Justification of the Choice of the Subject 3

TABLE OF CONTENTS

JUSTIFICATION OF THE CHOICE OF THE SUBJECT 3

RESEARCH SUBJECT 5

RESEARCH OBJECTIVES 5

RESEARCH QUESTIONS 6

RESEARCH HYPOTHESES 7

RESEARCH SOURCES AND METHODS 7

THE LAYOUT AND CONTENT OF THE DISSERTATION 8

COGNITIVE RESULTS OF THE DISSERTATION 9

BIBLIOGRAPHY 11

JUSTIFICATION OF THE CHOICE OF THE SUBJECT

In the last decades a clear tendency in the behavior of enterprises can be observed. Itinvolve a shift from the confrontation-conflict orientation to consistent and common achievement of the assumed goals. There have been a noticeable change in attitude of the organization, from the implementation of short-term plans, to the use of long-term ones, which help to improve the effectiveness and efficiency of operations. Entities recognize, that the previously used strategies, based on standard management tools, such as price, quality, distribution, product or location are no longer sufficient competitive potential. Entrepreneurs realized that solitary and autonomous action is doomed to fail, since it limits access to new technologies, financial resources, cheap and skilled labor force, as well as to knowledge andexperience.

It becomes necessary to search for new, distinctive features, resources, methods andactivities that will enable the effective implementation of complex goals. To achieve this, entities must create various types of dynamic and multi-dimensional relations based oncooperation. It should be noted, that those inter-organizational relationships are a source of the necessary materials and services, they allow to overcome the difficulties, conquer new markets and deploy new technologies, which help to build a sustainable competitive advantage [Flint et al. 1997, p. 163–175; Jacobs et al. 2001, p. 353–363; Ulaga 2001, p. 315–319].

It is worth noting, that by creating inter-organizational relations based on the cooperation, each organization expects it will bring the tangible benefits. Through cooperation entrepreneurs seek to increase profitability, reduce costs, optimize the use ofproduction potential, as well as access to scarce resources of knowledge, technology andnew markets [Aldrich 2008, p. 106–134; Bengtsson and Kock 2000, p. 411–426; Buchanan 1992, p. 65–75; Dembińska-Cyran et al. 2004; Dudzik 2005, p. 2–8; Finkelstein 1997, p.787–808; Gołębiowski and Prokop 2003, p. 166–167; Gordon and Górska 2001; Lenz–Cesar and Heshmati 2009, p. 1–25; Logsdon 1991, p. 23–35; Pfeffer and Salancik 2003, p.257–288].

But it should be noted, that companies, which choose to interact with other actors onthe market, at the same time take the additional risk, that in the light of the inter-organizational relationships should be seen primarily as a threat that must be avoided. The risk in the process of cooperation is most often associated with danger, uncertainty of results, the probability of failure, damage or incurring losses [Małkowska-Borowczyk 2012, p. 9–10; Urbanowska-Sojkin 2012, p. 35–36]. It can therefore be concluded, that the risks associated with the process of inter-organizational cooperation is a significant barrier to the expansion and development of cooperative relations [Nowak 2015, p. 61]. Various, specific sources ofrisk are associated with a wide range of possible forms of cooperation, that take thedynamic and evolutionary character – relations transform over time, depending onthecurrent needs of the entities, their level of development, the market situation orstrategy. They extend from simple occasional transactions, through long-term relations, close cooperation within the framework of the strategic partnership, to full vertical integration [Jaźwiński and Kiernożycka-Sobejko 2006; Kaczmarek 2000; Lichtarski 1992; Rangan and Yoshino 1996; Webster 1992]. It should also be noted, that the cooperation can be considered as an extremely complex, multifaceted, consisting of a series of stages cycle. In the literature of the subject the concepts describing the process of cooperation ofundertakings differ from each other in the number of phases found in it - they extend from the schemes that contain two basic, general steps to theories distinguishing many steps andsub-steps that describe in detail the relation since the early moments of its planning, through starting cooperation, to phases of full maturity, or even the breakdown. At this point it should be stressed that different, specific threats emerge at each of these stages [Dwyer etal. 1987, p. 15–21; Kaczmarek 2000, p. 166–186; Kapcia 1994, p. 18; Marxt and Link 2002, p. 220–223; Olsen and Ellram 1997, p. 103–110; Ujwary-Gil and Choroszczak 2003, p.2–3; Urbaniak 2008, p. 28–29].

