Generative Mechanisms of the Adoption of Logistics Innovation: The Case of On‐site Shops in Construction Supply Chains

Abstract

E mpirical studies of logistics innovations have focused on the innovation process, bypassing much the innovative artifact or solution design itself. Focusing on the artifact and solution design in a case study, we contribute to the emerging theory of logistics innovations through articulating the generative mechanisms of the adoption of logistics innovation, that is, the mechanisms through which the design of the solution enables its adoption. We study On-site Shop, a rare example from the construction industry of a logistics innovation that has successfully migrated from a limited number of pilots to common practice. The case study is based on insights from participation in the design of the solution, and on 55 interviews conducted in a relationship triad consisting of three groups: (1) construction site users, (2) the solution designers, and (3) the suppliers. We propose that standard and efficient solution set-up is the key enabler of logistics innovation's adoption at temporary construction sites. Communication and operating rules facilitate adoption in the triad, whereas internal and external integration further advance adoption by creating links between the innovative logistics solution and other activities. Finally, trilateral collaboration and congruent technological frames in the relationship triad sustain adoption over time.

Using Country Sustainability Risk to Inform Sustainable Supply Chain Management: A Design Science Study

“…Moreover, a growing number of supply chain management studies have adopted the design science methodology in recent years. For example, Finne and Holmstroem (2013) investigated a triadic collaboration for service delivery, Schleper and Busse (2013) developed a standardized supplier code of ethics, Holmstroem and Partanen (2014) explored digital manufacturing-driven transformations of service supply chains for complex products, Tanskanen et al (2015) analyzed the adoption of on-site shops in construction supply chains, Busse et al (2017c) studied how buying firms with a poor supply chain visibility can use their stakeholders to detect SCSR, and Groop et al (2017) enhanced the efficiency of the home care delivery system of a Northern European city.…”

“…We employ a design science methodology, based on cooperation with a multidivisional German technology firm to facilitate the assessment of SCSR (Van Aken ; Tanskanen et al. ). In doing so, we strive for “finding balance in strategies that mitigate risks while not wastefully deploying resources,” which is one of the “greatest hits” for practitioners (Zinn and Goldsby , 4).…”

Combining Takt Production With Industrialized Logistics in Construction

“…In the construction industry, advanced logistics solutions are gaining popularity not only to optimize material flow but also to improve productivity and flow of assembly operations on-site (Seppänen and Peltokorpi 2016). Studies indicate positive results when implementing different logistics solutions in construction, such as assembly kitting in the consolidation center and delivery with JIT (Tetik et al 2018), real time material tracking (Zhao et al 2017) and on-site shops (Tanskanen et al 2015). Adopting a proper logistic solution can shorten the construction time, reduces the overall project cost, saves workers' time on site and decreases the need for storage which leads to savings (Knaack et al 2012).…”

Prioritizing Innovation Factors by Using Analytic Network Process

“…After understanding the importance of innovation in logistics, researchers have started to study on new innovative improvements in the logistics firms. These researchers have suggested some innovative activities such as focusing on customer value orientation , Busse 2010Busse and Wallenburg 2011), technologies for logistics service providers (LSP) (Lin, 2007;Hsu and Wallace, 2007), the new business strategy (Chapman et al 2003;Kim et al, 2012), external relations with LSP (Bellingkrodt and Wallenburg, 2013;Dai, 2015) and adoption of logistic innovation (Tanskanen, 2015) to help logistics firms to identify which key factors can create competitive advantages through successful innovative activities.…”