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Interfirm It Capability Profiles And Communications For Cocreating Relational Value: Evidence From The Logistics Industry, Arun Rai, Paul Pavlou, Ghiyoung Im, Steve Du Mar 2009

Interfirm It Capability Profiles And Communications For Cocreating Relational Value: Evidence From The Logistics Industry, Arun Rai, Paul Pavlou, Ghiyoung Im, Steve Du

Computer Information Systems Faculty Publications

This study seeks to identify the means by which information technology helps cocreate relational value in the context of interfirm relationships in the logistics industry—a large and information-intensive industry. We identify a set of IT functionalities—single-location shipping, multilocation shipping, supply chain visibility, and financial settlement—that can be used to manage the flows of physical goods, information, and finances across locations in interfirm logistics processes. Progressively more advanced sets of IT functionalities, when implemented and used in the interfirm relationship to execute logistics processes, are proposed to form four distinct IT capability profiles of increased sophistication. Interfirm IT capability profiles of …


Interfirm Strategic Information Flows In Logistics Supply Chain Relationships, Richard Klein, Arun Rai Jan 2009

Interfirm Strategic Information Flows In Logistics Supply Chain Relationships, Richard Klein, Arun Rai

Computer Information Systems Faculty Publications

This paper focuses on strategic information flows between buyers and suppliers within logistics supply chain relationships and on subsequent relationship-specific performance outcomes. Our analysis of dyadic data collected from 91 buyer–supplier logistics relationships finds that buyer and supplier strategic information flows positively impact the relationship-specific performance of both sharing and receiving parties. Specifically, each party gains financially from improved management of assets, reduced costs of operations, and enhanced productivity. Moreover, each benefits operationally from improved planning, control, and flexibility of resources. Buyer dependence on the supplier increases buyer strategic information flows to the supplier. Additionally, buyer IT customization and both …