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Supply chain decision-making supported by an open books policy

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  • Agndal, Henrik
  • Nilsson, Ulf

Abstract

Based on a study of a buyer-seller relationship in the automotive industry, this article identifies 17 different decision-making processes where openly sharing cost data--a so-called open books policy--plays an important supporting role. These processes relate to supplier selection, various activities that occur prior to production, and the full-speed production stage of the exchange process. Overall, open books plays the greatest role in the pre-production stage, although it is found to support decision-making relating to supplier selection and decision-making during full-speed production to a greater extent than the literature recognizes.

Suggested Citation

  • Agndal, Henrik & Nilsson, Ulf, 2008. "Supply chain decision-making supported by an open books policy," International Journal of Production Economics, Elsevier, vol. 116(1), pages 154-167, November.
    • Handle: RePEc:eee:proeco:v:116:y:2008:i:1:p:154-167
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    2. Bortolotti, Thomas & Romano, Pietro & Martínez-Jurado, Pedro José & Moyano-Fuentes, José, 2016. "Towards a theory for lean implementation in supply networks," International Journal of Production Economics, Elsevier, vol. 175(C), pages 182-196.
    3. Michele Bisceglia, 2023. "Vertical Contract Disclosure in Three‐Tier Industries," Journal of Industrial Economics, Wiley Blackwell, vol. 71(1), pages 1-46, March.
    4. Rafael Araujo Sousa Farias & Valdirene Gasparetto, 2016. "Inhibiting Factors of Interorganizational Cost Management Complementary Study," International Business Research, Canadian Center of Science and Education, vol. 9(8), pages 91-105, August.
    5. 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.
    6. Li, Hongmin & Wang, Yimin & Yin, Rui & Kull, Thomas J. & Choi, Thomas Y., 2012. "Target pricing: Demand-side versus supply-side approaches," International Journal of Production Economics, Elsevier, vol. 136(1), pages 172-184.
    7. Abdul Azeez Badir Alnidawi & Fatimah Musa Omran, 2016. "Human Resources Management Activities Adopted in the Value Chain Model and their Impact on the Organizational Sustainability-An Empirical Study in the Jordanian Pharmaceutical Companies," International Business Research, Canadian Center of Science and Education, vol. 9(8), pages 106-117, August.
    8. 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.
    9. Oll, Grete, 2014. "Opportunistic Disclosure in the Inter-Organizational Relationships," Discussion Papers on Economics 21/2014, University of Southern Denmark, Department of Economics.
    10. Rafael Araujo Sousa Farias, 2016. "Interorganizational Cost Management Study on Inhibitor," International Business Research, Canadian Center of Science and Education, vol. 9(3), pages 68-78, March.
    11. 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.
    12. Ehie, Ike C., 2010. "The impact of conflict on manufacturing decisions and company performance," International Journal of Production Economics, Elsevier, vol. 126(2), pages 145-157, August.
    13. Stadtherr, Frank & Wouters, Marc, 2021. "Extending target costing to include targets for R&D costs and production investments for a modular product portfolio—A case study," International Journal of Production Economics, Elsevier, vol. 231(C).

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