Collaborative Performance Management in Interfirm Relationships

Posted: 9 Jun 2016 Last revised: 28 Oct 2017

See all articles by Henri C. Dekker

Henri C. Dekker

VU University Amsterdam - Department of Accounting

Rong Ding

University of Warwick

Tom Groot

VU University Amsterdam - Amsterdam Research Center in Accounting

Date Written: 2016

Abstract

In this study we examine how firms’ collaborative objectives influence their use of performance management practices in interfirm relationships. We conceptualize collaborative performance management to include three interrelated practices: measurement of interfirm performance, information sharing, and interaction between boundary spanners of partner firms. Prior research has related firms’ interfirm control choices to transaction risk as proxied by ‘given’ transaction characteristics. We hypothesize that transaction characteristics are determined by the strategic importance of the collaboration (manifested by the importance of firms’ collaborative objectives), and in turn influence the use of firms’ performance management practices. Analysis of survey data supports our hypotheses that strategic importance of the collaboration is associated with transaction characteristics (i.e., with asset specificity, transaction scope, task interdependencies and environmental variability), which characteristics in turn mediate the influence of collaborative objectives on the use of performance management practices. We also find that performance measurement, information sharing and boundary spanner interaction are used as complementary practices in the management of interfirm relationships.

Suggested Citation

Dekker, Henri C. and Ding, Rong and Groot, Tom, Collaborative Performance Management in Interfirm Relationships (2016). Journal of Management Accounting Research, 28(3): 25-48, Fall 2016. Available at SSRN: https://ssrn.com/abstract=2792014

Henri C. Dekker (Contact Author)

VU University Amsterdam - Department of Accounting ( email )

Netherlands

Rong Ding

University of Warwick ( email )

Warwick Business School
University of Warwick
Coventry, CV4 7AL
United Kingdom

Tom Groot

VU University Amsterdam - Amsterdam Research Center in Accounting ( email )

De Boelelaan 1105
1081 HV Amsterdam
Netherlands

Here is the Coronavirus
related research on SSRN

Paper statistics

Abstract Views
331
PlumX Metrics