CONFIDENTIAL SAMPLE
Literature Review Chapter
FOR REFERENCE PURPOSES ONLY
NOT TO BE COPIED
1
Chapter 2: Literature Review
2.1 Introduction
This chapter focuses on the opinion, viewpoint, and theoretical perspectives on the impacts of
sustainability on the supply chains of organisations specifically Nigerian Breweries Plc. The
literature review is very important in research works because it shows the researcher what has
already been done in their preferred research area (Brocke et al., 2009). Paré et al (2015) stressed
that an extensive and thoroughly done literature review can be a vital source to show researchers
state of the art of their research topic guiding their decision-making processes and research
practices. Under the conceptual review, the researcher would review the literature on
Sustainability, Supply Chain Management. Under the theoretical review section, theories that
align with the study would be reviewed notably the Triple Bottom Line Theory and the
Institutional Theory. Under the empirical review section of the dissertation, empirical studies
will be reviewed on the impact of sustainability on the supply chain of Nigerian Breweries Plc,
the extent to which Nigerian Breweries Plc incorporate sustainability in its organisational culture
and the challenges faced by Nigerian Breweries Plc in terms of following sustainability
protocols/ practices.
2.2 The Nigerian Brewery Industry
The brewing industry in Nigeria contributes significantly to the nation's economy and is very
important to the beverage industry (Ugboya and Odiamenhi, 2019). It is made up of several
breweries that create and provide alcoholic and non-alcoholic beverages to customers throughout
2
Nigeria (Obi, 2022). Obi (2022) further affirmed that these breweries are in charge of producing
well-known libations including beer, malt drinks, soft drinks, and other pleasant beverages. They
provide a broad selection of brands to pick from and cater to the varied interests and preferences
of their customers. There are several significant competitors in the market, and there is fierce
competition for market share. These include Nigerian Brewery Plc, Guinness Nigeria Plc,
Carlsberg AS, International Breweries Plc, and Desnoes & Geddes Limited, among others
(Global Data, 2023). These brewers use cutting-edge manufacturing methods and quality
assurance procedures to guarantee that their drinks satisfy the highest requirements for flavour
and safety.
In Nigeria, the beer market is primarily controlled by two major companies. One of them is
Nigerian Brewery Plc, which is owned by Heineken. They have the largest market share,
accounting for about two-thirds of the beer market. The other significant player is Guinness
Nigeria, which is owned by Diageo (Adekoya, 2016; African Yield, 2023). They hold
approximately 25% of the market share. When it comes to production capacity, Guinness Nigeria
has a capacity of 7.7 million hectoliters (Mhl), while Nigerian Brewery has a capacity of 13.7
Mhl (Adekoya, 2016; African Yield, 2023). Together; they contribute to about 33% of the total
beer production capacity in Nigeria. Both companies have a long-standing presence in Nigeria.
Guinness established its first brewery outside of the UK and Ireland in Lagos back in 1962
(Adekoya, 2016; African Yield, 2023). On the other hand, the Nigerian Brewery has a rich
history and created its first locally brewed beer, Star, in 1949 (Adekoya, 2016; African Yield,
2023).
2.3 Conceptual Review
2.3.1 Concept of Sustainability
3
Sustainability has been popularly referred to as the livewire of an organisation as it begins with
its employees, suppliers and stakeholders (Iheanachor, 2020). Sustainability as defined by the
United Nations (1987) is ensuring the need of the present is met without jeopardizing the
abilities of future generations to meet their needs. Iheanachor (2020) argued that businesses and
organisations are striving to align with global best practices by following the protocols/ needs of
stakeholders and global regulating bodies and transparently reporting their sustainability
activities and state. Most Nigeria businesses are going global with service and manufacturing
sectors taking the lead, embedding sustainability practices is gradually becoming a priority in
policy designers, market regulation, organisational culture and other stakeholders (The World
Bank, 2023).
