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k (example warehousing cost, handling charges etc.) as large warehouse will be required for storage. However, Fawcet et al., (2008) argues that collaboration in the supply chain brings about reduction in total cost and reduction of inventories through sharing of information. Information sharing is seen to be the vehicle or bridge for effective collaboration (Cetindamar et al., 2005). Chen et al. (2005) argues that organisations should try to balance the reduction of inventory, as firms with too much inventory and firms with lowest inventory do not perform well. Reducing inventories in the supply chain eventually leads to the reduction of bullwhip effect.

Ireland and Bruce (2000) argues that reports from world practices depict how supply chain collaboration brings benefits to all participating members. Collaboration has helped Procter & Gamble to reduce the inventory level of their retailers through higher visibility of actual customer demand. This lead to an increase in perfect orders, reduced delivery expenses while her retailers enjoyed an increase in inventory turnover, reduced inventory, reduced storage and handling cost and increase in sales (Simatupang et al., 2004). Collaboration is meant to achieve a win-win situation but it is always not the same in the real world (Mentzer et al., 2000). However, lack of visibility in information sharing among partners in the supply chain acts as barriers to collaboration (Leger et al., 2006). Organisations tend to hold vital informationaa??a?￠s from their partners in the supply chain due to lack of trust and security reasons depending on the nature of the goods. For effective collaborative relationships, Frankel et al. (2002) argues that it is essential to create an environment that would foster information sharing and shared understanding in order to avoid single points of contacts where a relationship between organisations is not destroyed as a result of a person leaving the organisation as most strategic relationships are built based on relationships between employees of different organisation (cited in Barrat, 2004a).

竞争优势——信息——信任——Competitive Advantage-----info ---trust

Effective collaboration has become important if supply chains are to gain competitive advantage (Pawlak and Malyszek, 2008) since the competition is now between supply chain versus supply chain rather than individual business versus individual business (Li et al., 2006). Grover et al. (2002) argues that organisations struggle to develop collaborative relationship because collaboration helps customers and suppliers to improve time to market of product, increase responsiveness to business environment, reduce cost and exploit better market opportunities in order to deliver exceptional value to customers and gain competitive. A single supply chain cannot deliver rapid response to customer demands in efficient manner (Christopher and Towill, 2002, cited in Barrat, 2004a). However, to win customers commitment, firms must know what customers want when and where they want it (Fawcet et al., 2008) in order to be able to deliver these exceptional values. (Talk more on competitive advantage)

创新——依赖——力量——Innovations---------Dependency---Power

谈创新——Talk on Innovations

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