wk 6 Procurement Trust

Question 1

three parts of trust

Answer 1

vulerability
expectation
willingness

Question 2

what is vulnerability in trust

Answer 2

passing control from one party to another

Question 3

what shows vulnerability in the case study

Answer 3

vulnerable choosing RS since they were a relitvely new design company.
May not have the experience or funds to complete design
may run off with idea

Question 4

what are the expectations in the case study

Answer 4

crown willing to give RS a chance at a cheaper price
However did not gather evidence of their capabilities - trust in RS

Question 5

what shows willingness in the case study

Answer 5

crown had low expectations at the start as they bargained on the price
“easiest sell going”

Question 6

five types of trust

Answer 6

deterrence based trust
knowledge based trust
indentification based trust
calculus based trust
personality based trustwh

Question 7

what is deterrence based trust

Answer 7

where expectations are low - written in contract
lack of trust

Question 8

what does knowldge based trust arise from

Answer 8

past relationships, reputation and relationships

Question 9

what is identification based trust

Answer 9

shared value

Question 10

what is personality based trust

Answer 10

highly individual. shared past expericnes. willingness to be vulnverable

Question 11

what types of trust are in the case study

Answer 11

knowledge and calculus - only gave $750 for first design
became personality based as they were both passionate about having a high quality design

Question 12

what is the spiral of trust

Answer 12

trust develops over time, can increase or break down

Question 13

what types of trust exist in procurement

Answer 13

partner performance
partner pemeability
relationship bonding
system based trust

Question 14

what is partner performance

Answer 14

trust based on competance aligment and unity

Question 15

what is partner permeability

Answer 15

openess and communication

Question 16

what factors are important in the case study for partner performance?

Answer 16

RS produce award winning designs
however degraded as they became slow
crown relied heavily on RS performance

Question 17

what factors are important in partner permeability in the case study

Answer 17

continous communication between the two. Worked as a single organisation sharing information

Question 18

what factors are impartnat in the relationship bonding in the case study

Answer 18

grew as a company together
compatible with each other

Question 19

what factors are important in systems based trust in the case study

Answer 19

dispute resolution was easy as they had a close bond “A lot of give and take”
no clear line of contractual agreement, very imformal
no trust in method of communication