Geopolitical, Economic, and Technological Trends in Logistics
A new ISPI-McKinsey report, Logistics in Transition. Exploring Geopolitical, Economic, and Technological Trends, edited by Carlo Secchi and Alessando Gili, examines the challenges and transformations in global logistics. It emphasizes the impact of geopolitical shifts, the climate crisis, and technological advances on supply chains. The report covers a wide range of topics, including the transformation of global value chains, maritime logistics, hydrogen mobility, artificial intelligence, and the decarbonization of ports. It highlights the importance of international cooperation to improve global connectivity and resilience. In addition, the report explores how logistics can adapt to protectionist industrial policies and the dual transition of the digital and energy sectors. It provides strategic insights for Europe, Italy, and companies to mitigate risks and manage these changes. The analysis underscores the need for diversification and redundancy in transportation systems to ensure security of supply and the smooth functioning of the global economy.
A Guided Tour Through the Qualitative Research City
I am pleased to share with you a new article I co-authored with Wendy L. Tate and Tingting Yan: A Guided Tour Through the Qualitative Research City. This is my first Journal of Supply Chain Management editorial. In this piece, we draw parallels between a city’s less-visited buildings and ten research approaches: (1) grounded theory, (2) interpretive research, (3) sensemaking, (4) sociomateriality, (5) actor–network theory, (6) ethnography, (7) action research, (8) discourse analysis, (9) narrative research, and (10) historical research. Our goal is to inspire our readers to embrace the methodological diversity of our discipline, as we have noticed a tendency for many to focus on a limited set of qualitative approaches, much like tourists flocking to the Eiffel Tower but not visiting other parts of Paris. JSCM is better equipped than ever to support these and other approaches, as we and our predecessors have made great efforts to diversify and expand our team of associate editors and reviewers to ensure that we can treat a manuscript as it deserves.
Wieland, A., Tate, W.L., & Yan, T. (2024). A Guided Tour Through the Qualitative Research City. Journal of Supply Chain Management, 60(1), 3–12. https://doi.org/10.1111/jscm.12315
Personal Predictions for Supply Chain Management in 2024
For several years now, it has been a tradition for me to use this blog to offer a little outlook on the coming months of SCM, a kind of glimpse into the crystal ball. This year, however, it is particularly difficult for me to do so. I have spent the last couple of weeks repairing the extensive damage that the climate crisis has caused to my parents’ house. Since the spring of 2023, the sea surface temperatures have consistently reached unprecedented extremes, leading to evaporation over the Atlantic and heavy rainfall in Germany. My compatriot, climatologist Stefan Rahmstorf, summarizes the current situation in Germany as follows: “Extreme precipitation is on the increase worldwide, including here [in Germany] due to global warming. Climate researchers have been warning about this for more than 30 years; the data from weather stations have long since confirmed it.” I hope you understand that in this situation I don’t feel like making predictions for SCM this year. My hope for this year is that we can all work together to protect the climate, because emissions along global supply chains play a critical role in this necessary transformation.
Integrating Generative AI Into SCM Research
The emergence of generative AI tools (e.g., ChatGPT) presents unique challenges to the academic research community. Many researchers are unsure how and when to report their use of such tools, and some even suggest that ChatGPT should be credited as a co-author. An enlightening editorial was recently published (Spanjol & Noble, 2023: Engaging With Generative Artificial Intelligence Technologies in Innovation Management Research—Some Answers and More Questions). The authors shed light on the issue through a survey of the Editorial Review Board members and Associate Editors of the Journal of Product Innovation Management. They conclude that a large majority of respondents are against crediting AI tools as co-authors. In addition, a large majority supports a policy requiring full disclosure of ChatGPT use in journal submissions. Although not written for the SCM research community, the suggestions contained in this editorial effectively transfer and provide much-needed guidance on the nuanced integration of AI tools into academic research.
