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Abstract

This study adopts affordance approach to understand how supply chain managers interpret the possible benefits that can be performed within blockchain-enabled supply chain applications. With a focus on governance efficiency improvement, the impacts of traceability and transparency affordance on uncertainty reduction were examined from the perspective of transaction cost theory in supply chain industry. Partial least squares – structural equation modelling (PLS-SEM) was used to analyze the data collected from 364 experienced supply chain managers in China. The results revealed that traceability affordance exerted significant impacts on environmental and trading partner uncertainty rather than transparency affordance, which in turn affected the adoption intention. This study contributes to the extant literature by embedding transaction cost in blockchain affordances. The findings are useful in guiding practitioners to improve blockchain system design for reducing uncertainties in supply chain environment, leading to a higher adoption rate of blockchain technology.

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