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Article
Peer-Review Record

Synergistic Impact of Internet of Things and Big-Data-Driven Supply Chain on Sustainable Firm Performance

Sustainability 2024, 16(13), 5717; https://doi.org/10.3390/su16135717
by Qingyu Zhang 1, Aman Ullah 1,*, Sana Ashraf 2 and Muhammad Abdullah 3
Reviewer 1: Anonymous
Reviewer 2: Anonymous
Reviewer 3:
Reviewer 4: Anonymous
Sustainability 2024, 16(13), 5717; https://doi.org/10.3390/su16135717
Submission received: 12 May 2024 / Revised: 14 June 2024 / Accepted: 25 June 2024 / Published: 4 July 2024
(This article belongs to the Section Sustainable Management)

Round 1

Reviewer 1 Report

Comments and Suggestions for Authors

The article is well written and addresses an important issue, namely, that the transfer of innovations (identified as "disruptive" by many) can support a circular and sustainable transition. 

In the fashion industry certainly this is a very important issue.

To improve the paper I suggest the following points:

- it would be really important to include the topic of policies in China for the sector, how the results of this study could provide policy implications,

- Are there strategies to support the circular transition in China? (Equivalent of the Green Deal in Europe).

- circular practices are not only found in terms of operations, so improving efficiency, reducing waste, thinking about closing biological and technical cycles. But also in terms of corporate vision, so making the Circular Economy the centerpiece of corporate policy, this should be explained. (Maybe a topic for future research?)

- From what I read there is no mention of the type of consent form (privacy issues) submitted to respondents during the administration, I ask you to include it. 

- should also be a mention on the potential negative effects that technology can have, this should intersect the whole discourse of responsible research innovation. It could be mentioned. 

Comments on the Quality of English Language

moderate

Author Response

Synergistic Impact of Internet of Things and Big Data-Driven Supply Chain on Sustainable Firm Performance

We extend our heartfelt gratitude for your valuable time and constructive feedback on our manuscript. Your insightful comments and suggestions have been instrumental in refining our study, and we are deeply appreciative of your dedication to enhancing academic quality. We have diligently incorporated each of your recommendations into the revised version of our article, ensuring that all aspects have been thoroughly addressed. Moreover, we have taken additional steps to enhance the overall quality of our research, guided by your invaluable insights. We are confident that the revisions made will meet your expectations and further elevate the scholarly contribution of our work. We acknowledge the invaluable role of your reviews in guiding our revisions and refining the manuscript to meet the highest standards of academic excellence. Your feedback has been integral to our improvement process, and we sincerely thank you for your commitment to advancing scholarly discourse. We eagerly await the outcome of your assessment and remain hopeful for a positive outcome. Once again, thank you for your dedication and invaluable contribution to our article. The changes made in the article are marked as “red”.

Regards,

Aman Ullah

[email protected]

Response to reviewers’ comments

Comment 1: It would be really important to include the topic of policies in China for the sector, how the results of this study could provide policy implications.

Response: Thank you very much for your insightful feedback. We have addressed your comment by incorporating a discussion on Chinese policies in the fast fashion sector and their implications. In the introduction, we detail several key policies, such as the Circular Economy Promotion Law, Extended Producer Responsibility, Green Development Guidelines, and the Action Plan for Carbon Neutrality by 2030. These policies underscore China's commitment to enhancing sustainability within the fast fashion industry. Additionally, in the policy implications section, we explain how our study's findings, particularly the integration of IoT and BDSC practices, support and advance these policies. Our research highlights the potential of these technologies to significantly improve GSCM and CE practices, thereby aligning with and furthering China's environmental goals. Updates are detailed between lines 57-63 in introduction & 601-611 in policy implications

Comment 2: Are there strategies to support the circular transition in China? (Equivalent of the Green Deal in Europe).

Response: Thank you for your valuable feedback. In response to your comment regarding the inclusion of strategies supporting the circular transition in China, we have incorporated a detailed discussion on China's comprehensive set of strategies to facilitate its transition to a circular economy. This includes industrial symbiosis through eco-industrial parks, investments in research and development, financial incentives such as green bonds and subsidies, public awareness campaigns, and international collaborations. These strategies are analogous to the ambitions of the European Green Deal and highlight China's commitment to sustainable development and resource efficiency. This discussion has been included in the 'Introduction' section of our paper. We believe this addition strengthens the relevance and impact of our research within the context of national and international sustainability efforts. Updates are detailed between lines 47-55 in manuscript

Comment 3: Circular practices are not only found in terms of operations, so improving efficiency, reducing waste, thinking about closing biological and technical cycles. But also in terms of corporate vision, so making the Circular Economy the centerpiece of corporate policy, this should be explained. (Maybe a topic for future research?)

