Role of blockchain technology integration in supply chains: a case study of manufacturing firms

Purpose Implementation of blockchain technology (BCT) in the supply chain (SC) of manufacturing firms would enable companies with various benefits, such as improved inventory management, cost reduction, process traceability, secured transactions, efficiency of the process, etc. However, the adoption of BCT in the SCs of the manufacturing industry faces multiple challenges that need to be reported timely. Hence, this research aims to identify the variables and factors that would affect the successful adoption of BCT in the manufacturing SC. Design/methodology/approach This study proposes a theoretical framework to understand the association of variables with the adoption level of BCT in manufacturing SC, based on the technology organization environment (TOE) framework and walled-garden approach, which was validated by applying hierarchical multiple regression (HMR). This research utilizes 342 responses from executives of manufacturing firms with prior knowledge of the adoption benefits of blockchain in the SC to validate the proposed framework. Findings The results of the current study indicate that the adoption of BCT in the manufacturing SC is supported by technological, organizational, environmental, security and privacy variables. In addition to this, security and privacy variables moderate the relationship between organizational variables with the successful adoption of BCT success metrics. Originality/value This research work is the first to combine TOE variables and the walled-garden approach, providing a rigorous, yet controlled, framework for isolating and quantifying the incremental forces driving blockchain adoption and performance. It includes security and privacy variables, which were validated using HMR methodology in the SC of a manufacturing industry.