.
Triangle of C&A
Fig. 11
Accordingly, Contributor 4 emphasizes the responsibility of conducting due diligence and
gathering necessary information to mitigate risks and protect the business and reputation.
This sentiment aligns with the overarching theme of supply chain transparency discussed in
the previous points. He also emphasized that information gathering is essential for making
informed decisions and ensuring the overall integrity of the supply chain…"We have a
responsibility to conduct due diligence. Only by gathering all the necessary information can
we make informed decisions and mitigate risks that could harm our business and reputation.
Thorough information gathering is crucial for ensuring the integrity of our supply chain". On
the other hand, Contributor 2 emphasizes the significance of supply chain transparency in
building trust, accountability, and strategic business success. She mentioned that "Supply
chain transparency is crucial for building trust and accountability in today's business
environment. As businesses operate in a more globalized and complex landscape, ensuring
transparency across the entire supply chain is not just a social responsibility but also a
strategic business imperative". She clarified that transparency is not only a social
responsibility but also a business imperative. Contributor 2 emphasizes that fostering
transparency and collaboration among suppliers leads to stronger relationships, risk
mitigation, and opportunities for innovation and efficiency improvements. This aligns with
the importance of building strong relationships and collaboration mentioned by Contributor 4.
Furthermore, Contributor 2 highlights the role of communication and IT systems in effective
supply chain management, stressing the need for technology and information sharing to
40
enhance visibility and responsiveness. This perspective complements the emphasis on
leveraging technology mentioned by Contributor 2, such as blockchain, geofencing, and
RFID, as potential tools for achieving supply chain transparency.
Additionally, other contributors, such as Contributor 10 and Contributor 7, also discuss the
role of technology in improving supply chain transparency. Contributor 10 mentions the
potential of the Internet of Things (IoT) in providing real-time data about products and
suppliers…"The potential of the Internet of Things (IoT) in providing real-time data about
products and suppliers is immense. With this technology, we can have immediate access to
crucial information, enabling us to make proactive decisions and enhance supply chain
transparency" [Contributor 10]; while Contributor 7 highlights the potential of artificial
intelligence (AI) in analyzing supply chain data to enhance transparency… "Artificial
intelligence (AI) has the power to revolutionize supply chain transparency. By analyzing vast
amounts of supply chain data, AI can identify issues, patterns, and opportunities for
improvement. Investing in AI technology can greatly enhance transparency and provide
companies with a competitive advantage in the market" [Contributor 7]. Both contributors
emphasize the need for companies to invest in new technologies to improve supply chain
transparency and gain a competitive advantage. Together, contributors agreed on and
explained the importance of conducting due diligence, fostering transparency and
collaboration, leveraging technology such as IoT and AI, and investing in new technologies
to improve supply chain transparency. Moreover, as an example, Volvo is using blockchain
technology to trace the origin of cobalt, which shows the potential of technology in
improving SCT. Contributor 2 highlighted the importance of the transport planning process,
transportation execution process, and carriers in achieving SCT. Blockchain technology and
geofencing and RFID technology were mentioned as potential tools for improving SCT. She
mentioned, ‘‘Supply chain transparency is crucial for building trust and accountability in
today's business environment; As businesses operate in a more globalized and complex
environment, it's becoming increasingly important to ensure transparency across the entire
supply chain’’ [Contributor 2].
5.2. Strategies for Improving Supply Chain Transparency
The subsection of improving SCT explains strategies that organizations can adopt to enhance
their management practices and address the challenges discussed earlier. This section
explores how changing management practices, such as being willing to incur initial costs,
working with values, and embracing technological advancements like AI, blockchain, RFID,
smart contracts, and battery passports can contribute to increased transparency. Moreover, the
subsection emphasizes the significance of audits and on-site visits as essential tools for
verifying and ensuring compliance with transparency and ethical standards. By implementing
these strategies, organizations can proactively foster transparency within their supply chains,
promote responsible sourcing, and build trust with stakeholders.
41
Enhancing SCT
Fig. 12
5.2.1. Embracing Emerging Technologies
Improving transparency in the supply chain involves embracing new technologies such as AI,
blockchain, RFID, smart contracts, and battery passports. These emerging technologies can
revolutionize supply chain transparency by enabling real-time tracking, data sharing, and
traceability of products and processes. Contributor 2 emphasized the significance of
transparency in building trust, accountability, and stronger relationships across the supply
chain. They highlighted the importance of working with values and changing management
practices to foster transparency. Additionally, they recognized the potential of technologies
like blockchain, geofencing, and RFID in enhancing supply chain transparency. Contributor 3
emphasized the importance of supply chain transparency (SCT) in ensuring that suppliers
meet their commitments and avoiding disruptions. They also acknowledged that culture,
company size, technology, and personal connections play crucial roles in building better
relationships that make the supply chain more transparent. Similarly, Contributor 4 discussed
various aspects of transparency, including the importance of supplier onboarding, waste
management policies, and the use of blockchain technology for greater transparency and
mapping in the supply chain. These contributors recognized the potential of technology,
particularly blockchain, in enhancing transparency and improving supply chain practices.
5.2.2. Changing Management Practices
It was recommended to review and modify existing management practices to promote
transparency within the supply chain. This may involve adopting new approaches,
frameworks, or methodologies that prioritize transparency and accountability. For instance,
42
embracing new technologies and changing management practices were highlighted as key
factors in improving supply chain transparency. Contributor 2 emphasized the significance of
transparency in building trust, accountability, and stronger relationships across the supply
chain. They mentioned the importance of working with values and modifying management
practices, while also highlighting the potential of technologies like blockchain, geofencing,
and RFID in enhancing transparency. Similarly, Contributor 3 stressed the importance of SCT
in ensuring supplier commitments and avoiding disruptions, with culture, company size,
technology, and personal connections playing crucial roles. Contributor 4 discussed supplier
onboarding, waste management policies, and the use of blockchain technology for greater
transparency. Contributors 5 and 6 emphasized confidentiality agreements and trust in
building transparent supplier relationships. Contributor 7 underscored the importance of
negotiation and information sharing among suppliers, while Contributor 8 emphasized
transparency in supplier collaborations and at a managerial level. Contributor 9 highlighted
the challenges of openness and transparency in balancing intellectual property restrictions.
Contributor 10 noted the importance of supplier size, country, and regulatory measures in
transparency, along with the potential of IoT and AI technologies. Additionally, human
factors such as education, training, leadership, and culture were recognized as important
contributors to improving supply chain transparency. However, challenges such as collecting
accurate data, IP protection, and balancing transparency with cost and efficiency were
acknowledged by the contributors.
5.2.3. Willingness to Bear Initial Costs
Recognizing the importance of transparency, interviewees emphasized the need for
organizations to be willing to invest upfront costs to implement transparent practices. This
could involve allocating resources for technology adoption, process improvements, or
supplier collaboration initiatives. All contributors emphasized the need for collaboration,
effective communication, and technology adoption in achieving transparency in supply chain
management. i.e., contributor 1 emphasized the need to work closely with suppliers to
understand risks and opportunities, improve sustainability, and enhance visibility…"Investing
in transparent practices may require upfront costs, but it's a necessary step in building a
resilient and sustainable supply chain” [Contributor 1], which aligns with the importance of
sustainable supply chain management and collaborative relationships with suppliers.
Contributor 10 highlighted the value of in-person visits and informal communication methods
for gaining crucial information about suppliers. And, Contributor 2 emphasized effective
communication and information sharing through technology and IT systems to improve
supply chain visibility and mitigate disruptions. Relevantly, Contributors 3 and 4 stressed the
significance of building strong relationships and collaboration with suppliers to achieve
common goals, enhance communication, and improve supply chain efficiency. They
mentioned that, "Collaboration with suppliers is crucial for achieving common goals. It may
require initial investment, but the trust and understanding fostered through collaboration
yield long-term benefits" [Contributor 3 and 4]. Contributor 5 emphasized the role of team
dynamics and organizational culture in promoting communication and knowledge sharing.
