Abstract
An outline method for design of inter-organisational relationships is described that builds on Williamson’s transaction cost theory. The method proposes criteria for analysing market conditions and heuristics for selecting the appropriate relationship type from the variables value of goods, frequency of transactions and risk of ensuring reliable supply. A taxonomy of transaction costs is proposed for relationship types that vary from markets, to contracts and hierarchical control. The requirements for computer system support of inter-organisational relationships and how transaction costs can be managed by IT systems are investigated. The method is illustrated in two case studies of inter-organisational relationships. The paper concludes with a brief discussion of how business theories can be used to predict or indicate appropriate IT requirements.
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Sutcliffe, A.G., Li, G. (2000). Connecting Business Modelling to Requirements Engineering. In: Henderson, P. (eds) Systems Engineering for Business Process Change. Springer, London. https://doi.org/10.1007/978-1-4471-0457-5_8
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DOI: https://doi.org/10.1007/978-1-4471-0457-5_8
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