Blockchain Enhanced Emission Trading Framework in Fashion Apparel Manufacturing Industry

The trends of blockchain in environmental management research: a bibliometric analysis

The emergence of blockchain technology has brought about disruptive challenges in multiple fields. Blockchain research has come into the global spotlight, particularly in the field of environmental management. The decentralized mechanism of blockchain conflicts with the centralized structure of environmental management; however, there is a need to review the literature on blockchain and its potential in environmental management. In this paper, we performed a bibliometric analysis to investigate publications on environmental management based on blockchain (EMBB) in the Web of Science (WOS). The distribution by journal, author, organization and keywords were measured by R Package in a descriptive analysis. The network analysis of research themes was visualized in VOS Viewer. The results show that research on EMBB is still in its infancy and lacks case studies. In terms of research trends, we conclude by suggesting future directions in EMBB. In summary, we propose a blockchain-based environmental management framework to provide a reference for regulators. The governance framework will inform policy by unravelling the challenges and opportunities presented by technological change for decision makers in environmental governance.

Blockchain technology for sustainable development: a systematic literature review

Purpose

Blockchain technology (BCT) is one of the latest disruptive innovations, brought along with-it immense scope of diverse applications contributing towards sustainable development (SD). The consistent increase in the publications reveal that the application of BCT for SD has become popular among researchers and practitioners in past few years, in turn, urged for a systematic literature review (SLR) to get an insight into the research journey travelled so far and setting directions for future research in this area. Therefore, this study aims to identify, map and synthesize the available literature on application of BCT for SD.

Design/methodology/approach

The automatic and manual search resulted into 1,277 studies from Scopus and Web of Science database. Further applying inclusion and exclusion criterion resulted in bringing out total of 157 studies, which were termed as primary studies. Based on the results of descriptive analysis, conducted through Bibliometric and VOSviewer software, the characteristics of BCT and its key capabilities, contributing towards shaping the recent SD literature, were critically examined. Identified research themes for clustering primary studies were aligned with United Nations Sustainability Development Goals (UNSDG). A mind-map was also prepared on the basis of thematic classification of primary studies.

Findings

The research themes “business practice and economic sustainability”, “agriculture and food security” and “business practice and environment sustainability” were found to be the focal points of scholarly attention. Synthesis and analysis of primary studies resulted into classification of research gaps under four categories – theoretical foundation, methodological limitation, research themes and technology implementation challenges. The study was concluded by sensitizing and sanitizing the concrete research questions for future research.

Research limitations/implications

The research findings shall be a roadmap for research scholars, academicians and practitioners to comprehend the present state of knowledge in the domain of “BCT application for SD” and decide upon adopting the future course of action to attain the UNSDGs by the year 2030.

Originality/value

To the best of the authors’ knowledge, the current study is the first attempt in its own sense to analyse and synthesize the available literature on “attaining SD through BCT” using SLR approach.

Analysis of distributed ledger technologies for industrial manufacturing

In recent years, industrial manufacturing has undergone massive technological changes that embrace digitalization and automation towards the vision of intelligent manufacturing plants. With the aim of maximizing efficiency and profitability in production, an important goal is to enable flexible manufacturing, both, for the customer (desiring more individualized products) and for the manufacturer (to adjust to market demands). Manufacturing-as-a-service can support this through manufacturing plants that are used by different tenants who utilize the machines in the plant, which are offered by different providers. To enable such pay-per-use business models, Distributed Ledger Technology (DLT) is a viable option to establish decentralized trust and traceability. Thus, in this paper, we study potential DLT technologies for efficient and intelligent integration of DLT-based solutions in manufacturing environments. We propose a general framework to adapt DLT in manufacturing, and then we introduce the use case of shared manufacturing, which we utilize to study the communication and computation efficiency of selected DLTs in resource-constrained wireless IoT networks.

Research on the Blue Carbon Trading Market System under Blockchain Technology

To combat global warming, “carbon neutrality” has gradually become a consensus. Some countries have constructed domestic and regional carbon trading markets, and links to global carbon markets are receiving increasing attention. Blue carbon, an important component of nature-based solutions (NbS), has not received the attention it deserves and is still isolated from the carbon trading market. Based on summarizing the existing achievements of blockchain application in carbon trading, this paper analyzes how to make each participating body provide services in the process of blue carbon production, circulation and trading, and designs the architectural diagram of the blue carbon system under peer-to-peer (P2P) transactions based on the theoretical framework of blockchain 3.0. Utilizing the advantages of decentralization, high transparency and non-tamperability of blockchain, we can realize a highly efficient, low-cost and intelligent blue carbon trading management system. Thus, we can make the world pay more attention to the development and utilization of marine resources and increase investment in blue carbon sink projects; and promote the development of blue carbon market, enrich the carbon trading market, and help achieve “emission reduction without reduction in production”.