Additionally, Contributor 6 discussed challenges related to intellectual property rights in
global supply chains, emphasizing the need for IP protection. Contributor 7 emphasized
43
flexibility and cultural sensitivity in supplier collaboration, while Contributor 8 discussed
negotiation challenges in global supply chains and the importance of developing negotiation
skills. All in all, making abovementioned investments help organizations to achieve
long-term sustainability, improve supply chain visibility, mitigate disruptions, and build
stronger relationships with suppliers.
5.2.4. Organizational Values
Transparency in the supply chain is greatly influenced by the alignment of organizational
values, as emphasized by a few contributors. Interviewees stressed the significance of
integrating transparency as a core value within companies. According to Contributor 1,
"Having constant values with transparency goals creates a foundation for building trust and
stronger relationships with suppliers and stakeholders". Similarly, Contributor 3 highlighted
that "Culture plays a crucial role in making the supply chain more transparent, and aligning
organizational values with transparency objectives is essential". Furthermore, Contributor 4
emphasized the value of shared values, stating that "Building strong relationships and
effective collaborations based on shared values is crucial for achieving common goals and
promoting transparency". By working with shared values, companies can establish a culture
of transparency that promotes open communication, trust, and mutual understanding. These
points about values indicate important areas for the development of sustainable and
transparent supply chain practices. Thus, working with values plays a vital role in promoting
transparency and ethical behavior throughout the supply chain, fostering stronger
relationships and driving long-term success. Also, integrating transparency as a core value
and aligning organizational values with transparency objectives is crucial for building a
transparent and sustainable supply chain ecosystem.
5.2.5. Audits and on site visits
The contributors provided valuable comments regarding the importance of conducting audits
and on-site visits to enhance transparency and collaboration in the supply chain. They
emphasized that regular audits are essential practices for ensuring transparency by verifying
compliance with standards, identifying gaps or non-compliant areas, and providing insights
for improvement. On-site visits to suppliers and partners were also highlighted as valuable
opportunities for organizations to gain a deeper understanding of their supply chain
operations, assess transparency levels, and build stronger relationships through face-to-face
interactions. Contributor 1 emphasized the need for collaborative relationships with suppliers
to understand risks and opportunities, while Contributor 10 explained the undervalued nature
of in-person visits and audits in the automotive industry…"In-person visits and audits
provide valuable insights into suppliers that cannot be obtained through other means".
Contributor 2 emphasized the importance of communication and IT systems, stating that
leveraging technology improves visibility and helps mitigate supply chain
disruptions…"Effective communication and information sharing are critical components of
successful supply chain management". Contributors 3 and 4 stressed the significance of
building strong relationships and collaboration with suppliers to achieve common goals,
enhancing trust and mutual understanding. Contributor 5 emphasized the role of team
dynamics and organizational culture in communication and decision-making…"Team
44
dynamics and organizational culture play a crucial role in promoting communication and
knowledge sharing, improving decision-making, and enhancing supply chain performance".
Contributor 6 discussed the challenges of protecting intellectual property rights in global
supply chains. Contributor 7 highlighted the importance of flexibility and cultural
sensitivity…"Flexibility and cultural sensitivity are key factors in successful supplier
collaboration, requiring adaptation to different communication styles and business
practices'', while Contributor 8 emphasized effective negotiation skills in supplier
collaboration. Lastly, Contributor 9 emphasized information sharing between government and
market players for improved efficiency and innovation. These insights collectively emphasize
the multifaceted nature of supply chain management and the importance of a holistic
approach to ensure transparency, efficiency, and collaboration. Ongoing monitoring,
evaluation, and the use of key performance indicators are essential to identify areas for
improvement and optimize supply chain performance.
5.3. Findings and Analysis
The discussion section was conducted using thematic analysis, aiming to uncover important
themes related to transparency in the automotive supply chain within the context of the
Scandinavian industry. Thematic analysis is a method used to carefully examine and interpret
qualitative data, such as interview responses, in order to identify patterns and themes. It
involves organizing the data into categories and then identifying overarching themes that
capture the main ideas and insights. Thematic analysis helps to understand the subject of
study by finding connections and generating meaningful interpretations from the data.
This analysis was guided by two research questions: RQ1: What are the obstacles to
transparency in the Scandinavian automotive industry's supply chain? and, How can
Scandinavian automakers enhance transparency in their supply chain management practices
in the future? Based on these research questions, four key areas were identified: Regulations
and Geographical Location, Organizational Size and Culture, Protecting Critical Technology,
and Strategies for improving supply chain transparency. Through the collection of empirical
data, barriers to transparency and areas for development of supply chain transparency were
clearly identified. The systematic approach employed in discovering codes, categories, and
themes connects these findings with information obtained from the systematic literature
review and offers a systematic way to address the identified gaps. Ultimately, the thematic
analysis of the interview data is expected to provide valuable insights into the current state of
supply chain transparency in the Scandinavian automotive industry. It sheds light on existing
barriers and suggests ways to improve transparency in a systematic manner, providing a
roadmap for future enhancement in this crucial area.
5.3.1. Obstacles to SCT
By addressing our first question, we were able to identify the obstacle to achieving SCT. Our
analysis revealed three significant areas of concern: Regulations and Geographic Location,
Organizational Size and Culture, and Protecting Critical Technologies. These findings were
supported by the explanation provided by multiple interviewees, specifically, contributor 3, 6,
8 and 10, while contributor 1, 5, 7, 8, 9, and 10 emphasized the influence of organizational
45
size and culture. Additionally, contributors 2, 4, 7, and 10 clarified the significance of
protecting critical technologies aspects in promoting transparency. Here, we can observe the
relevance of extracting codes, categories, and themes within the structure of thematic analysis
to address the research questions in a scientific manner. Thematic analysis allows for the
systematic identification and organization of meaningful patterns within the data. This
rigorous and structured methodology ensures a scientific approach to analyzing the data and
provides a solid foundation for drawing meaningful conclusions from the research findings.
5.3.1.1. Regulations and Geographical Location
The concept of Supply Chain Transparency (SCT) encompasses various interpretations,
including visibility, traceability, and sustainability (Egels-Zandén et al., 2015; James and
Montgomery, 2017; Awaysheh and Klassen, 2010; Sodhi and Tang, 2019; Birkey et al., 2018;
Kraft et al., 2018; Barling et al., 2009; Garcia-Torres et al., 2019). Scholars emphasize the
need for a multidimensional definition of SCT that considers trade-offs (Egels-Zandén et al.,
2015). Doorey (2011) explained information disclosure as a regulatory tool to influence
business behavior and promote positive institutional change. However, empirical evidence
and consistent definitions of SCT are lacking. Therefore, it is important to explore how
different approaches to SCT, such as compliance or cooperation, impact outcomes.
ManMohan et al. (2019) note the increasing trend of companies disclosing information about
their supply chains, but highlight the need to clarify the benefits of such information
disclosure. They define visibility as a company's effort to understand its supply chain
operations and transparency as the disclosure of information to stakeholders. Geographical
proximity, cultural differences, and organizational dynamics like maturity and size also play a
role in SCT practices (Cao et al, 2015; Arthur P.J. Mol, 2015; Fraser et al., 2020; Wulff,
2019). The automotive industry, with its complex supply chain, requires attention to
information flow transparency, considering factors such as safety, emissions, labor rights, and
stakeholder trust. Examining information exchange, production processes, materials sourcing,
and labor practices can enhance sustainability, accountability, and consumer trust. The impact
of regulations and geographical location on supplier evaluations, negotiation dynamics, and
transparency levels is also significant (Contributor 3, 6, 8, 10). Organizations must consider
regulatory requirements and the interplay between regulations, geographical location, and
negotiation dynamics when evaluating suppliers. Additionally, understanding the advantages
of being a subsidiary to a larger company in negotiations can lead to more favorable terms.
Differences between the United States and Europe exist, with the former favoring court
proceedings and the latter prioritizing alternative dispute resolution methods like arbitration
and mediation. Considering these findings, a comprehensive understanding of SCT in the
automotive industry can be achieved, addressing its multidimensional aspects and their
implications on sustainability, accountability, and corporate behavior.