Spanjol, J., & Noble, C.H. (2023). From the Editors: Engaging With Generative Artificial Intelligence Technologies in Innovation Management Research—Some Answers and More Questions. Journal of Product Innovation Management. 40 (4), 383–390. https://doi.org/10.1111/jpim.12689
JSCM Paper Development Workshop in Copenhagen
The Journal of Supply Chain Management is conducting a paper development workshop (May 25–26) wherein participants may submit a working paper to obtain constructive feedback. The workshop shall provide training in crucial areas that are essential for publication in a premier academic journal, help participants to develop their working papers into mature papers that are ready for submission, and offer networking opportunities. The workshop will be hosted by Andreas Wieland, Co-Editor-in-Chief of JSCM. To apply for the event, send an abstract (max. 750 words) of your working paper by April 9. Acceptance of the abstract is a prerequisite for registration. The workshop is restricted to a maximum of 20 participants. The registration fee for this event is DKK 1000 (ca. € 135) and includes coffee, lunch, and a joint dinner on Thursday. After registration and prior to the event, participants are expected to share their working papers (max. 10,000 words) with their peers and prepare written feedback on three other papers. After the workshop, the most promising papers of the participants will be invited for submission to JSCM. For more information download our workshop flyer: JSCM Paper Development Workshop (PDF)
The Dark Side of the Cobalt Supply Chain
Cobalt Wars is one of the most interesting ARTE.tv documentaries I have seen recently. It looks at the supply chain of cobalt, a key ingredient in the batteries of our smartphones and electric cars, and the political, environmental and social challenges associated with that supply chain. (French with English subtitles, also available in German. Not available in all regions.)
Personal Predictions for Supply Chain Management in 2023
As in previous years, I am making a prediction about what could be important topics in supply chain management research. Here are three predictions: (1) OpenAI has demonstrated the incredible potential of machine learning, and this will have numerous implications for the management of supply chains. It is important for our discipline to consider the potential and drawbacks of this technology at an early stage. (2) Supply chain resilience remains a critical issue. For example, the recent resurgence of Covid-19 cases in China could lead to the closure of ports and factories, which would disrupt global supply chains. This topic will continue to be relevant in the future. (3) The climate and biodiversity crises continue to worsen, and their solutions are closely tied to supply chains. Human-caused emissions and the destruction of rainforests are directly related to supply chains, and new laws, such as those in Germany and the EU, reflect this. I wish you all a Happy New Year 2023.
OpenAI and Its Impact on Supply Chain Management
OpenAI has attracted a lot of attention in recent weeks, and for good reason. The research institute, which focuses on developing artificial intelligence technologies and promoting their safe and responsible use, has made significant strides in advancing the field of AI. One area where OpenAI could have a significant impact is in the field of supply chain management. The ability to analyze large amounts of data quickly and accurately could be useful for optimizing supply chain processes, identifying inefficiencies, and making more informed decisions. However, there are also potential drawbacks to the use of AI in supply chain management. There is a risk that the technology could be used to automate jobs and potentially displace human workers. There are also concerns about the ethical implications of using AI in decision-making, such as the potential for bias in the algorithms that drive the technology. Overall, the use of AI in supply chain management has the potential to be both beneficial and detrimental. It is important for researchers and educators in this field to carefully consider the potential impacts of this technology and to develop strategies for addressing the challenges it presents. This blog post was generated using ChatGPT, a chatbot platform developed by OpenAI.
Using Supply Chain Databases in Academic Research
In recent years, academic articles that use supply chain databases have become more and more common in SCM-related journals. Such databases (e.g., Bloomberg SPLC, FactSet Supply Chain Relationships, and Mergent Supply Chain) were originally not developed for use in academic research, but for use in business practice. However, they offer great potential for a better understanding of supply chains (or more precisely supply networks) and supply chain management and are therefore also very interesting for researchers. A recent article by Culot and her coauthors (2023) discusses these potentials and points out pitfalls for using supply chain databases in SCM research. The article is entitled Using Supply Chain Databases in Academic Research: A Methodological Critique and based on a review of previous studies using such databases, publicly available materials, interviews with information service providers, and the direct experience of the authors. I am sure this long-awaited article will serve as a reference for quantitative research relying on such databases for years to come.
Culot, G., Podrecca, M., Nassimbeni, G., Orzes, G., & Sartor, M. (2023). Using Supply Chain Databases in Academic Research: A Methodological Critique. Journal of Supply Chain Management, 59(1), 3–25. https://doi.org/10.1111/jscm.12294
The Threat to Supply Chains from Rising Gas Prices
Due to the Russian invasion of Ukraine, the European Union is currently experiencing a massive increase in gas prices. This threatens the resilience of many supply chains. An analysis by the Halle Institute for Economic Research (IWH) now shows that a small group of just 300 products causes a large part of almost 90% of the gas consumption of German industry during their manufacture. The five products with the highest gas consumption per euro of sales belong to the basic chemical industry. The analysis also shows that rising gas prices mainly lead to production cutbacks in gas-intensive products that can easily be replaced by imports. Therefore, despite domestic production outages, no significant disruptions to the supply chains are to be expected. “German industry can save a lot of gas with a small drop in sales if gas-intensive products are no longer manufactured in-house but imported,” says Steffen Müller, one of the authors of the analysis.
