Blockchain is often claimed to have significant potential for tackling recycling chains’ challenges, particularly in facilitating information processing. However, such claims are often based on hypothetical, conceptual arguments. This study aims to explore how focal companies use blockchain to address information processing needs in the recycling chain.
This paper contains in-depth case studies exploring three pioneer blockchain applications in multi-tier recycling chains.
The authors found that blockchain offers four distinct information processing capabilities: transparency, immutability, integration and trust. These capabilities are instrumental in addressing the specific information processing needs at the levels of firm, supply chain and industry. However, the findings also suggest that blockchain-enabled mechanisms do not, by themselves, resolve all information processing needs in recycling chains. Instead, the application should account for functional, contextual and systemic fit.
By critically exploring pioneer blockchain applications, the authors move beyond prevailing views of blockchain as an information processing tool by situating its role within the multi-level information processing needs of recycling chains. Rather than conceiving blockchain applications as mechanically matched to these needs, the authors propose a more nuanced conceptualization of fitting mechanisms, showing that information processing fit unfolds through functional, contextual and systemic pathways operating across multiple levels.
