Innovation adoption of blockchain technology in supply chain finance

AbstractAbstractThis paper presents a multiple case study analysis on how blockchain technology (BCT) has been adopted in organisations to support supply chain finance (SCF) based on secondary data. Findings from the multiple case analysis indicate that BCT can cope with challenges in traditional SCF, including financing range, financing cost, financing efficiency, and risk management. Before the implementation of the BCT, multiple parties' decision on jointly operating the blockchain-based SCF platform enables them to take full advantage of their inherent resources and blockchain characteristics. Also, both the BCT and enterprises need internal and external adjustments, which are interrelated. The unexpected issues may emerge from the pilot stage, but the adjustments are still involved in the previous stages, leading to a feedback loop from the pilot stage to the redefining/restructuring stage. To realise large-scale implementation of blockchain-based SCF solutions, more stakeholders need to be motivated to adopt the BCT, and new laws and regulations should be developed to promote the BCT adoption. Based on these findings and by applying innovation adoption theory, an overall implementation framework is proposed to provide a meaningful guidance for organisations to adopt BCT in SCF.Keywords: Blockchain technologysupply chain financeinnovation adoption theorycase study AcknowledgementsThis work was supported by the National Natural Science Foundation of China [Nos. 72232002, 71873015 and 71872051]. The lead author would like to thank the research donation from VeChain Foundation to Blockchain and Supply Chain Research Group at Southampton Business School.Additional informationFundingThis work was supported by the National Natural Science Foundation of China [Nos. 72232002, 71873015 and 71872051].Notes on contributorsYu GongDr. Yu Gong is an Associate Professor in Operations Management at University of Southampton, UK. He received his Ph.D. degree from Exeter Business School, the University of Exeter, UK. He serves as an associate editor of the Business Strategy and the Environment and Journal of Computer Information Systems. He has published more than 40 papers in journals such as IJOPM, IJPE, IJPR, IMM, TRD and BSE. His current research interests include sustainable supply chain management and supply chain innovation.Tianyu ZhangMr. Tianyu Zhang is currently a Ph.D. student in School of Management and Economics, Beijing Institute of Technology, China. He has published in OMEGA and JBR. His research interests include blockchain, supply chain finance, digital transformation and multiple attributes decision making theory.Peiwu DongProf. Peiwu Dong is currently a Professor at School of Management and Economics, Beijing Institute of Technology, and the Deputy director member of business administration teaching guidance committee for the Ministry of Education, China. He has published more than 60 papers in journals and conference proceeding. His current research interests include decision theory and method, complex system modelling, management system engineering, and investment and financing and risk management.Xiangfeng ChenProf. Xiangfeng Chen is a Professor, vice director in Department of Management Science, Fudan University, and director of Fudan University International Supply Chain Finance Research Centre. He received the Ph.D. degree in Management Science and Engineering from Fudan University in 2002. He served as an international faculty fellow at MIT in 2012, and a postdoctoral research fellow at Stern School at NYU in 2006–2007. He is the recipient of Chang Jiang Scholars Program from Ministry of Education of the People's Republic of China in 2015. He has published in POM, MSOM, EJOR, IJPE, among others.Yangyan ShiDr. Yangyan Shi is a senior faculty member at Macquarie Business School, Macquarie University, a Chartered Member of CILT-A, and a member of the Centre for Supply Chain Management at the University of Auckland, New Zealand. He had several years of industrial experience in logistics and supply chain management in Australia, New Zealand, China and UK. He has been actively publishing his academic research in leading international journals including IJOPM, IJPE, IJPR, SCMIJ, IJPDLM, etc. His research interests include operations management, logistics, supply chain management, procurement, and third-party logistics.