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Journal Pre-Proofs: Information Processing in Agriculture
Journal Pre-Proofs: Information Processing in Agriculture
Reza Salehi, Mohammad Ali Asaadi, Mahmood Haji Rahimi, Ali Mehrabi
PII: S2214-3173(20)30205-5
DOI: https://doi.org/10.1016/j.inpa.2020.09.005
Reference: INPA 273
Please cite this article as: R. Salehi, M. Ali Asaadi, M. Haji Rahimi, A. Mehrabi, The information technology
barriers in supply chain of Sugarcane in Khuzestan province, Iran: A combined ANP-DEMATEL approach,
Information Processing in Agriculture (2020), doi: https://doi.org/10.1016/j.inpa.2020.09.005
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The information technology barriers in supply chain of Sugarcane
in Khuzestan province, Iran: A combined ANP-DEMATEL
approach
Reza Salehia*, Mohammad Ali Asaadib, Mahmood Haji Rahimic and Ali Mehrabia
*Corresponding author:
Reza Salehi
E-mail address: Rez4salehi@gmail.com
Tel: +98-935-7060547
The information technology barriers in supply chain of Sugarcane
approach
Abstract
The present study aims at identifying and also prioritizing information technology barriers in supply chain
of sugarcane in Khuzestan province. The statistical population of the study consisted of all senior managers
of sugarcane industries in the province. Of four large relevant companies in the field, 34 senior managers
were selected. The required data was collected through two stages hiring questionnaires. In order to evaluate
information technology barriers at the supply chain level, six main dimensions were considered including
technological, supply chain management, strategic, organizational, individual and customer barriers.
DEMATEL technique was also used to identify the relationship between indicators, and the ANP method
was also employed to prioritize the before mentioned barriers. The results of DEMATEL showed that
strategic barrier indicator acts as the most influential, and the supply chain management barrier indicator
as the most impotent one. The results of ANP method showed that of all research indicators, customer
barrier indicator (weight 0.00127) was the most important indicator. Next, organizational and supply chain
management barrier indicators are ranked second and third, respectively. Also, among the 28 research
components (sub-criteria), the "lack of financial support" component with the weight of 0.04821 ranked
first, followed by "poor outsourcing management" and "high investment and installation costs" as second
and third respectively, which also had the most impact on the sugarcane supply chain.
1. Introduction
Nowadays, companies encountered the challenges and pressure of a competitive market, including
globalization, competition and collaboration [1], diversification of customer needs [2], and short product
life cycles [3]; and supply chain has been brought to the spotlight of corporate executives as a key principle.
In other words, in addition to focusing on the activities within the company, senior executives are paying
close attention to appropriate and timely communications and interactions with their suppliers and
customers, and striving to efficiently manage their product supply chain [4], [5]. Supply chain management
involves the management of an interconnected business network that encompasses the products and services
needed for target customers. Therefore, it encompasses all raw material transportation and storage,
inventory during manufacturing and products from production to consumption phases [6]. Supply chain
management is one of the most powerful operating paradigms for improving the competitive advantage of
manufacturing and service organizations [7]. Giving the current trend, nowadays organizations are not
individually important regarding maximizing value added because it occurs throughout the supply chain
and its management process. On the other hand, with increasing globalization and competition at the
international level and the introduction of new technologies such as information technology, many of the
past policies and experiences are no longer of great use. It can be said that, nowadays, organizations are
exposed to some form of information technology developments and the effects of information and
communication technology application in all areas of supply chain - from supplier to production and
customer- are easily visible. Therefore, the application of information technology is of high saliency for
Information and communication technology (ICT) is a key driver of economic growth with respect to the
supply chain business [10], [11]. Such an industry has undoubtedly led to widespread expansion in all social
and economic spheres of humanity, and its impact on human societies is such that the world today is rapidly
becoming an information society [12]. The use of ICT considering business as well as other ICT
applications reduces cost and therefore increases efficiency in the field [13]. Sellers faced lower costs and
greater profits, and consumers experienced more information, better choice, and cheaper shopping [14].
In recent years, agriculture has become increasingly dependent on technology, knowledge and information,
so it requires a great deal of technical and scientific information to make appropriate decisions [15].
