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Towards a Unified Social Network Theory of

Interorganizational Relations

Samanthi EkanayakeWaikato University, NZ,samanthi_ekanayake@yahoo.ca

Paul Childerhouse* (coresponding)Massey University, NZ,P.H.J.Childerhouse@Massey.ac.nz

Peter SunWaikato University, NZ,petersun@waikato.ac.nz

Short abstract

Social network perspective of interorganizational relations (IOR) focuses on the effectof organizations external relationships (at both individual and organizational levels) in

collaboration. It presumes that effectively managing such relationships is vital to

gaining collaborative synergies. However, the perspective still remains far from

becoming a standalone theory of IOR as it has failed to address the cross level

challenges and opportunities of this inherently multilevel phenomenon. Our research

therefore attempts, to arrive at a unified social network theory of IOR inductively, by

using case study methodology in a third party logistics context.

Keywords:Social Networks; Supply Chain Relationships; Inductive Case Study

Topics:

Supply chains

Methodology:Case Study

Social Network Paradigm in Interorganizational ResearchSocial network perspective to interorganizational relations (IOR) is highly recognized as

a distinct theory that examines how organizations access resources and capabilities

through their networks of inter-firm relationships (Brass, Galaskiewicz, Greve, & Tsai,

2004; Carter, Ellram, & Tate, 2007; Gilgor & Autry, 2012; Lazzarini, Chaddad, &

Cook, 2001; Skjoett-Larsen, 1999; Zaheer, Gzbyk, & Milanov, 2010). It presumes

that interorganizational collaboration arises in the context of relationships and unfoldsthrough ongoing interaction. However, the perspective still suffers from becoming a

standalone theory of IOR (Kilduff & Brass, 2010) due to the fields disintegration, with

two distinct approaches; the micro (individual level) and macro (organizational level)

existing, without a joint agenda (Ibarra, Kilduff, & Tsai, 2005). Further research is

therefore warranted to integrate the two approaches to examine the simultaneous effect

of individual and organizational networks in collaboration (Carpenter, Li, & Jiang,

2012; Phelps, Heidl, & Wadhwa, 2012; Zaheer et al., 2010). The purpose of this study is

to first carry out a review of the two approaches: the micro and macro and then to arrive

at a unified social network theory of IOR inductively, using empirical data collected in a

third party logistics context.

mailto:samanthi_ekanayake@yahoo.camailto:samanthi_ekanayake@yahoo.camailto:samanthi_ekanayake@yahoo.camailto:P.H.J.Childerhouse@Massey.ac.nzmailto:P.H.J.Childerhouse@Massey.ac.nzmailto:P.H.J.Childerhouse@Massey.ac.nzmailto:petersun@waikato.ac.nzmailto:petersun@waikato.ac.nzmailto:petersun@waikato.ac.nzmailto:petersun@waikato.ac.nzmailto:P.H.J.Childerhouse@Massey.ac.nzmailto:samanthi_ekanayake@yahoo.ca

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Research MethodologyOur objective was to understand how interpersonal and interorganizational relationships

foster collaboration between firms. The process of investigating the phenomenon

accordingly, required generating rich descriptions of actual events in real-life contexts

provided by participants. As such, a qualitative and exploratory case study researchdesign was undertaken and a greater understanding of the thoughts and experiences of

managers in the context of collaboration was inductively drawn in arriving at a unified

model of interactions in collaboration.

Initial FindingsTwo micro, workflow and friendship ties are prominent between the boundary spanning

individuals, whilst structural and processual ties make up the macro, interorganizational

network, as illustrated in figure 1. The case study highlights a symbiotic relationship

between these micro and macro interorganizational social networks. Decision makers

should therefore strive to effectively leverage these elements for collaborative synergies.

Figure 1. Symbiotic interpersonal and inter-organizational networks

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Carpenter, M. A., Li, M., & Jiang, H. (2012). Social network research in organizational contexts: A

systematic review of methodological issues and choices. Journal of Management, 38(4), 1328-1361.Carter, C. R., Ellram, L. M., & Tate, W. (2007). The use of social network analysis in logistics research.

Journal of Business Logistics, 28(1), 137-168.

Gilgor, D. M., & Autry, C. W. (2012). The role of personal relationships in facilitating supply chain

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