Causality sustainable supply chain management practices in the Indonesian coffee industry using qualitative information: digitalization integration leads performance improvement

ABSTRACT

Sustainable supply chain management practices (SSCMPs) aim to address transparent information, which includes social, environmental, and economic perspectives and Industry 4.0 (I4.0) technology, in the Indonesian coffee industry, SSCMPs highlight those attributes in complex causality interrelationships. Although the effects of I4.0 are discussed in the literature, little attention enables addressing how this digitalisation integration can handle the transition of the agricultural supply chain to sustainability. This study aims to (1) validate the interdependent hierarchical structure of SSCM for I4.0, (2) identify the causal interrelationships among attributes, and (3) determine the critical attributes for SSCM in Indonesian coffee industry practices. An approach consisting of the fuzzy Delphi method, fuzzy decision-making trial and evaluation laboratory, and analytic network process is designed to fulfill the proposed objectives. The results show that digitalisation integration leads to labour conditions, supply chain financing accessibility, and social responsibility being the top causal attributes in the cause-and-effect model.

KEYWORDS:

• Sustainable supply chain management
• Industry 4.0
• fuzzy decision-making trial and evaluation laboratory
• analytic network process
• digitalisation integration

Acknowledgment

This study is fully supported by MOST-112-2918-I-468-001 and MOST-111-2221-E-468-001.

Data availability statement

The data that support the findings of this study are available from the corresponding author, Kuo-Jui Wu ([email protected]), upon reasonable request.

Disclosure statement

No potential conflict of interest was reported by the author(s).