Interorganizational dependence, information transparency in interorganizational information systems, and supply chain performance

Figures & data

Figure 1 Research model.

Table 1 Respondent characteristics

Variables	Category	Manufacturer (%)	Supplier (%)
Respondent’s years of work experience	1–4 years	43.2	44.1
	5–8 years	33.3	27.0
	9–12 years	12.6	17.1
	Over 13 years	10.8	11.7
Respondent’s position	Executive level	4.5	8.1
	Director/General Manager	14.4	16.2
	Manager	50.5	44.1
	Sub-Manager	21.6	18.0
	Other position	9.0	13.5
Primary industry	Automotive	34.2	34.2
	Electronics	30.6	30.6
	Shipbuilding	35.1	35.1
Firm’s 2009 annual sales	Less than US $10 million	17.1	17.1
	US $10–50 million	33.3	30.6
	US $51–100 million	29.7	36.9
	Over 100 million	19.8	15.3

Table 2 Procedures for data recoding

Measures	Responses		Calculating	Recoding	Operationalized constructs
	Manufacturer	Supplier
Dependence	DPM	DPS	DPM − DPS	Let keep the original values, when (DPM > DPS); be 0 if otherwise	Manufacturer’s dependence advantage
			DPM − DPB	Let keep the original values, when (DPS > DPM); be 0 if otherwise	Supplier’s dependence advantage
			Mean (DPM, DPS)	–	Joint dependence
Information transparency in IOS	ITM	–	–	–	Information transparency for manufacturer
	–	ITS	–	–	Information transparency for supplier
	ITM	ITS	Sum (ITM, ITS)	–	SC information transparency
Relationship quality	RQM	–	–	–	Manufacturer’s view of relationship quality
	–	RQS	–	–	Supplier’s view of relationship quality
Relationship-specific performance	RPM	–	–	–	Manufacturer’s relationship-specific performance
	–	RPS	–	–	Supplier’s relationship-specific performance
	RPM	RPS	Mean (RPM, RPS)	–	Joint profit performance
Interorganizational trust	TRM	TRS	Mean (TRM, TRS)	–	Interorganizational trust
IOS integration	IIM	IIS	Mean (IIM, IIS)	–	IOS integration
Joint governance structure	JGM	JGS	Mean (JGM, JGS)	–	Joint governance structure

