Smart Supply Network—Drivers, Opportunities, and Challenges
This paper details our effort in determining how technological advancement facilitates business relationship and ameliorates the competitive advantage of supply network. Using business network management literature, current knowledge employs Activity-Resource-Actor Model (ARAM) to recap the drivers, opportunities, and challenges of smart technologies in a supply network. The following discussions reveal that in presence of technological advancement, precise knowledge sharing, stronger social co-creation, smart management, and robust legal system, business relationship and supplier collaboration can benefit from a sustainable, modern, adaptive, robust, and technology-oriented activity links, resource ties, and actor bonds, per se, smart supply network. The paper confirms that digital-linked activities empower businesses and help them gain more from interdependencies benefits. Digital-linked resources enhance heterogeneity advantage, while digital-bonded actors are obtained from transcendence. The benefits derived from digitizing activity links, resource ties, and an actor bond is reliant upon a company’s own activity structure, interdependencies, and connectedness. However, the challenges of direct/indirect relationship costs prevent companies benefiting from a smart supply network.
KeywordsBusiness relationship SMART supply network Digital technology
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