Industry 4.0 and Enabling Technologies: Integration Framework and Challenges

Industry 4.0 has revolutionized the traditional production line toward smart factories in a sustainable environment. It represents an intelligent manufacturing network, where machines and products interact without human control. Recently, there have been studies on Industry 4.0 and integrating enabling technologies, and this article aims to summarize a few of the pathbreaking studies and guide future research in this field. This paper reviews 112 journal publications related to Blockchain from 2017 to 2021 in the Science Citation Index (SCI) and Social Science Citation Index (SSCI) database. The selected papers are grouped into ten categories. This overview indicates that research of integrating Industry 4.0 enabling technologies needs to focus on developing better privacy and security mechanisms and a design framework for integrating the 5G network system into the platform.

Blockchain Technology in the Chemical Industry

This article presents a review of the application of blockchain and blockchain-based smart contracts in the chemical and related industries. We introduce the basic concepts of blockchain and smart contracts and explain how some of their features are enabled. We review several typical or novel applications of blockchain and smart contract technologies and their enabling concepts and underlying technologies. We classify the selected literature into five categories and discuss their motivations and technical designs. We recognize that the trend of decentralization creates a need to use blockchain and smart contracts to implement trust and distributed control mechanisms. We also speculate on future applications of blockchain and smart contracts. We believe that, in the future, blockchains with different consensus mechanisms will be studied and applied to achieve more efficient and practical decentralized systems. Also, blockchain-based smart contracts will be more widely applied to enhance autonomous distributed controls in decentralized systems. Expected final online publication date for the Annual Review of Chemical and Biomolecular Engineering, Volume 13 is October 2022. Please see http://www.annualreviews.org/page/journal/pubdates for revised estimates.

Drivers, barriers and supply chain variables influencing the adoption of the blockchain to support traceability along fashion supply chains

The critical role of blockchain technology in ensuring a proper level of traceability and visibility along supply chains is increasingly being explored in the literature. This critical examination must focus on the factors that either encourage or hinder (i.e. the drivers or barriers) the implementation of this technology in extended supply chains. On the assumption that the blockchain will need to be adopted at the supply chain level, the enabling factors and the contingent variables of different supply chains must be identified and analysed. The appropriate identification of supply chain partners is becoming a critical factor of success since the globalization of supply chains makes their management and control increasingly difficult. This is particularly true of the fashion industry. Five blockchain providers and seven focal companies working in the fashion industry were interviewed to compare their different viewpoints on this topic. The results highlight which drivers, barriers, and supply chain variables impact the implementation of the blockchain and specific research propositions are formulated.

Towards circular economy in the textiles and clothing value chain through blockchain technology and IoT: A review

The textile and clothing industry sector has today a big environmental impact, not only due to the consumption of water and the use of toxic chemicals but also due to the increasing levels of textile waste. One way to reduce the problem is to circularise the, currently linear, textile and clothing value chain, by using discarded clothes as raw material for the production of new clothes, transforming it into a model of circular economy. This way, while reducing the need to produce new raw materials (e.g. cotton), the problem of textile waste produced is also reduced, thus contributing to a more sustainable industry. In this article, we review the current approaches for traceability in the textile and clothing value chain, and study a set of technologies we deem essential for promoting the circular economy in this value chain - namely, the blockchain technology - for registering activities on traceable items through the value chain, and the Internet of Things (IoT) technology, for easily identifying the traceable items' digital twins.

Market Mechanisms for Reducing Emissions and the Introduction of a Flexible Consumption Tax

Since its founding institutions the European Economic Community and Eratom, the European Union has paid great attention to energy issues. However, its powers have been updated in relatively recent times. Similarly, the EU has promoted in the post-Kyoto Protocol environmental issues with a leading by example approach and implementing an ambitious plan to decarbonize the economy with the energy transition and emission limitation through a market instrument, the emission trading system. The European emissions trading system has been the most ambitious management of negative externalities related to GHG set-up at the international level. The EU now considers that the costs of ecological industrial transition could limit the ability of European industries to compete in the globalized market with industries not subject to similar limits and costs. The EU intends to adopt a carbon adjustment tax at the border, to limit the phenomenon of reallocation and compensate for environmental costs. This paper analyses the various proposals and their advantages and disadvantages. The focus is on the charge on emissions mechanism, which is one of the three proposals the European Economic and Social Committee suggested to the European Commission for further investigation in view of the current competitive asymmetry now recognized by the EU Commission itself. The charge on emissions would value industrial emissions directly within the VAT and use the blockchain to track the emissive supply chain of products.