Applying information technology to agricultural sectors improves competitiveness across different sectors
of the agricultural supply chain [16], [17]. Lack of access to agricultural supply chain information is one of
the problems farmers faced with in so-called developing countries [18]. To this end, ICT has been used in
most, if not all of these countries to disseminate extension services and improve agricultural practices and
technologies. The importance of this has forced governments to put in place a structure and system for
Sugarcane in Iran is one of the industries that has the most connection with the before and after cycles in
the production chain of the national economy. It contributes to the growth of the national income of the
country. The sugarcane supply chain comprises sugar industry inputs for agriculture (sugar beet raw
materials, sugarcane), industry (capital equipment), oil (energy supply) and transportation and commerce
(shipping services) sectors. The supply chain of the sugarcane industry includes various entities from
suppliers (e.g. beet growers, sugarcane and raw sugar importers), manufacturers (sugar beet factories,
sugarcane and sugar beet refineries), distributors (white sugar importers, sugar packaging industries and
distributing companies) and customers (such as direct and industrial consumers and foreign customers, etc.)
[20]. In order to improve the integration of this chain, employing information technology is of great
significance. In Iran, sugarcane with cultivation area of 110,000 hectares is one of the greatest agricultural-
industrial crops in the country. It is also one of the most important agricultural products that supplies 70%
of the country's sugar [21]. Khuzestan province has long been a favorable area for sugarcane cultivation
due to climatic conditions and historical background. In the past, sugarcane has been widely cultivated in
the region, which has been associated with the success of sugarcane industry’s development. Effective
supply chain management is critical to achieving business objectives within the sugarcane industry in the
province.
Information technology and also barriers to its use have generally been studied in various sectors, however,
particularly the barriers to the sugarcane industry have not been thoroughly studied so far. In a study Kumar
and Kansara [22], information technology barriers in the sugar supply chain in India were considered using
a hierarchical analysis process under fuzzy conditions. The results showed that components were evaluated
on the basis of AHP of each factor so that the barriers to the business environment and the lack of
organization of the active economic sectors in the chain were ranked first and second respectively.
Jimenez-Jimenez et al. [23] have shown that supply chain collaboration posits a positive impact on the
relationship between information technology and technological innovation, so that enhancing collaboration
with external factors strengthens the relationship between information technology and innovation. Bramble
et al. [24] identified barriers to IT adoption in hospitals and provided guidelines for health care managers.
Patil and Kant [25] suggested a framework for assessing communication barriers and knowledge sharing
as well as providing solutions to these barriers by employing the AHP_TOPSIS method. It was a case study
in an industrial city in India. The framework presented acts well for achieving the objectives of industrial
supply chain companies. According to Govindan et al. [26], the barriers to information technology
implementation with supply chain management are divided into project, individual, technological, supply
chain, and strategic barriers. The results showed that inadequate knowledge and lack of necessary education
are the most important sub-indicators of the current study. The body of literature shows that many
companies have faced extensive challenges in successful implementation of information technology in the
supply chain. Lacking clear and accurate market information, unwillingness to change, limited use of
information technology by active factories and institutions, incompatibility between supply chain partners,
low levels of maintenance support, lower perceived benefits, and high cost of capital and installation can
be cited as barriers to information technology in the sugarcane supply chain; which on the whole indicating
that evaluation of these factors is of great importance in the sugarcane industry [26]. However, reviewing
the literature indicates that there is a huge gap in this area and there are still insufficient work to identify
the barriers to information technology in the supply chain of sugarcane industries, that requires the scientific
necessity of carrying out this study. Findings imply that the current study intends to identify and rank
information technology barriers in the supply chain of sugarcane industry in Khuzestan province, Iran. So,
2. Methodology
The statistical population of the study consisted of all senior managers of sugarcane industries in Khuzestan
province (Dobal Khazai Sugar Cultivation Company, Dehkhoda Sugar Cultivation Company, Haft Tapeh
Sugar Cultivation Company and Khuzestan Sugar Company), qualified with respect to experience and
competence in IT. Data collection was performed using questionnaires. The questionnaires were distributed
twice among thirty-four managers participated in the study. The first questionnaire was about the Decision-
Making Trial and Evaluation Laboratory (DEMATEL) method with 5-degree scale from zero (no effect) to
4 (very high effect). The second questionnaire, the Saaty Pairwise Comparison, was used to analyze the
Analytic Network Process (ANP) method. In this study, MS Excel 2016 and Supper Decision 2.6.0-RC1
were also used for data analysis in DEMATEL and for ANP analysis, respectively.
