Examining the effect of Internet of Things (IoT) adoption on supply chain performance

Abstract

Data is the heart of the Fourth Industrial Revolution. The growth of the Internet of Things is one of the main reasons behind this (IoT). The Internet of Things (IoT) is a network of interconnected physical items (sometimes known as "things") that are implanted with sensors, software, and other technologies to communicate and share data with other devices and systems over the Internet. However, research on IoT adoption in the supply chain domain is scarce, and its acceptance in industries is also very limited due to the various challenges that come with it. The objective of this study is to gain an understanding of the impact that IoT has on supply chain performance through its integration or adoption. A quantitative approach was pursued in this study, and a questionnaire survey of 200 respondents from the supply chain domain with managerial experience was collected and analyzed using the SPSS tool. The results indicate that IoT positively and significantly affects supply chain performance. Theoretically, this study contributes to the literature about supply chain integration and technologies. This research can help those who want to specialize in IoT and its applications in supply chain management. Organizationally, the research findings tell managers about the potential IoT investment that will lead to a positive supply chain performance outcome.