Response: Thank you for your valuable feedback. While our study primarily focuses on the operational aspects of circular economy (CE) practices, such as improving efficiency, reducing waste, and closing biological and technical cycles through the implementation of IoT and BDSC practices, we acknowledge the critical importance of incorporating CE into the corporate vision. Integrating CE as a core component of corporate policy is essential for fostering a sustainable transformation that goes beyond operational improvements. However, our current research scope did not extend to exploring the corporate vision and policy integration aspects in detail. This limitation is acknowledged, and we agree that future research should address how companies can embed CE principles into their corporate governance and strategic planning. Updates are detailed between lines 664-671 in manuscript

Comment 4: From what I read there is no mention of the type of consent form (privacy issues) submitted to respondents during the administration, I ask you to include it.

Response: Thank you for your insightful feedback on our manuscript. We appreciate your attention to detail and your valuable suggestions. We have revised the manuscript to include information about the type of consent form used during the administration process to address privacy concerns. Specifically, we have added a section in the data collection methodology that outlines the details of the consent form provided to respondents. We believe that this addition enhances the transparency and rigor of our study, ensuring that ethical considerations are adequately addressed. We hope that this modification meets your expectations and improves the overall quality of the manuscript. Updates are detailed between lines 355-361 in manuscript

Comment 5: Should also be a mention on the potential negative effects that technology can have, this should intersect the whole discourse of responsible research innovation. It could be mentioned.

Response: Thank you for this insightful suggestion. We have incorporated a discussion on the potential negative effects of IoT and Big Data-driven supply chain practices, emphasizing the importance of responsible research and innovation. This discussion has been added to the "Limitations and Future Research" section of the manuscript. Here, we address issues such as privacy and security vulnerabilities, financial costs, and the generation of electronic waste. We also highlight the need for robust data security measures, cost-effective implementation strategies, and comprehensive e-waste management solutions, aligning with principles of responsible research and innovation. We believe this addition strengthens the manuscript by providing a more balanced and holistic view of the technological impacts. Updates are detailed between lines 672-685 in manuscript

Author Response File: Author Response.pdf

Reviewer 2 Report

Comments and Suggestions for Authors Comment 1: The authors consider the combined effects of IoT and big data, the interactions of those two technology are complex. As such, what's the main contribution if the authors consider the impacts of both technology. 

Comment 2: The scope of sustainable supply chain is wide. Green supply chain and circle supply chain only two elements. Moreover, the concept of green supply chain and circle supply chain maybe overlap. 

Comment 3: The relationship between SSC and firm performance is an old topic. What's the new feature of this study?  

Comment 4: There exists endogeneity probelm. The authors need to be solved. Comments on the Quality of English Language Comment 1: The authors consider the combined effects of IoT and big data, the interactions of those two technology are complex. As such, what's the main contribution if the authors consider the impacts of both technology. 

Comment 2: The scope of sustainable supply chain is wide. Green supply chain and circle supply chain only two elements. Moreover, the concept of green supply chain and circle supply chain maybe overlap. 

Comment 3: The relationship between SSC and firm performance is an old topic. What's the new feature of this study?  

Comment 4: There exists endogeneity probelm. The authors need to be solved.

Author Response

Synergistic Impact of Internet of Things and Big Data-Driven Supply Chain on Sustainable Firm Performance

We extend our heartfelt gratitude for your valuable time and constructive feedback on our manuscript. Your insightful comments and suggestions have been instrumental in refining our study, and we are deeply appreciative of your dedication to enhancing academic quality. We have diligently incorporated each of your recommendations into the revised version of our article, ensuring that all aspects have been thoroughly addressed. Moreover, we have taken additional steps to enhance the overall quality of our research, guided by your invaluable insights. We are confident that the revisions made will meet your expectations and further elevate the scholarly contribution of our work. We acknowledge the invaluable role of your reviews in guiding our revisions and refining the manuscript to meet the highest standards of academic excellence. Your feedback has been integral to our improvement process, and we sincerely thank you for your commitment to advancing scholarly discourse. We eagerly await the outcome of your assessment and remain hopeful for a positive outcome. Once again, thank you for your dedication and invaluable contribution to our article. The changes made in the article are marked as “red”.