Reviewing prior literature, six important and influential benchmarks were identified regarding the barriers
to information technology in the sugar supply chain. Table 1 illustrates the categories of identified
indicators along with the sources used. According to the opinion of experts, some components have been
The DEMATEL technique was introduced by Battle Memorial Institute between 1972 and 1976. This
method was used to solve complex and intertwined problems [54]. By showing the cause-effect
relationships between the system components and elements via diagrams, it can be easily achievable to
separate the components into two groups of cause and effect. The causal graph was obtained by plotting
even pairs by which the horizontal axis indicates the severity of the impact and the vertical axis represents
the agent’s cause or effect status, such that whether an indicator is placed above the horizontal axis, it
belongs to cause group or falls into the category of effect group if it drops below the horizontal axis [55].
Step 1. Generating the direct-relation matrix, normalizing and attaining the total-relation matrix
In order to form a direct relation matrix for each expert, one must determine the effect of criterion i on
criterion j by considering quantities equivalent to the verbal concepts of the primary matrix in DEMATEL
method. The effect of the criterion i on the criterion j, determined by the expert k is represented as 𝑋𝑘𝑖𝑗 (Eq.
1) [56].
Likewise, X 1.X 2 .X 3. … .X H matrixes will be available for H expert in a way that all elements of the
original diameter of these matrices are of zero value. The arithmetic mean of all matrices of Eq. 1 obtained
from H expert response which is calculated for establishing the direct relation matrix. Matrix 𝐴 = [𝑎𝑖𝑗]𝑛 × 𝑛
represents the mean of H respondent (expert) for each element and demonstrates the extent of the initial
direct impact that a criterion has on itself and the other criteria (Eq. 2) [56].
{∑
0 𝑖=𝑗
𝐻
𝑎𝑖𝑗 = 1 . 𝑖.𝑗 = 1, 2, ….,𝑛
𝑋𝐾
𝑖𝑗 𝑖 ≠ 𝑗 (2)
𝐻
𝑘= 1
By recruiting Eq. 3 and 4, the direct relation matrix A can be transformed into the normal direct relation
matrix X [56].
𝑋=𝑆×𝐴 (3)
𝑆 = 𝑀𝑖𝑛 { 1
𝑛
𝑀𝑎𝑥1 ≤ 𝑖 ≤ 𝑛∑𝑗 = 1𝑎𝑖𝑗 ,
1
𝑛
𝑀𝑎𝑥1 ≤ 𝑗 ≤ 𝑛∑𝑖 = 1𝑎𝑖𝑗 } (4)
In Eq. 4, the sum of the elements of each row i in the matrix A denotes the overall direct effect that factor
𝑛
i has on other elements. 𝑀𝑎𝑥1 ≤ 𝑖 ≤ 𝑛∑𝑗 = 1𝑎𝑖𝑗 illustrates the direct effects of the agent along the great direct
effect on other factors. Also, the sum of the elements of each column j in matrix A represents the direct
𝑛
overall effect that factor j accepts from other factors. 𝑀𝑎𝑥1 ≤ 𝑗 ≤ 𝑛∑𝑖 = 1𝑎𝑖𝑗 signifies the most important
overall direct effect that a particular agent receives from other factors. S represents the maximum value of
the two statements mentioned, and is obtained by multiplying each of the elements of matrix A by the value
of matrix X such that the 𝑥𝑖𝑗 element of the matrix X will take a value between zero and less than one. The
general relations matrix (T) is calculated using Eq. 5 and 6 where the "I" is an Identity matrix [57].
𝑇 = 𝐷(𝐼 ― 𝐷) ―1 (5)
Determining the threshold is one of the measures being taken to reduce the structural relationship between
dimensions and components to keep the complexity of the system at an acceptable level. Elements above
the threshold are assigned the same values, while those less than or equal to the threshold are assigned zero
[55].
