Combining the rational and relational perspectives of electronic trading

Abstract

Many organisations make extensive use of electronic linkages to facilitate their trading exchanges with partners such as suppliers, distributors and customers. This research explores how the use of inter-organisational systems (IOS) both affects, and is affected by, the relationships between trading partners. In doing this, it brings together two existing but distinct perspectives and literatures; the rational view informed by IOS research, and the behavioural or relationship perspective embodied in inter-organisational relationships (IOR) literature. The research was undertaken in the European paper industry by means of six dyadic case studies. The dyads studied covered both traditional electronic data interchange systems and newer e-marketplace environments. A framework was derived from existing literature that integrates the two perspectives of interest. The framework was used to analyse the case studies undertaken and enabled the inter-relationship between IOS use and IOR to be explained.

Keywords:

• e-trading
• inter-organisational systems
• inter-organisational relationships

Additional information

Notes on contributors

Eduardo Redondo

About the authors

Eduardo Redondo is Professor at Universidade Lusófona de Humanidades e Tecnologias and a Consultant at GMS Consulting, Portugal. Eduardo's research interests include the influence of electronic business on market structure and on firm's marketing activities. In addition, he performs consulting work for major media and telecommunication groups in Portugal, also engaging in various industrial assignments and in professional training programmes. Eduardo holds a Ph.D. from Cranfield School of Management, U.K. E-mail: [email protected]

Elizabeth Daniel

Elizabeth Daniel is Professor of Information Management and Associate Dean, Research and Enterprise at the Open University Business School (OUBS), U.K. where she researches in the field of information systems in business. Prior to joining OUBS in 2005, Elizabeth worked in the IS Research Centre at Cranfield School of Management. She is the joint author, with John Ward, of the book Benefits Management: Delivering Value from IS & IT Investments. She has published numerous papers in leading academic journals and a number of management reports. Prior to joining academia, she spent over 10 years in industry and continues to advise both private and public sector organisations about IS investments.

John Ward

John Ward is Professor of Strategic Information Systems at Cranfield School of Management, U.K. John's main interests are the strategic uses of IS/IT and the management of IS/IT investments. He has published many papers in leading journals, including California Management Review and MIS Quarterly Executive and is co-author of the books, Strategic Planning for Information Systems and Benefits Management: Realising Value from IS and IT Investments. Prior to joining Cranfield, John worked in industry for 15 years and he now acts as a consultant to a number of major international organisations. E-mail: [email protected]