Regards,

Aman Ullah

[email protected]

Response to reviewers’ comments

Comment 1: The authors consider the combined effects of IoT and big data, the interactions of those two technology are complex. As such, what's the main contribution if the authors consider the impacts of both technology.

Response: We appreciate the reviewer's insightful comment regarding the complex interactions between IoT and BDSC technologies. Our study addresses this complexity by focusing on their combined application and the synergistic effects within sustainable supply chain management (SSCM) in the fast fashion industry. Our research makes a significant contribution by pioneering the exploration of how IoT and BDSC, when integrated synergistically, can enhance SSCM beyond the capabilities of each technology individually. While existing studies have separately examined the impacts of IoT and big data, our study uniquely demonstrates how their combined deployment leads to improved supply chain performance and sustainability outcomes.

IoT's ability to provide real-time monitoring and data collection across supply chain processes is pivotal. This capability enables immediate identification and resolution of inefficiencies such as energy consumption and waste production. It also enhances traceability and transparency in material flows, crucial for implementing green GSCM practices such as sustainable procurement and efficient reverse logistics. Meanwhile, BDSC harnesses advanced data analytics to uncover patterns and predict trends, optimizing operations and facilitating deeper integration of GSCM and circular economy CE practices. By identifying opportunities for material reuse and recycling, BDSC further strengthens the adaptive and resilient nature of the supply chain.

Together, IoT and BDSC create a comprehensive strategy that promotes resource efficiency, reduces environmental impact, and enhances overall sustainability performance within the fast fashion sector. Our study's focus on these synergistic effects fills a critical gap in the literature, offering practical insights into leveraging technology to achieve sustainable development goals. We believe this approach not only advances academic understanding but also provides actionable recommendations for industry practitioners and policymakers striving to improve sustainability practices in fast fashion manufacturing. Updates are detailed between lines 75-119.

Comment 2: The scope of sustainable supply chain is wide. Green supply chain and circle supply chain only two elements. Moreover, the concept of green supply chain and circle supply chain maybe overlap.

Response: Thank you for your comment. While it is true that the scope of SSCM is broad and encompasses various elements beyond green supply chain management GSCM and circular economy CE practices, our study focuses on these two specific aspects due to their critical relevance to the fast fashion industry in China. GSCM and CE were chosen because they are pivotal in addressing environmental challenges and promoting sustainability in this high-impact sector.

We acknowledge that the concepts of GSCM and CE can overlap; however, they also offer distinct approaches. GSCM primarily emphasizes reducing environmental impact through eco-friendly practices like green procurement, sustainable manufacturing, and reverse logistics. In contrast, CE focuses on creating a closed-loop system where resources are reused, remanufactured, and recycled, thereby minimizing waste and resource consumption. By integrating IoT and Big Data-driven supply chain practices, our study highlights how these technologies can enhance both GSCM and CE practices, thereby offering a more comprehensive strategy for sustainable supply chain management in the fast fashion industry. However, we recognize the importance of integrating other elements of SSCM, such as social and economic sustainability, to provide a comprehensive approach. Social sustainability includes fair labor practices, community engagement, and ethical sourcing, while economic sustainability involves cost efficiency, market competitiveness, and risk management.

 To address this, we have added a discussion in the "Limitations and Future Lines of Research" section that how these broader elements can be incorporated into future studies. This approach will enhance our framework, ensuring it not only addresses environmental concerns but also promotes social equity and economic viability, thus contributing to a more sustainable and resilient supply chain for the fast fashion industry. Updates are detailed between lines 654-664.

Comment 3: The relationship between SSC and firm performance is an old topic. What's the new feature of this study? 