Sustainability Transparency and Trustworthiness of Traditional and Blockchain Ecolabels: A Comparison of Generations X and Y Consumers

Consumers and professionals realize the importance of adopting social and environmental responsibility, but it is not easy for companies to implement transparent sustainability strategies that consumers can trust. Thus, it is often hard for consumers to compare brands to make conscious sustainability decisions. Blockchain technology is proposed as a bridge between ecolabels and industry initiatives as this technology provides the transparency of sustainable business practices. The objective of this study is to examine the effects of effectiveness, knowledge of the sustainability initiative, and trust in claims made by a company in ecolabels (i.e., traditional and blockchain ecolabels) on intention to buy products by comparing Generations X and Y. A total of 200 participants completed the survey. The results indicated that both the trust and knowledge measures were higher for the blockchain label than for the traditional ecolabel for Generation Y. Thus, the companies should determine how to effectively integrate this technology to the mutual benefit of the retailer and consumer by different generations.

Applications of Blockchain Technology in Sustainable Manufacturing and Supply Chain Management: A Systematic Review

Developing sustainable products and processes is essential for the survival of manufacturers in the current competitive market and the industry 4.0 era. The activities of manufacturers and their supply chain partners should be aligned with sustainable development goals. Manufacturers have faced many barriers and challenges in implementing sustainable practices along the entire supply chain due to globalisation, outsourcing, and offshoring. Blockchain technology has the potential to address the challenges of sustainability. This study aims to explain the applications of blockchain technology to sustainable manufacturing. We conducted a systematic literature review and explained the potential contributions of blockchain technology to the economic, environmental, and social performances of manufacturers and their supply chains. The findings of the study extend our understanding of the blockchain applications in sustainable manufacturing and sustainable supply chains. Furthermore, the study explains how blockchain can influence the sustainable performance of manufacturers by creating transparency, traceability, real-time information sharing, and security of the data capabilities.

Carbon management framework for sustainable manufacturing using life cycle assessment, IoT and carbon sequestration

Purpose

Emission reduction methodologies alone are not sufficient to mitigate the climatic catastrophes caused due to ongoing carbon emissions. Rather, a bidirectional approach is required to decarbonize the excess carbon in the atmosphere through carbon sequestration along with carbon reduction. Since the manufacturing sector contributes heavily to the ongoing carbon emissions, the purpose of this paper is to propose a framework for carbon emission reduction and carbon sequestration in the context of the manufacturing industry.

Design/methodology/approach

In this paper, life cycle assessment (LCA) is employed to track the carbon emission at each stage of the product development life cycle. The pre-requisite for this is the accurate evaluation of the carbon emissions. Therefore, IoT technologies have been employed for collecting real-time data with high credibility to perceive environmental impact caused during the entire life cycle of the product. The total carbon emission calculation is based on the bill of material (BOM)-based LCA of the product to realize the multi-structure (from parts and components to product) as well as multi-stage (from cradle to gate) carbon emission evaluation. Carbon sequestration due to plantation is evaluated using root-shoot ratio and total biomass.

Findings

A five interwoven layered structure is proposed in the paper to facilitate the real-time data collection and carbon emission evaluation using BOM-based LCA of products. Further, a carbon neutral coefficient (CNC) is proposed to indicate the state of a firm’s carbon sink and carbon emissions. CNC=1 indicates that the firm is carbon neutral. CNC >1 implies that the firm’s carbon sequestration is more than carbon emissions. CNC <1 indicates that the firm’s carbon emission is more than the carbon sink.

Originality/value

The paper provides a novel framework which integrates the real-time data collection and evaluation of carbon emissions with the carbon sequestration.

A European Emissions Trading System Powered by Distributed Ledger Technology: An Evaluation Framework

The European Union Emissions Trading System (EU ETS) is a major pillar of the European energy policy to reduce greenhouse gas emissions. However, the reportedly pervasive frauds in this market are constraining the beneficial role of the EU ETS. In this conceptual paper, we propose to digitalize the EU ETS by distributed ledger technology (DLT), enabling the verification of authenticity and provenance, proof of ownership, and lifecycle traceability of carbon certificates and assets. Our platform allows verifiable credentials to validate emission allowances, real-time tracking of trading participants’ emissions, and the audit trail reporting of the decentralized trading records. Furthermore, we complement the DLT application concept with a structured interdisciplinary evaluation framework. Our framework and analysis aim to stimulate further interdisciplinary research in this area to support regulators, such as the European Commission, in designing effective digital emissions trading systems.

