12.3.2 Cultural Diffusion Towards a Supply Chain Learning

In section A, we pointed out the voluntary and participative nature of SCL and the need for a real effort and an extended use of resources in SCC, but we also noted how trust and the diffusion of a shared culture can sustain learning processes (Figure 12.6).

In the illy case (Figure 12.7), the relationships of quality culture diffusion (even with non-essential suppliers) are fundamental for the coordination of the supply chain and the improvement of product and service quality. The cultural initiatives implemented by the company have a positive effect on quality output along the whole supply chain, from the quality of the raw material to the product quality perceived by the final consumer. Furthermore, the effect of cultural diffusion is to mitigate the illy effort to maintain continuous improvement because it creates emergent behaviour in the different actors that is self-aligned with the illy vision.

During the last 20 years, illy has exposed its entire supply chain to the knowledge, know-how and coffee quality culture developed inside the company in numerous countries (via the cross-fertilisation of knowledge and know-how) to obtain the bestquality coffee possible. If adaptive learning is the doing what we do better, the illy cultural strategy has created real generative learning, defined by Bessant and Buckingham (1993) as the ability to step back and reframe the problem. All of these events have helped to improve and sustain the knowledge diffusion processes performed by illy from a SCL perspective.

2. What are the main cultural diffusion practices implemented by illy?