INTERORGANIZATIONAL COOPERATION: THE ROLE OF INFORMATION TECHNOLOGY AN EMPERECAL COMPARISON OF US AND JAPANESE SUPPLIER RELATIONS

This paper investigates the comparative role of several factors, including information technology (IT), predicting the level of cooperation between two independent organizations. Drawing upon multiple theoretical perspectives, we develop five hypotheses about the impact on interorganizational cooperation of three sets of factors: (1) the characteristics of the environment withm which the relationship operates, (2) the characteristics of the relationship itself, and (3) the characteristics of how IT is used within the relationship. Each of these conceptual constructs is operationalized and measured within the specific context of buyer-supplier relationships in the automobile industry. The hypotheses are tested across two national settings (the US and Japan) using multiple regression analyzes conducted on a data set of 447 distinct relationships. The results indicate that the use of IT and the characteristics of the environment do not play the same role in explaining interorganizational cooperation in the two country settings, while in both countries the characteristics of the relationship significantly contribute to change in 112

How managers can build trust in strategic alliances: a meta-analysis on the central trust-building mechanisms

Trust is an important driver of superior alliance performance. Alliance managers are influential in this regard because trust requires active involvement, commitment and the dedicated support of the key actors involved in the strategic alliance. Despite the importance of trust for explaining alliance performance, little effort has been made to systematically investigate the mechanisms that managers can use to purposefully create trust in strategic alliances. We use Parkhe’s (1998b) theoretical framework to derive nine hypotheses that distinguish between process-based, characteristic-based and institutional-based trust-building mechanisms. Our meta-analysis of 64 empirical studies shows that trust is strongly related to alliance performance. Process-based mechanisms are more important for building trust than characteristic- and institutional-based mechanisms. The effects of prior ties and asset specificity are not as strong as expected and the impact of safeguards on trust is not well understood. Overall, theoretical trust research has outpaced empirical research by far and promising opportunities for future empirical research exist

Global Sustainability Under Uncertainty: How Do Multinationals Craft Regulatory Policies?

Multinational corporations are increasingly mindful of the significance of sustainability transitions and the need for operations that are energy efficient and environmentally sound. Achieving sustainability under conditions of uncertainty entails the involvement of multiple stakeholders in initiating and carrying outsustainability-focused initiatives. Using longitudinal analysis of Royal Dutch Shell’s sustainability policies, we developed an integrated model to elucidate how uncertainty influences sustainability policies in the specific context of multinational corporations (hereinafter – MNCs). We identified three phases in theevolution of Shell’s sustainability innovation: a self-reflective phase (2000–2003) characterized by intense pressure from climate advocacy groups, an investment phase (2004–2006) for which the MNC attempted to rise to the waste disposal and pollution challenge through renewable sources of energy, and a reorganization phase (2007–2010) to streamline operations. We also uncovered themes that influence how regulatory policies are crafted: responding positively to the “community’s voice”, risk spreading through joint ventures, revenue transparency for government accountability and reporting innovation that confronts hard truths. The practical implications are outlined

Trust Between International Joint Venture Partners: Effects of Home Countries

Trust is an important factor in interorganizational relations. Interorganizational trust in cross-border relationships is likely to be influenced by the home countries of both partners. Using data on 165 international joint ventures (IJVs), we show that the perceived trustworthiness of an IJV partner is influenced by the general propensity to trust in the trustor's home country. Moreover, the trustworthiness perceived by a focal parent firm is also affected by the home country of the other IJV partner. This second effect is mitigated by experience between the partners