Inter-organizational Level Research Articles

Trilateral Trust Building

Companies embedded in customer relationship management face the dilemma of balancing relationships at both the interpersonal and inter-organizational levels by satisfying an external end-customer requirement. Previous studies tend to examine one area, either sharing resources in two party cooperation or performing specific activities in gaining competitive advantages to one side, but not to empirically test the complex and simultaneous multiplex links between cooperative antecedents of relation value involving three parties. The findings will assist companies to capture the perceived attractiveness of the buyer as an alliance.

Hydro-Québec and the Crees: the challenges of being accountable to First Nations - case and teaching notes

This case highlights various phases in four decades of relations between Hydro-Quebec, a provincial utility, and the Crees, a First Nation living mainly in northern Quebec, progressing from conflicts and impasse to accountability. It highlights two processes: 1) the stages in the relational process between a company and a community from the perspective of a social license to operate at the interorganisational level; 2) management accounting processes, which translate into corporate commitments and agreements concerning accountability and transparency. The major purpose of this case is to provide material (background) for discussion on how a company can improve its corporate social responsibility by enhancing transparency and accountability towards its stakeholders. This case illustrates how Hydro-Quebec has used accountability mechanisms such as voluntary and mandatory disclosure, environmental impact measurement and assessment, and compensation to engage with the First Nations and to build a long-term reciprocity-based relationship with them.

From Interpersonal Guanxi to Interorganizational Relationship in Chinese Marketing Channels

As relationship marketing becomes more important in a dynamically changing business environment, good interfirm relationship quality is useful to create a stable and committed cooperation and to form competitive advantage. But, studies that only focus on the relationship at the organizational level (macro-level) may be not sufficient, the role of interpersonal relationships formed at the micro-level should be considered in relational exchange. Our research is undertaken to isolate and examine the underling mechanism of relational constructs between the inter-personal level and inter-organizational level within marketing channel of Chinese context. Specially, as a reflect of Chinese culture and guanxi norm, renqing is introduced to facilitate interfirm relationships at both macro- and micro-level. Both renqing and interpersonal guanxi plays a positive role on inter-organizational relationship. In addition, the reciprocity rule and empathy rule of renqing play different moderating role between interpersonal...

Inter-organizational knowledge integration in Collaborative NPD projects: evidence from the aerospace industry

This paper aims to analyse the practice of knowledge integration (KI) in Collaborative New Product Development (Co-NPD) projects involving multiple partners in an aerospace network. On the basis of a pragmatic approach, a multiple-case study is developed focusing on two Italian aerospace companies involved in a research project aimed to define methodologies and technologies for knowledge collaboration in NPD. Data are gathered with a triangulation technique merging official documents and open-ended and closed-ended interviews administered in the companies’ sites and involving managers, engineers and employees. The paper proposes a systematic treatment of the KI practice describing the types of knowledge, strategies, barriers and intellectual property policies for KI at inter-organizational level. The findings provide insights to address NPD models for aerospace networks where the complexity and value of codified knowledge coming from external sources requires adequate treatments and security standards.

Interpersonal attraction in buyer–supplier relationships: A cyclical model rooted in social psychology

The concept of attraction is not reserved for the study of interpersonal relationships between husband and wife, family members, or lifelong friends. On the contrary, it contains much potential as a variable describing interpersonal business exchange relationships. This potential has been noted by well-known industrial marketing scholars in the past, and recent theoretical advances have incorporated attraction to describe buyer–supplier exchange, although primarily at the interorganizational level of analysis. The in-depth understanding of interpersonal attraction between boundary spanners representing buying and supply companies has yet to be developed. By drawing on social psychology and social exchange literature, this paper attempts to fill some of this gap. It contributes by uncovering the elements and process of interpersonal attraction. Furthermore, propositions are formulated to guide future research efforts on interpersonal attraction in the buyer–supplier context. Finally, the managerial value and challenges of applying attraction to buyer–supplier exchange relationships are discussed.

Guest Editorial Special Section on Enterprise Systems

The six papers in this special section are devoted to the topic of enterprise systems (ES) or enterprise information systems (EIS). ES has emerged as a promising tool used for integrating and extending business processes across the boundaries of business functions at both intra and interorganizational levels.