Sustainable business practices encompass the approaches and methods adopted by businesses to
decrease their impact on the environment, enhance their positive social contributions, and
generate lasting value for all those involved (Shields, 2023). These practices aim to minimize
wastage, preserve resources, and lower emissions, thereby addressing the critical need for
environmental conservation and societal well-being. It is noteworthy that sustainability has often
been classified as an old concept (Engardio, Capell, Carey, & Hall, 2007), although scholars
have explored and unveiled several new areas of sustainability, like corporate sustainability
(Amini and Bienstock, 2014; James et al., 2015), sustainable development (Borland and
Lindgreen, 2013; Malla and Bandh, 2023), sustainability index (Babcicky, 2013; Karodia et al
2013), green cities (Cohen and Robbins, 2011; Tandon, 2019), among others. However, the
sustainability situation of an organisation is often assessed or measured in line with their
conformity with the three pillars of sustainability which are social, environmental and economic
considerations (Correia, 2019).
4
Social sustainability as outlined by the United Nations Sustainable Development Goals is aimed
at ensuring basic needs and rights of the people are met. Specifically, Social Sustainability is
focused on ending poverty and hunger, ensuring good wellbeing and health, access to quality
education, gender equality, economic growth and decent work, reducing inequalities, sustainable
communities, environment and cities, strong institutions, justice and peace (Brightest, 2023).
Most organisations are now striving to tilt their social sustainability practices to these goals
outlined by the United Nations since it covers several areas of the needs of humans. Brightest
(2023) further affirmed that environmental sustainability is aimed at ensuring the well-being of
the environment and it is focused on sanitation and clean water, energy sources that are clean and
affordable, sustainable communities and cities, the safety of life below water, responsible
consumption and production. A notable technique for meeting environmental sustainable
challenges that can work for developing economies like Nigeria include the recycling of waste,
total quality management, bio-treatments, landfill, neutralization, and incineration, among others
(Taiwo, 2009; Benson, 2018; Edet and Maduabuchi, 2019; Ogunmakinde et al 2019). Economic
sustainability involves promoting economic growth, generating employment opportunities,
ensuring fair wages and labour rights, and fostering sustainable and circular economic practices
(Brightest, 2023).
Most nations of the world are experiencing fast urban development, fast technological growth, as
well as massive growth in their economies, these developmental prospects also come with coins
in the form of increased contamination of the environment which are majorly evident in
developing economies (Iheanachor, 2020). A notable example is Nigeria because it accounts for
over 150,000 metric tons of bottle plastic annually with half of this number generated in Lagos
State, Nigeria (Ibukun, 2019). According to Bakare (2022) most industrialized areas in Nigeria
5
still experience poor waste management, ineffective controlled dump sites that are opened and
illegal dumping of refuge along road sides which persist to date endangering the environment
and human health. Scholars have argued that businesses are now adopting a greener culture to
meet the majority of their economics and environmental sustainability obligations (Soderholm,
2020; Shields, 2023). There are several indexes for measuring the sustainability level of an
enterprise. Notable examples are the Human Development Index projected by the United Nations
Development Programme, the ecological footprints networks, pilot environmental performance,
environmental sustainability index, among others (Karodia et al 2013).
To evaluate sustainability, it is crucial to consider the performance of its three main principles
collectively: social, economic, and environmental (TWI, 2023). Achieving a balanced approach
across these principles is vital. TWI (2023) further affirmed that while the Triple Bottom Line
principles themselves don't serve as a measurement system, recent efforts have been made to
develop methods that use these principles as a basis for assessing sustainability. Although there
is no universally accepted measurement for sustainability, many organizations are working on
industry-specific tools and practices to evaluate how well a company incorporates social,
environmental, and economic principles (TWI, 2023).
2.3.2 Concept of Supply Chain Management
A supply chain can be defined as the link that chain separate entities, from the consumers to the
product suppliers, via production and services ensuring that the movement of materials, funds
and information are managed adequately to meet the needs of a business (Viskari and Karri,
2013; Charkha and Jaju, 2014). In yet another definition, Mentzer et al (2001) see a supply chain
as a set of entities classified into three (businesses and individuals) directly engaged in the
movement of products, finances, services, data/ information from one point to another, or from
6
the business location to a end-users. From this definition above, it is obvious that there exist
three levels of complexities involved in supply chains; they are basically “direct supply chains”,
“extended supply chains” and the “ultimate supply chain” (Mentzer et al, 2001). The diagram
below in Figure show and example of a direct supply chain:
Figure 1: Direct Supply Chain by Mentzer et al 2001
It is the glaring that a direct supply chain consists of the flow of products between the supplier,
organisation and the customer.
