Mobile Consumer Scanning Technology: A Replacement for Interorganizational Information Systems for Demand Information Learning in Supply Chains?

Abstract

Recently, firms in supply chains have begun to deploy popular mobile apps (e.g., WeChat) into their supply chain practices to improve demand visibility. These efforts rely on consumers to scan the products they purchase using these apps, which we refer to as consumer scanning technology (CST). CST can be an alternative to the conventional interorganizational information technology (IOIT) that relies on collaboration between supply chain firms. This paper develops a theoretical model to examine the value of CST to learn supply chain (demand) information and the impact of CST on IOIT. Using an extensive simulation analysis based on real-world data from a manufacturer that has implemented a CST program, we show that the value of CST to a manufacturer can be substantial and provide insights into how market conditions affect the value.