Supply Chain Capabilities to Improve Sustainability Performance of Product-Service Systems

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Dian Retno Sari Dewi, Yustinus Budi Hermanto

2022 International Journal of Sustainable Development and Planning Vol. 17 Issue 8 Article Cited by 11 SDG 12 Quartile

Abstract

This study aims to investigate the supply chain (SC) capabilities required for manufacturers, intermediaries and service partners to improve the Sustainability Performance of Product- Service Systems (SPOPSS). A considerable challenge faced by the SC is how manufacturers collaborate with intermediaries and service partners to develop SC capabilities in order to improve SPOPSS. This paper presents a conceptual framework using dynamic capabilities theory for investigating the relationship between SC capabilities and SPOPSS. By qualitative approach through semi-structured interviews with six senior managers from four motorcycle companies-manufacturers and intermediaries, the conceptual framework was validated using thematic analysis. This study identified six SC capabilities: collaboration, partner development and knowledge transfer, innovative service delivery, reflexive control, re-conceptualisation and sustainable product-service capability to improve SPOPSS, also identified microfoundation of dynamic capabilities for each six SC capabilities. The findings proposed two significant contributions to the body of knowledge; first, by developing six identified SC capabilities to improve SPOPSS; and second, by presenting qualitative empirical evidence on how these SC capabilities' development is inseparable from the SC and could be interactively transferred from manufacturers through intermediaries to a network of service partners. © 2022 WITPress. All rights reserved.

Affiliations

Industrial Engineering Department, Widya Mandala Catholic University, Surabaya, 60114, Indonesia; Faculty of Economic and Business, Darma Cendika Catholic University, Surabaya, 60117, Indonesia

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