The diagram below of an extended supply chain reveals otherwise:
Figure 2: Extended Supply Chain by Mentzer et al 2001
An extended supply chain encompasses not only the immediate suppliers and customers but also
the suppliers of those suppliers and the customers of those customers. It involves the
interconnected flow of products, services, finances, and information in both the upstream and
downstream directions
The ultimate supply chain is a broader network as revealed in Figure 3 below:
7
Figure 3: Ultimate Supply Chain by Mentzer et al 2001
An ultimate supply chain encompasses all the organizations engaged in the complete flow of
products, services, finances, and information, spanning from the ultimate supplier to the ultimate
customer (Mentzer et al 2001).
Supply chain management can be defined as the management processes involved in the flow of
goods and services from one point to another (Zhang and Li, 2020). Balaman (2019) emphasizes
the significance of supply chain management, network design, and planning in creating a robust
supply chain that can effectively navigate the complexities and uncertainties of modern business
environments. Supply chain management (SCM) refers to the series of activities undertaken by a
company to oversee the acquisition of raw materials, the production of goods or services, and the
distribution of those goods or services to customers (Perkins et al. 2021). In this 21st century,
supply chain management has now become in vital aspect of businesses and it is key to boosting
an enterprise's success and satisfaction of its customers (Kleab, 2017). In general, supply chain
management (SCM) aims to efficiently coordinate and connect the production, transportation,
and distribution of a product (Fernando, 2022). Through effective SCM, companies can reduce
unnecessary expenses and enhance the speed of product delivery to consumers. This is achieved
by closely monitoring and managing internal inventories, production processes, distribution
channels, sales activities, and the inventories of suppliers working with the company (Fernando,
2022).
2.3.3. The Concept of Sustainable Supply Chain Management
A sustainable supply chain can be defined as one that fully incorporates good ethical practices
that are environmentally and ethically friendly resulting in better competitive advantage,
8
increased productivity and profitability (SAP, 2013). According to Ramos (2022), supply chain
sustainability can also be seen as the process of integrating, social, corporate and environmental
governance protocols in the sourcing of raw materials, manufacturing processes and the
distribution of the finished products to the end users. Ramos (2022) further argued that supply
chain sustainability is very important because it possesses the efficacy to deliver on the triple
bottom line which encompasses profits, people and the planet.
Figure 4: Areas to consider in Assessing Supply Chains Sustainability by Ruhlin, 2015
As regards profitability, aligning businesses to environmental sustainability goals like adopting
sustainable raw materials, packaging strategies, and waste disposal methods, organisations can
record good returns on investment by attracting more customers to patronize their brands
(Ramos, 2022). The people aspect caters for the demand of stakeholders for their preferred
brands to adopt sustainable practices. A lot of investors also check the sustainability profile of
organisations before they decide to invest in them. The planet aspect agitates for a more circular
9
economy that is focused on a reduction in the amount of materials used during production, repair
and refurbish and recycling to reduce the amount of waste generated (Ramos, 2022).
Sustainable supply chain management entails embedding environmental and economic products
and practices into the entire supply chain model from the designing phase of products, materials
selection, packaging and movement of finished goods to the end users (Ferreira et al. 2022).
According to Ruhlin (2022), sustainability of supply chains is now a vital aspect of organisation
sustainability plans. Ascertaining the extent of social, environmental and economic effects and
abilities of customers and vendors is currently gaining traction as virtually all industries are
tilting towards a sustainable future (Ruhlin, 2022). The push by the government can be classified
as the focal driver of the sustainable changes experienced in most organisations. The three key
aspects of sustainable supply chains as outlined by SAP (2013) are green supply chain,
transparent supply chain and circular supply chain.
Figure 5: Three Aspects of Supply Chain Sustainability by SAP, 2013.
