PhD Final Thesis April 2013.pdf - Anglia Ruskin Research Online

Thesis Keith Gale 2013Aside from social interaction included within psychological research of grouprelationships, length of relationship is a factor to be considered. The UK constructionindustry has been traditionally driven by commercial considerations where a lowestpriced tender is selected as the economic norm (Biggart and Hamilton, 1998).Application of this doctrine results in a constant mix of clients and supplierspreventing long term understanding of one another. Contrast with the Japanesebuilding industry is marked Bennett et al. (1987). Cultural ties between clients,Japanese contractors and subcontractors often spans decades, where commerce isconducted through etiquette and custom. Improvements in quality, productivity,standards, and the like, form a significant part of the relationship (Bennett, 1991).Organisations embodying a culture of long term relationships display behaviourswhich contrast with who undertake discrete transactions. Such distinctions wererecognised by Ganesan (1994) in Figure 3.3. Organisations using a short-term culturefocus upon objectives and outcomes of the moment, whereas those with long termrelationships achieve goals through both current and future outcomes.Short term cultureSight at the momentDiscrete transactionLong term relationshipFuture visionRepeat transactionLow future interactionHigh future interactionFigure 3.3 Contrast in behaviours of firms – discrete verses long termrelationships (adapted from Ganesan, 1994)Integration between organisations who wish to establish long term relationshipsfollow five stages of maturity (Lockamy and McCormack, 2004) as indicated inTable 3.3.61