Preconditions and dynamics of logistics networks in the Dutch building industry

Hans Voordijk*

*Corresponding author for this work

Research output: Contribution to journalReview articleAcademicpeer-review

11 Citations (Scopus)

Abstract

Argues that logistics networks in the building industry will develop in relation to transaction-specific investments in new information technologies such as EDI and PDI. This is particularly the case where strategic considerations play a subordinate role and efficiency arguments are stressed. The limitations of the transaction cost approach are also discussed. In the building industry, logistics networks are not only directed towards a minimisation of transaction costs, but are also striving for joint value maximisation. Co-operation between designing and constructing parties makes it possible to present a "total product" to the market. Opportunistic behaviour is replaced by mutual trust. Instead of bounded rationality, know-how is transferred between firms for product development This change will fundamentally alter the nature of competition in the building industry in the near future.

Original languageEnglish
Pages (from-to)145-154
Number of pages10
JournalSupply chain management
Volume4
Issue number3
DOIs
Publication statusPublished - 1 Aug 1999
Externally publishedYes

Keywords

  • Building trade
  • Information technology
  • Logistics
  • Supply chain
  • Transaction costs

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