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Blockchain-Enabled Supply Chain Traceability in the Textile and Apparel Supply Chain: A Case Study of the Fiber Producer, Lenzing

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  • Wafaa A. H. Ahmed

    (Department of Operations Management and Information Systems, Nottingham University Business School, The University of Nottingham, Nottingham NG8 1BB, UK)

  • Bart L. MacCarthy

    (Department of Operations Management and Information Systems, Nottingham University Business School, The University of Nottingham, Nottingham NG8 1BB, UK)

Abstract

Supply chain traceability is a dominant concern for many industries, regulators, and policymakers. In the textile and apparel industries, social, environmental, and sustainability issues are frequent causes for concern, highlighting the need for effective traceability solutions. Blockchain technology has characteristics that make it attractive for supply chain traceability applications. However, the literature lacks discussion of empirical cases. We discuss current blockchain applications in the textile and apparel industries and analyze an exemplar of a prominent blockchain traceability solution adopted by a world-leading fiber producer, the Lenzing group. In this study, we identify two related objectives for traceability-product authentication and supply chain sustainability. The case study analysis has stimulated a rich discussion about the different levels of traceability achievable across the supply chain, the digital identification of products, and the extension of blockchain solutions across the whole supply network. Significant technical and business challenges exist in extending traceability to the upstream raw material supply chain and to the dispersed garment manufacturing networks downstream. More broadly, the study highlights the need to (1) clarify the objectives of a traceability initiative, and (2) scope a traceability solution appropriately, both horizontally across the supply chain and vertically with respect to the granularity of the items traced.

Suggested Citation

  • Wafaa A. H. Ahmed & Bart L. MacCarthy, 2021. "Blockchain-Enabled Supply Chain Traceability in the Textile and Apparel Supply Chain: A Case Study of the Fiber Producer, Lenzing," Sustainability, MDPI, vol. 13(19), pages 1-21, September.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:19:p:10496-:d:640403
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    References listed on IDEAS

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    2. Aiello, Giuseppe & Enea, Mario & Muriana, Cinzia, 2015. "The expected value of the traceability information," European Journal of Operational Research, Elsevier, vol. 244(1), pages 176-186.
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    4. Mehrdokht Pournader & Yangyan Shi & Stefan Seuring & S.C. Lenny Koh, 2020. "Blockchain applications in supply chains, transport and logistics: a systematic review of the literature," International Journal of Production Research, Taylor & Francis Journals, vol. 58(7), pages 2063-2081, April.
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    Cited by:

    1. Büşra Ayan & Elif Güner & Semen Son-Turan, 2022. "Blockchain Technology and Sustainability in Supply Chains and a Closer Look at Different Industries: A Mixed Method Approach," Logistics, MDPI, vol. 6(4), pages 1-39, December.
    2. MacCarthy, Bart L. & Ahmed, Wafaa A.H. & Demirel, Guven, 2022. "Mapping the supply chain: Why, what and how?," International Journal of Production Economics, Elsevier, vol. 250(C).
    3. Rocco Furferi & Yary Volpe & Franco Mantellassi, 2022. "Circular Economy Guidelines for the Textile Industry," Sustainability, MDPI, vol. 14(17), pages 1-20, September.
    4. Kurniawati, 2023. "Sustainable Textile Practices by Integrated Viscose Rayon and Yarn Producers: An Empirical Study," GATR Journals jfbr210, Global Academy of Training and Research (GATR) Enterprise.
    5. Antonella Moretto & Laura Macchion, 2022. "Drivers, barriers and supply chain variables influencing the adoption of the blockchain to support traceability along fashion supply chains," Operations Management Research, Springer, vol. 15(3), pages 1470-1489, December.
    6. Muhammad Nazam & Muhammad Hashim & Florian Marcel Nută & Liming Yao & Muhammad Azam Zia & Muhammad Yousaf Malik & Muhammad Usman & Levente Dimen, 2022. "Devising a Mechanism for Analyzing the Barriers of Blockchain Adoption in the Textile Supply Chain: A Sustainable Business Perspective," Sustainability, MDPI, vol. 14(23), pages 1-31, December.

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