Transaction Costs and Organizational Learning in Strategic Oursourcing Relationships

Ernst Verwaal

Research output: Contribution to journalArticlepeer-review

19 Citations (Scopus)

Abstract

The present paper examines the role of organisational learning and transaction costs economics in strategic outsourcing decisions. Interorganisational learning is critical to competitive success, and organisations often learn more effectively by collaborating with other organisations. However, learning processes may also complicate the process of forming interorganisational partnerships which may increase transaction costs. Based on the literature, the authors develop refutable implications for outsourcing supply chain logistics and a sample of 121 firms in the supply chain logistics industry is used to test the hypotheses. The results show that trust and transaction costs are significant and substantial drivers of strategic outsourcing of supply chain logistics (a strategic flexibility action). Learning intent and knowledge acquisition have no significant influence on the decision to outsource supply chain logistics. The paper concludes with a discussion of the different and often conflicting implications for managing interorganisational learning processes.
Original languageEnglish
Pages (from-to)38-54
Number of pages17
JournalInternational Journal of Technology Management
Volume41(1/2)
Issue number1-2
DOIs
Publication statusPublished - 2008

ASJC Scopus subject areas

  • Management of Technology and Innovation
  • Strategy and Management
  • Management Science and Operations Research
  • Engineering (miscellaneous)

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