Empirical Research On The Relationship Between Trust,Information Technology And Inter-organizational Cost Management

Contemporary is the era of economic globalization and it is also the era of information. As the market competition intensified, companies have to joint upstream and downstream to reduce product costs. In the process of cooperation that is formed of supply chain competitive advantage. Companies need inter-organizational cost management to manage cost scientifically and systematically, and promote further reduce costs. Traditional cost management confined inside the enterprise, but the thinking of inter-organizational cost management break through this limitation, broaden the scope of cost management, and manage costs with other enterprises. This has become a new opportunity for enterprises to reduce costs. Prerequisite for inter-organizational cost management is the need to build a communication bridge and create a favorable trading environment. The rapid development of information technology offer a convenient means of communication for inter-organizational cost management, and the inter-organizational trust relationship create a stable and cooperative atmosphere for inter-organizational cost management. Therefore, this article attempts to discuss whether the support of technology and relationship have a role in promoting IOCM from the perspective of IT and trust, and how they affect when business cooperation.After sort out the abroad and domestic literature about IOCM, trust and information technology, this study describes the basic theory of inter-organizational cost management, and introduces specific ways and means of inter-organizational cost management. This paper argues that enterprises should choose different means of inter-organizational cost management when they have different production stages or different inter-organizational relationship. This study focuses on demonstrate that the impact of information technology and trust on inter-organizational cost management. And as an important and common information sharing tools, open-book accounting also need the help of modern information systems to promote the implementation in good environment; trust and information technology also can serve for inter-organizational cost management through open-book accounting. The importance and relevance between open-book accounting and the contents of this paper should not be underestimated.Therefore, this paper elicits the information sharing tool, open-book accounting, which is based on the introduction of the means of inter-organizational cost. This study will include open-book accounting as a variable, and discussed the theoretical relationship between OBA, trust, IT and IOCM in detail. Then establish conceptual model and verify the theory and hypothesis mentioned by empirical research and analysis. Finally, this study will conclude the paper, reflect the shortcomings and note that hopeful future research based on the empirical results.