In this diagram, which established upon the results of the general relations matrix, R + C shows the
horizontal axis, which conveys the importance of the indicator and is obtained by adding C to R. C is the
sum of the columns of the general relations matrix and indicates how much one indicator is affected by the
other indicators (Eq. 7). R represents the sum of the rows of the matrix of general relations showing how
[∑ ]
𝑛
[∑ ]
𝑛
(8)
𝑅 = [𝑟𝑖𝑗]1 × 𝑛 = 𝑡𝑐𝑖𝑗
𝑗=1
𝑛×1
2.3. Analytic Network Process (ANP)
According to the comprehensive set of criteria specified by the experts, the first step was to identify the
relationship between the criteria, sub-criteria and alternatives that are displayed in a graphical network
structure. The relationship identified at this step can be both between and within clusters [58].
To calculate the aggregation of opinions, the geometric mean of the respondents' opinions was first
calculated by the Eq. 9. l is the number of decision makers, k is the number of decision makers, and i and j
𝑘
∏𝑘 i , j = 1, 2, …, n ﻭi ≠ j , l= 1, 2, …, k
𝑙 = 1 𝑖𝑗𝑙,
𝑥𝑖𝑗 = 𝑥 (9)
According to the network structure formed, pairwise comparison conducted and the local priority value for
each factor was calculated in the network structure and then after, the special vector was calculated (Eq.
10). In order to check the inconsistency rate, λmax was calculated using Eq.10, CI, the consistency indicator
(Eq. 11), RI, the random indicator, and CR, the consistency rate calculated according to (Eq. 12). The
random indicator is extracted from the standard random indicator table. Also, the consistency rate was set
[]
𝑤′1
𝑤′2
.
1
𝑊′=AW= . , and λ max = 𝑛 ( 𝑤′1
𝑤1
𝑤′2
+ 𝑤2 + … + 𝑤𝑛)
𝑤′𝑛
(10)
.
𝑤′𝑛
λmax ― n
𝐶𝐼 = (11)
𝑛―1
CI
𝐶𝑅 = (12)
𝑅𝐼
The unweighted super matrix was constructed by replacing the internal priority vectors (relative weights),
the elements and clusters. Then, there was an obligation to standardize the unweighted super matrix to sum
up each column and construct a weighted super matrix. To calculate the limited super matrix, according to
Eq. 13, the weighted super matrix has to be raised enough to a larger power in order to produce convergence,
that is, all elements of each row are needed to be identical [59].
An overview of the combination of the two approaches DEMATEL and ANP was shown in Fig. 1. As can
be seen, the research flowchart consists of four main steps. In the first step, through reviving the literature
and using Delphi method, indicators and components related to information technology barriers are
identified and extracted in sugarcane supply chain. In the second step, the respondents filled the basic
DEMATEL questionnaires designed on the basis of the research indicators, and the primary matrix of direct
relationships was developed in the DEMATEL method. Then the matrix was normalized, and the general
relations matrix was constructed. In this way, a cause-effect diagram was constructed which was the
network structure of the research in the first step of the ANP method. In the third step, the paired comparison
matrix was computed according to the results of the paired comparison questionnaires and the relative
importance of each factor. In this step, the consistency rate indicator was also controlled, then the structure
of the primary super matrix was constructed and the unweighted matrix, the weighted matrix and the limited
super matrix were calculated later. In the fourth step, according to the calculated limited weight, each of
the sub-indicators of information technology barrier ranked in the supply chain of the sugarcane industry.
Start Delphi Technique
Step 2.3- Obtain inner dependence matrix Step 3.3- Check consistency of matrixes
and observe causal relationship
No
CR ≤ 0.10
Yes
The average effect of indicators on each other as specified by managers is shown in Table 2. The numbers
in this table are the result of the mean of DMs’ opinions, ranging from zero (no effect) to 4 (very high
effect).
Table 2. The initial direct relation matrix for main criteria.
