Risk in collaborative networks: relationships analysis

Abstract

The purpose of this paper is to work towards a comprehensive study of the risk in collaborative network. The environment within which SMEs have to function in the 21st century is one that is increasingly competitive and dynamic and therefore, simply to cope in such a situation, SMEs have to seek methods to employ. Collaboration is necessary in order for enterprises to compete and to operate with speed and flexibility. However, there is some risk due to this relationship. In order that the challenges can be met successfully, it is important that enterprises should be helped to both recognise the risks and then surmount them.

Knowledge Risks in Digital Supply Chains: A Literature Review

“…From an organizational perspective, scholars report about the lack of communication or information asymmetry, e.g. [37], [13], [38], [39]. Information asymmetry because of limited information in single firms leads to barriers of sharing and resistance.…”

“…A non-compliance of these requirements leads to risks, e.g. [13], [37]. Regarding the second, if there is no social relationship between partners, a general lack of communication appears.…”

“…This causes a lack of trust between partners, decreasing the commitment to share sensitive information and increasing the need for complex contracts to protect interests, e.g. [37], [40]. Together with the high fluctuation between partners, the transparency, needed for a solid risk assessment, is limited.…”

“…Extensive sharing of data can result in the loss or theft of intellectual property (IP), e.g. [41], [37]. In this regard, a substantial risk is the intentional or non-intentional leakage of knowledge as well as potential ill-will by insiders and outsiders, e.g.…”

“…Also, businesses should take benefit of advanced IT systems, using the vast quantity of information that is accessible within the SC, in order to make automated decisions, e.g. [53], [47], [37].…”