Table 3 Confirmatory factor analysis results for the matched sample

	MDA	SDA	JDE	ITM	ITS	SIT	RQM	RQS	RPM	RPS	JPP	ITR	IOS	JGS
MDA1	0.769	−0.418	0.017	0.297	−0.235	−0.001	−0.175	−0.137	0.176	−0.248	−0.075	−0.188	0.060	0.030
MDA2	0.810	−0.471	−0.207	0.313	−0.289	0.021	−0.021	0.019	0.128	−0.379	−0.215	−0.201	−0.145	−0.074
MDA3	0.847	−0.431	−0.063	0.317	−0.259	0.043	−0.036	−0.100	0.172	−0.289	−0.110	−0.142	−0.181	−0.024
SDA1	−0.441	0.848	−0.061	−0.225	0.369	−0.041	0.160	0.156	0.089	0.362	0.358	0.168	−0.019	0.080
SDA2	−0.480	0.856	0.067	−0.209	0.374	−0.081	0.072	−0.001	0.040	0.309	0.280	0.139	0.131	0.180
SDA3	−0.486	0.881	−0.015	−0.276	0.400	−0.158	−0.058	0.043	−0.045	0.354	0.252	0.139	−0.007	0.166
JDE1	−0.079	−0.016	0.884	−0.424	0.431	0.250	−0.014	0.122	−0.110	0.505	0.331	0.357	0.298	0.270
JDE2	−0.116	0.028	0.906	−0.328	0.409	0.284	−0.045	0.083	0.002	0.449	0.365	0.370	0.315	0.311
JDE3	−0.094	−0.019	0.931	−0.376	0.442	0.348	−0.015	0.156	0.026	0.444	0.381	0.406	0.448	0.263
ITM1	0.352	−0.288	−0.423	0.870	−0.487	−0.037	−0.101	−0.137	0.107	−0.633	−0.436	−0.531	−0.258	−0.120
ITM2	0.377	−0.259	−0.371	0.896	−0.426	0.007	−0.058	−0.106	0.194	−0.654	−0.389	−0.461	−0.136	−0.067
ITM3	0.347	−0.253	−0.324	0.935	−0.496	0.098	−0.088	−0.174	0.282	−0.627	−0.304	−0.358	−0.189	−0.007
ITM4	0.334	−0.274	−0.377	0.914	−0.477	0.065	−0.053	−0.214	0.209	−0.662	−0.384	−0.303	−0.140	−0.080
ITM5	0.284	−0.150	−0.347	0.824	−0.428	0.040	−0.075	−0.227	0.215	−0.466	−0.223	−0.339	−0.186	0.022
ITS1	−0.344	0.453	0.376	−0.472	0.858	0.143	0.101	0.305	−0.150	0.622	0.400	0.305	0.242	0.283
ITS2	−0.262	0.463	0.342	−0.456	0.863	0.015	−0.015	0.184	−0.146	0.584	0.367	0.274	0.240	0.206
ITS3	−0.246	0.295	0.457	−0.478	0.917	0.160	0.063	0.254	−0.142	0.603	0.388	0.349	0.359	0.277
ITS4	−0.308	0.408	0.470	−0.451	0.939	0.120	0.072	0.232	−0.099	0.597	0.413	0.367	0.323	0.335
ITS5	−0.258	0.318	0.458	−0.451	0.860	0.120	0.061	0.210	−0.108	0.507	0.334	0.329	0.310	0.297
SIT1	0.043	−0.141	0.298	0.107	0.075	0.885	0.019	0.188	0.346	0.083	0.317	0.231	0.278	0.453
SIT2	0.060	−0.127	0.271	0.018	0.101	0.859	0.000	0.058	0.287	0.178	0.353	0.213	0.355	0.413
SIT3	0.068	−0.079	0.303	0.041	0.149	0.923	−0.081	0.139	0.253	0.134	0.292	0.222	0.274	0.458
SIT4	0.015	−0.121	0.337	−0.020	0.149	0.931	0.019	0.178	0.233	0.166	0.304	0.324	0.427	0.436
SIT5	−0.062	−0.028	0.271	0.055	0.090	0.903	0.041	0.152	0.346	0.115	0.344	0.319	0.366	0.404
RQM1	−0.121	0.066	−0.011	−0.100	0.098	−0.041	0.904	0.063	−0.169	0.070	−0.066	0.073	−0.014	−0.158
