Abstract

This study analyzes supply chain sustainability governance mechanisms, and their characterization, typology, adoption and relationship with the overall level of sustainability in the supply chain, and with the adopting firm’s competitive strategy. It is a case-based study conducted in the Spanish retail sector. A representative set of mechanisms is identified, and both their theoretical background and their degree of practical adoption is established. These mechanisms are then characterized in terms of several traits regarding either the mechanisms themselves or the way they are adopted both by the focal company (internal view) and by its suppliers (external view) in each of the cases. Results suggest that mechanisms might be classified into either ‘enablers’, which increasingly constitute a prerequisite for achieving acceptable levels of sustainability, and ‘differentiators’, which can potentially confer sustainable strategic advantages. Actually, achieving these advantages, however, seems contingent on the additional attainment of a comprehensive ‘depth’ in the implementation of an integrated set of mechanisms of both types, both internally within the focal company and throughout the whole supply chain, as measured by the traits proposed in the study. Furthermore, the concept of ‘circular improvement models’ for sustainable supply chains, akin to Total Quality Management models, is proposed by the authors. The resulting model encompassing enabling and differentiating governance mechanisms could guide the self-evaluation and improvement plans of companies aiming to improve their supply chains sustainability; further guidance on ‘deep adoption’ comprehensive strategies and on the potential for self-reinforcing continuous improvement in sustainability beyond a certain threshold are provided by the study’s conclusions.

Highlights

  • The competitiveness of a company reflects its ability to overcome in the long term its current and future competitors within a certain industry’s environment

  • Authors such as Ahi and Searcy [22] argue that sustainable supply chain management (SSCM) is essentially a logical and natural extension of the traditional supply chain management (SCM) vision, expanding it to other issues that are key in the company strategy; they identify seven aspects that should be included in order for a supply chain to be considered sustainable

  • This study focuses on the supply chain sustainability governance mechanisms used by these companies

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Summary

Introduction

The competitiveness of a company reflects its ability to overcome in the long term its current and future competitors within a certain industry’s environment. The proper management of these relationships leads to the creation of value, the increase in efficiency and, as a Sustainability 2020, 12, 6911 whole, the improvement of a supply chain’s global result; all of this takes place in a ‘sustainable’ way Authors such as Ahi and Searcy [22] argue that SSCM is essentially a logical and natural extension of the traditional SCM vision, expanding it to other issues that are key in the company strategy; they identify seven aspects that should be included in order for a supply chain to be considered sustainable (economic, environmental, social, voluntariness, long-term vision, resilience and involving stakeholders). Within the general objective of improving our understanding of the overall workings of the SC sustainability governance mechanisms, more specific aims included: (i) shedding light on whether companies developed sustainability governance mechanisms within their supply chains; (ii) characterizing the types of mechanisms being developed, as well as their implementation; and (iii) tentatively exploring eventual causal relationships between the implementation of such mechanisms and the integrated sustainability level achieved by those organizations

Supply Chain Governance Mechanisms
Objective and Study Methodology
The Sector and Companies’ Backgrounds
Case Study Analysis
F Inf NC – F Inf NC
Findings
Conclusions
Full Text
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