Supply Chain Management
Impact of IT and Sustainability on Supply Chain Performance: A DEMATEL Analysis of the Indian Automobile Industry

Article Details
Pub. Date : June 2023
Product Name : The IUP Journal of Supply Chain Management
Product Type : Article
Product Code : IJSCM010623
Author Name : Sumit Chandak and Amit Chandak
Availability : YES
Subject/Domain : Strategic
Download Format : PDF Format
No. of Pages : 18



The objective of this paper is to determine cause-and-effect relationships that include information technology and sustainability-related enablers to enhance the supply-chain performance of the Indian automobile industry. A systematic literature review was conducted to investigate 12 enablers related to IT and sustainability. A DEMATEL analysis was used to determine the cause-and-effect relationship between these enablers. Data were collected from the respondent's case organization, and a diagraph was developed. The diagraph represents the cause-and-effect relationship between enablers that will help improve supply chain performance. It shows the direct and indirect effects of various enablers on each other. It is up to the decision-maker whether he wants to set up the threshold value to identify all the enablers that have negligible effects on other enablers. The analysis shows that a total of nine enablers are the most important parameters to improve supply-chain performance out of the 12 identified enablers.


The supply chain of automobile industry is more complicated than other manufacturing industries because of the high number of components that are used. In today's competitive era, technology is changing rapidly day by day (Lin et al., 2019). Therefore, without using and updating technology, it is very difficult to achieve adequate supply chain performance. Better supply chain management not only enhances profitability but also improves customer satisfaction. In order to improve supply chain performance, the adoption of IT and e-business processes play an important role.

Communication between various entities in the supply chain will lead to improved SCP. Implementation of IT and sustainability will lead to enhanced competitive advantage, which will further improve SCP (Lin and Tseng, 2016; and Chandak and Kumar, 2020). Sustainable supply-chain practices reduce ruin and also help with social and economic issues (Gopal and Thakkar, 2012 and 2016). The supply chain of manufacturing industries is more complicated. The supply chain of automobile industry is much more complicated