Implementing Supply Chain Technologies in Emerging Markets: An Institutional Theory Perspective

Supply chain technology (SCT) facilitates information transfer within and across firm boundaries. However, institutional environments in emerging markets give rise to challenges that inhibit the implementation of SCT and the consequent realization of its benefits. Unfortunately, there is a lack of u...

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Bibliographic Details
Published in:The journal of supply chain management 2015-01, Vol.51 (1), p.5-26
Main Authors: Saldanha, John P., Mello, John E., Knemeyer, A. Michael, Vijayaraghavan, T.A.S.
Format: Article
Language:English
Subjects:
Adaptation
Analysis
Decision-making
Economic aspects
Emerging markets
Grounded theory
Information technology
institutional theory
Interviews
Logistics
Management
Organization theory
structured interviewing
Studies
Supply chain management
Technological planning
Technology adoption
technology management
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Summary:Supply chain technology (SCT) facilitates information transfer within and across firm boundaries. However, institutional environments in emerging markets give rise to challenges that inhibit the implementation of SCT and the consequent realization of its benefits. Unfortunately, there is a lack of understanding as to the nature or the extent of these implementation challenges. We undertook a grounded theory study in the emerging market of India to investigate how SCT is implemented when subjected to prevailing institutional pressures. Based on an analysis of interviews with 50 supply chain managers, we find that early adopters of SCT experience significant and numerous unmet expectations associated with SCT implementation. These unmet expectations arise from competing institutional logics with the resultant isomorphic pressure causing the juxtaposition of two incompatible supply chains in India. A key finding of this study contradicts extant research, supporting recent work in emerging markets, to suggest a need to reassess our mental models developed in the West and conceptualize de novo models that are sensitive to the institutional environments of emerging markets.
ISSN:1523-2409
1745-493X
DOI:10.1111/jscm.12065