Green Supply Chain Management
The increase in global warming and biodiversity changes has brought great concerns in terms of
world sustainability which is currently threatened (Tseng et al. 2019). Most organisations are
10
going green to meet their various sustainability concerns, particularly environmentally inclined
issues (Khan et al. 2018; Tseng et al. 2019; Yadav et al. 2021). The green idea is concerned with
taking actions that mitigate ecological and environmental concerns facing the world (Tseng et al.
2019). Infusing environmental concerns into supply chain management is what is known as
green supply chain management (Sarkis, 2011). The green supply chain concept is implemented
to address environmental degradation and manage pollution of air, water, and waste by
incorporating environmentally friendly practices in business operations (Khan, 2018). While the
primary goal of the green concept is to promote environmental sustainability, companies
embrace this concept as a way to achieve multiple objectives simultaneously.
A green supply chain practice encompasses green sourcing (Handfield, 2002; Eltayeb et al 2011;
Govindan, et al. 2015); green marketing (Polonsky, et al. 1994; Luthra et al 2016); green
management (Pane et al. 2009; Kang, et al 2010; Luthra et al 2014); green warehousing and
distribution (Baines et al 2012; Prajogo, et al 2012; Khan et al 2016); green manufacturing
(Govindan et al 2015); ecological design (Luthra et al 2016); reverse logistics and green
transportation (Khan et al 2018); biofuels and renewable energy (Gold and Seuring, 2011;
Anable et al 2012). Hofer (2022) highlighted some notable examples of sustainability in supply
chains which encompass; reducing food waste using the Internet of Things, using sensors to
ascertain the freshness of food, the deployment of drones for delivery to reduce CO2 emissions,
using green logistics for remote areas, using blockchain for ensuring transparency in supply
chain, deployment of artificial intelligence for the calculation of emissions in supply chain,
using optimized logistics for limiting CO2 emission, among others.
11
Transparent Supply Chain
Supply chain transparency is gaining serious attention due to interest and pressure on
organisations from stakeholders like the government, customers/ consumers, and non-
government agencies for them to publish information on the sustainability level of their supply
chain, and the reputation cost of not meeting these requirements are often on the high side
(Bateman and Bonanni, 2019). Bateman and Bonanni (2019) further stressed that supply chain
transparency necessitates that companies possess awareness of the activities taking place in their
supply chain and effectively share this information within the organization as well as with
external stakeholders. Dobuzinskis (2022) affirmed that the two aspects of a transparent supply
chain are assessing suppliers to ascertain if they conform to sustainability practices and the
second aspect is concerned with making the information public within and outside the
organisation. Most organisations now publish their supply chain sustainability report on their
web pages, printed annual reports, social media accounts and all of which align with the supply
chain transparency concept.
Circular Supply Chain
Without a change in the way products are sourced, produced, delivered, used, reclaimed, and
regenerated, the world is on track to deplete numerous natural resources shortly, given its current
level of consumption (Hazen et al., 2017). An alternative to the linear economic model of take,
make, and dispose of is the increasingly recognized philosophy of the circular economy (CE),
championed by the Ellen MacArthur Foundation (EMF) (2014). Circular Economy is viewed as
an industrial system that prioritizes restoration and regeneration. The integration of Circular
Economy into supply chain management (SCM) offers sustainability benefits (Genovese et al.,
2017; Nasir et al., 2017). Although the term "circular supply chain" has been used in previous
12
studies linking circular economy and Supply Chain Management (Canning, 2006; Du et al.,
2010; Genovese et al., 2017; Nasir et al., 2017; De Angelis et al., 2018; Mishra et al., 2018), a
recent development in the literature is the emergence of a working definition for circular supply
chain management (CSCM). Circular Supply Chain Management is described as the coordinated
integration of forward and reverse supply chains within purposeful business ecosystems to create
value from products/services, by-products, and useful waste flows through extended life cycles,
leading to improved economic, social, and environmental sustainability for organizations (Batista
et al., 2018). Banker (2021) argued that the major idea behind the circular supply chain is to re-
cycle, re-use, re-manufacture and refurbish. The diagram below adequately captures the major
concept of the circular supply chain:
Figure 6: Circular Supply Chain Concept by Banker (2021)
13
2.4 Theoretical Review
The two theories that would be reviewed for this research are the Triple Bottom Line Theory and
the Institutional Theory because they are based on the factors that can affect the supply chain
sustainability of organisations.