Interorganizational Sustainability Management: An Agency-Institutional Analysis

This study investigates the determinants of interorganizational sustainability management in the dyadic relationships of logistics services from an agency and institutional perspective. Based on four case studies of shipping companies and logistics service providers, we outline that shipping companies do not necessarily confer their sustainability legitimacy needs to their providers. In relation to institutional theory, we identify determinants regarding both firm and environmental characteristics that evoke the non-conferment of intraorganizational sustainability management to the interorganizational level. Based on agency theory, we discover that this non-conferment can be related to measurability difficulties, uncertain added value and goal conflicts regarding the sustainable behavior of firms. Furthermore, we highlight the role of trust within dyadic relationships as an important determinant of interorganizational sustainability management. We connect these determinants in an agency-institutional framework that facilitates the explanation of sustainability management and its trade-offs in interorganizational relationships.

Incumbent performance in the face of a radical innovation: Towards a framework for incumbent challenger dynamics

When radical innovations impact an industry, established incumbents are sometimes displaced by new challengers, yet at other times, survive and prosper. What are the factors that influence these possible outcomes? Extensive as the studies are in providing insights into incumbent-challenger dynamics (ICD), the fragmented nature of the literature and the isolated treatment of various constructs at a particular level of analysis, merit a review and analysis. We (1) identify, collate and analyse several constructs from three categories; the industry, the firm and the challenge, (2) discuss the interactions among these constructs and (3) show that incumbent failure or success can be better understood when these constructs are concurrently analysed. We derive several propositions for stimulating research and develop a holistic multi-level framework for understanding incumbent-challenger dynamics. We pull together strategic management theories at the industry level with those at the organizational and inter-organizational levels in the context of disruptive innovations. We contribute by bringing in the challenge dimension across these levels to inform whether an innovation is disruptive in its effects, not just ex post but also ex ante. For illustrative purposes and to concretize our arguments, we draw on both primary data from the Dutch television industry and archival data from four episodes of disruptive innovations.

Theorizing Firm Adoption of Sustaincentrism

In the midst of a fundamental gap between theoretical assertions of a sustaincentric business paradigm and any rigorous empirical examination of its adoption at the firm level, I set out to answer the following two interrelated research questions: (1) How can we identify firms that adopt a sustaincentric paradigm and (2) What explains firm adoption of this paradigm? Based on cross-case comparisons of 12 African firms adopting a reactive, proactive, or sustaincentric orientation to sustainability, I develop a conceptual framework comprised of three interrelated constructs informed by descriptive observations across individual, organizational and interorganizational levels of analysis. Unlike their reactive and proactive counterparts, sustaincentric firms exhibited critical multilevel characteristics that demonstrated capacity for cognitive complexity and linked them closely to a highly interconnected network of external actors, the combination of which enabled the achievement of competitive advantage based on sustaincentrism.

Perdagangan Elektronik: Suatu Bentuk Pasar Baru yang Menjanjikan?

Electronic Commerce is claimed as a form of new market in electronic era. Although most current use of Electronic Commerce occurs at the inter-corporate and inter-organizational levels, Electronic Commerce services aimed at individual consumers are developing rapidly. The internet is a major catalyst in the diffusion of Electronic commerce into an increasing number of economic spheres, and is rapidly harmonizing the general environment in which electronic transactions of all kinds take place. This form of new market is able to create some incentives both in transaction management and business efficiency area. On the other hand, implementation of Electronic Commerce become an issue discussed extensively from many of point of view including: law, economic and technology.

Inovação em um programa estratégico de desenvolvimento: o Programa Espacial Brasileiro

Este artigo apresenta um caso de desenvolvimento estratégico de tecnologia no Brasil, analisado sob a teoria da inovação aberta. Uma área de alta tecnologia de importância estratégica para o país, o setor aeroespacial, constitui o objeto de análise do presente artigo. Ao abordar esse programa específico como um estudo de caso, foi identificada uma rede com ligações entre instituições públicas e privadas. São discutidos temas específicos, como negócios, financiamento, propriedade intelectual, tendências tecnológicas e coordenação do grupo de instituições em empresas ao nível interorganizacional, e propostas alternativas para essa rede. Os principais resultados indicam que existe uma rede e que a abordagem da inovação aberta pode contribuir para melhorar a conscientização sobre assuntos ligados à propriedade intelectual, revelado pela análise como sendo um gargalo importante, além mitigar problemas relacionados a financiamento e escassez de recursos humanos qualificados para o setor.