Response: Thank you for your insightful comment. While the relationship between SSC practices and firm performance has been widely studied, our research introduces several novel features. We uniquely examine the integration of IoT technologies and BDSC practices, particularly within the fast fashion industry in China, which is known for its significant environmental impact and rapid production cycles. This focus on the fast fashion sector addresses a critical gap. Additionally, our study is set against the backdrop of China's unique regulatory environment, including recent policies aimed at promoting a circular economy and reducing environmental impact, providing a fresh perspective on the intersection of regulatory frameworks and technological advancements. Our research positions IoT and BDSC practices as transformative tools for achieving CE and GSCM practices, offering a comprehensive framework for how technological advancements can drive sustainability in supply chains. These elements collectively contribute new insights to the SSC literature and offer practical implications for enhancing sustainability in the fast fashion industry through cutting-edge technologies.

Comment 4: There exists endogeneity problem. The authors need to be solved.

Response: Thank you for your insightful comment regarding the potential endogeneity issue in our study. We conducted a thorough endogeneity test using WarpPLS software, as detailed in Section 5.2 of our revised manuscript. This analysis considered the potential indirect influence of IoT adoption on firm performance within the circular economy supply chain. To mitigate this, we introduced an instrumental variable (iC) specifically linked to firm performance. This variable was created using a technique that shares a single stochastic variation, allowing for a robust analysis of endogeneity. Our results, depicted in Figure 2, showed a p-value of 0.16, which is not statistically significant at the 5% confidence level, indicating that endogeneity is not a concern in our model. These steps ensure that our findings on the impact of IoT and Big Data-Driven Supply Chain practices on CE supply chain performance are reliable and valid. Updates are detailed between lines 388-399.

 

Author Response File: Author Response.pdf

Reviewer 3 Report

Comments and Suggestions for Authors

Dear Author, 
   This study makes a practical contribution to the necessary understanding between technology and company performance. The model and hypothesis testing are carried out methodically.
I recommend accepting this manuscript with the following minor modifications:
1. In table 1, the values ​​of many rows are left blank. If multiple rows have the same value, please present them more clearly.
2. Please state the qualifications (experience, job position, highest degree,...) of those participating in the survey.
3. Please check the main text of the manuscript carefully. E.g. Thirty-two (31?!) questionnaires were not considered due to incomplete data (line 356).
4. The manuscript's citation style does not match the style of the journal.

Author Response

Synergistic Impact of Internet of Things and Big Data-Driven Supply Chain on Sustainable Firm Performance

We extend our heartfelt gratitude for your valuable time and constructive feedback on our manuscript. Your insightful comments and suggestions have been instrumental in refining our study, and we are deeply appreciative of your dedication to enhancing academic quality. We have diligently incorporated each of your recommendations into the revised version of our article, ensuring that all aspects have been thoroughly addressed. Moreover, we have taken additional steps to enhance the overall quality of our research, guided by your invaluable insights. We are confident that the revisions made will meet your expectations and further elevate the scholarly contribution of our work. We acknowledge the invaluable role of your reviews in guiding our revisions and refining the manuscript to meet the highest standards of academic excellence. Your feedback has been integral to our improvement process, and we sincerely thank you for your commitment to advancing scholarly discourse. We eagerly await the outcome of your assessment and remain hopeful for a positive outcome. Once again, thank you for your dedication and invaluable contribution to our article. The changes made in the article are marked as “red”.

Regards,

Aman Ullah

[email protected]

Response to reviewers’ comments

Comment 1: In table 1, the values ​​of many rows are left blank. If multiple rows have the same value, please present them more clearly.

Response: Thank you for your insightful feedback. We appreciate your suggestion to clarify the presentation of the reliability and validity metrics in Table 1. We would like to explain that Cronbach's Alpha, Composite Reliability (CR), and Average Variance Extracted (AVE) are calculated at the construct level, not the item level. Therefore, each construct (e.g., IoT, GSCM, CE, FP, BDSC) has a single value for Alpha, CR, and AVE. These values are placed alongside one representative item for each construct to indicate that they pertain to the entire construct. Leaving the cells blank for other items within the same construct is intentional to avoid redundancy and to highlight that these reliability and validity metrics apply to the entire set of items for each construct.

Comment 2: Please state the qualifications (experience, job position, highest degree,...) of those participating in the survey.

Response: Thank you for your insightful feedback. In response to your comment, we have updated Table 1 (Demographic Profile). This now encompasses their experience, job position, highest degree, as well as firm age (years), number of employees, and annual turnover (Million RMB). We believe these additions provide a comprehensive overview of the participants' demographics and enhance the robustness of our study. Updates are detailed between lines 380-381 in manuscript

Comment 3: Please check the main text of the manuscript carefully. E.g. Thirty-two (31?!) questionnaires were not considered due to incomplete data (line 356).