Criteria SB SC TB IB OB CB
SB 0 3.21 2.62 2.75 2.45 3.10
SC 3.15 0 3.10 2.89 3.25 1.67
TB 2.49 2.59 0 2.15 2.89 2.84
IB 1.85 2.19 3.25 0 2.81 2.35
OB 1.26 3.10 2.75 2.89 0 2.30
CB 2.32 2.85 3.25 1.89 2.15 0
3.2. Producing a causal diagram and constructing the inner dependence matrix
In Table 3, obtained from the results of the overall cause-related matrix, R + C shows the horizontal axis,
representing the importance of indicator. The vertical axis (R-C) can split indicators into two cause and
effect groups. Positive value puts the indicator into the cause group and, otherwise, into the effect group.
In Fig. 2, the cause-effect diagram is plotted according to the regular pairs Ri - Cj, Ri + Cj.
8.00
Strategic Barriers
6.00
4.00
Organizatinal Barriers
2.00 Technological Barriers
0.00
0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00 9.00 10.00
-2.00
Individual Barriers
As shown in Fig. 2, strategic, organizational and technological barriers are among the cause indicators and
those of supply chain management, customer and individual barriers, among the effect indicators. The
model in Fig. 2 illustrates the inter-relationship between the indicators, which was marked as the first step
in the ANP method. The weighting and ranking of indicators and components through the network analysis
The first step in the network analysis process is to form the general structure of the primary super-matrix.
Fig. 3 illustrates the structure of the interconnection between the indicators and research components in the
software environment.
Fig. 3. Network structure of evaluation model in Supper Decision.
As shown in Fig. 3, the back arrow in the indicator cluster shows that the horizontal relationship between
the indicators has also been examined according to the results of the DEMATEL model; changed the
structure from a hierarchy to a network. In step 2, the pairwise comparison matrices were formed, and the
relative weight vectors were calculated subsequently. The decision elements in each cluster compared
binarily in terms of their importance in relation to the control indicators. For the purpose of calculating the
cumulative number of opinions, the geometric mean of the opinions of all 34 respondents was calculated
via Eq. 9. For example, 𝑥13 represents 1.66, which was obtained from the geometric mean of the sum of the
𝑥13 = 34
𝑥131 × 𝑥132 × … × 𝑥1334 = 34
1 × 3 × 2 × 1 × … × 1 × 3 = 1.66 (14)
Similarly, for the other entries, the geometric mean of the respondents' opinions was calculated and placed
in the pairwise comparison matrix. For instance, the pairwise comparison matrix of indicators is reported
As the results of Table 4 show, the relative weight of each indicator was calculated according to the strategic
barrier indicator. The consistency rate indicator was calculated 0.05 in the software environment. Given
that the value is less than 0.1, the consistency of pairwise comparisons was well established and is
acceptable. Likewise, the weight of the indicators and components was calculated for the other pairwise
comparison matrices and placed in the basic structure of the unweighted supper matrix. Then, for
calculating the weighted supper matrix, the values of each column were divided by the sum of that column.
In the weighted super matrix structure, the sum of the numbers of each column was equal to one, indicating
the initial super matrix weighting process. In order to calculate the limited supper matrix, the weighted
super matrix should be raised to a larger power to produce convergence (that is, all arrays of each row are
Criteria Limited Weight Sub-Criteria Limited Weight Local Rank Final Rank
SB1 0.03104 3 22
Strategic SB2 0.03676 2 11
0.00061
Barriers (SB) SB3 0.02664 4 25
SB4 0.04198 1 6
SC1 0.04821 1 1
Supply Chain
SC2 0.03454 2 16
Management 0.00086
SC3 0.02927 3 24
Barriers (SC)
SC4 0.02461 4 27
TB1 0.04360 2 5
TB2 0.03286 4 18
Technological
0.00076 TB3 0.02420 5 28
Barriers (TB)
TB4 0.03469 3 15
TB5 0.04517 1 3
IB1 0.03489 2 13
Individual
0.00056 IB2 0.03995 1 8
Barriers (IB)
IB3 0.02983 3 23
OB1 0.03489 3 13
Organizational OB2 0.03210 5 20
0.00096
Barriers (OB) OB3 0.03990 2 9
OB4 0.03266 4 19
OB5 0.03140 6 21
OB6 0.04112 1 7
CB1 0.02593 6 26
CB2 0.04512 2 4
Customer CB3 0.04679 1 2
0.00127
Barriers (CB) CB4 0.03595 4 12
CB5 0.03398 5 17
CB6 0.03692 3 10
As the results of Table 5 show, among all indicators, the "Customer Barrier" (CB) indicator with the weight
of 0.00127 is the most important one. After that, organizational and supply chain management barriers are
ranked second and third, respectively. In Opata et al. [46], concerning agro-based enterprises, it has been
pointed out the importance of barriers related to customers, including the failure of decision support
systems, and their findings are consistent with the results of this study. Also, in da Luz Peralta et al. [60],
the importance of customer value has been pointed out in the field of sustainable agricultural products and
