The use of EDI for interorganisational co‐operation and co‐ordination in the supply chain

Abstract

This article analyses the moderation effect of co‐operation on electronic data interchange (EDI) adoption, and the influence of EDI use on the co‐ordinating activities in the automotive supply chain. The empirical results from a survey of 116 Spanish automotive suppliers indicate that EDI adopters perceive more operational benefits, more external pressure and mutual understanding, and fewer technical and organisational difficulties than do non‐adopters of EDI. The use of EDI is greater among suppliers that perceive more strategic benefits and fewer cost and organisational difficulties, have a proactive management, are less dependence on suppliers, and adopt EDI earlier. Co‐operation is a moderator of organisational difficulties for EDI adoption and use, and strategic benefits for the use of EDI. The results also show that companies use EDI to become more co‐ordinated with suppliers and customers.