46
Thematic analysis for Regulations and Geographical Location
Fig. 13
5.3.1.2. Organizational Size and Culture
Culture and firm size are key factors influencing supply chain transparency in the automotive
industry. Cultural differences play a crucial role in shaping organizations' approach to
transparency practices, as highlighted by Contributors 7, 8, and 10. For instance, cultural
dimensions such as power distance and uncertainty avoidance can impact organizations'
willingness to disclose information about their supply chain operations (Kumar &
Bjorn-Andersen, 1990; Contributor 8). Additionally, cultural factors influence perceptions of
service quality and attitudes towards privacy and piracy, which are significant considerations
in the automotive supply chain (Kettinger et al., 1995; Husted, 2000; Milberg et al., 1995;
Shore et al., 2001; Contributors 5, 7, 10). By understanding and recognizing these cultural
dimensions, automotive organizations can tailor their transparency strategies to align with
stakeholder expectations and cultural values, leading to enhanced relationships, sustainability,
accountability, and trust within the supply chain. This aligns with the insights provided by
Contributors 7 and 10, emphasizing the importance of cultural sensitivity and flexibility in
supplier collaboration to foster successful relationships and collaboration outcomes.
Regarding firm size, understanding its role in supply chain transparency is essential. Larger
enterprises, as noted by Chandran and Rasiah (2013), tend to have better economic
performance and productivity. They are more conscious of their corporate and social
responsibilities, including efforts related to supply chain transparency. On the other hand,
SMEs face challenges in prioritizing sustainability without regulatory frameworks (Chandran
& Rasiah, 2013). However, SMEs play a vital role in economies and societies, particularly in
countries like China (Chandran & Rasiah, 2013). Recognizing the significance of SMEs, it
47
becomes crucial to address sustainability issues in their supply chains as well. The
government, as outlined by Chandran and Rasiah (2013), has committed to reducing CO2
emissions and aligning with international agreements. External institutional frameworks and
pressure create opportunities for enterprises, including the automotive industry, to embrace
green development and improve supply chain transparency.
To effectively address sustainability challenges, including supply chain transparency, it is
important to consider the moderating role of firm size on supply chain management practices
and performance, as suggested by Hsu et al. (2017). This understanding can assist automotive
enterprises in formulating strategies that enhance transparency, address sustainability
concerns, and improve overall performance in a socially responsible manner. Finally, cultural
differences significantly influence supply chain transparency in the automotive industry.
Organizations must recognize and adapt to these cultural dimensions to align their
transparency strategies with stakeholder expectations. Furthermore, firm size plays a role in
shaping organizations' commitment to transparency and sustainability. Larger enterprises tend
to prioritize transparency more readily, while SMEs require regulatory frameworks and
support to enhance their supply chain transparency efforts. Recognizing the importance of
SMEs is crucial for achieving sustainability goals and achieving higher transparency in the
automotive industry.
Thematic analysis for Size and Culture
Fig. 14
48
5.3.1.3. Protecting Critical Technology
The automotive industry's pursuit of enhanced supply chain transparency relies on the
synergistic combination of RFID technology, the Industrial Internet of Things (IIoT), and
blockchain [Contributor 2]. RFID technology plays a crucial role as an enabler of
connectivity and information exchange within the supply chain network (Kumar, 2006). By
providing unique identification for objects and devices, RFID facilitates effective
communication and promotes transparency within the IIoT framework (Greengard, 2015).
Integrating RFID with other technologies, such as data analytics and advanced tracking
systems, generates valuable insights that enhance supply chain visibility (Grackin, 2015).
In the context of the Scandinavian automotive industry, leveraging RFID technology brings
numerous benefits, including real-time tracking of goods, improved inventory management,
accurate product identification, and overall supply chain efficiency. This integration
addresses challenges like counterfeit products, unauthorized diversions, and disruptions,
fostering trust among stakeholders and promoting transparency (Grackin, 2015). The IIoT
plays a pivotal role in developing real-time information for supply chain management,
thereby enhancing transparency within the automotive industry (Haddud et al., 2017). By
leveraging sensors and tags, the IIoT enables seamless communication and information
dissemination among objects and devices, revolutionizing data collection and analysis (Zelbst
and Sower, 2016). RFID, as a core component of the IIoT, offers advanced monitoring,
collection, and analysis capabilities, empowering real-time decision-making (Real-Time
Innovations, 2015). Through the integration of the IIoT and RFID, automotive companies
gain access to a wealth of real-time data, enabling proactive decision-making, streamlined
production processes, and improved logistics operations. This optimization of operations and
risk mitigation fosters transparency and ensures a higher level of visibility throughout the
supply chain network, ultimately enhancing supply chain transparency and operational
efficiency (Prakash, 2016).
Blockchain technology provides accessibility, authenticity verification, authorization, and
security to supply chain information (Cottrill, 2018). By utilizing a shared ledger, blockchain
ensures the immutability and transparency of transaction records (IBM, 2018). The
integration of RFID technology within the IIoT complements blockchain by enabling near
real-time information entry into blockchain blocks, ensuring accurate and prompt recording
of supply chain information (Cottrill, 2018). This combination establishes a secure and
tamper-proof record of transactions, enhances traceability, and promotes accountability
throughout the supply chain. Blockchain technology facilitates collaboration and trust among
supply chain partners through its shared and transparent ledger, providing real-time visibility
and efficient coordination. Timely interventions can be made when discrepancies or
anomalies arise, further enhancing supply chain transparency (IBM, 2018). The integration of
blockchain and RFID technology enhances data accuracy, security, traceability, and
collaboration within the automotive industry's supply chain. These improvements contribute
to operational efficiency and customer satisfaction, positioning automotive companies for
success in the evolving landscape of supply chain transparency (Cottrill, 2018).
49
Also, the close interplay between RFID technology, the IIoT, and blockchain is vital for
achieving enhanced supply chain transparency in the automotive industry. RFID serves as a
foundational technology, enabling seamless connectivity and communication, while the IIoT
enables real-time data collection, analysis, and decision-making. The integration of
blockchain further strengthens transparency by ensuring the authenticity and security of
supply chain information. Together, these technologies optimize operations, mitigate risks,
and foster trust among stakeholders, ultimately positioning automotive companies for success
in the ever-evolving landscape of supply chain transparency [Contributor 2].
Thematic analysis for Protecting Critical Technology
Fig. 15
5.3.2. Strategies for Developing SCT
The empirical results and literature review conducted in our study establish a direct
connection between the strategies for developing supply chain transparency (SCT) and the
findings we have obtained. Our research focuses on identifying barriers to supply chain
transparency (RQ1) and crucial factors and approaches that can be employed by
Scandinavian automakers to enhance their transparency in managing SC-related activities,
directly addressing the question of how they can achieve greater transparency (RQ2).
5.3.2.1. Technological, Organizational and Expenditure Factors
The empirical results and literature review demonstrate a clear connection between the
strategies for developing supply chain transparency (SCT) and the integration of advanced
technologies such as RFID, the IIoT, and blockchain in the automotive industry. RFID
technology plays a crucial role in enabling effective communication and information
exchange within the supply chain network, promoting transparency (Kumar, 2006;
Greengard, 2015). By integrating RFID with other technologies like data analytics and
50
advanced tracking systems, valuable insights are generated, enhancing visibility (Grackin,
2015). The IIoT revolutionizes data collection and analysis through seamless communication
among objects and devices, fostering transparency (Haddud et al., 2017; Zelbst and Sower,
2016). RFID, as a core component of the IIoT, empowers real-time decision-making and
enhances supply chain visibility (Real-Time Innovations, 2015). Additionally, blockchain
technology ensures the accessibility, security, and transparency of supply chain information,
complemented by RFID and the IIoT (Cottrill, 2018; IBM, 2018). The integration of these
technologies enhances data accuracy, traceability, security, and collaboration, contributing to
operational efficiency and customer satisfaction (Cottrill, 2018). Therefore, by embracing
these new technologies and leveraging their potential, automotive companies can improve
supply chain transparency, build trust, and foster stronger relationships across the supply
chain (Contributor 2). They can also ensure that suppliers meet their commitments, avoid
disruptions, and achieve greater transparency through the use of technologies like blockchain
(Contributors 3 and 4). These insights emphasize the importance of technology, particularly
blockchain, in enhancing transparency and improving supply chain practices (Contributors 2,
3, and 4), aligning with the strategies for developing SCT in the automotive industry.