How Green FinTech Can Alleviate the Impact of Climate Change—The Case of Switzerland

The financial services industry is currently undergoing a major transformation, with digitization and sustainability being the core drivers. While both concepts have been researched in recent years, their intersection, often conceived as “green FinTech,” remains under-determined. Therefore, this paper contributes to this important discussion about green FinTech by, first, synthesizing the relevant literature systematically. Second, it shows the results of an empirical, in-depth analysis of the Swiss FinTech landscape both in terms of green FinTech startups as well as the services offered by the incumbents. The research results show that literature in this new domain has only emerged recently, is mostly characterized by a specific focus on isolated aspects of green FinTech and does not provide a comprehensive perspective on the topic yet. In addition, the results from the literature and the market analysis indicate that green FinTech has an impact along the whole value chain of financial services covering customer-to-customer (c2c), business-to-customer (b2c), and business-to-business (b2b) services. Today the field is predominantly captured by startup companies in contrast to the incumbents whose solutions are still rare.

Environmental Sustainability of Digitalization in Manufacturing: A Review

The rapid development and implementation of digitalization in manufacturing has enormous impact on the environment. It is still unclear whether digitalization has positive or negative environmental impact from applications in manufacturing. Therefore, this study aims to discuss the overall implications of digitalization on environmental sustainability through a literature study, within the scope of manufacturing (product design, production, transportation, and customer service). The analysis and categorization of selected articles resulted in two main findings: (1) Digitalization in manufacturing contributes positively to environmental sustainability by increasing resource and information efficiency as a result of applying Industry 4.0 technologies throughout the product lifecycle; (2) the negative environmental burden of digitalization is primarily due to increased resource and energy use, as well as waste and emissions from manufacturing, use, and disposal of the hardware (the technology lifecycle). Based on these findings, a lifecycle perspective is proposed, considering the environmental impacts from both the product and technology lifecycles. This study identified key implications of digitalization on environmental sustainability in manufacturing to increase awareness of both the positive and negative impacts of digitalization and thereby support decision making to invest in new digital technologies.

Corporate Social Responsibility Influencing Sustainability within the Fashion Industry. A Systematic Review

The fashion industry, one of the largest industries in the world, is a complicated phenomenon, driven by aspirations of symbolic lifestyle and the creativity of architecture and design. It pushes the use of natural resources to its limits by mass production and a low-cost structure that motivates consumerism at large. The purpose of this study is to explore corporate social responsibility and how it influences sustainability within the fashion industry. A systematic literature review was carried out. This encompassed the academic publications available in two scientific databases focusing on Corporate Social Responsibility (CSR), sustainability, and fashion, covering the period 2003–2019. The findings indicate that the CSR approach taken by managers within the fashion industry is focused on sustainability, business models, and/or supply chain innovation, with commitments undertaken concerning the economy, environment, and/or society, wherein the production of eco-friendly products and workers’ safety are emphasized. Actions that tie CSR and sustainability with companies’ actions are presented in a micro-meso-macro framework, where brand equity, culture, supply chain management, activism, and human rights are evident. The findings of the study are relevant for academia, practitioners, and policymakers, as they provide insight into the operations and impacts of domestic and multinational fashion companies, outlining the most relevant studies on the topic, and also highlighting research trends and gaps in the field.

Blockchain Technology for Sustainable Supply Chain Management: A Systematic Literature Review and a Classification Framework

Through a systematic review of publications in reputed peer-reviewed journals, this paper investigates the role of blockchain technology in sustainable supply chain management. It uses the What, Who, Where, When, How, and Why (5W+1H) pattern to formulate research objectives and questions. The review considers publications since 2015, and it includes 187 papers published in 2017, 2018, 2019, and the early part of 2020, since no significant publications were found in the year 2015 or 2016 on this subject. It proposes a reusable classification framework—emerging technology literature classification level (ETLCL) framework—based on grounded theory and the technology readiness level for conducting literature reviews in various focus areas of an emerging technology. Subsequently, the study uses ETLCL to classify the literature on our focus area. The results show traceability and transparency as the key benefits of applying blockchain technology. They also indicate a heightened interest in blockchain-based information systems for sustainable supply chain management starting since 2017. This paper offers invaluable insights for managers and leaders who envision sustainability as an essential component of their business. The findings demonstrate the disruptive power and role of blockchain-based information systems. Given the relative novelty of the topic and its scattered literature, the paper helps practitioners examining its various aspects by directing them to the right information sources.

