Abstract
Purpose
The purpose of this research is to shed light on illegal supply chains (ISCs) and the factors (enablers) behind their emergence using data on the grain supply chain in Ukraine.
Design/methodology/approach
A two-step methodology was adopted. First, documentary sources (including press articles, published papers, reports and grey literature) on grain ISCs in Ukraine were analysed using the Fraud Diamond theory with the aim of identifying the main underlying issues. Second, interviews with experts were conducted to elaborate on the propositions regarding ISC design and enablers.
Findings
The findings revealed the existence of two ISCs in Ukraine: the fraudulent grain and looted-grain supply chains (SCs). We propose an integrative ISC framework based on a combination of Fraud Diamond theory components (pressure, opportunity, rationalisation and capability) and SC network design elements (formalisation, centralisation, complexity and density). We suggest that ISCs in conflict regions emerge owing to geopolitical instability and lack of logistics optimisation and provide several propositions for further research.
Research limitations/implications
This research contributes to the literature on ISCs by offering a nuanced understanding of their design and enablers. It underscores the impact of geopolitical disruptions on ISC operations and highlights how factors such as logistical inefficiencies, bottlenecks and infrastructural weaknesses facilitate the activities of these illicit networks. This study provides valuable insights beyond the context of the Russia–Ukraine conflict, offering broader applicability to other scenarios where disruptions – whether geopolitical, economic or environmental – expose SC vulnerabilities.
Practical implications
The results of this study can be informative for government authorities and policymakers in formulating measures aimed at addressing illegality in SCs.
Originality/value
This study is the first to investigate ISCs in conflict areas by analysing the case of the grain SC in Ukraine. This study provides a solid foundation for future research on ISCs with similar characteristics.
The purpose of this research is to shed light on illegal supply chains (ISCs) and the factors (enablers) behind their emergence using data on the grain supply chain in Ukraine.
Design/methodology/approach
A two-step methodology was adopted. First, documentary sources (including press articles, published papers, reports and grey literature) on grain ISCs in Ukraine were analysed using the Fraud Diamond theory with the aim of identifying the main underlying issues. Second, interviews with experts were conducted to elaborate on the propositions regarding ISC design and enablers.
Findings
The findings revealed the existence of two ISCs in Ukraine: the fraudulent grain and looted-grain supply chains (SCs). We propose an integrative ISC framework based on a combination of Fraud Diamond theory components (pressure, opportunity, rationalisation and capability) and SC network design elements (formalisation, centralisation, complexity and density). We suggest that ISCs in conflict regions emerge owing to geopolitical instability and lack of logistics optimisation and provide several propositions for further research.
Research limitations/implications
This research contributes to the literature on ISCs by offering a nuanced understanding of their design and enablers. It underscores the impact of geopolitical disruptions on ISC operations and highlights how factors such as logistical inefficiencies, bottlenecks and infrastructural weaknesses facilitate the activities of these illicit networks. This study provides valuable insights beyond the context of the Russia–Ukraine conflict, offering broader applicability to other scenarios where disruptions – whether geopolitical, economic or environmental – expose SC vulnerabilities.
Practical implications
The results of this study can be informative for government authorities and policymakers in formulating measures aimed at addressing illegality in SCs.
Originality/value
This study is the first to investigate ISCs in conflict areas by analysing the case of the grain SC in Ukraine. This study provides a solid foundation for future research on ISCs with similar characteristics.
| Original language | English |
|---|---|
| Journal | International Journal of Operations and Production Management |
| Early online date | 2 Jan 2025 |
| DOIs | |
| Publication status | E-pub ahead of print - 2 Jan 2025 |
Keywords
- Illegal supply chains
- Supply chain design
- Conflict region
- Fraud diamond theory
- Geopolitical disruptions
- Criminal supply chain practices
ASJC Scopus subject areas
- Business, Management and Accounting(all)
- Social Sciences(all)
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