Information sharing in extended supply chains: why does it have to be so difficult?

Abstract

Theory and practice present opposing views on whether or not companies should strive for multi-tier information sharing (MTIS) in supply chains. The purpose of this study was to identify and explore factors that influence MTIS. We performed a longitudinal Delphi study with 29 supply chain experts, including in-depth interviews and quantitative as well as qualitative analyses. Twelve contextual factors were identified, most of which exhibit a statistically significant negative relationship between importance and feasibility. Two configurations were identified, representing two distinctly different supply chain contexts with respect to complexity and uncertainty. Both configurations exhibit tensions between importance and feasibility. We formulate and explain the ‘importance–feasibility paradox’. In contexts where MTIS is perceived to be important, it is difficult to establish information sharing, and in contexts where MTIS is feasible, it is not perceived as important. Understanding the paradox and its causes is vital for practitioners as well as researchers.