RQM2	−0.039	0.046	−0.038	−0.046	0.010	0.050	0.869	0.069	0.108	−0.032	0.051	0.135	0.097	−0.105
RQS1	−0.094	0.096	0.167	−0.209	0.297	0.164	0.064	0.928	0.053	0.291	0.276	0.165	0.134	0.076
RQS2	−0.055	0.022	0.048	−0.112	0.152	0.105	0.067	0.826	0.122	0.212	0.257	0.112	0.185	0.091
RPM1	0.216	0.042	−0.037	0.198	−0.104	0.283	−0.012	0.0–51	0.924	−0.111	0.578	0.044	0.188	0.301
RPM2	0.167	0.053	0.014	0.172	−0.072	0.329	−0.049	0.111	0.953	−0.110	0.602	0.156	0.249	0.329
RPM3	0.172	−0.005	−0.039	0.272	−0.225	0.298	−0.064	0.089	0.934	−0.196	0.508	0.119	0.189	0.388
RPS1	−0.331	0.378	0.484	−0.676	0.600	0.099	0.069	0.261	−0.183	0.913	0.603	0.450	0.270	0.284
RPS2	−0.373	0.319	0.501	−0.575	0.570	0.187	−0.020	0.282	−0.134	0.916	0.652	0.434	0.257	0.275
RPS3	−0.340	0.392	0.421	−0.634	0.644	0.135	0.020	0.265	−0.101	0.925	0.676	0.370	0.275	0.302
JPP1	−0.121	0.342	0.375	−0.420	0.423	0.283	0.049	0.252	0.504	0.677	0.910	0.404	0.357	0.449
JPP2	−0.169	0.282	0.395	−0.320	0.388	0.376	−0.050	0.295	0.570	0.627	0.927	0.444	0.374	0.444
JPP3	−0.164	0.324	0.324	−0.339	0.380	0.322	−0.028	0.285	0.571	0.636	0.922	0.393	0.363	0.525
ITR1	−0.176	0.099	0.379	−0.513	0.377	0.245	0.066	0.126	0.078	0.461	0.430	0.841	0.183	0.260
ITR2	−0.223	0.212	0.385	−0.419	0.343	0.295	0.103	0.143	0.155	0.444	0.470	0.926	0.229	0.336
ITR3	−0.134	0.118	0.328	−0.354	0.298	0.261	0.092	0.055	0.122	0.318	0.347	0.897	0.152	0.293
ITR4	−0.202	0.145	0.388	−0.341	0.288	0.268	0.090	0.146	0.089	0.370	0.364	0.904	0.185	0.236
ITR5	−0.206	0.164	0.373	−0.375	0.325	0.246	0.136	0.195	0.082	0.409	0.390	0.890	0.277	0.235
IOS1	−0.115	0.068	0.365	−0.218	0.350	0.292	0.114	0.196	0.150	0.296	0.348	0.225	0.921	0.200
IOS2	−0.096	0.078	0.380	−0.203	0.309	0.372	−0.010	0.135	0.208	0.303	0.396	0.272	0.950	0.231
IOS3	−0.107	−0.032	0.369	−0.150	0.267	0.396	0.026	0.161	0.257	0.217	0.361	0.179	0.924	0.237
JGS1	0.080	−0.050	0.180	0.089	0.080	0.444	−0.036	0.133	0.341	0.085	0.312	0.231	0.251	0.774
JGS2	−0.004	0.162	0.299	−0.073	0.299	0.389	−0.223	0.046	0.312	0.259	0.430	0.251	0.128	0.900
JGS3	−0.038	0.175	0.252	−0.069	0.279	0.401	−0.111	0.045	0.322	0.306	0.475	0.205	0.188	0.891
JGS4	−0.079	0.203	0.282	−0.109	0.350	0.367	−0.089	0.110	0.308	0.347	0.503	0.323	0.265	0.814
JGS5	−0.103	0.178	0.309	−0.022	0.345	0.473	−0.035	0.065	0.333	0.302	0.483	0.239	0.284	0.864
JGS6	−0.058	0.093	0.300	−0.070	0.296	0.370	0.099	0.029	0.447	0.177	0.464	0.252	0.288	0.673
JGS7	−0.156	0.195	0.324	−0.172	0.315	0.488	−0.032	−0.001	0.344	0.353	0.533	0.329	0.281	0.734
JGS8	−0.104	0.214	0.263	−0.062	0.269	0.393	0.048	0.063	0.443	0.276	0.541	0.311	0.227	0.671