Professionals (Contributor 4.8) have emphasized the crucial role of collaboration and
communication in achieving transparency within the automotive supply chain. Collaborative
relationships among supply chain partners facilitate knowledge sharing, inventory
management, and risk management, which in turn contribute to enhanced competitiveness
and improved performance for firms (Handfield and Bechtel, 2002; Fawcett and Magnan,
2004; Sheu et al., 2006; Masten and Kim, 2015; Purwaningrum and Yaniasih, 2012; Du et al.,
2012). In addition to these benefits, the practice of value co-creation and value constellations
through supply chain collaboration drives innovation and has a positive impact on overall
supply chain performance (Kim, 2009; Rosenzweig, 2009; Lin et al., 2010; Wu et al., 2014).
This highlights the significance of collaboration and communication as essential components
for achieving transparency, fostering innovation, and enhancing the performance of the
automotive supply chain. Moreover, knowledge sharing also plays a crucial role in supply
chain transparency (Contributor 4.8). By exchanging information, expertise, and insights
among stakeholders, organizations promote collaboration, innovation, and learning,
ultimately leading to improved decision-making and organizational effectiveness. Various
informal channels and methods facilitate knowledge sharing among individuals and
organizations, such as conversations, documentation repositories, training and workshops,
online collaboration tools, and knowledge sharing events (Cerchione & Esposito, 2016; Lim
et al., 2017; Huang et al., 2010; Rajabion et al., 2019; Akhavan & Namvar, 2021). This
process of knowledge sharing enables stakeholders to make informed decisions, understand
the intricacies of manufacturing processes, verify the sustainability and ethical practices
involved in the supply chain, and ultimately enhance transparency. By fostering a culture of
knowledge sharing, the automotive industry can effectively address potential issues, ensure
regulatory compliance, and build trust with stakeholders. It supports the industry's efforts to
achieve greater transparency, traceability, and accountability in its supply chain operations,
ultimately leading to improved performance and sustainability.
51
Our research also uncovers less explored areas in the literature. Contributor 2 emphasizes the
importance of changing management practices to promote transparency, including the
adoption of new technologies. Contributors 3 and 4 stress the significance of supplier
collaboration, waste management policies, and the use of blockchain technology for greater
transparency. Contributors 5 and 6 highlight the importance of confidentiality agreements,
trust, and intellectual property protection in building transparent supplier relationships.
Contributor 7 underscores the importance of negotiation and information sharing among
suppliers, while Contributor 8 emphasizes transparency in supplier collaborations and at a
managerial level. Contributors 9 and 10 shed light on the challenges of openness and
transparency, including balancing intellectual property restrictions and considering factors
such as supplier size, country, and regulatory measures. Furthermore, our findings emphasize
the willingness to bear initial costs, as mentioned by Contributor 1, to implement transparent
practices in the supply chain. Aligning organizational values with transparency objectives, as
emphasized by Contributors 1, 3, and 4, is crucial in fostering a culture of transparency and
building trust with suppliers and stakeholders. Audits and on-site visits, as discussed by
various contributors, including Contributors 1, 2, 6, and 10, are essential for verifying
compliance, gaining insights, and building stronger relationships through face-to-face
interactions.
52
Thematic analysis for Technological, Organizational and Expenditure Factors
Fig. 16
53
Chapter 6: This chapter provides a comprehensive overview of the empirical results,
literature review, and analysis conducted in previous chapters. The conclusion highlights the
main contributions of the study, addresses the research objectives and research questions, and
offers meaningful implications and recommendations for future research. By synthesizing the
research findings, this chapter provides a solid conclusion to the thesis, emphasizing the
significance and relevance of the study in its respective field.
6. Conclusion
6.1. Barriers to SCT
The analysis has revealed three significant obstacles to achieving supply chain transparency
(SCT) in the automotive industry: regulations and geographic location, organizational size
and culture, and protecting critical technologies. The interplay of regulations, geographical
location, and negotiation dynamics influences supplier evaluations and transparency levels.
Different countries have varying regulations and requirements, making it challenging to
maintain consistent transparency practices across the supply chain. Moreover, the geographic
location of suppliers and their proximity to manufacturing facilities can affect the ease of
information flow and collaboration. Cultural differences shape organizations' approach to
transparency practices. Some cultures may prioritize confidentiality and restrict information
sharing, while others may value open communication and transparency. These cultural factors
influence the level of transparency embraced by automotive companies and their suppliers.
Furthermore, organizational size plays a role in the commitment to transparency and
sustainability. Larger companies may have more resources and capabilities to invest in
transparency initiatives, while smaller organizations may face financial constraints or lack the
necessary infrastructure to implement robust transparency practices. Leveraging technologies
such as RFID, the Industrial Internet of Things (IIoT), and blockchain is crucial for
enhancing transparency in the automotive supply chain. RFID technology enables real-time
tracking of products and materials, facilitating accurate and efficient information exchange.
The IIoT revolutionizes data collection and analysis through seamless communication among
objects and devices, providing valuable insights for transparency. Blockchain technology
ensures secure and transparent transactions, contributing to the traceability and accountability
of supply chain operations. Overcoming these obstacles is essential to foster trust among
stakeholders, improve operational efficiency, and meet the growing demand for transparency
and responsible business practices within the automotive industry. By addressing regulatory
challenges, considering cultural nuances, and investing in advanced technologies, automotive
companies can enhance transparency throughout the supply chain. This will enable better
collaboration, effective risk management, and improved decision-making, ultimately leading
to sustainable and responsible supply chain practices.
54
6.2. Suggestions for Development
The empirical results and literature review demonstrate that the strategies for developing
supply chain transparency (SCT) in the automotive industry are closely linked to the
integration of advanced technologies such as RFID, the Industrial Internet of Things (IIoT),
and blockchain. RFID technology enables effective communication and information
exchange within the supply chain network, promoting transparency. By integrating RFID
with data analytics and advanced tracking systems, valuable insights are generated,
enhancing visibility. The IIoT revolutionizes data collection and analysis through seamless
communication among objects and devices, fostering transparency. As a core component of
the IIoT, RFID empowers real-time decision-making and enhances supply chain visibility.
Blockchain technology ensures the accessibility, security, and transparency of supply chain
information, complemented by RFID and the IIoT. The integration of these technologies
enhances data accuracy, traceability, security, and collaboration, contributing to operational
efficiency and customer satisfaction. Collaboration and communication among supply chain
partners play a crucial role in achieving transparency. Collaborative relationships facilitate
knowledge sharing, inventory management, risk management, and value co-creation, leading
to improved competitiveness, innovation, and overall supply chain performance. Knowledge
sharing is essential in promoting transparency by enabling informed decision-making,
understanding manufacturing processes, and verifying sustainability and ethical practices.
The research also uncovers less explored areas, including changing management practices,
waste management policies, confidentiality agreements, intellectual property protection,
negotiation, information sharing, and considerations of supplier size, country, and regulatory
measures. Aligning organizational values with transparency objectives is crucial for fostering
a culture of transparency and building trust. Audits and on-site visits verify compliance and
strengthen relationships. These insights highlight the importance of integrating technologies,
promoting collaboration and communication, and aligning organizational values to enhance
supply chain transparency in the automotive industry, ultimately contributing to improved
performance, sustainability, and accountability.
6.3. Limitation
This study has certain limitations that should be taken into consideration when interpreting
the findings. Firstly, the generalization of the findings to other locations and industries may
be limited due to the specific context of the study to the Scandinavian automotive supply
chain. Additionally, the study primarily focused on the perspectives of automakers, and
perspectives from the supplier side were not included, potentially affecting the
comprehensiveness of the results. Furthermore, the qualitative research approach employed in
the project provided rich and in-depth insights but may have limitations in providing a
comprehensive and quantifiable assessment of transparency within the supply chain.
Additionally, the small sample size, consisting mainly of participants from Swedish
companies, further restricts the generalization of findings. To address these limitations, future
research projects could consider increasing the sample size and including participants from
diverse geographical locations and cultures to gain a more comprehensive understanding.
