Adoption Barriers to Supply Chain Digitalization: A study on ReadyMade Garment Sector of Bangladesh

Abstract

This study systematically examines the challenges towards the adoption of digitalization in the Ready-made Garment industry of Bangladesh. Though ReadyMade Garment (RMG) has been a major contributor to the economy of Bangladesh and digitalization in this industry was supposed to ensure significant efficiency & effectiveness, the sector is facing numerous challenges such as Servicing errors, Training challenges for the typical employees, Time barrier for global communication, Reluctance to new technology etc. which are threatening for this industry in the long run. The researchers have employed qualitative research methods, utilizing focus group discussions (FGD) with 8 groups consisting of a group of highly experienced supply chain managers & executives across multiple factories who have experienced the supply chain practices transition from tradition to digitalization. Data was analyzed using thematic analysis with the aid of Atlas.ti software. The study explored key themes such as Error, Training barriers, Time constraints etc. Findings from this study have been triangulated with the secondary data from existing literature to validate the insights. The qualitative nature of the study and small sample size limit generalizability. Additionally, the sizes of the firm & the intensity of the adoption of the digitalization require further exploration. Future research could focus on cross-sectional studies and the integration of other macro-environmental factors to address the real challenges of this sector adopting digitalization. The study shares unique findings for the managers and policymakers of RMG industry by identifying significant infrastructural, psychological, and social challenges faced by the users. Support from the govt, Infrastructural investment, Adequate training programs should be taken as initiatives suggested by the experts.