Overcoming barriers to supply chain decarbonization: Case studies of first movers Event

Presenter

Dr Yu (Jack) Gong is an Associate Professor in Operations Management, Director of CORMSIS Business Liaison (China), Director of Blockchain and Supply Chain Research Group (BSCRG), at Southampton Business School, the University of Southampton. His main research interests are sustainable supply chain management and supply chain innovation. He has a track record of engaging multinational companies in research such as IKEA, Nestle, and Tetra Pak. He serves as an associate editor of and Business Strategy and the Environment and Journal of Computer Information Systems. He is an editorial board member of Corporate Social Responsibility and Environmental Management, guest editor of International Journal of Operations and Production Management and International Journal of Production Research.

Abstract

Excess greenhouse gas emissions from human and industrial activities are believed to be the key cause of catastrophic climate change. According to the United Nations, carbon neutrality by 2050 is the world's most urgent mission. Many countries recently made commitments to this mission; however, at a supply chain level, little is known about barriers to carbon neutrality, circumventing strategies, and their performance implications. This pioneering study addresses the knowledge gap by case studies of six first movers. We find four common barriers: “major upfront investment costs,” “lack of awareness,” “lack of expertise,” and “resistant mindset.” Small and medium-sized enterprises face additional barriers relating to “lack of support from supply chain partners” and “uncertainty in return on investment.” We find that most first movers achieved positive economic performance associated with their carbon neutrality initiatives. Based on the findings and the literature, we develop a framework and discuss practical implications for governments and businesses to jointly overcome barriers to supply chain decarbonization.

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