Moreover, external factors such as government regulations, economic and political instability,
55
and unexpected incidents were not explicitly considered in the study, despite their potential
impact on transparency and collaboration within the supply chain. Despite these limitations,
the combined approach of systematic literature review and thematic analysis helped to
mitigate the challenges associated with the broad topic and provided a focused understanding
of transparency within the specific context of the Scandinavian automotive supply chain.
6.4. Suggestions for Future Research
Future research projects can expand upon the findings of this study to provide deeper insights
into existing supply chain practices of the automotive industry. Extending the scope of the
research can include tier 3 and 4 suppliers that would offer a more comprehensive
understanding of the supply chain dynamics. Since the study was limited to only consider the
perspective of automakers it would therefore be logical to include perspectives of suppliers'
and other stakeholders so that different findings could be compared and contrasted against
each other in order to identify interesting points that would enable a more comprehensive
analysis of what factors impact SCT. Stakeholders that would be interesting to include in this
more extensive analysis are customers, government agencies, and non-governmental
organizations.
Additionally, conducting research in different geographical regions would allow for an
examination of how cultural differences and regional regulations impact supply chain
transparency. Another important area of investigation would be exploring how internal
organizational dynamics influence an organization's ability to integrate and align operations,
leading to a more transparent supply chain. In future studies, it would be beneficial to employ
quantitative research methods in addition to the qualitative approach used in the current
study, enabling statistical analysis of the collected data. Furthermore, the impact of emerging
technologies, such as blockchain and artificial intelligence, on SCT within the automotive
industry warrants exploration. These suggestions for future research will contribute to
expanding knowledge in the field and provide valuable insights for enhancing supply chain
transparency in the automotive industry.
Another area of future research can be dedicated to exploring the benefits and potential risks
associated with promoting transparency and facilitating the sharing and integrating of
information though ERP systems and advanced technologies. These projects can uncover the
potential consequences of improved transparency, identifying the activities that are most
logically suited for increased transparency, as well as determining the types of information
that should still be kept confidential. In essence, the focus would be on identifying the
processes that would gain the greatest advantage from a higher degree of information flow.
56
Reference
Ada, E., Sagnak, M., Kazancoglu, Y., Luthra, S., & Kumar, A. (2021). A framework for
evaluating information transparency in supply chains. Journal of Global Information
Management (JGIM), 29(6), 1-22.
Adeoye‐Olatunde, O. A., & Olenik, N. L. (2021). Research and scholarly methods:
Semi‐structured interviews. Journal of the American College of Clinical Pharmacy, 4(10),
1358-1367.
Aelker, J., Bauernhansl, T., & Ehm, H. (2013). Managing complexity in supply chains: A
discussion of current approaches on the example of the semiconductor industry. Procedia
CIRP, 7, 79-84.
Ahmed, W. and Omar, M. (2019) ‘Drivers of supply chain transparency and its effects on
performance measures in the automotive industry: case of a developing country’,
International Journal of Services and Operations Management, Vol. 33, No. 2, pp.159–186.
Akhavan, P., & Namvar, M. (2021). The mediating role of blockchain technology in
improvement of knowledge sharing for supply chain management. Management Decision,
60, 784-805.
Al-Fuqaha, A., Guizani, M., Mohammadi, M., Aledhari, M. and Ayyash, M. (2015) ‘Internet
of things: a survey on enabling technologies, protocols, and applications’, IEEE
Communications Surveys & Tutorials, Vol. 17, No. 4, pp.2347–2376.
Alipourfallahpasand, A. (2021). Accounting for Computer Software Expenditures and
Information Asymmetry (Master's thesis). Department of Management and Accounting,
University of Allameh Tabataba'i (ATU).
Astill, J., Dara, R. A., Campbell, M., Farber, J. M., Fraser, E. D., Sharif, S., & Yada, R. Y.
(2019). Transparency in food supply chains: A review of enabling technology solutions.
Trends in Food Science & Technology, 91, 240-247.
A.T. Kearney. (2004). The complexity challenge: A survey on complexity management
across the supply chain. A.T. Kearney Publications.
Auronen, L. (2003). Asymmetric information: theory and applications. In Seminar of
Strategy and International Business as Helsinki University of Technology (Vol. 167, pp.
14-18).
Awaysheh, A., & Klassen, R. D. (2010). The impact of supply chain structure on the use of
supplier socially responsible practices. International Journal of Operations & Production
Management, 30(12), 1246-1268. https://doi.org/10.1108/01443571011094253
57
Bag, S., Viktorovich, DA, Sahu, AK and Sahu, AK (2021) ‘Barriers to adoption of
blockchain technology in green supply chain management’ Journal of Global Operations and
Strategic Sourcing, Vol. 14, No. 1, pp.104–133.
Bateman, A. and Bonanni, L. (2019) ‘What supply chain transparency really means’, Harvard
Business Review [online] https://hbr.org/2019/08/what-supply-chain-transparency-really-
means.
Batubara, F. R., Ubacht, J. and Janssen, M. (2018) ‘Challenges of blockchain technology
adoption for e-government: a systematic literature review’, Proceedings of the 19th Annual
International Conference on Digital Government Research: Governance in the Data Age,
pp.1–9.
Barling, D., Sharpe, R., & Lang, T. (2009). Traceability and ethical concerns in the UK
wheat-bread chain: from food safety to provenance to transparency. International Journal of
Agricultural Sustainability, 7(4), 261-278. https://doi.org/10.3763/ijas.2009.0331
Basole, R. C., and M. A. Bellamy. 2014. Visual Analysis of Supply Network Risks: Insights
From the Electronics Industry. Decision Support Systems 67: 109–120.
doi:10.1016/j.dss.2014.08.008.
Bateman, A., & Bonanni, L. (2019). What Supply Chain Transparency Really Means.
Harvard Business Review. Retrieved from
https://hbr.org/2019/08/what-supply-chain-transparency-really-means
Bechtel, C., & Jayaram, J. (1997). Supply Chain Management: A Strategic Perspective. The
International Journal of Logistics Management, 8(1), 15-34.
Berg, B. L. (2001). Qualitative research methods for the social sciences. Boston: Allyn and
Bacon.
Bhatnagar, R., & Sohal, A. S. (2005). Supply chain competitiveness: measuring the impact of
location factors, uncertainty and manufacturing practices. Technovation, 25(5), 443-456.
Birkey, R. N., Guidry, R. P., Islam, M. A., & Patten, D. M. (2018). Mandated social
disclosure: an analysis of the response to the California transparency in supply chains act of
2010. Journal of Business Ethics, 152(3), 827-841.
https://doi.org/10.1007/s10551-016-3364-7
Blecker, T., & Friedrich, G. (2005). Development of an Approach for Analyzing Supply
Chain Complexity. In Mass Customization Concepts – Tools – Realization (pp. 47-59). Gito
Verlag.
Botta, A., De Donato, W., Persico, V. and Pescapé, A. (2016) ‘Integration of cloud computing
and internet of things: a survey’, Future Generation Computer Systems, Vol. 56, No. 1,
pp.684–700.
58
Bozarth, C. C., Warsing, D. P., Flynn, B. B., & Flynn, E. J. (2009). The impact of supply
chain complexity on manufacturing plant performance. Journal of Operations Management,
27(1), 78-93.
Bowersox, D. J., & Calantone, R. J. (1998). Executive insights: global logistics. Journal of
International Marketing, 6(4), 83-93.
Brun, A., Karaosman, H., & Barresi, T. (2020). Supply chain collaboration for transparency.
Sustainability, 12(11), 4429.
Braun, V., & Clarke, V. (2006). Using thematic analysis in psychology. Qualitative research
in psychology, 3(2), 77-101.
Burnard, P. (1991). A method of analysing interview transcripts in qualitative research. Nurse
Education Today, 11, 461–466.
Burnes, B. (2005). Complexity theories and organizational change. International journal of
management reviews, 7(2), 73-90.
