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Sharing Sensitive Information in Supply Relationships:: The Flaws in One-way Open-book Negotiation and the Need for Transparency

Author

Listed:
  • Lamming, Richard
  • Caldwell, Nigel
  • Phillips, Wendy
  • Harrison, Deborah

Abstract

One of the key issues in managing inter-organisational relationships is the need for exchanging sensitive information and knowledge between customer and supplier. Attempts to conduct this process in practice appear to have taken customer dominance as their basis; the negotiation techniques that have developed as a result appear clumsy and flawed. This paper explores customers' requirement for their suppliers to 'open their books' and reveal sensitive and secret information. The subsequent tactical ploys and responses commonly employed are discussed and a potential solution to the problem is proposed - the concept of jointly managed transparency at the supply interface.

Suggested Citation

  • Lamming, Richard & Caldwell, Nigel & Phillips, Wendy & Harrison, Deborah, 2005. "Sharing Sensitive Information in Supply Relationships:: The Flaws in One-way Open-book Negotiation and the Need for Transparency," European Management Journal, Elsevier, vol. 23(5), pages 554-563, October.
    • Handle: RePEc:eee:eurman:v:23:y:2005:i:5:p:554-563
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    Cited by:

    1. Papathanasiou, Angeliki & Cole, Rosanna & Murray, Philip, 2020. "The (non-)application of blockchain technology in the Greek shipping industry," European Management Journal, Elsevier, vol. 38(6), pages 927-938.
    2. Doug Miller, 2013. "Towards sustainable labour costing in UK fashion retail," Global Development Institute Working Paper Series ctg-2013-14, GDI, The University of Manchester.
    3. Yang, Jie & Yu, Guangsheng & Liu, Mingyu & Xie, Hongming & Liu, Haiwei, 2018. "Disentangling the impact of cost transparency on cooperation efficiency in exchange partnerships," International Journal of Production Economics, Elsevier, vol. 197(C), pages 27-34.
    4. Thomas Johnsen & Mickey Howard & Joe Miemczyk, 2009. "UK defence change and the impact on supply relationships," Post-Print hal-00771092, HAL.
    5. Donna Marshall & Lucy McCarthy & Marius Claudy & Paul McGrath, 2019. "Piggy in the Middle: How Direct Customer Power Affects First-Tier Suppliers’ Adoption of Socially Responsible Procurement Practices and Performance," Journal of Business Ethics, Springer, vol. 154(4), pages 1081-1102, February.
    6. Romano, Pietro & Formentini, Marco, 2012. "Designing and implementing open book accounting in buyer–supplier dyads: A framework for supplier selection and motivation," International Journal of Production Economics, Elsevier, vol. 137(1), pages 68-83.
    7. Zhang, Chun & Henke, John W. & Viswanathan, Sridhar, 2015. "Reciprocity between buyer cost sharing and supplier technology sharing," International Journal of Production Economics, Elsevier, vol. 163(C), pages 61-70.
    8. Wang, Yibo & Liu, Bai & Chan, Hing Kai & Zhang, Tiantian, 2023. "Who pays buyers for not disclosing supplier lists? Unlocking the relationship between supply chain transparency and trade credit," Journal of Business Research, Elsevier, vol. 155(PB).
    9. Formentini, Marco & Romano, Pietro, 2011. "Using value analysis to support knowledge transfer in the multi-project setting," International Journal of Production Economics, Elsevier, vol. 131(2), pages 545-560, June.

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