By G. M. M Gelauff
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Additional resources for Governance of stakeholder relationships: The German and Dutch experience (SUERF studies)
Finally, long-term relationships facilitate the flow of information between the supplier and the procuring firm (McMillan, 1995). In so far as supplier chains have been integrated vertically an efficient flow of information also exists under the AngloAmerican model of contractual governance. However, exchange of information is low for those parts of supplier relationships governed by formal contracts on the market. Work governance The highly competitive labour market and the relatively extensive use of profit-sharing arrangements in the Anglo-American model of work governance are instruments to raise worker productivity and work effort.
The group of people who have a seat on the supervisory boards of German firms is relatively small and partly consists of members of the management board of other companies. This network can be effective to disseminate information and impair a reputation in case of opportunistic behaviour (Kester, 1992: 31). 1: Fehler! , and 10 on the 1994 German Law on Small Public Companies and Deregulation of Equity Legislation, which aims at increasing stock market access for small and mediumsized companies.
Yafeh and Yosha (1995: 22) provide evidence 13 Allen (1993) states that the process of debate and exchange of information among a large group of stock market investors leads to efficient dissemination of information, implies a checking mechanism on the actions of managers and results in the emergence of consensus strategies and risk reduction. In these highly uncertain cases monitoring by a limited number of relatively uninformed outsiders, such as bank managers, who lack substantial knowledge of technologies applied by the firm and primarily judge firm performance 2 Shareholders stakeholders: a matter of institutions Fout!
Governance of stakeholder relationships: The German and Dutch experience (SUERF studies) by G. M. M Gelauff