MDA manufacturer’s dependence advantage, SDA supplier’s dependence advantage, JDE joint dependence, ITM information transparency for manufacturer, ITS information transparency for supplier, SIT SC information transparency, RQM manufacturer’s view of relationship quality, RQS, supplier’s view of relationship quality, RPM manufacturer’s relationship-specific performance, RPS supplier’s relationship-specific performance, JPP joint profit performance, ITR interorganizational trust, IOS IOS integration, JGS joint governance structure.

Table 4 Results of construct measurement and validity assessment

Constructs	Number of items	Mean (SD)	Average variance extracted	Composite reliability
Manufacturer’s dependence advantage	3	0.87 (0.93)	0.65	0.85
Supplier’s dependence advantage	3	0.74 (1.02)	0.74	0.90
Joint dependence	3	4.25 (1.05)	0.82	0.93
Information transparency for manufacturer	5	3.61 (1.63)	0.79	0.95
Information transparency for supplier	5	3.70 (1.72)	0.79	0.95
SC information transparency	5	7.31 (2.43)	0.81	0.96
Manufacturer’s view of relationship quality	2	4.36 (0.98)	0.79	0.88
Supplier’s view of relationship quality	2	4.63 (1.08)	0.77	0.87
Manufacturer’s relationship-specific performance	3	4.65 (1.16)	0.88	0.96
Supplier’s relationship-specific performance	3	4.19 (1.31)	0.84	0.94
Joint profit performance	3	4.42 (0.81)	0.85	0.94
Interorganizational trust	5	5.03 (0.82)	0.80	0.95
IOS integration	3	3.49 (1.14)	0.87	0.95
Joint governance structure	8	3.61 (0.78)	0.63	0.93

Table 5 Correlation matrix and average variance extracted

	MDA	SDA	JDE	ITM	ITS	SIT	RQM	RQS	RPM	RPS	JPP	ITR	IOS	JGS
MDA	0.81^a
SDA	−0.54	0.86
JDE	−0.11	0.00	0.91
ITM	0.38	−0.28	−0.41	0.89
ITS	−0.32	0.44	0.47	−0.52	0.89
SIT	0.03	−0.11	0.33	0.04	0.13	0.90
RQM	−0.09	0.06	−0.03	−0.08	0.06	0.00	0.89
RQS	−0.09	0.08	0.13	−0.19	0.27	0.16	0.07	0.88
RPM	0.20	0.03	−0.02	0.23	−0.15	0.32	−0.05	0.09	0.94
RPS	−0.38	0.40	0.51	−0.69	0.66	0.15	0.03	0.29	−0.15	0.92
JPP	−0.17	0.34	0.40	−0.39	0.43	0.36	−0.01	0.30	0.60	0.70	0.92
ITR	−0.22	0.17	0.42	−0.45	0.37	0.29	0.11	0.16	0.12	0.45	0.45	0.89
IOS	−0.11	0.04	0.40	−0.20	0.33	0.38	0.04	0.17	0.22	0.29	0.40	0.24	0.93
JGS	−0.03	0.17	0.31	−0.05	0.31	0.48	−0.15	0.09	0.36	0.31	0.51	0.30	0.24	0.79

MDA manufacturer’s dependence advantage, SDA supplier’s dependence advantage, JDE joint dependence, ITM information transparency for manufacturer, ITS information transparency for supplier, SIT SC information transparency, RQM manufacturer’s view of relationship quality, RQS supplier’s view of relationship quality, RPM manufacturer’s relationship-specific performance, RPS supplier’s relationship-specific performance, JPP joint profit performance, ITR interorganizational trust, IOS IOS integration, JGS joint governance structure.

^aFigures along diagonal in bold are values of the squared root of the AVE.

Table 6 Results of PLS analysis

Hypothesis		Path coefficient	t value	p value	Outcome
Direct effects
H1a	Manufacturer’s dependence advantage → information transparency for manufacturer	0.38	4.47***	0.000	Supported
H1b	Supplier’s dependence advantage → information transparency for supplier	0.44	4.59***	0.000	Supported
H2	Joint dependence → sc information transparency	0.21	2.33*	0.011	Supported
H3a	Information transparency for manufacturer → manufacturer’s view of relationship quality	−0.02	0.19	0.423	Rejected
H3b	Information transparency for supplier → supplier’s view of relationship quality	0.24	2.43**	0.008	Supported
H4a	Information transparency for manufacturer → manufacturer’s relationship-specific performance	0.29	3.34***	0.001	Supported
H4b	Information transparency for supplier → supplier’s relationship-specific performance	0.63	11.35***	0.000	Supported
H5	SC information transparency → joint profit performance	0.24	2.63**	0.005	Supported

Paths		Path coefficient	t value	p value	Outcome
From	To
Control Paths
Interorganizational Trust	Information Transparency for Supplier	0.32	4.34***	0.000	Significant
	Manufacturer’s View of Relationship Quality	0.18	2.00*	0.024	Significant
IOS Integration	SC Information Transparency	0.47	5.69***	0.000	Significant
Joint Governance Structure	Information Transparency for Supplier	0.16	2.05*	0.021	Significant
	Manufacturer’s Relationship-Specific Performance	0.53	6.30***	0.000	Significant
	Joint Profit Performance	0.53	4.98***	0.000	Significant

Note 1: df = 110, * p < 0.05, ** p < 0.01, *** p < 0.001 in one-tailed tests.

