Towards a Unified Social Network Theory of

Interorganizational Relations
Samanthi Ekanayake
Waikato University, NZ, samanthi_ekanayake@yahoo.ca

Paul Childerhouse * (coresponding)

Massey University, NZ, P.H.J.Childerhouse@Massey.ac.nz

Peter Sun
Waikato University, NZ, petersun@waikato.ac.nz

Short abstract
Social network perspective of interorganizational relations (IOR) focuses on the effect
of organizations external relationships (at both individual and organizational levels) in
collaboration. It presumes that effectively managing such relationships is vital to
gaining collaborative synergies. However, the perspective still remains far from
becoming a standalone theory of IOR as it has failed to address the cross level
challenges and opportunities of this inherently multilevel phenomenon. Our research
therefore attempts, to arrive at a unified social network theory of IOR inductively, by
using case study methodology in a third party logistics context.
Keywords: Social Networks; Supply Chain Relationships; Inductive Case Study
Topics: Supply chains
Methodology: Case Study

Social Network Paradigm in Interorganizational Research

Social network perspective to interorganizational relations (IOR) is highly recognized as
a distinct theory that examines how organizations access resources and capabilities
through their networks of inter-firm relationships (Brass, Galaskiewicz, Greve, & Tsai,
2004; Carter, Ellram, & Tate, 2007; Gilgor & Autry, 2012; Lazzarini, Chaddad, &
Cook, 2001; Skjoett-Larsen, 1999; Zaheer, Gzbyk, & Milanov, 2010). It presumes
that interorganizational collaboration arises in the context of relationships and unfolds
through ongoing interaction. However, the perspective still suffers from becoming a
standalone theory of IOR (Kilduff & Brass, 2010) due to the fields disintegration, with
two distinct approaches; the micro (individual level) and macro (organizational level)
existing, without a joint agenda (Ibarra, Kilduff, & Tsai, 2005). Further research is
therefore warranted to integrate the two approaches to examine the simultaneous effect
of individual and organizational networks in collaboration (Carpenter, Li, & Jiang,
2012; Phelps, Heidl, & Wadhwa, 2012; Zaheer et al., 2010). The purpose of this study is
to first carry out a review of the two approaches: the micro and macro and then to arrive
at a unified social network theory of IOR inductively, using empirical data collected in a
third party logistics context.

Research Methodology
Our objective was to understand how interpersonal and interorganizational relationships
foster collaboration between firms. The process of investigating the phenomenon
accordingly, required generating rich descriptions of actual events in real-life contexts
provided by participants. As such, a qualitative and exploratory case study research
design was undertaken and a greater understanding of the thoughts and experiences of
managers in the context of collaboration was inductively drawn in arriving at a unified
model of interactions in collaboration.
Initial Findings
Two micro, workflow and friendship ties are prominent between the boundary spanning
individuals, whilst structural and processual ties make up the macro, interorganizational
network, as illustrated in figure 1. The case study highlights a symbiotic relationship
between these micro and macro interorganizational social networks. Decision makers
should therefore strive to effectively leverage these elements for collaborative synergies.

Figure 1. Symbiotic interpersonal and inter-organizational networks

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