Busse C, Meinlschmidt J, Foerstl K (2017) Managing information processing needs in global
supply chains: a prerequisite to sustainable supply chain management. J Supply Chain Manag
53:87–113. https://doi.org/10.1111/jscm.12129
Calvert, D. (2020) ‘The costs and benefits of supply chain transparency’, Stanford Graduate
School of Business [online]
https://www.gsb.stanford.edu/insights/costs-benefits-supply-chain- transparency.
Cao, S., Powell, W., Foth, M., Natanelov, V., Miller, T., & Dulleck, U. (2021a). Strengthening
consumer trust in beef supply chain traceability with a blockchain-based human-machine
reconcile mechanism. Computers and Electronics in Agriculture, 180, 105886.
Cao, S., Miller, T., Foth, M., Powell, W., Boyen, X., & Turner-Morris, C. (2021b). Integrating
on-chain and off-chain governance for supply chain transparency and integrity. arXiv preprint
arXiv:2111.08455.
Cao, Z., Huo, B., Li, Y., & Zhao, X. (2015). The impact of organizational culture on supply
chain integration: a contingency and configuration approach. Supply Chain Management: An
International Journal.
Catanzaro, M. (1988). Using qualitative analytical techniques In: N. F. Woods, & M.
Catanzaro (Eds.), Nursing: research theory and practice (pp. 437–456). St. Louis: The CV
Mosby Company.
Carter, C. R., & Rogers, D. S. (2008). A framework of sustainable supply chain management:
moving toward new theory. International journal of physical distribution & logistics
management.
59
Cerchione, R., & Esposito, E. (2016). A systematic review of supply chain knowledge
management research: State of the art and research opportunities. International Journal of
Production Economics, 182, 276-292.
Chandran, V.G.R.; Rasiah, R. Firm size, technological capability, exports and economic
performance: The case of electronics industry in Malaysia. J. Bus. Econ. Manag. 2013, 14,
741–757.
Chen, Z., Ji, X., Li, M., & Li, J. (2022). How corporate social responsibility auditing interacts
with supply chain information transparency. Annals of Operations Research, 1-20.
Chopra, S., and M. S. Sodhi. 2004. “Managing Risk to Avoid Supply-Chain Breakdown.”
MIT Sloan Management Review 46 (1): 53–61.
Cottrill, K. (2018), “The benefits of blockchain: fact or wishful thinking?”, Supply Chain
Management Review, Vol. 22 No. 1, pp. 20-25.
Davis, T. (1993). Effective supply chain management. Sloan management review, 34, 35-35.
Deloitte. (2014). The path to supply chain transparency: A Practical guide to defining,
understanding and building supply chain transparency in a global economy. Retrieved from
https://www2.deloitte.com/content/dam/Deloitte/co/Documents/risk/DUP785_ThePathtoSup
plyChainTransparency.pdf
Dev, N., Caprihan, R., & Swami, S. (2013). Strategic positioning of inventory review policies
in alternative supply chain networks: An information-sharing paradigm perspective.
International Journal of Logistics Research and Applications, 16(1), 14–33.
doi:10.1080/13675567.2013.767324
Doorey, D.J. (2011) ‘The transparent supply chain: from resistance to implementation at Nike
and Levi-Strauss’, Journal of Business Ethics, Vol. 103, No. 4, pp.587–603.
https://doi.org/10.1007/s10551-011-0882-1
Douglas M. Lambert, Martha C. Cooper and Janus D. Pagh. (1998). Supply Chain
Management: Implementation Issues and Research Opportunities. The International Journal
of Logistics Management, 9(2), 1-19.
Downe-Wambolt, B. (1992). Content analysis: method, applications and issues. Health Care
for Women International, 13, 313–321.
Drisko, J. W., & Maschi, T. (2016). Content analysis. Pocket Guide to Social Work Re.
Du, T. C., Lai, V. S., Cheung, W., & Cui, X. (2012). Willingness to share information in a
supply chain: A partnership-data-process perspective. Information & Management, 49(2),
89-98.
60
Egels-Zandén, N. and Hansson, N. (2016) ‘Supply chain transparency as a consumer or
corporate tool: the case of Nudie Jeans Co’ Journal of Consumer Policy, Vol. 39, No. 4,
pp.377–395.
Egels-Zandén, N., Hulthén, K., & Wulff, G. (2015). Trade-offs in supply chain transparency:
the case of Nudie Jeans Co. Journal of Cleaner Production, 107, 95-104.
https://doi.org/10.1016/j.jclepro.2014.04.074¨
ElMessiry, M., & ElMessiry, A. (2018, June). Blockchain framework for textile supply chain
management: Improving transparency, traceability, and quality. In Blockchain–ICBC 2018:
First International Conference, Held as Part of the Services Conference Federation, SCF
2018, Seattle, WA, USA, June 25-30, 2018, Proceedings (pp. 213-227). Cham: Springer
International Publishing.
Ellram, L. M., & Cooper, M. C. (1993). The Relationship Between Supply Chain
Management and Keiretsu. The International Journal of Logistics Management, 4(1), 1-12.
Fawcett, S. E., & Magnan, G. M. (2004). Ten guiding principles for high-impact SCM.
Business Horizons, 47(5), 67-74.
Fliess, S., & Becker, U. (2006). Supplier integration—Controlling of co-development
processes. Industrial Marketing Management, 35(1), 28-44.
Francisco, K. and Swanson, D. (2018) ‘The supply chain has no clothes: technology adoption
of blockchain for supply chain transparency’, Logistics, Vol. 2, No. 1, p.2.
https://doi.org/10.3390/logistics2010002
Franzosi, R. (Ed.). (2008). Content analysis. Sage.
Fraser, I. J., Müller, M., & Schwarzkopf, J. (2020). Transparency for multi-tier sustainable
supply chain management: A case study of a multi-tier transparency approach for SSCM in
the automotive industry. Sustainability, 12(5), 1814.
Fritz MMC (2020) Sustainable supply chain management. In: Leal Filho W, Azul AM,
Brandli L, Özuyar PG, Wall T (eds) Responsible consumption and production, 1st edn.
Springer International Publishing, Cham, pp 1–14
Galletta, A. (2013). Mastering the semi-structured interview and beyond: From research
design to analysis and publication(Vol. 18). NYU press.
Garcia-Torres, S., Albareda, L., Rey-Garcia, M., & Seuring, S. (2019). Traceability for
sustainability—literature review and conceptual framework. Supply Chain Management, 24,
85-106. https://doi.org/10.1108/SCM-04-2018-0152
George, A. (1970). The market for lemons: Quality uncertainty and the market mechanism.
61
Ghadge, A., S. Dani, M. Chester, and R. Kalawsky. 2013. “A Systems Approach for
Modelling Supply Chain Risks.” Supply Chain Management: An International Journal 18 (5):
523–538.
Grackin, A. (2015), “How are RFID and the internet of things linked” (As of Novemeber 16,
2018, TechTarget listed on its website), available at:
http://internetofthingsagenda.techtarget.com/answer/How-are-RFID-and-the-internet-of-Thin
gs-linked.
Greengard, S. (2015), The Internet of Things, Massachusetts Institute of Technology,
Cambridge, MA.
Guest, G., MacQueen, K. M., & Namey, E. E. (2011). Applied thematic analysis. sage
publications.
Haddud, A., DeSouza, A.K. and Lee, H. (2017), “Examining potential benefits and
challenges associated with the internet of things integration in supply chains”, Journal of
Manufacturing Technology Management, Vol. 28 No. 8, pp. 1055-1085.
Hallikas, J., I. Karvonen, U. Pulkkinen, V.-M.Virolainen, and M. Tuominen. 2004. “Risk
Management Processes in Supplier Networks.” International Journal of Production
Economics 90 (1): 47–58. doi:10.1016/j.ijpe.2004.02.007.
Handfield, R. B., & Bechtel, C. (2002). The role of trust and relationship structure in
improving supply chain responsiveness. Industrial marketing management, 31(4), 367-382.
Harbert, T. (2020) ‘Supply chain transparency, explained’, M.I.T. Sloan School of
Management [online]
https://mitsloan.mit.edu/ideas-made-to-matter/supply-chain-transparency-explained.