In the context of an extremely complex issues of business relationship management, amatter of risk becomes highly important. It seems necessary to separate the risk ofcooperation from the risks associated with general economic activity. This will allow enterprises to choose a proper course of action, adapt the plan of cooperation tothecapabilities of unit, as well as to establish an optimal relationships with partners inevery aspect of business. It could be said, that the achievement of sustained success bythecompany, in the way of building an effective development strategy, requires theimplementation of a system for the identification and evaluation of sources of risk associated with the partnership.

It must also be noted, that despite the extensive literature referring to inter-organizational relations, there is a lack of extensive and comprehensive studies on the risk ofcooperation. There is a clear and interesting research gap, because the literature focuses mostly on relationship management, without taking into account the extremely important andspecial significance of risk. In contrast, existing studies on the risk of enterprises cooperation, focuse mainly on advanced, strict forms of cooperation, such as strategic alliances [Światowiec-Szczepańska 2014, 2012], omitting risk management in relations with looser nature, which are concluded more often in Polish economic reality [Nowak 2012].

RESEARCH SUBJECT

Based on the above issues, it was determined that the object of interest in this research will be the risks associated with the creation, development and termination of cooperative inter-organizational relationships of various forms and specifics. Analyzing the essence oftheproblem, focused on determinants of the risk management in the process of enterprise cooperation, including on the premises, which impel modern enterprises to comprehensively manage risks and barriers that hinder, or even prevent entities from effective risk reduction. Both from a scientific and a practical point of view, very interesting issue is the scope andlevel of knowledge and awareness of entrepreneurs in the field of the problem. It should be stressed that the considerations set out in the dissertation are to help in the recognition ofcomplex laws governing the risk of inter-organizational cooperative relations.

RESEARCH OBJECTIVES

Assuming that the risk occurring in the relationship on the buyer – supplier line may be subject to management in the enterprise, the main goal of research was determined asapresentation in theoretical, cognitive and application aspect of risk management intheprocess of enterprise cooperation, in the context of the specific nature of the form anddevelopment stage of the relationship. To the primary objective of the dissertation wereassigned specific objectives set out in three areas:

1.  Theoretical, including:

-  conducting systematizing literature studies on issues of enterprise cooperation in terms of static and dynamic point of view,

-  making a critical review of the theoretical and methodological achievements in the field of enterprise risk management,

-  identifying potential sources of risk in the relationship between the supplier and the buyer.

2.  Empirical, including:

-  determining the nature of cooperation undertaken by companies in Poland, with particular emphasis on the scope and the diversification of cooperation, forms and the degree of formalization of the relationship,

-  identifying the barriers that make it difficult or even impossible to implement the risk management system in the enterprise,

-  comprehensive examination of motives that impel entities to manage risk inan integrated way,

-  evaluation of the awareness of Polish entrepreneurs in the field of risk management,

-  analyzing the risk occurring in the process of enterprise cooperation, particularly in the context of a dynamic and heterogeneous nature of inter-organizational relationships.

3.  Application, in which the attempt was made to develop a methodology for risk management in the process of enterprise cooperation.

RESEARCH QUESTIONS

Risk in inter-organizational cooperation can be analyzed using a variety of approaches and theories. The analysis itself can focus on different aspects and concepts related to risk ininter-organizational cooperation. It is therefore necessary to examine the following research questions:

1.  What are the characteristics of inter-organizational relationships and which collaboration strategies dominate the polish enterprise market?

2.  What impact has the form and stage of relations on the level and nature of the risk in the process of cooperation?

3.  What are the barriers, motives and conditions, in both the internal and external environment which shape cooperative inter-organizational relationships risk management process?

4.  Which tools enable enterprises to increase operational security and mitigate risks in the process of cooperation?

RESEARCH HYPOTHESES

Based on theoretical considerations concerning risk management in the process ofenterprise cooperation, own observations and experiences, conducted empirical research the main research hypothesis was formulated: inter-organizational cooperative relations risk management is a complex, complicated and multi-faceted process, which enables thecompany to achieve a number of benefits, including the development of cooperation. Themain hypothesis have been put on the following three specific hypotheses:

1.  Polish companies have a low propensity for cooperation, which is reflected inthelimited scope of the development of relations, a low degree offormalization of cooperation and the low level of advanced forms ofrelationships.