Incumbent Performance in the Face of a Radical Innovation: Towards a Framework for Incumbent Challenger Dynamics

When radical innovations impact an industry, established incumbents are sometimes displaced by new challengers, yet at other times, survive and prosper. What are the factors that influence these possible outcomes? Extensive as the studies are in providing insights into incumbent-challenger dynamics (ICD), the fragmented nature of the literature and the isolated treatment of various constructs at a particular level of analysis, merit a review and analysis. We (1) identify, collate and analyze several constructs from three categories; the industry, the firm and the challenge, (2) discuss the interactions among these constructs and (3) show that incumbent failure or success can be better understood when these constructs are concurrently analyzed. We derive several propositions for stimulating research and develop a holistic multi-level framework for understanding incumbent-challenger dynamics. We pull together strategic management theories at the industry level with those at the organizational and inter-organizational levels in the context of disruptive innovations. We contribute by bringing in the challenge dimension across these levels to inform whether an innovation is disruptive in its effects, not just ex post but also ex ante. For illustrative purposes and to concretize our arguments, we draw on both primary data from the Dutch television industry and archival data from four episodes of disruptive innovations.

News from Urals with Love and Payment: The First Look at Non-Transparent Media Practices in the Urals Federal District of Russia

Building on the previous research of media non-transparency in Eastern European countries, this study examined non-transparent media practices that occur at the interpersonal, intra-organizational, or inter-organizational levels in the media of the Urals Federal District of Russia. It appears that although the majority of non-transparent media practices happen at the inter-organizational level, the single most frequent practice was documented at the interpersonal level. This practice included accepting small gifts and benefiting from the provision of such services as transportation, food, or hotel stay that are eagerly offered by the news sources. The results showed that this trend is common in both local Ural media as well as in the Russian national media. The difference of non-transparent media practices that occurred between local and national media was mostly evident at the intra-organizational and inter-organizational levels, indicating that local media are more prone to be non-transparent than the national media. The study offers implications of the findings and recommendations for future research.

IT Offshoring

This article is about the role played by trust in structuring and shaping offshoring projects and how cultural differences interfere in the related inter-firms relationships. This study, conducted with three IT service provider companies established in Tunisia, has provided a dataset that has confirmed the structuring role of trust in terms of transferability effect between the client and the offshoring unit. The findings also indicate that trust is perceived as an influencing factor when it is situated at the inter-organizational level and not at the interpersonal level for all the actors concerned. This finding is independent of the cultural affiliation (individualistic versus collectivist). While cultural differences are not “negotiated” the same way by all of our respondents, trust seems noticeably more difficult to settle between the Tunisian partners than between the Tunisian offshoring unit and its European clients.

Inter-organisational alignment to enhance information technology (IT) driven services innovation in a supply chain: the case of radio frequency identification (RFID)

Firms cannot be competitive if their information systems (ISs) and business strategies are not aligned. The strategic alignment model (SAM) developed by Henderson and Venkatraman (Strategic alignment: leveraging information technology (IT) for transforming organizations. IBM Systems Journal, 38 (2/3), 472–484.) considers strategic alignment as a stand-alone challenge between a company and its IS. This concern of alignment has not been empirically extended to the inter-organisational level. This research raises the question of inter-organisational alignment and follows how companies, embedded in a supply chain (SC), adapt their ISs and organisations while implementing IT-driven innovation. We conducted a case study on a radio frequency identification (RFID) project in a jewellery SC. This SC is made of a middle-sized retailer (MSR), composed of headquarters and 80 stores, and one single supplier, a logistic service provider (LSP). By combining an RFID project framework and the SAM, this study provides some answers to the dynamics of alignment and highlights various sequences according to the different phases of the project. Through a single case study, this article finally proposes to extend the alignment perspectives of the SAM to the inter-organisational level.

