1. Introduction
Agribusiness plays an indispensable role in the world’s economy and has become the most important source of food supplies [
1]. However, the issue of sustainability has come to the forefront in recent decades. In particular, Vietnam’s traditional agribusiness needs to enhance its competitive advantage and work toward sustainability. The essential factor in enhancing competitive advantage in agribusiness is the professionalization of management in production [
2]. To achieve this purpose and retain competitive advantages, strategic management is considered a potent means to analyze the environment in order to identify and develop specialized strategies [
3,
4]. Al-Hakim and Shahizan [
5] emphasized that knowledge is one of the crucial resources for strategic management by helping administrators understand a firm’s core characteristics and uphold its competitive position. In addition, a firm creates current knowledge and then employs it effectively to create competitive advantages [
6]. However, Del Junco, et al. [
7] found that one of the main difficulties for firms regarding sustainable development is failure in knowledge management (KM) due to poor strategic integration in practice. Hence, as the ability of firms to identify, codify, leverage, and use their knowledge sources as a firm strategy to increase overall performance and competitive advantages, strategic KM (SKM) has become an important determinant to help firms improve their competitive advantages [
8].
Prior studies have examined strategic management or general KM, but there have been few empirical investigations of SKM [
6,
9]. Despite the extensive literature, Venkitachalam and Willmott [
10] argued that a conceptual understanding of the vital role of SKM in firms appears to be lacking, and there is a considerable gap that must be closed in terms of both theory and practice. Conversely, Garavelli, et al. [
11] indicated that SKM is often adopted and implemented, and then proposed a model to assess the firm’s current status and support the identification of suitable actions to better implement its SKM and improve the firm’s practices. Notably, Lwoga, et al. [
12] argued that while SKM is based on procuring, organizing and retaining explicit knowledge, the primary approach for continuation still depends on the transfer of technology, creating an obstacle to academics and practitioners seeking to combine knowledge and information systems. In addition, Tseng, et al. [
13] presented a closed-loop framework to improve a firm’s performance in terms of service supply chain management to achieve greater sustainability. Green practices require the application of the closed-loop framework, particularly for supply chain networks. Li et al. [
14] noted the barriers and strategies in ecological industrial parks utilizing closed-loop supply chain networks (known as a circular system). These industrial practices require strong performance in the use of SKM, as prior studies imply that closed-loop sustainable supply chain management (SSCM) needs to utilize SKM in order to improve performance.
However, to address SKM in closed-loop supply chain management (which is called circular), the assessment attributes need to be collected into a framework. Such attributes are always described in terms of qualitative information. Fuzzy set theory can be used to translate qualitative information to a quantifiable scale. Nevertheless, many analytical methods have been utilized to evaluate the attributes of SKM and develop SKM assessments. López-Nicolás and Meroño-Cerdán [
6] provided a conceptual model and structured questionnaire and conducted confirmatory factor analysis. This study applies the advantages of fuzzy numbers to describe the values of attributes under circumstances in which information is vague, imprecise, or uncertain, and it is very difficult to precisely meet the attributes proposed by López-Nicolás and Meroño-Cerdán using real numbers and values [
15]. In particular, the fuzzy Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) weights each attribute, normalizes the scores for each criterion, and measures the geometric distance between each solution and its ideal solution. There are even a few studies that have involved using interrelationship weight to justify the final importance, and the performance weights due to attributes are similar to those of interrelationships [
14]. Thus, this study fills gaps from previous studies while maintaining the advantages of reducing decision-making weakness and increasing the accuracy of the results.
