||Factors Affecting the level of Trust and Commitment in Supply Chain Relationship
||Factors Affecting the level of Trust and Commitment in Supply Chain Relationship
||Institute of International Management (IIMBA--Master)(on the job class)
Keywords: Environment uncertainty, Intra-organizational facilitators, Inter-organizational relationships, Information Sharing, Information Quality, Information
Availability, Trust, Commitment.
The purpose of this study was to investigate the role of information sharing, information quality, and information availability in the development of trust and commitment in supply chain relationships. Samples of the auto-parts industry is one of the major business sectors in Taiwan from The Taiwan External Trade Development Council (TAITRA). There are about 2,500 auto parts companies in Taiwan, and most of them are small to medium sized companies. Its annual export value, aftermarket parts account for about 80% and international automakers’ OE parts make up the rest.
Samples were gathered from samples in using a field questionnaire. Multiple regression and SEM were used to analyze the data. It was found that low level of environmental uncertainty with higher level of intra-organizational facilitators and inter-organizational relationships will have influence on the level of information sharing, quality, and availability.
As expected, it was found that there is a positive relationship between the level of information sharing, quality, and availability, and the level of trust. Additionally, it was also found that there is a positive relationship between levels of trust and commitment in supply chain relationships.
TABLE OF CONTENT…...III
LIST OF TABLE……....VII
LIST OF FIGURE……… .IX
CHATPER ONE INTRODUCTION…1
1.1 Research Background and Motivation1
1.2 Research Objective.4
1.3 Research Procedures…4
CHATPER TWO LITERATURE REVIEW…6
2.1 Theoretical Framework and Hypothesis Development…6
2.1.1 Environmental Uncertainty…6
2.1.2 Intra-organizational Facilitators …7
2.1.3 Inter-organizational Relationships …..9
2.1.4 Information Sharing …11
2.1.5 Information Quality…14
2.1.6 Information Availability…15
2.2 Relationship between The Variables and Hypotheses…..20
2.2.1 The impact of Environmental Uncertainty on Information Sharing, Information quality and Information availability ...20
2.2.2 The Impact of Intra-organizational Facilitators on Information Sharing, Information Quality and Information Availability …21
2.2.3 The impact of Inter-organizational Relationships on Information Sharing, Information Quality and Information Availability …22
2.2.4 The Relationship between Information Sharing and Trust ….24
2.2.5 The Relationship between Information Quality and Trust...25
2.2.6 The Relationship between Information Availability and Trust….26
2.2.7 The Relationship between Trust and Commitment….26
2.3 The Conceptual Model……27
CHATPER THREE RESEARCH AND METHODOLOGY……28
3.1 Questionnaires Items Design……28
3.1.2 Intra-organization Facilitators……29
3.1.3 Inter-organization Relationship…………….30
3.1.4 Information Sharing…31
3.1.5 Information Quality…32
3.1.6 Information Availability….32
3 .1.7 Trust...33
3.1.9 Company and Respondent Information...36
3.2 Sampling Plan…37
3.3 Hypotheses to Be Tested…….38
3.4 Statistical Methods...40
3.4.1 Descriptive Statistic Analysis…40
3.4.2 Factor Analysis and Reliability Tests….40
3.4.4 Multiple Regression…42
CHAPTER FOUR DESCRPTIVE ANALYSIS AND RELABLITY TESTS…….44
4.1 Descriptive Analysis….44
4.1.1 Data Collection...44
4.1.2 Characteristics of Sample Firms and Respondents…45
4.1.3Measurement Result of Relevant Research Variables..47
4.2 Factor Analysis and Reliability Tests ….49
4.2.2 Intra-organization Facilitators…51
4.2.3 Inter-organization Relationships…52
4.2.4 Information Sharing…53
4.2.5 Information Quality…54
4.2.6 Information Availability….55
4.3 Firm Characteristics and Demographics Impact on Various Dimensions…57
4.3.1 The Comparison among Type of Supply Chain….57
4.3.2 The Comparison among Firm Ages….58
4.3.3 The Comparison among Employee Numbers…59
4.3.4 The Comparison among Annuals Sales…60
4.3.5 The Comparison among Ages…61
4.3.6 The Comparison among Seniority…62
4.3.7 The Comparison among Departments….63
4.3.8 The Comparison among Education Levels….64
CHAPTER FIVE RESEARCH ANALYSIS AND RESULTS…66
5.1 Relationship between Research Variables …66
5.1.1 Multiple Regression Analysis between Environmental Uncertainty on Information Sharing, Information Quality and Information availability...66
5.1.2 Multiple Regression Analysis between Intra-organizational Facilitators on Information Sharing, Information Quality and Information Availability….68
5.1.3 Multiple Regression Analysis between Inter-organizational Relationships on Information Sharing, Information Quality and Information Availability…70
5.1.4 Multiple Regression Analysis between Information Sharing, Information Quality and Information Availability on Trust….72
5.1.5 Multiple Regression Analysis between Trust on Commitment….73
5.2 Structure Equation Model (SEM) for Full Model …73
CHAPTER SIX CONCLUSIONS AND SUGGESTIONS…80
6.1 Research Conclusions and Discussions……80
6.2 Research Limitations and Directions for Future Research…84
APPENDIX I: SURVEY QUESTIONNAIRE…93
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