The Effect of Trust on International Joint Venture Performance in China

The role of trust in international joint venture (IJV) performance has attracted a great deal of attention and trust has been recognized as a crucial factor in achieving both financial and non-financial success of IJVs. This paper examines the role of trust from two perspectives: the inter-organizational level and the interpersonal level, as well as their combinations in influencing the performance of IJVs. The paper develops a model of trust in IJVs, which is used to analyze the determinant factors of trust and the influence of trust on IJV performance. The results confirm that trust improves the performance of IJVs and outstanding performance also enhances the level of trust within firms. Results also reveal that Chinese employees hold less trust toward their foreign co-workers and great communication skills have positive influence on trust building. Furthermore, young employees are more inclined to trust people from different nationalities compared to the elders. Satisfactory level of compensation is not directly related to trust building. The findings provide important implications for communication and relationship building between foreign investors and local partners. Keywords: trust, effect, performance, IJV, China

Bringing Personalized Ties back in: Their Added Value for Biotech Entrepreneurs and Venture Capitalists Interorganizational Networks

Using a unique data set collected in France among biotech entrepreneurs and their venture capital investors (VCs), we measure the added value of personal relationships at the interorganizational level. Our analyses show that when two entrepreneurs share a personal collaboration tie or a personal friendship tie with a VC investor, the probability of having an advice tie and thus exchange tacit knowledge increases significantly. We confirm the importance of this kind of social embeddedness in the biotech industry where personalized ties—as opposed to institutional and contractual relationships—at the interorganizational level had not yet been examined systematically. Our results suggest that strategies of personalization of exchanges are vital for interorganizational learning. These strategies help entrepreneurs to access resources, participate in knowledge building, and co-orientate activities in this sector.

Triple‐loop learning in a cross‐sector partnership

PurposeThis paper aims to build on notions of a higher level of organizational learning to suggest another dimension: interorganizational learning that emerges in a cross‐sector partnership.Design/methodology/approachA case study was conducted with the DC Central Kitchen (DCCK) partnership with for‐profit and governmental entities. Research methods included interviews with the founder, CEO, and manager responsible for the relationship with partners; direct observation during volunteer work at DCCK; and review of archival data and physical artifacts.FindingsAt the organizational level, DCCK was a learning organization because the principal variables – culture, strategy, shared vision, and knowledge management – were focused on learning. At the interorganizational level, the network was like a constellation of organizations. DCCK had many dyadic relationships with its partners, but the partners were not always interconnected with one another. Triple‐loop learning occurred in DCCK but was not yet developed among partners. DCCK benefited the community both tangibly, as seen in its education projects, and culturally, by giving a more central role to the nonprofit organization in the economic system.Originality/valueThe paper illustrates the value of interorganizational learning across two or more sectors of organizations.

IT Offshoring

This article is about the role played by trust in structuring and shaping offshoring projects and how cultural differences interfere in the related inter-firms relationships. The study, conducted with three IT service provider companies established in Tunisia, has provided a dataset that confirms the structuring role of trust in terms of transferability effect between the client and the offshoring unit. Findings indicate that trust is perceived as an influencing factor when it is situated at the inter-organizational level and not at the interpersonal level for all the actors concerned. This finding is independent of the cultural affiliation (individualistic versus collectivist). While cultural differences are not “negotiated” the same way by all of the respondents, trust seems noticeably more difficult to settle between the Tunisian partners than between the Tunisian offshoring unit and its European clients.

Information-sharing in public organizations: A literature review of interpersonal, intra-organizational and inter-organizational success factors

Abstract Information sharing is considered an important approach to increasing organizational efficiency and performance. With advances in information and communication technology, sharing information across organizations has become more feasible. In the public sector, government agencies are also aware of the importance of information sharing for addressing policy issues such as anti-terrorism and public health. However, information sharing can be a complex task. Identifying factors that influence information sharing is critical. In the literature, research in information sharing focuses on the interpersonal, intra-organizational, and inter-organizational levels. This paper reviews the current information-sharing research, discusses the factors affecting information sharing at the three levels, and provides summative frameworks. These frameworks provide a means to discover future research opportunities, and a systematic way for practitioners to identify key factors involved in successful information sharing.