Closing the supply chain loop: enablers, strategies, and outcomes of blockchain implementation in reverse logistics

The inefficiencies of conventional reverse logistics have prompted the implementation of systems that facilitate circularity in supply chain logistics. This study examines how the application of blockchain in reverse logistics enhances circular supply chain management (CSCM). It specifically delineates the motivations for blockchain adoption by logistics firms, their operational strategies for its application in reverse logistics, and the consequent impacts on CSCM. Employing an inductive approach and integrating Transaction Cost Economics (TCE) and Porter’s Value Chain (PVC) theories, we thematically analysed business news and expert opinions on 24 logistics firms obtained from LexisNexis. The study identifies four internal and four external drivers for blockchain adoption, three key use strategies, and five CSCM outcomes. Three propositions emerged from the interplay of drivers, strategies, and outcomes of blockchain use in reverse logistics. The findings provide new justifications for blockchain adoption by logistics companies, offering managers strategies to enhance supply chain circularity. A limitation is the relatively small sample size, which could be expanded in future studies as blockchain technology gains more prominence in logistics.