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Despite continued rapid growth in the outsourcing of supply chain services, longterm relationships between vendors and customers are challenged by the need to create sustainable value from the relationship. Our research suggests that the ability of client firms to align their collaboration modes and IT capabilities with their objectives for the vendor relationship is critical for creating value from supply chain relationships. In this article, we describe four collaboration modes being used for supply chain relationships, how they are aligned with value creation objectives, and the IT capabilities needed to achieve them. Our findings are based on a survey of a major supply chain vendor and 238 of its long-term customers, as well as interviews with IT and business executives responsible for over 100 long-term relationships.


Originally published in:

Rai, A., Im, G., and Hornyak, R., How CIOs Can Align IT Capabilities for Supply Chain Relationships, MIS Quarterly Executive, 8(1), 2009, 9-18.

Posted with the permission of the publisher.