Hence, this study applies this hybrid method to determine the important attributes under linguistic preferences. This study contributes to the literature by distinguishing the critical SKM attributes under linguistic preferences and emphasizes the attributes that must be enhanced in the agribusiness industry. The following questions are raised:
The agribusiness industry in Vietnam has exhibited challenging characteristics that are highly volatile in terms of both production and market conditions, especially waste. In addition, SKM has been relatively underexplored in agribusiness, in which SKM has only been examined from perspectives such as innovation, supply chains or risk management [
1,
16]. Fabbe-Costes et al. [
17] emphasized that firms must work together in closed-loop SSCM, which has also been noted not only from a social perspective but also from environmental and economic perspectives (circular system). The present study consists of five parts. The next section provides a review and discussion of the related literature on KM and SKM. Then, the paper describes the industry background and the proposed methods. The fourth section presents the industry background and analytical results. After the results are discussed, theoretical and managerial implications are described. Concluding remarks and suggestions for potential future studies are included in the final section.
3. Methods
Fuzzy TOPSIS was proposed by Hwang and Yoon [
49] and is the best-known technique for solving decision-making problems. This approach is based on the notion that the optimal path should be the shortest distance to the ideal positive solution (the solution that minimizes cost norms and maximizes welfare criteria), while the path with the greatest distance is the least optimal solution.
Fuzzy sets can be used to formally define the fuzzy intersection, union and fuzzy subset. Based on these concepts, fuzzy theory was subsequently developed [
14,
15]. Fuzzy set theory is the only means to quantify fuzzy sets and enable a precise mathematical method for analyzing and processing uncertainties or linguistic preferences. The triangular fuzzy number (TFN) was employed to fuzzify the meaning of expert cognition value.
represents the lower limit of the original cognition value,
is the median of the original cognition value, and
is the upper limit of the original cognition value. Linguistic scales that depict the various levels of importance and performance are presented. The TFNs are as indicated [
15].
Proposed Analytical Procedures for Fuzzy TOPSIS
Create an evaluation matrix consisting of alternatives and criteria, with the intersection of each alternative and criterion given as ; we therefore have a matrix .
Based on the evaluation matrix, develop an assessment questionnaire. Once the responses are returned, the responses are transformed into fuzzy numbers in the following sub-steps. If the k experts in the decision group need to consider the fuzzy weight of the ith criterion, the jth criterion appreciated by the kth evaluators is affected. This study also uses expert weights as parameters for each respondent. The equations are set forth below.
Calculate left (L) and right (R) normalized values:
Compute total normalized crisp value:
Aggregation of crisp values.
The aggregate value of the subjective judgments from the composite opinions of
k evaluators:
Calculate the weighted normalized decision matrix
where
, such that
, and
is the original weight given to the indicator
.
represents the interrelationships among the attributes.
Determine the worst alternative
and the best alternative
:
where
is associated with the benefit criteria, and
is associated with the cost criteria.
Calculate the separation measure between the target alternative and the best alternative:
and the distance between the target alternative and the worst alternative:
Calculate the similarity to the worst condition:
if and only if the alternative solution has the best condition, and
if and only if the alternative solution has the worst condition.
Rank the alternatives according to .
5. Implications
This section presents the theoretical and managerial contributions.
5.1. Theoretical Implications
The results confirmed that top management support (AS1) is the decisive attribute of SKM. Top management support comprises knowledge sharing and systematic knowledge in order to use knowledge effectively to develop an approach. Knowledge must be formatted in such a manner that allows it to circulate and be exchanged, and archiving documentation at the completion of a project is the primary method of knowledge retention and transfer. Top management support is the basis for facilitating communication among supply chain partners, and value creation is a vital element for skill development. Moreover, top management support is important for creating and maintaining positive knowledge in a firm. Thus, enhancing top management support is viewed as an important means of improving SSCM.
The growing importance of knowledge has encouraged managers to pay greater attention to firms’ SKM. SKM is always linked with firm activities, such as improved quality of products/services, employee training, or the efficient use of resources.
Prior studies have reported significant relationships between firm performance and SKM. However, these studies have not provided clarity regarding the real impact of SKM on firm performance [
6]. Firms tend to support competence building through learning and interacting, thus enhancing the ability to pursue product or service innovations. Knowledge is both a crucial input and a crucial output of innovation processes [
51]. Positive firm performance requires considerable effort directed toward training, improving the quality of products/services and encouraging innovative employees. Thus, firms can attain new skills, techniques, and information from outside firms. In addition, knowledge improves a firm’s performance and competitiveness and ensures the synchronous development of certain aspects of the firm, such as enhancing the value of its products and services and contributing to the development of employees’ abilities.