2.4.1 Triple Bottom Line Theory
The Triple Bottom Line Theory originated from the John Elkington 1994 article published in the
California Management Review and was further expatiated upon and critically explained in a
1998 book named "Cannibals with Forks: the Triple Bottom Line of 21st Century Business"
(Gnap, 2012; Zak, 2015). Elkington proposed that companies should consider three distinct
bottom lines.
Figure 7: Triple Bottom Line Theory by Arslan and Kisacik, 2017
14
The first one is the conventional measure of corporate profit, which represents the financial
outcome reflected in the profit and loss account (Hindle, 2008; Zak, 2015). The second bottom
line pertains to an organization’s "people account," which assesses the organization's level of
social responsibility across its operations (Hindle, 2008; Zak, 2015). Lastly, the third bottom line
refers to the enterprise's "planet account," which evaluates its environmental responsibility and
sustainability efforts (Hindle, 2008; Zak, 2015). In essence, Elkington emphasized the
importance of considering financial, social, and environmental factors when evaluating a
company's overall performance and impact.
According to Savitz (2006), the concept of the triple bottom line encapsulates the idea of
sustainability by assessing the effects of an organization's actions on the world. It goes beyond
just measuring profitability and shareholder value and also takes into account the organization's
impact on social well-being, human resources, and the environment. In simpler terms, the triple
bottom-line approach recognizes that an organization's success should not be evaluated solely
based on financial gains, but also on its contributions to society and the environment (Zak,
2015). Simon (2023) affirmed that the Triple Bottom Line Theory is very important today
because the United Nations' Sustainability Development Goals are centred on them
(environment, social and economic). The present study will assess if Nigerian Breweries adopt
sustainability practices based on the triple bottom lines.
2.4.2 Institutional Theory
The concept of institutional theory of sustainability looks at how social and organizational
structures influence or obstruct sustainable behaviours (Hoffman and Jennings, 2015).
Institutional theory is closely linked with how organisational culture can help promote
sustainable behaviour in an organisation. Hoffman and Jennings (2015) further assert that the
15
formal rules, laws, conventions, and values, as well as the larger institutional environment in
which they function, have an impact on organizations. Jennings and Zandbergen (1995) postulate
that the institutional theory contends that organizations are additionally motivated by social,
environmental and economic elements. The sustainability practices of organizations are shaped
by institutional forces including laws, regulations, and public expectations. Ebrahimi and Koh
(2021) affirmed that governments, non-governmental groups, business groupings, and consumer
demands are just a few of the areas from which these pressures may originate.
The institutional theory of sustainability highlights that to become legitimate and preserve their
social and organizational legitimacy, organizations work to adhere to institutional norms and
principles (Gauthier, 2013). Organizations that follow sustainability principles are more likely to
be seen as genuine, and they are also in a better position to get resources, draw in stakeholders,
and preserve long-term viability (Gauthier, 2013).
2.5 Empirical Review
The literature review was done in line with the objectives of the research
2.5.1 Impact of Sustainability on Supply Chains
Kawa and Łuczyk (2015) studied corporate social responsibility in the European brewing
sectors. The researcher assessed the field reports of the brewery companies in European to
ascertain the extent to which adopt triple bottom-line sustainability practices. The findings
revealed that adopting sustainability practices like energy efficiency, reducing the emission of
carbon dioxide, consumption of water and sustainable packaging practices has enabled the
brewery business in Europe to protect their reputation/ image, enhance the quality of their end
products, as well as build a healthy relationship between the companies their various
16
stakeholders. Angela (2022) conducted a study that delved into the green business models and
the performance of breweries in the South East region of Nigeria. The findings revealed that
adopting green business models does have a significant relationship with the overall performance
of breweries in South East region of Nigeria. Morris (2020) explored the brewery industry's
water sustainability using a stakeholder approach. The study assessed 10 brewing companies
based in the United Kingdom and five other multinational enterprises. The findings revealed that
engaging in water sustainability practices can result in cost savings, water efficiency, and
production efficiency, as well as boost the overall productivity of the brewery business.
