Electronic technology and parts procurement: a case of the automobile industry Online publication date: Sun, 13-Feb-2005
by Takahiro Fujimoto, Jewheon Oh
International Journal of Automotive Technology and Management (IJATM), Vol. 4, No. 4, 2004
Abstract: Inter-firm information systems in the automobile industry have evolved from firm-specific networks to industrial standard networks and, further, to the internet. This paper examines how electronic parts procurement systems in the automobile industry affected its patterns of inter-firm transactions through empirical studies on information networks, transaction systems and architectural characteristics of automobile parts. We argue that selection of a certain parts transaction system tends to affect choice of the mode of information system that might best fit the transaction information between the firms. Conversely, once a particular type of information is chosen, the mode of information exchanges and patterns of competition between suppliers and transaction systems would also be changed. In this way, inter-firm information systems, transaction patterns, and architectures of the parts would co-evolve through dynamic interactions among them.
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