Navigating the “performing-organizing” paradox: tensions between supply chain transparency, coordination, and scope 3 GHG emissions performance

PurposeDrawing on paradox theory and the category of the “performing-organizing” paradox, the study investigates the tensions firms experience in the context of organizing the processes involved in managing their indirect GHG emissions.Design/methodology/approachThe authors develop hypotheses to explain why the paradox elements of supply chain transparency and supply chain coordination affect firms' ability to reduce their indirect supply chains GHG emissions. Using a two-stage method based on data from Refinitiv and CDP for 2002 to 2021, the authors test this study’s hypotheses through panel regression analyses.FindingsWhile greater transparency experience with scope 3 emissions disclosure, GSCM practices and broader supply chain engagement are all associated with higher levels of scope 3 emissions levels, both long-term transparency experience and GSCM practices are also associated with relative reductions in scope 3 emissions over time.Practical implicationsGiven growing pressures on firms to demonstrate both transparency and legitimacy regarding their scope 3 emissions, firms must understand the characteristics of this paradox as this has implications for how emissions performance is perceived and managed. This study's results suggested that firms need to take both a long-term perspective and effectively communicate the differences involved in reporting their emissions performance to avoid unwarranted criticism.Originality/valueFilling a gap in sustainable OSCM studies by providing large-scale quantitative insights into the relationships between organizing and performing, the authors demonstrate that the processes involved in firms' efforts of measuring and managing their indirect scope 3 emissions are paradoxically affected by whether performance outcomes are specified as annual absolute levels of scope 3 emissions, or relative changes over time.