Ho, W., T. Zheng, H. Yildiz, and S. Talluri. 2015. “Supply Chain Risk Management: a
Literature Review.” International Journal of Production Research 53 (16): 5031–5069.
Hofstede, G. (1984). Culture's consequences: International differences in work-related values
(Vol. 5). sage.
Hofstede, G., Hofstede, G. J., & Minkov, M. (2005). Cultures and organizations: Software of
the mind (Vol. 2). New York: Mcgraw-hill.
Holloway, I., & Todres, L. (2003). The status of method: flexibility, consistency and
coherence. Qualitative Research, 3(3), 345-357.
Hsu, C.H.; Chang, A.Y.; Luo, W. Identifying key performance factors for sustainability
development of SMEs—Integrating QFD and fuzzy MADM methods. J. Clean. Prod. 2017,
161, 629–645.
62
Huang, C. M., Su, C. H., & Chen, P. K. (2010). An empirical study of the impact of
knowledge creation and sharing on supply chain practice with competitive performance.
Journal of Statistical Management System, 13, 921-936.
Hult, G. T. M., Craighead, C. W., & Ketchen, Jr, D. J. (2010). Risk uncertainty and supply
chain decisions: a real options perspective. Decision Sciences, 41(3), 435-458.
Hung, W. J., Lin, C., & Ho, C. (2014). Sharing information in a high uncertainty
environment: Lessons from the divergent differentiation supply chain. International Journal
of Logistics Research and Applications, 17(1), 46–63. doi:10.1080/13675567.2013.837156
Husted, B. W. (2000). The impact of national culture on software piracy. Journal of Business
Ethics, 26(3), 197-211.
IBM (2018), “What is Blockchain?” (As of November 16, 2018, IBM listed on its website),
available at: www-01.ibm.com/common/ssi/cgi-bin/ssialias?htmlfid=45015045USEN
Jamalianpour, M., & Alipourfallahpasand, A. (2022). Characteristics of Data Systems in
Assurance and Determining Performance Measures in Companies - with a Focus on Big
Data. Alzahra University, College of Social and Economic Sciences, Accounting and Social
Benefits, 21(2), 291-271.
Jamalianpour, M., & Alipourfallahpasand, A. (2020). The Impacts of Smart Contracts on
Accounting and Auditing. Accounting and Auditing Studies, 9(35), 89-102. doi:
10.22034/iaas.2020.127054
James, A. M., & Montgomery, B. (2017). Engaging the fashion consumer in a transparent
business model. International Journal of Fashion Design, Technology and Education, 10(3),
287-299. https://doi.org/10.1080/17543266.2017.1378730
Kettinger, W. J., Lee, C. C., & Lee, S. (1995). Global measures of information service
quality: a cross‐national study. Decision sciences, 26(5), 569-588.
Kim, S. W. (2009). An investigation on the direct and indirect effect of supply chain
integration on firm performance. International journal of production economics, 119(2),
328-346.
Kim, Y., Y.-S. Chen, and K. Linderman. 2015. “Supply Network Disruption and Resilience:
A Network Structural Perspective.” Journal of Operations Management 33-34: 43–59.
Končar, J., Grubor, A., Marić, R., Vučenović, S. and Vukmirović, G. (2020) ‘Setbacks to IoT
implementation in the function of FMCG supply chain sustainability during COVID-19
pandemic’, Sustainability, Vol. 12, No. 18, p.7391.
Koudal, P., & Engel, D. A. (2007). Globalization and emerging markets the challenge of
continuous global network optimization. In Building Supply Chain Excellence in Emerging
Economies (pp. 37-66).
63
KPMG. (2011). Supply chain complexity: Managing constant change. In A study of supply
chain maturity. Retrieved from
http://www.kpmg.com/UK/en/IssuesAndInsights/ArticlesPublications/Documents/PDF/Advis
ory/Supply-Chain-Survey.pdf:KPMG LLP (UK).
Kraft, T., Valdés, L., & Zheng, Y. (2018). Supply chain visibility and social responsibility:
investigating consumers' behaviors and motives. Manufacturing & Service Operations
Management, 20(4), 617-636.
Krippendorf, K. Content analysis: An introduction to its methodology 2004 2nd ed Thousand
Oaks.
Kumar, S. (2006), “Connective technology as a strategic tool for building effective supply
chain”, Journal of Manufacturing Technology and Management, Vol. 10 No. 1, pp. 41-56.
Kumar, K., & Bjorn-Andersen, N. (1990). A cross-cultural comparison of IS designer values.
Communications of the ACM, 33(5), 528-538.
LaLonde, B. J. (1998). Supply Chain Evolution by the Numbers. Supply Chain Management
Review, 2(1), 7-8.
Lambert, D. M., & Cooper, M. C. (2000). Issues in Supply Chain Management. Industrial
Marketing Management, 29(1), 65-83. https://doi.org/10.1016/S0019-8501(99)00113-3. ISSN
0019-8501.
Lamming, R. C., Caldwell, N. D., Harrison, D. A., & Phillips, W. (2001). Transparency in
supply relationships: concept and practice. Journal of Supply Chain Management, 37(3),
4-10.
Liben-Nowell, D., & Kleinberg, J. (2008). Tracing information flow on a global scale using
Internet chain-letter data. Proceedings of the National Academy of Sciences of the United
States of America, 105, 4633-4638.
Lim, M. K., Tseng, M. L., Tan, K. H., & Bui, T. D. (2017). Knowledge management in
sustainable supply chain management: Improving performance through an interpretive
structural modelling approach. Journal of Cleaner Production, 162, 806-816.
Lin, Y., Wang, Y., & Yu, C. (2010). Investigating the drivers of the innovation in channel
integration and supply chain performance: A strategy orientated perspective. International
Journal of production economics, 127(2), 320-332.
Lindquist, A., Berglund, F., & Johannesson, H. (2008). Supplier integration and
communication strategies in collaborative platform development. Concurrent Engineering,
16(1), 23-35.
Liao, S. H., Hu, D. C., & Ding, L. W. (2017). Assessing the influence of supply chain
collaboration value innovation, supply chain capability and competitive advantage in
64
Taiwan's networking communication industry. International Journal of Production
Economics, 191, 143-153.
Luthra, S., Garg, D., Mangla, S.K. and Berwal, Y. P. S. (2018) ‘Analyzing challenges to
Internet of Things (IoT) adoption and diffusion: an Indian context’, Procedia Computer
Science, Vol. 125, pp.733–739.
Masten, K. A., & Kim, S. L. (2015). So many mechanisms, so little action: The case for 3rd
party supply chain coordination. International Journal of Production Economics, 168, 13-20.
Milberg, S. J., Burke, S. J., Smith, H. J., & Kallman, E. A. (1995). Values, personal
information privacy, and regulatory approaches. Communications of the ACM, 38(12),
65-74.
Mol, A. P. J. (2015). Transparency and value chain sustainability. Journal of Cleaner
Production, 107, 154-161. https://doi.org/10.1016/j.jclepro.2013.11.012
Oliver, R. K., & Webber, M. D. (1982). Supply-Chain Management: Logistics Catches Up
with Strategy. Outlook. Cited in Christopher, M. G. (1992). Logistics, The Strategic Issue.
Chapman and Hall, London.
Pereira, J. V. (2009). The new supply chain's frontier: Information management. International
Journal of Information Management, 29(5), 372-379.
Perona, M., & Miragliotta, G. (2004). Complexity management and supply chain
performance assessment: A field study and a conceptual framework. International Journal of
Production Economics, 90(1), 103-115.
Polestar. (n.d.). About Polestar. Retrieved from: https://about.polestar.com
Powell, W., Cao, S., Foth, M., He, S., Turner-Morris, C., & Li, M. (2021). Revisiting trust in
supply chains: How does blockchain redefine trust? In B. Abdelaziz, I. Khalil, & B. Aouni
(Eds.), Trust Management XII (pp. 53-68). Springer.
Power, Y., & Bahri, P. A. (2005). Integration techniques in intelligent operational
management: a review. Knowledge-Based Systems, 18(2-3), 89-97.
