TY - GEN
T1 - Circular economy adoption in the upstream agri-food supply chain
T2 - 11th Annual International Conference on Industrial Engineering and Operations Management, IEOM 2021
AU - Kusumowardani, Niken
AU - Tjahjono, Benny
AU - Priadi, Cindy Rianti
N1 - Funding Information:
The study described in this paper was part of the Circular Economy Research and Development Network for the Sustainable Food Supply Chain project. The authors appreciate the funding support from the Academy of Medical Sciences, grant number GCRFNGR3\1211, and the research collaboration between Coventry University and Universitas Indonesia.
Publisher Copyright:
© IEOM Society International.
PY - 2021
Y1 - 2021
N2 - This paper investigates the adoption of Circular Economy (CE) in the upstream agri-food supply chain, employing a qualitative multiple case study research. The findings suggest that the CE emerges in the upstream agri-food supply chain and the early stage of development. In particular, these include (1) the elimination of pollution and waste start to be implemented due to the realization of cost-saving initiatives, (2) the need for collaboration in the supply chain and with external stakeholders, (3) technology adoption, in particular digital technology, is beneficial to reduce asymmetric information, and (4) social orientation in the form of diverting crops to secondary markets, donations, and involvement of the local community. Some of the advantages from exploiting interfirm collaboration include the creation of adding value in securing raw materials and acquiring knowledge through asset specificity. Uncertainty, due to the absence of a contract with the customers that can protect the growers, influences ineffective waste elimination. This paper contributes to the literature on CE in the upstream agri-food supply chain. Future research is needed to investigate the CE involving downstream agri-food supply chain. The practical implication for the upstream supply chain actors is in terms of making the supply chain more circular.
AB - This paper investigates the adoption of Circular Economy (CE) in the upstream agri-food supply chain, employing a qualitative multiple case study research. The findings suggest that the CE emerges in the upstream agri-food supply chain and the early stage of development. In particular, these include (1) the elimination of pollution and waste start to be implemented due to the realization of cost-saving initiatives, (2) the need for collaboration in the supply chain and with external stakeholders, (3) technology adoption, in particular digital technology, is beneficial to reduce asymmetric information, and (4) social orientation in the form of diverting crops to secondary markets, donations, and involvement of the local community. Some of the advantages from exploiting interfirm collaboration include the creation of adding value in securing raw materials and acquiring knowledge through asset specificity. Uncertainty, due to the absence of a contract with the customers that can protect the growers, influences ineffective waste elimination. This paper contributes to the literature on CE in the upstream agri-food supply chain. Future research is needed to investigate the CE involving downstream agri-food supply chain. The practical implication for the upstream supply chain actors is in terms of making the supply chain more circular.
KW - Agri-food
KW - Circular Economy
KW - Natural resource-based view
KW - Transaction cost economics
KW - Upstream supply chain
UR - http://www.scopus.com/inward/record.url?scp=85114254719&partnerID=8YFLogxK
M3 - Conference contribution
AN - SCOPUS:85114254719
SN - 9781792361241
T3 - Proceedings of the International Conference on Industrial Engineering and Operations Management
SP - 5051
EP - 5060
BT - Proceedings of the 11th Annual International Conference on Industrial Engineering and Operations Management, 2021
PB - IEOM Society
Y2 - 7 March 2021 through 11 March 2021
ER -