Evaluation of Waste Electronic Product Trade-in Strategies in Predictive Twin Disassembly Systems in the Era of Blockchain

Manufacturing and supply chain operations are on the cusp of an era with the emergence of groundbreaking technologies. Among these, the digital twin technology is characterized as a paradigm shift in managing production and supply networks since it facilitates a high degree of surveillance and a communication platform between humans, machines, and parts. Digital twins can play a critical role in facilitating faster decision making in product trade-ins by nearly eliminating the uncertainty in the conditions of returned end-of-life products. This paper demonstrates the potential effects of digital twins in trade-in policymaking through a simulated product-recovery system through blockchain technology. A discrete event simulation model is developed from the manufacturer’s viewpoint to obtain a data-driven trade-in pricing policy in a fully transparent platform. The model maps and mimics the behavior of the product-recovery activities based on predictive indicators. Following this, Taguchi’s Orthogonal Array design is implemented as a design-of-experiment study to test the system’s behavior under varying experimental conditions. A logistics regression model is applied to the simulated data to acquire optimal trade-in acquisition prices for returned end-of-life products based on the insights gained from the system.

Impact of Industry 4.0 on Environmental Sustainability

Industry 4.0 is a concept that originated from the German industry, and whose essence is the use of technology for efficient production. In business today, the emergence of Industry 4.0 for production, and its related technologies, such as the Internet of Things (IoT) and cyber-physical systems, amongst others, have, however, a negative impact on environmental sustainability as a result of air pollution, the poor discharge of waste, and the intensive use of raw materials, information, and energy. The method used in this study is an analysis of a literature review of manuscripts discussing topics related to Industry 4.0 and environmental sustainability published between 2000 and 2020. There is currently a gap existing between the actual and the desired situation, in that production occurs in a weak sustainability model, and, therefore, this research debates the effects on environmental sustainability and the challenges facing Industry 4.0. Four scenarios are discussed: a deployment scenario, an operation scenario, integration and compliance with sustainable development goals, and a long-run scenario. The results indicate that there is a negative relationship related to the flow of the production process from the inputs to the final product, including raw materials, energy requirements, information, and waste disposal, and their impacts on the environment. However, the integration of Industry 4.0 and the sustainable development goals enhance environmental sustainability to create ecological support that guarantees high environmental performance with a more positive impact than before. This paper will help stakeholders and companies to provide solutions to the existing environmental challenges that can be mediated through adopting new technologies. The novelty of this study is its depiction of Industry 4.0 and its technologies integrated with sustainable development goals to create a sustainable Industry 4.0 combining environmental protection and sustainability.

Industry 4.0 and Sustainability Implications: A Scenario-Based Analysis of the Impacts and Challenges

The new evolution of the production and industrial process called Industry 4.0, and its related technologies such as the Internet of Things, big data analytics, and cyber–physical systems, among others, still have an unknown potential impact on sustainability and the environment. In this paper, we conduct a literature-based analysis to discuss the sustainability impact and challenges of Industry 4.0 from four different scenarios: deployment, operation and technologies, integration and compliance with the sustainable development goals, and long-run scenarios. From these scenarios, our analysis resulted in positive or negative impacts related to the basic production inputs and outputs flows: raw material, energy and information consumption and product and waste disposal. As the main results, we identified both positive and negative expected impacts, with some predominance of positives that can be considered positive secondary effects derived from Industry 4.0 activities. However, only through integrating Industry 4.0 with the sustainable development goals in an eco-innovation platform, can it really ensure environmental performance. It is expected that this work can contribute to helping stakeholders, practitioners and governments to advance solutions to deal with the outcomes emerging through the massive adoption of those technologies, as well as supporting the expected positive impacts through policies and financial initiatives.

Blockchain Practices, Potentials, and Perspectives in Greening Supply Chains

Blockchain technology is an inchoate technology whose current popularity is peaking. Some of the most pervasive blockchain technology use cases exist for supply chains. Sustainable, and especially green, supply chains can benefit from blockchain technology, but there are also caveats. The sustainability and environmental management research and academic literature is only starting to investigate this emergent field. This paper seeks to help advance the discussion and motivate additional practice and research related to green supply chains and blockchain technology. This viewpoint paper provides insight into some of the main dimensions of blockchain technology, an overview of the use cases and issues, and some general research areas for further investigation.