Note 2: Only significant control paths are shown.

Table 7 Results of subgroup analysis

		Supplier’s information transparency
		Low (≤3.4)	High (>3.4)
Buyer’s information transparency	High (>4.0)	Cell 2	Cell 1
		23^a	33
	Low (≥4.0)	Cell 4	Cell 3
		28	27

^aNumbers represent the number of pairs in that category.

Table B1 Confirmatory factor analysis results for the manufacturer sample

	DPM	ITM	RQM	RPM	TRM	IIM	JGM
DPM1	0.80	0.06	−0.13	−0.06	0.03	0.05	0.08
DPM2	0.88	0.17	−0.08	0.04	0.04	0.13	0.07
DPM3	0.92	0.19	0.02	0.10	0.16	0.07	0.15
ITM1	0.22	0.91	0.02	0.38	0.12	0.51	0.45
ITM2	0.22	0.89	0.04	0.35	0.05	0.58	0.47
ITM3	0.14	0.93	−0.07	0.36	0.10	0.56	0.40
ITM4	0.18	0.93	−0.01	0.30	0.15	0.58	0.41
ITM5	0.07	0.88	0.01	0.38	0.18	0.58	0.37
RQM1	−0.06	−0.11	0.67	−0.17	0.02	0.03	−0.07
RQM2	−0.04	0.02	0.99	0.11	0.22	0.11	0.15
RPM1	0.05	0.33	0.10	0.93	0.28	0.28	0.47
RPM2	0.07	0.34	0.07	0.95	0.34	0.26	0.53
RPM3	0.05	0.42	0.04	0.93	0.25	0.26	0.61
TRM1	0.14	0.05	0.21	0.28	0.78	0.13	0.15
TRM2	0.06	0.12	0.17	0.30	0.90	0.10	0.25
TRM3	0.04	0.10	0.17	0.22	0.85	0.11	0.16
TRM4	0.11	0.18	0.14	0.28	0.87	0.13	0.19
TRM5	0.07	0.07	0.14	0.15	0.67	0.04	0.08
IIM1	0.08	0.57	0.15	0.24	0.14	0.93	0.24
IIM2	0.08	0.53	0.07	0.26	0.11	0.92	0.28
IIM3	0.12	0.60	0.04	0.28	0.11	0.90	0.27
JGM1	0.16	0.39	0.07	0.39	0.19	0.13	0.81
JGM2	0.16	0.33	−0.11	0.36	0.10	0.14	0.76
JGM3	0.05	0.44	−0.02	0.41	0.05	0.26	0.82
JGM4	0.08	0.30	0.06	0.37	0.02	0.10	0.77
JGM5	0.07	0.46	0.10	0.42	0.12	0.33	0.85
JGM6	0.15	0.35	0.24	0.55	0.24	0.35	0.84
JGM7	0.08	0.41	0.12	0.55	0.24	0.28	0.84
JGM8	0.05	0.35	0.17	0.57	0.32	0.18	0.80

DPM dependence on the supplier, ITM information transparency for the manufacturer, RQM relationship quality, RPM relationship-specific performance, TRM interorganizational trust, IIM IOS integration, JGM joint governance structure.