Prakash, D. (2016), “IIoT offering real-time plant-floor data”, Plant Engineering, Vol. 70 No.
7, p. 34.
PricewaterhouseCoopers. (2006). In 9th Annual Global CEO Survey: Globalization and
Complexity. Retrieved from
http://www.pwc.com/Extweb/ncevents.nsf/docid/0D298977BF0FBD338025716C0035AFB9/
$file/Presentation_WB.pdf:PricewaterhouseCoope.
65
Purwaningrum, F., & Evers, H. D. (2012). Knowledge flow in the academia-industry
collaboration or supply chain linkage? Case study of the automotive industries in the
Jababeka Cluster. Procedia-Social and Behavioral Sciences, 52, 62-71.
Rajabion, L., Mokhtari, A. S., Khordehbinan, M. W., Zare, M., & Hassani, A. (2019). The
role of knowledge sharing in supply chain success: Literature review, classification, and
current trends. Journal of Engineering, Design and Technology, 17, 1222-1249.
Ramos, T.R.P.; Gomes, M.I.; Barbosa-Póvoa, A.P. Planning a sustainable reverse logistics
system: Balancing costs with environmental and social concerns. Omega 2014, 48, 60–74.
Real-Time Innovations (2015), “The inside story: ge healthcare’s industrial internet of things
(IoT) architecture”, available at: www.rti.com/news/ge-healthcare-iiot-architecture-webinar
Rogerson, M. and Parry, G.C. (2020) ‘Blockchain: case studies in food supply chain
visibility’, Supply Chain Management, Vol. 25, No. 5, pp.601–614.
Sachdev, D. (2019) ‘Enabling data democracy in supply chain using blockchain and IoT’,
Journal of Management, Vol. 6, No. 1, pp.66–83.
Sahin, H., & Topal, B. (2019). Examination of effect of information sharing on businesses
performance in the supply chain process. International Journal of Production Research, 57(3),
815–828. doi:10.1080/00207543. 2018.1484954
Scania. (n.d.). About us. Retrieved from:
https://www.scania.com/group/en/home/about-scania.html
Schäfer, N. (2022). Making transparency transparent: a systematic literature review to define
and frame supply chain transparency in the context of sustainability. Management Review
Quarterly. Advance online publication. https://doi.org/10.1007/s11301-021-00252-7
Seuring, S., & Müller, M. (2008). From a literature review to a conceptual framework for
sustainable supply chain management. Journal of cleaner production, 16(15), 1699-1710.
Sheu, C., Rebecca Yen, H., & Chae, B. (2006). Determinants of supplier‐retailer
collaboration: evidence from an international study. International Journal of Operations &
Production Management, 26(1), 24-49.
Shore, B., Venkatachalam, A. R., Solorzano, E., Burn, J. M., Hassan, S. Z., & Janczewski, L.
J. (2001). Softlifting and piracy: Behavior across cultures. Technology in Society, 23(4),
563-581.
Simangunsong, E., Hendry, L. C., & Stevenson, M. (2012). Supply-chain uncertainty: a
review and theoretical foundation for future research. International Journal of Production
Research, 50(16), 4493-4523.
66
Sodhi, M. S., & Tang, C. S. (2019). Research opportunities in supply chain transparency.
Production and Operations Management, 28(12), 2946-2959.
Stevens, G. C. (1989). Integration of the Supply Chain. International Journal of Physical
Distribution and Logistics Management, 19(8), 3-8.
Thatcher, J. B., Stepina, L. P., Srite, M., & Liu, Y. (2003). Culture, overload and personal
innovativeness with information technology: Extending the nomological net. Journal of
Computer Information Systems, 44(1), 74-81.
Teuteberg, F., & Wittstruck, D. (2010). A systematic review of sustainable supply chain
management. Multikonferenz Wirtschaftsinformatik 2010.
Torraco, R. J. (2005). Writing integrative literature reviews: Guidelines and examples.
Human resource development review, 4(3), 356-367.
Unescap. (2022). Characteristics of automotive value chains. Retrieved from
https://www.unescap.org/sites/default/files/4-%20Characteristics%20of%20automotive%20v
alue%20chains.pdf
Vachon, S., & Klassen, R. D. (2002). An exploratory investigation of the effects of supply
chain complexity on delivery performance. IEEE Transactions on Engineering Management,
49(3), 218-230.
Van der Vorst, J. G. A. J., & Beulens, A. J. M. (2002). Identifying sources of uncertainty to
generate supply chain redesign strategies. International Journal of Physical Distribution &
Logistics Management, 32(6), 409-430.
Vickery, S. K., Jayaram, J., Droge, C., & Calantone, R. (2003). The effects of an integrative
supply chain strategy on customer service and financial performance: an analysis of direct
versus indirect relationships. Journal of operations management, 21(5), 523-539.
Volvo Cars. (2021). Supply Chain Sustainability Management Issue: 4. Retrieved from
https://www.volvocars.com/images/v/-/media/market-assets/intl/applications/dotcom/pdf/sup
pliers/supplychainmanagement2021.pdf
Volvo Group. (n.d.). About us. Retrieved from:
https://www.volvogroup.com/en/about-us.html
Voosoghidizaji (2019). Supply chain coordination under information asymmetry, a review.
International Journal of Production Research, 57(13), 4082-4104.
https://doi.org/10.1080/00207543.2019.1685702
Wu, L., Chuang, C. H., & Hsu, C. H. (2014). Information sharing and collaborative behaviors
in enabling supply chain performance: A social exchange perspective. International Journal
of Production Economics, 148, 122-132.
Walker, D., & Myrick, F. (2006). Grounded theory: An exploration of process and procedure.
Qualitative health research, 16(4), 547-559.
67
Wulff, G. (2019). Behind the Scenes of Transparency – A Study of a Swedish Denim
Company. Doctoral dissertation in business administration, Department of Business
Administration, School of Business, Economics and Law at University of Gothenburg.
Zelbst, P.J. and Sower, V.E. (2016), RFID for the Supply Chain and Operations Professional,
2nd ed., Business Expert Press, New York, NY.
68
Appendix
Questionnaire
Information Flow and Transparency within the Supply Chain of The Automotive
industry
Summary: The current questionnaire is about supply chain management and transparency of
the automotive industry. The focus is on evaluating potential suppliers, their ability to provide
trustworthy information and the importance of identifying the origin of the product. The use
of tools to improve monitoring and tracking of products in the supply chain will also be
explored, as well as the performance metrics and standards that companies must meet to be
considered as trustworthy suppliers. The questionnaire also addresses factors that influence
collaboration with suppliers, such as cultural differences, geographical location, and ethical
and sustainability standards. The goal is to gain insight into the best practices for supply
chain management and transparency in the supply chain of the automotive industry to ensure
effective communication and collaboration with suppliers.
Section 1: Evaluation of Potential Suppliers
1. What kind of information do you ask from potential suppliers when you evaluate
them?
2. To what extent do you take into account their ability to provide trustworthy
information?
3. How much insight do you have about tier 2 (and above) suppliers, especially in regard
to their operations?
4. What kind of processes do you have in place to get information from your suppliers
about critical requirements and features of the products?
5. What are the most common reasons that a supplier gives when your request for more
information is denied?
Section 2: Transparency In the Supply Chain
6. What are the primary boundaries to improving transparency in the supply chain?
6.1. What tools do you consider most helpful/ useful for solving these critical issues?
69
7. Is there a particular code of conduct that all suppliers must sign and comply with? For
instance, about the organization's ethical and sustainability issues.
8. What certificates and standards must companies hold to be considered as dependable
suppliers to the organization?
9. What performance metrics (for instance, Contracts, KIPs, etc.) does the company
have in place to define/assess the complexity of the supply chain?
10. To what extent are ERP systems utilized to improve monitoring of the information
flow from suppliers?
10.1. Do you see potential in blockchain technologies?
Factors Influencing Collaboration with Suppliers
11. What are the most common challenges that you face when collaborating with
suppliers, and how do you overcome them?
11.1. In what ways does cultural differences/geographical location affect the nature of
the collaboration that you have to the supplier?
12. What steps do you take to ensure effective communication and collaboration with
your suppliers?
70