Strategic alliances in a manufacturing supply chain

Murali Sambasivan · Ching Nget Yen

69 citations0/0 files storedInternational Journal of Physical Distribution & Logistics Management

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Quality and Supply Management Business Strategy and Innovation Collaboration in agile enterprises

Abstract

Purpose The basic purpose of this paper is to establish and test the relationship between organizational culture and strategic alliances in a manufacturing supply chain that consists of alliance companies (manufacturers) and alliance partners (suppliers and customers). The relationships have been analyzed from the manufacturer's perspective. Design/methodology/approach This paper specifically addresses: the relationship between the culture type of alliance company and the degree of integration (trust, communication, and commitment) between the alliance companies and partners; the relationship between the culture type of alliance company and value creation in the alliance company; and the relationship between the degree of integration and value creation in the alliance company. A questionnaire was constructed and distributed to 109 companies that had some form strategic alliance with their suppliers and/or customers. The data collected were tested using analysis of variance and correlation analysis. Findings The culture type of the alliance company has a significant effect on the degree of integration and value creation. The degree of integration has a significant relationship with value creation. Specifically, the following have been found: ad hocracy culture favors a higher level of communication and commitment with the suppliers; hierarchy culture favors a higher level of commitment with suppliers and helps build a higher level of trust with customers and suppliers; and clan and ad hocracy cultures help in achieving a higher degree of value creation. Originality/value Identifying the link between the culture and strategic alliances in a supply chain can help decision makers choose the right kind of alliance partners and decide appropriate strategies that need to be adopted to form and maintain alliances.

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References

1994The Commitment-Trust Theory of Relationship Marketing 1993Cultures and Organizations: Software of the Mind.1983Culture's Consequences: International Differences in Work-Related Values.1959The Social Psychology of Groups 1998Alliances and networks 1998Does Trust Matter? Exploring the Effects of Interorganizational and Interpersonal Trust on Performance 1983Concepts of Culture and Organizational Analysis 1993Corporate Culture, Customer Orientation, and Innovativeness in Japanese Firms: A Quadrad Analysis

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