The KM process cycle (AS2) systematically shows how information is transformed into knowledge via creation and application processes [
44]. Through this process, knowledge embodied in human networks, knowledge creation, and storage applications enable effective problem solving, decision-making and innovation. The gathering of knowledge builds on the process of finding and synthesizing external knowledge for operations related to the firm’s context to upgrade the knowledge level of the firm [
52]. Knowledge accumulated through databases and firm learning has become a basis for the core competence of today’s firms. Moreover, the KM process cycle generates quality and useful information to benefit a range of firm activities. Hence, the KM process cycle has become one of the key means by which SKM helps firms survive and succeed in a highly competitive environment.
In conclusion, this study contributes to the field of KM by exploring important attributes of SKM and providing deeper insights for SKM research. This study provides evidence suggesting that top management support, firm performance and KM process cycles are the most important attributes of SKM. Therefore, greater effort should be directed toward fostering these three attributes to achieve efficient SKM. In addition, the combination of data, information technology and the innovative capacity of people contributes to innovation, improved performance and competitiveness.
5.2. Managerial Implications
This study aims to address the lack of evidence about SKM in closed-loop SSCM. This study also provides suggestions for firms to improve SKM performance and consequently firm performance. Few studies have identified the SKM attributes and the impact of the key attributes in the agribusiness industry. The results of this study indicate that the five most important SKM-related criteria are systematic knowledge (C1), advanced knowledge acquisition (C2), archived knowledge from projects and meetings (C3), firm learning and growth (C16), and customer satisfaction (C15). These five criteria reinforce the importance of the basic attributes of closed-loop SSCM. Therefore, these top-ranked criteria provide the focal points for practices in operational activities in order to achieve better performance.
Systematic knowledge (C1) is the most important criterion related to improving SKM. Systematic knowledge includes basic knowledge, planning knowledge, and analysis and design knowledge. Systematic knowledge is the result of learning a system through studying it or acquiring experience through the firm’s activities and the relationship between them. This criterion also relates to the interaction between knowledge and systematics to obtain a clear understanding of market trends for long-term development in addition to the exchange of technology to create new products and services that suit the requirements of the market. Thus, agribusiness firms are encouraged to exert effort to create common knowledge, such as through outsourcing, product innovation and collaborative research. Therefore, managers must pay closer attention to systematic knowledge in SKM and competitors in order to achieve closed-loop SSCM. Advanced knowledge acquisition (C2) constitutes a higher level of knowledge system that extends the vision of resources and knowledge to the industry and leads to competitive advantage. Advanced knowledge in specialized areas requires management to determine how to develop questions for study and specific methods for firms. These attributes provide an effective means to transfer new knowledge and technical skills to firms so that they can adapt to market changes and customer needs that benefit the firms in terms of faster production, reduced production and logistics costs, improved efficiency, and maximized return on investment. Firms in this industry are recommended to encourage the creation of common knowledge, such as software, product innovation and collaborative research. Therefore, managers should pay more attention to SKM and their competitors in order to determine how to improve performance via SKM in closed-loop SSCM.
Archived knowledge from projects and meetings (C3) is a method to improve SKM. Firms can document and record the lessons learned from projects as a means to communicate what should or should not be done in the future. This process begins by incorporating the lessons learned at the end of each project into a database. This practice is greatly beneficial for firms: it enables continuous learning and avoids repetitive mistakes. To maintain projects, knowledge can be transferred through lessons learned for future study. Learning from errors is an essential issue in closed-loop SSCM. Firms need to consider placing greater emphasis on archived knowledge for capacity building, especially in efforts to improve SKM. A firm’s learning and growth (C16) can be observed as important parts of building SKM. The two attributes that relate to sustained growth are the functions of size and age: the expected growth rate of a firm decreases with age and depends on its size. The third part relates to the normative nature of the criteria. A reallocation of resources is required in the economy that can lead to improved social welfare versus a decentralized equilibrium. A firm may make decisions that result in low sales or it can exit the market, especially if it is unsure about its true needs, rather than remaining and recording low growth. Hence, effective SKM has benefits for closed-loop SSCM with regard to firm learning and growth.