According to Safane (2023) engaging in sustainable practices in the supply chain of brewery
companies has the following impacts; provides cost-saving opportunities, it has a relationship
with better quality of end products, as well as helps strengthen a brand among its stakeholders,
among others. Assefa (2020) conducted a study to evaluate the effects of green supply chain
management models on the productivity of Habesha Breweries, situated in Debre Berhan,
Ethiopia. The study findings indicate that there is a connection between the adoption of green
supply chain management practices (independent variables) and the performance of the
organization (dependent variables). The analysis reveals a strong and positive correlation
between all the green supply chain management practices and organizational performance. In
essence, the study concludes that implementing green supply chain management practices has a
beneficial impact on the productivity of Habesha Breweries.
However, Salah (2015) argued that Green Supply Chain Management (GSCM) can significantly
influence a company's performance. The study highlighted three potential effects on company
performance: environmental performance, financial performance, and operational performance.
In terms of environmental performance, GSCM was found to contribute to reducing air,
17
wastewater, solid waste, and the frequency of environmental accidents. Regarding financial
performance, the adoption of GSCM practices was associated with cost reductions in material
purchasing, energy consumption, and waste treatments. In terms of operational performance,
GSCM was linked to increased on-time delivery of goods, reduced scrap rates, expanded product
lines, decreased inventory levels, improved product quality, and enhanced capacity utilization.
Green et al. (2012) further suggested that organisations should consider implementing
environmentally friendly practices across the supply chain, marketing, packaging, and
distribution can potentially enhance an organization's productivity.
Similarly, Ninlawan and Seksan's (2010) research emphasized the importance for manufacturing
sectors to adopt green supply chain management strategies as a means to improve sustainability
performance. These strategies encompass activities such as green production, distribution, and
logistics. Lacroix and Stamatiou (2007) conducted research that demonstrated how Japanese and
European enterprises that adopted green procurement practices are experiencing noticeable
advantages. They found that strategic sourcing, which involves making environmentally
conscious purchasing decisions, can bring about several positive outcomes. These include
improved cost efficiency, a strengthened image via brand differentiation, increased market share
value, and a reduction in environmental concerns and liabilities.
Furthermore, Lacroix (2008) emphasized the importance of companies reducing waste and
excess materials generated by their suppliers. This reduction not only helps in lowering handling
costs but also mitigates the risks associated with waste disposal. Additionally, as suppliers
become more efficient in their operations, cost savings can be passed on to buyers through
reduced prices. According to Handfield et al. (2005), businesses that use green procurement
techniques usually have positive impacts like increased efficiency by lowering product prices at
18
the point of manufacture, disposing of waste more cheaply, adhering to regulations governing
hazardous chemicals, and creating distinctive goods. From the reviewed literature, there is an
obvious gap in knowledge on the impacts of engaging in sustainable practices on the supply
chain of Nigerian Breweries, as most studies are done in other industries and regions in Europe
and Asia.
2.5.2 The extent to which firms incorporate sustainability practices in their organisational
culture
Studies in the literature have increasingly revealed that developing nations like Nigeria are yet to
fully incorporate sustainability practices in their supply chain since it's not entrenched in their
organisational culture and other implementation challenges they face (Ojo, Mbohwa and
Akinlabi, 2015; Touboulic and Ejodame, 2015 and Shitu and Mohd-Nor, 2017). The situation is
the same in most developing economies, Mukuka's (2022) research has revealed that Zambia's
industrial economy is slow in incorporating green practices into its supply chain management.
Notably, Ageron et al., (2012) argued that Zambian Breweries Plc a major producer of alcohol
and beverages is also not exempted when it comes to poor sustainability practices in its supply
chains due to the cost implications.
Leke and Leke (2019) studied the development of Nigeria as regards environmental
sustainability assessing environmental policies and government roles. The study deployed
secondary sources for analysis; the findings revealed that Nigeria enterprises are not yet fully
complying with environmental sustainability practices as pollution is still on the increase due to
indiscriminate dumping of refuse, poor adoption of green practices and recycling of already used
products, among others. Ikechukwu et al (2019) studied the impacts of eco-efficiency practices
on the profit prospects of Nigerian Breweries Plc. Secondary data were obtained from the
19
annual /sustainability reports of the company from the 2008 to 2017 financial year. The findings
revealed that Nigerian Breweries have to a large extent incorporated sustainable practices in their
operations. Nigerian Breweries Plc, installed economizers in chimney boilers as well as adopted
cutting-edge boilers that are gas-enabled to ensure energy sustainability (Ikechukwu et al, 2019).
