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The Meaning and Origin of Trust in Buyer‐Supplier Relationships
Author(s) -
Smeltzer Larry R.
Publication year - 1997
Publication title -
international journal of purchasing and materials management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 3.75
H-Index - 92
eISSN - 1745-493X
pISSN - 1055-6001
DOI - 10.1111/j.1745-493x.1997.tb00024.x
Subject(s) - purchasing , reputation , meaning (existential) , trustworthiness , business , value (mathematics) , identity (music) , marketing , knowledge management , public relations , psychology , social psychology , sociology , computer science , political science , physics , machine learning , acoustics , psychotherapist , social science
IN BRIEF Little attention has been given to the specific nature and origin of trust in buyer‐supplier relationships. As a result, this article presents both a literature‐based definition of trust and a definition according to purchasing managers. The conclusion is that a trustworthy buyer or supplier is one who: does not act in a purely self‐serving manner, accurately discloses relevant information when requested, does not change supply specifications, and generally acts in an ethical manner. However, knowing a definition of trust without understanding the origins of trust is of limited value. Therefore, identity, image, and reputation as the origins of trust are discussed. Next, six managerial and research issues or questions are presented: 1. How do we evaluate or measure trust? 2. What are the antecedents of trusting behavior? 3. What is the relationship between individual and organizational trust? 4. What precisely creates or destroys trust? 5. How much trust is required for an effective relationship? 6. What is the role of trust over time as the relationship changes? These six questions were addressed during interviews with purchasing managers. Managers had a difficult time relating to these questions, leading to the conclusion that more research and managerial attention should be given to trust and these related questions.