the results are in concert with the findings of the current study. Barbu and Militaru [61] also emphasizes
that manufacturing companies in order to improve the performance of information and communication
technology must maintain relations with customers and address the challenges in this area, which
subsequently, the results are consistent with what being discovered in this study. In the strategic barriers
group, the SB4 component, with a weight of 0.041, ranked first. Also, in the supply chain management,
technological, individual, organizational and consumer group, the components SC1, TB5, IB2, OB6 and
CB3 ranked first respectively. In general, the SC1 with a weight of 0.04821 is considered as the most
important component. Subsequently, the components of CB3, TB5, CB2 and TB1 respectively, were
marked as the most important barriers related to information technology which have been identified at the
The study Ferdiana and Sulistyo [62] highlighted the importance of the financial management dimension
in improving the effectiveness of start-ups. Also, in Patil and Kant [25], authors have studied the
improving the information acquisition process. In Hafner et al. [63], there has also been a strong emphasis
on the financial aspect of improving information technology and the costs associated with the setting up
information and communication systems, which is largely consistent with the results of this study. In Kumar
and Kansara [22], the importance of high cost of investment and installation, lack of adequate education
and knowledge and low labor productivity has also been highlighted in the field of information technology
barriers in the sugarcane industry, which the results are in line with the present study findings on the Iran's
A study by Rahman et al. [64] was aimed at stressing the significance of some IT infrastructure requirements
for farmers, including computers, laptops, printers and webcams. Bilali and Allahyari [65] pointed out the
importance of information and communication technology infrastructure in agriculture and Zhang et al.
[66] pinpointed the importance of financial support for ICT-related projects among farmers, which the
4. Conclusions
The purpose of this study was to identify and rank the barriers to the adoption and application of information
technology in the supply chain of sugarcane industries in Khuzestan province of Iran. In the present work,
the barriers to using information technology were classified and also surveyed in the form of supply chain
management, strategic, organizational, technological, individual and customer barriers. These factors were
also subdivided further to twenty-eight factors. DEMATEL method was used to identify the causal
relationships between indicators. Then, the ANP method was employed to weight and rank the indicators
and sub-indicators of the research. The results showed that among the identified barriers, customer barrier
indicator with the weight of 0.00127 had the most significance and individual barrier with the weight of
0.00056 was of the least impact with regard to supply chain management in this industry. Also, of the
components (28 components), the "lack of financial support" component with the final weight of 0.04821
ranked first. Subsequently, "poor outsourcing management", "high cost of investment and installation",
"lack of customer awareness" and "lack of technical infrastructure on IT" were ranked two to five,
correspondingly. They left the most impact on the sugarcane industry chain in Khuzestan province.
Jimenez-Jimenez et al. [23] highlighted the importance of financial support and Lagzian and Dehghani [67]
pointed out the significance of the poor outsourcing management component, which both were also of great
As the results of the study imply, the following suggestions can be made to improve the value chain of
sugarcane industries in Khuzestan province. Since the sugarcane industry is one of those industries with no
intermediaries of market segments and primary suppliers does seem to be essential for the government.
Thus, there too does seem to be an urgency to solve the potential problems of these manufacturing units,
especially in the field of information technology, in addition to improving supply chain performance on the
employment issue as well as on self-sufficiency regarding sugar production. On the other hand, most of the
technologies needed for sugarcane production in rural areas are of high costs, which in addition to the
participation of most villagers requires government financial support; which in turn necessitates either the
participation of most villagers and the government’s financial support. The adoption of information
technology starting from the farmer level to the product marketing stage is necessary to improve the entire
supply chain using information technology. Therefore, decision makers of sugar cane industries in
Khuzestan province should encourage farmers and producers to follow necessary instructions employing
incentive policies.
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