To ensure water efficiency and management, Nigerian Breweries Plc implemented water
balancing practices which involve the installation and donation of boreholes to communities
experiencing deficits, storing and management of rain water, establishing water treatment plants,
and green areas to enhance the conservation of water boosting its sustainability (Ikechukwu et al
2019). In a strive to reduce CO 2 emission, Nigerian Breweries Plc have reduced its reliance on
fossil fuels, hence they have adopted the use of solar-powered electricity generation for their
different branches in Nigeria (Ikechukwu et al 2019).
2.5.3 The challenges faced by organisations in terms of following sustainability protocols/
practices in their supply chain
As regards the challenges faced in implementing sustainable practices by organisations, Leke
and Leke (2019) explored the sustainability of the environment and the development of Nigeria.
The literature review was largely used as secondary data for the investigation. According to the
survey, most businesses are not implementing sustainable practices since most government
measures, especially industrial rules, are ineffective and even have the opposite effect of what
they are intended to achieve. Vijayan (2022) posits that supply chain sustainability is faced with
a wide range of challenges which encompasses the cumbersomeness of supply chains, cost
implications of implementing sustainability practices, lack of framework for sustainability
practices, insufficient implementation resources, and insufficient required technologies for the
implementation of sustainability practices.
20
According to Abbasi and Nilsson (2012), the challenges related to Sustainable Supply Chain
Management (SSCM) can be categorized into five main areas. These areas are as follows: cost
escalation, implementing sustainable development in practice, shifting cultural and mindset
perspectives, difficulties in managing uncertainties and tradeoffs, and the complexity of the
problems at hand. From the heavy vehicle business, Pereseina et al (2014) explored the
drawbacks and discrepancies in sustainable supply chain management. The findings revealed that
the organisations in the sector engage in some unsustainable behaviour just to meet the demands
of their customers; hence they burn more CO2 fuels to increase pressure from their clients.
According to Ikechukwu et al. (2019), profit-driven organizations, such as breweries, face
difficulties in implementing eco-efficiency practices. This is primarily due to the lack of accurate
and effective assessment methods for evaluating the environmental impact and value of their
products and systems. This absence of reliable assessment techniques poses a significant
challenge for brewery management. The researchers argue that addressing these challenges
requires a highly skilled and technical workforce, as well as a commitment from the entire
industry. The implementation of eco-efficiency practices requires substantial resources from
companies, even though the financial benefits may not be immediately evident. Instead, the
potential financial rewards of such efforts are expected to materialize in the distant future
(Ikechukwu et al, 2019). Doering (2022) highlighted the lack of incentives to sustain sustainable
practices in the brewery industry supply chain and increasing demands from customers may
propel unsustainable practices by brewery organisations.
From the reviewed literature, it is glaring that no study had been carried out to assess the
sustainability practices implementation challenges of the Nigerian Breweries Plc, this is an
obvious knowledge gap this study intends to fill.
21
2.6 Summary
This chapter was broken down into three broad topics which are conceptual review, theoretical
and empirical review. The conceptual review covers topics related to sustainability, supply chain
management, and sustainable supply chain management. The theoretical review was centred on
the Triple Bottom Line Theory and the Institutional Theory. The empirical review was based on
the core objectives of the study which are the impact of sustainability on the supply chain of
Nigerian Breweries Plc, the extent to which Nigerian Breweries Plc incorporate sustainability
practices in its organisational culture, and the challenges faced by Nigerian Breweries Plc in
terms of following sustainability protocols/ practices in its supply chain.
The literature review has established that there is a gap in knowledge in the area of the impact of
sustainability on the supply chain of Nigerian Breweries Plc and the challenges faced by
Nigerian Breweries Plc in terms of following sustainability protocols/ practices in its supply
chain. This research is intended to fill this gap in knowledge and make a valid contribution to
knowledge.
22
23