Customer satisfaction (C15) is a commonly used term in marketing and is a measure of whether the products and services provided by firms meet or exceed customer expectations [
53]. Customer satisfaction is represented by the number of clients or the percentage of the total clients who report to a firm that its products or services exceed a satisfaction goal. Customer satisfaction also provides marketers and firm owners with a metric that they can use to manage and improve closed-loop SSCM. Customer satisfaction is the best indicator of whether customers will make future purchases. Asking customers to rate their satisfaction on a scale is a good method to determine whether they will be repeat customers or even promoters [
54]. This approach can provide a useful instrument for a firm operating under SKM.
These findings confirm that SKM relies on a central role to facilitate the integration of resources directly and to lead an industry in making improvements. Furthermore, the results provide a path to closed-loop SSCM, which can enable these firms to successfully exploit development opportunities through the development of knowledge systems, and in turn, develop new products and services before competitors and thus improve their performance.
6. Conclusions
SKM has received increased attention in recent years; however, the current literature is lacking in terms of guidance with regard to integrating SKM in closed-loop supply chain management, specifically in the area of agribusiness. This study reveals that the decisive attribute for SKM is top management support. Thus, the circular agribusiness industry needs to improve its top management support and take systematic knowledge, advanced knowledge acquisition and archived knowledge from projects and meetings into account. These criteria enable a firm to enhance its competitive advantage and performance. Moreover, this study includes a set of measures and applies fuzzy TOPSIS with interrelationship weights, which is a practical and useful technique for ranking, selecting and comparing a solution through the proposed SKM measures. The proposed aspects and criteria have been ranked by experienced experts. Top management support, KM process cycles, KM performance and firm performance are the four main aspects, and these are quantified using 22 criteria that can be measured in the industry. The results show that systematic knowledge, advanced knowledge acquisition, archived knowledge from projects and meetings, firm learning and growth, and customer satisfaction are the top five criteria that support the set of measures and contribute to the industry’s performance. The findings indicate that top management support, firm performance and the KM process cycle must receive higher priority than other aspects of management decision making. There is a significant gap in terms of operational SKM processes in firms and the degree to which top management creates and maintains positive knowledge about firms’ operations in the agribusiness industry. Firm performance supports competence building through learning and interacting, thus enhancing the ability to pursue product or service innovation. The KM process cycle generates quality and useful information to benefit a range of firm activities.
The results regarding the consequences of the KM process cycle support prior studies by filling in gaps in terms of interrelationships and key successful attributes. The SKM process cycle must be improved and successfully implemented within firm strategies to enhance SKM performance and firm performance in closed-loop SSCM. Systematic knowledge, advanced knowledge acquisition, and archived knowledge from projects and meetings help firms to improve management skills and build the right strategy in the agribusiness industry. Firm learning and growth and customer satisfaction are instruments that can help a closed-loop SSCM operate. Finally, the set of measures for conceptual frameworks and limitations is essential for promoting the use of SKM. First, the set of attributes might not be comprehensive, and future studies should provide a more extensive examination of the SKM context. The sample collection was based only on the agribusiness industry in Vietnam; therefore, the generalizability of the findings is limited. Future studies should focus on multiple countries or industries to broaden the results. Finally, this study uses the fuzzy TOPSIS method; thus, future studies using other methods could have different results. In addition, the small sample size is another limitation of this study, as assessments must be made twice, and there are many items on the questionnaire. This might reduce the consistency of the study. Thus, decreasing the number of items on the questionnaire is one the major barriers that needs to be overcome in future studies. In addition, future research could also redesign the assessment procedure to make only one assessment to enhance the consistency. Although it has the above limitations, this paper still offers a precise guideline for the circular agribusiness industry to take SKM into account.