Table B2 Confirmatory factor analysis results for the supplier sample

	DPS	ITS	RQS	RPS	TRS	IIS	JGS
DPS1	0.88	0.55	0.21	0.64	0.44	0.35	0.47
DPS2	0.90	0.47	0.05	0.56	0.38	0.28	0.48
DPS3	0.91	0.55	0.17	0.58	0.48	0.38	0.48
ITS1	0.52	0.86	0.30	0.51	0.50	0.42	0.52
ITS2	0.50	0.86	0.16	0.61	0.49	0.43	0.55
ITS3	0.53	0.94	0.27	0.59	0.50	0.51	0.57
ITS4	0.57	0.94	0.29	0.60	0.50	0.54	0.60
ITS5	0.54	0.90	0.28	0.47	0.52	0.47	0.52
RQS1	0.20	0.31	0.92	0.29	0.20	0.30	0.14
RQS2	0.07	0.18	0.84	0.21	0.15	0.27	0.09
RPS1	0.62	0.55	0.26	0.92	0.54	0.43	0.54
RPS2	0.63	0.57	0.28	0.92	0.52	0.34	0.52
RPS3	0.58	0.58	0.26	0.92	0.49	0.34	0.52
TRS1	0.43	0.50	0.20	0.55	0.90	0.35	0.43
TRS2	0.46	0.53	0.16	0.52	0.93	0.33	0.46
TRS3	0.42	0.53	0.16	0.50	0.94	0.30	0.46
TRS4	0.49	0.52	0.24	0.53	0.93	0.33	0.45
TRS5	0.45	0.47	0.18	0.50	0.91	0.29	0.40
IIS1	0.34	0.50	0.33	0.38	0.32	0.95	0.30
IIS2	0.40	0.56	0.26	0.43	0.36	0.96	0.41
IIS3	0.33	0.43	0.34	0.34	0.29	0.91	0.32
JGS1	0.22	0.39	0.11	0.26	0.34	0.32	0.65
JGS2	0.44	0.51	0.07	0.48	0.37	0.34	0.85
JGS3	0.51	0.57	0.11	0.54	0.39	0.36	0.88
JGS4	0.50	0.56	0.15	0.49	0.45	0.27	0.86
JGS5	0.49	0.58	0.10	0.52	0.44	0.39	0.91
JGS6	0.48	0.47	0.13	0.47	0.31	0.26	0.85
JGS7	0.48	0.53	0.09	0.56	0.50	0.29	0.88
JGS8	0.44	0.54	0.14	0.51	0.43	0.24	0.87

DPS dependence on the manufacturer, ITS information transparency for the supplier, RQS relationship quality, RPS relationship-specific performance, TRS interorganizational trust, IIS IOS integration, JGS joint governance structure.

Table B3 Construct-level correlation matrix for the manufacturer and supplier samples

					Supplier sample constructs
					1	2	3	4	5	6	7
				C.R.^b	0.92	0.96	0.87	0.94	0.97	0.96	0.95
				AVE	0.80	0.81	0.77	0.84	0.85	0.89	0.72
Manufacturer sample constructs				Mean	4.19	3.70	4.63	4.19	4.94	3.56	4.18
	C.R.^b	AVE	Mean	SD	1.39	1.72	1.08	1.31	1.33	1.71	1.34
1 Dependence	0.90	0.75	4.31	1.31	0.87^a(0.89)	0.59	0.16	0.66	0.49	0.38	0.53
2 Information Transparency in IOS	0.96	0.82	3.91	1.63	0.18	0.91 (0.90)	0.29	0.62	0.56	0.53	0.62
3 Relationship Quality	0.83	0.72	4.36	0.98	−0.05	0.00	0.85 (0.88)	0.29	0.20	0.33	0.13
4 Relationship-Specific Performance	0.96	0.88	4.65	1.16	0.06	0.39	0.07	0.94 (0.92)	0.56	0.41	0.57
5 Interorganizational Trust	0.91	0.67	5.13	0.88	0.10	0.13	0.20	0.31	0.82 (0.92)	0.35	0.48
6 IOS Integration	0.94	0.84	3.41	1.67	0.10	0.62	0.10	0.28	0.13	0.92 (0.94)	0.36
7 Joint Governance Structure	0.94	0.66	4.15	1.20	0.12	0.47	0.12	0.57	0.21	0.29	0.81 (0.85)

^aBold diagonal values are the squared root of the AVE for the manufacturer sample (figures in parenthesis are those for the supplier sample).

^bC.R. means composite reliability and AVE means average variance extracted.

Figure 2 Results of partial least squares.