EDI performance in the automotive supply chain

This paper presents the results of a questionnaire survey to automobile first-tier suppliers in the US. We address the effects of Electronic Data Interchange (EDI) on the automotive supply chain, specifically addressing first and second-tier suppliers. We also examine the reasons for suppliers not using EDI. Our analyses show: (1) the size of a firm does not affect the degree of EDI integration, (2) firms with high corporate performance have a high level of EDI integration, (3) firms with high corporate performance have a high level of information sharing with suppliers, and finally (4) US automakers are directing first-tier suppliers to use EDI, yet first-tier suppliers have not been able to enforce its use by their suppliers.