Transition of buyer-supplier relationships in Japan

Abstract

Purpose – The paper aims to describe the changes in buyer-supplier relationships among Japanese companies at the early 2000s, focusing on two critical features; long-term relationships and information sharing. In particular, the paper investigates the relationship between benefits from information-sharing activities within buyer-supplier relationships and the stability of these relationships. Design/methodology/approach – The paper develops a questionnaire based on prior research related to Japanese companies and undertakes a questionnaire survey of 353 Japanese manufacturing companies (which belong to the machinery, electrical/electronics, transportation equipment, and precision industries) in 2002. Findings – Although Japanese companies have been considered to have close relationships with their partners, the paper finds only a small proportion of buyers were willing to share sensitive information with their suppliers and/or expected to continue long-term relationships with them. In addition, an examination of factors relating to buyers' performance shows that receiving benefits from inter-organizational information-sharing activities (attending suppliers' meetings, sending engineers to suppliers, and proposing cost saving ideas) could affect buyers' incentives to sustain long-term relationships with their suppliers. Originality/value – The paper provides empirical evidence of the changing nature of the buyer-supplier relationship in Japanese manufacturing companies. Specifically, the main contribution of this research is to provide empirical evidence indicating that the benefit from buyer-supplier relationships has an effect on the governance structure of these relationships.

Improving organizational learning by sharing information through innovative supply chain in agro-food companies from Bosnia and Herzegovina

“…Companies cooperate with suppliers in research and development, in production, and collect information from suppliers (Kawai, et al, 2013). In cooperation with suppliers, companies innovate products to meet the increasing demands of customers.…”

Collaborative inter‐organisational relationships and management control change

“…Traditionally, management control research has not explored the lateral processing of information, which transcends legal organisational boundaries (Hopwood, 1996; Otley, 1994). However, following the widespread increase in inter‐organisational practices, management accounting research in this area has rapidly increased (see, for example, Caglio & Ditillo, 2008, 2012, 2021; Dekker et al, 2013, 2019; Grunwald‐Delitz et al, 2019; Kawai et al, 2013; Minnaar et al, 2017; Rad, 2017; Wang & Dyball, 2019). The stream of inter‐organisational research related to our study is concerned with how management control practices change as relationships span organisational boundaries (see, for example, Anderson et al, 2017; Chua & Mahama, 2007; Cooper & Slagmulder, 2004; Dekker, 2004; Håkansson & Lind, 2004; Mahama, 2006; Mouritsen & Thrane, 2006; Seal et al, 1999; Tomkins, 2001; van der Meer‐Kooistra & Vosselman, 2000; Vosselman & van der Meer‐Kooistra, 2009).…”

“…| 4571 2012, 2021Dekker et al, 2013Dekker et al, , 2019Grunwald-Delitz et al, 2019;Kawai et al, 2013;Minnaar et al, 2017;Rad, 2017;Wang & Dyball, 2019). The stream of inter-organisational research related to our study is concerned with how management control practices change as relationships span organisational boundaries (see, for example, Anderson et al, 2017;Chua & Mahama, 2007;Cooper & Slagmulder, 2004;Dekker, 2004;Håkansson & Lind, 2004;Mahama, 2006;Mouritsen & Thrane, 2006;Seal et al, 1999;Tomkins, 2001;van der Meer-Kooistra & Vosselman, 2000;Vosselman & van der Meer-Kooistra, 2009).…”

“…Trust is also formed as relationships develop (Caglio & Ditillo, 2008;Minnaar et al, 2017;Rad, 2017). An example of this can be seen in inter-organisational buyer-supplier relationships when buyers may choose to bypass market-based controls (Anderson et al, 2017;Dekker et al, 2013Dekker et al, , 2019Kawai et al, 2013;Wang & Dyball, 2019). This occurs when firms become confident in predicting each others' behaviours (Caglio & Ditillo, 2012;Tomkins, 2001).…”

Towards a framework for enhancing procurement and supply chain management practice in the NHS: lessons for managers and clinicians from a synthesis of the theoretical and empirical literature

“…355 l The bulk of the evidence on relationship management tends to focus on buyer-supplier collaboration and to ignore less complex and more arm's length forms of interaction. Researchers have looked extensively at the practices underpinning successful collaboration and have identified information exchange, 365,366,368,[370][371][372] joint decision-making 373,374,376 and joint investment [377][378][379] as critical. Trust is seen as a key mechanism crucial to building and sustaining collaboration.…”