Collaboration and performance improvement through information sharing

Abstract

Purpose Information sharing throughout the supply chain has been reported as main driver in the Supply Chain Collaboration (e.g. Barrat, 2004, Lambert, & Cooper, 2000; Stank, Crum & Arango, 1999). Lack of information sharing is thus one of the main barriers in Supply Chain Collaboration. This study was undertaken to assess if both customers and suppliers perceive lack of information sharing as the most important barrier compared to the reported other barriers. Second part of this study investigated what type of information sharing is most important for both customers and suppliers. Design/Methodology approach Different actors within the Supply Chain provided insights into information sharing in relation to collaboration. A literature survey generated the follwing hypotheses: Hyp 1a: Customers perceive information sharing as the most important driver for collaboration in the Supply Chain. Hyp 1b: Suppliers perceive information sharing as the most important driver for collaboration in the Supply Chain. Hyp 1c: Suppliers and customers do not differ in the perception regarding information sharing as the most important driver for collaboration in the Supply Chain. Hyp 2a: Customers perceive demand information sharing as the most beneficial information for performance improvement in the Supply Chain. Hyp 2b: Suppliers perceive demand information sharing as the most beneficial information for performance improvement in the Supply Chain. Hyp 2c: Suppliers and customers do not differ in the perception regarding demand information sharing as the most beneficial information for performance improvement in the Supply Chain. Findings Both customers and suppliers perceive information sharing as one of the main drivers and thus barriers for collaboration within the Supply Chain. Where the perception for customers on the importance of information sharing is more significant than from the supplier’s perspective. The outcome on which type of information sharing is perceived as most beneficial is not supporting the hypothesis. Customers perceive shipment information as most significant variable in relation to performance improvement in the supply chain. From a suppliers perspective order information is perceived as the most significant variable for performance improvement in the supply chain. Although for both customers and suppliers demand information sharing is not the most significant variable for performance improvement, customers perceive demand information a bit less unimportant than suppliers. Selected research limitations/implications The small sample size of this study within the area of chemicals represents a limitation. Other limitation is that generic performance variables had to be used. Previous researches show that lack of trust and uncertainty play a big role in information sharing. Managerial implications The outcome of this study can be used by Supply Chain Managers to enhance focussed performance improvement in the field of information sharing within the Supply Chain.