Abstract
Purpose: This paper aims to empirically assess the impact of SC Capabilities (agility, collaboration, and traceability), and CE practices on in food supply chains (FSCs).
Design/methodology/approach: To achieve its objectives, this study set out to collect primary data via a self-administered survey from 299 managerial-level employees in the dynamic UK food and drink manufacturing sector. Covariance-based Structural equation modeling (CB-SEM) was used to test the hypotheses.
Findings: The results suggest that supply chain (SC) capabilities particularly collaboration, and traceability play key roles in fostering Circular Economy (CE) practices, which in turn contribute to sustainable performance in food supply chains. However, agility was not found to have a statistically significant influence on CE practices in this study. While SC agility and traceability were positively associated with sustainable supply chain performance (SSCP), SC collaboration did not show a supportive effect on SSCP. Interestingly, CE practices were found to have a statistically significant positive impact on sustainable supply chain performance. Mediation analysis revealed that CE practices significantly and positively mediate the relationships between SC agility, collaboration, traceability, and sustainable supply chain performance, highlighting their critical role in driving sustainable performance across the food supply chain.
Research limitations: The primary limitation of our study is that it utilizes cross-sectional data from a single geographic location and industry.
Practical implications: By strategically harnessing of SC Capabilities (agility, collaboration, and traceability), CE practices supply chain professionals can drive meaningful sustainability improvements throughout their supply chain performance.
Originality/value: The conceptual framework presented in this study offers a novel foundation for enhancing sustainability in supply chains by integrating core supply chain capabilities (agility, collaboration, and traceability) and CE practices.
Key Words: Circular Economy, Circular Economy Practices, SC capabilities, Agility, Collaboration, Traceability, Sustainability, Food supply chains, Sustainable performance.