2.  The reluctance of Polish entrepreneurs to develop inter-organizational cooperative relations is associated with above-average risk, occurring inadvanced forms of relationships and the lack of sufficient knowledge andexperience, in order to restrict the consequences of such threats.

3.  Polish companies do not attach sufficient importance to the issue of risk management, treating this problem in a limited and selective way.

RESEARCH SOURCES AND METHODS

Characteristics of conducted analyzes on issues of risk management in the process ofenterprise cooperation determined the choice of quantitative research as a primary method, that in order to get a full picture of the problem has been complemented by qualitative research. As part of the analysis of a quantitative nature, based on in-depth surveys, focused on maximum use of measurable variables in nominal and ordinal scales, which allowed tocarry out a series of statistical surveys, using the methods of descriptive statistics, correlation analysis and factor analysis. Qualitative research included participant observation and direct interviews with selected entities, during which the author had the opportunity toobtain further information and comments arising from experience and practice.

Due to the numerous barriers to obtaining empirical data in Poland, qualifying enterprises to research, it was decided to use the method of non-random and purposeful selection of common units. Because of the geographical spread of cooperative relations, itwas assumed that the study will be attended by entities carrying out its activities throughout the whole Poland. In addition, it was decided to apply the criterion of the date ofestablishment of the entity, which has ruled out from the research companies operating inthe market for less than a year. It was considered that such a period of time, on the one hand, allows companies to develop inter-organizational relationships with the appropriate character, on the other hand, however, does not ignore the new enterprises, which bydefinition are exposed to higher risk [Korol 2010, p. 54]. In the process of surveys 312 questionnaires were collected, of which 244 were qualified for further analysis. Theremaining 68 questionnaires were discarded because the participants have performed them partially and unreliable or did not meet the predefined criteria for the location or the age of the company.

THE LAYOUT AND CONTENT OF THE DISSERTATION

The layout and structure of the dissertation were subordinated to the methodology ofimplementation of the main and specific objectives. The dissertation consists of four chapters, arranged so it can be divided into two parts - theoretical and empirical. The first theoretical chapter, entitled: "The essence of the process of enterprise cooperation" synthesized theoretical achievements concerning the nature and the importance ofcooperation. It explains the differences and similarities between the concept of cooperation and other terms, discuss place of cooperation in theories of management and characterizes traditional and newly emerging trends and types of relations between enterprises from both static and dynamic point of view.

The second theoretical chapter, entitled "Theoretical basics of risk" presents thereflections on the importance of risk in the functioning of enterprises. It explains theconcept of risk, presents analysis of the most important theories of risk, describes thedifferences in negative and neutral approach, characterizes the methods of risk management in the enterprise and describes sources of risk associated with inter-organizational cooperation.

The third, empirical chapter, entitled "Risk of cooperative relations in the light ofempirical research" characterizes the purpose and object of research and describes themethodology and assumptions of empirical analyzes. In addition, it details the research sample, taking into account a number of criteria, such as location, type of business, size, age, legal and ownership status, etc. It also examines the specificity of concluded inter-organizational relations and cooperation strategies. Furthermore it describes the methodology of risk identification and measurement used in empirical research.

The last chapter, devoted to risk management in inter-organizational cooperative relations, answered a series of research questions, and also allowed for verification of initial assumptions related to the presented objectives and hypotheses. It explores conditions ofenterprise risk management, with particular emphasis on the barriers and motives totheimplementation of risk management systems. It also presents analyzes of the issue ofthe risk in the context of the probability and consequences of the occurrence ofthecooperative events with particular emphasis on form and phase of the relationship. Furthermore it proposes an original methodology of risk management in the process ofenterprise cooperation.

The summary of the dissertation contains conclusions and proposals for companies wanting to develop inter-organizational relations with other actors in the market andatthesame time reduce the risk associated with the use of advanced forms ofcooperation. From a theoretical point of view, the dissertation not only systematizes andexpands look at the problem of risk in relations between the organizations, but also has apractical application, making it easier to practice risk management in the process ofcooperation.