Response: Respected reviewer, thank you very much for your kind suggestions. We have addressed the discrepancy you pointed out. Upon review, we found that thirty-one (31) questionnaires were not considered due to incomplete data. Update is detailed in line 364 in manuscript.

Comment 4: The manuscript's citation style does not match the style of the journal.

Response: Thank you for your valuable feedback. We have revised the citation style in the manuscript to ensure it now matches the requirements of the journal. We appreciate your guidance in helping us improve the quality and consistency of our work.

 

Author Response File: Author Response.pdf

Reviewer 4 Report

Comments and Suggestions for Authors

The authors consider an econometric exercise in which they focus on the impact of the adoption of Internet-of-Things on circular economy practices and on green supply chain management practices. Then, they evaluate the overall impact on firms’ performance. The exercise is based on the fashion industry in Guangzhou, China.

I have not particular criticisms on this paper. The paper is well-written, and the analysis is well-explained. Theoretical and policy implications are correctly derived. The limits of the analysis are properly pointed out at the end of the paper.

Minor typos:

-       Line 356: 31 or 32?

-       Line 362 and in other parts of the paper: instead of using “industry”, it is better using “firm”.

-       Line 608-609: the sentence is not clear.

Comments on the Quality of English Language

The English is good.

Author Response

Synergistic Impact of Internet of Things and Big Data-Driven Supply Chain on Sustainable Firm Performance

We extend our heartfelt gratitude for your valuable time and constructive feedback on our manuscript. Your insightful comments and suggestions have been instrumental in refining our study, and we are deeply appreciative of your dedication to enhancing academic quality. We have diligently incorporated each of your recommendations into the revised version of our article, ensuring that all aspects have been thoroughly addressed. Moreover, we have taken additional steps to enhance the overall quality of our research, guided by your invaluable insights. We are confident that the revisions made will meet your expectations and further elevate the scholarly contribution of our work. We acknowledge the invaluable role of your reviews in guiding our revisions and refining the manuscript to meet the highest standards of academic excellence. Your feedback has been integral to our improvement process, and we sincerely thank you for your commitment to advancing scholarly discourse. We eagerly await the outcome of your assessment and remain hopeful for a positive outcome. Once again, thank you for your dedication and invaluable contribution to our article. The changes made in the article are marked as “red”.

Regards,

Aman Ullah

[email protected]

Response to reviewers’ comments

Comment 1: Line 356: 31 or 32?

Response: Respected reviewer, thank you very much for your kind suggestions. We have addressed the discrepancy you pointed out. Upon review, we found that thirty-one (31) questionnaires were not considered due to incomplete data. Update is detailed in line 364 in manuscript

Comment 2: Line 362 and in other parts of the paper: instead of using “industry”, it is better using “firm”.

Response: Thank you for your valuable feedback. We have made the necessary corrections based on your suggestions. While we appreciate the suggestion to use 'firm' instead of 'industry' in certain parts of the paper, it's essential to maintain clarity and accuracy in our terminology. As our research specifically focuses on firm performance within the fast fashion manufacturing industry, we primarily used the term 'firm' when discussing aspects related to individual companies and their performance. However, we preferred to use 'industry' when referring to the fast fashion manufacturing sector as a whole or when discussing broader industry-level trends, previous studies and characteristics. Furthermore, we are open to suggestions.

Comment 3: Line 608-609: the sentence is not clear?

Response: Thank you for your feedback. We have revised the sentence to enhance clarity. The modified sentence is as follows: "Our findings revealed that GSCM practices initially showed a negative effect on firm performance in the direct relationship, however, when GSCM practices were examined in the mediation analysis between IoT and firm performance, they turned out to be positive." We believe this revision provides a clearer explanation of our research findings. Updates are detailed between lines 627-630 in manuscript

Author Response File: Author Response.pdf

Round 2

Reviewer 1 Report

Comments and Suggestions for Authors

Thank you for accepting all my suggestions, the paper is improved in all its parts, it can proceed to publication.

Reviewer 2 Report

Comments and Suggestions for Authors

Dear editor, 

The authors have addressed my all concerns. 

Thanks. 

 

Comments on the Quality of English Language

Dear editor, 

The authors have addressed my all concerns. 

Thanks. 

 

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