How to facilitate inter-organizational knowledge sharing: The impact of trust

• This study examines driving factors influencing the inter-organizational collaboration and knowledge sharing in supply chain context.
• Organizations embracing shared goals, social relational embeddedness, and influence strategy tend to develop inter-organizational trust.
• Inter-organizational trust influences both collaboration and knowledge sharing positively.
• Inter-organizational trust and collaboration influence knowledge sharing positively.

In this era of the network economy, inter-organizational knowledge sharing is one key driving force required to streamline value chain activities and maximize operational benefits. Knowledge sharing can be realized when the involved business partners successfully develop trust and build long-term partnerships. In this study, a model of knowledge sharing across the supply chain is constructed. Factors such as shared goals, social relational embeddedness, and influence strategy are investigated to determine whether they act as major driving forces to develop inter-organizational trust among the various supply chain members. The survey is based on 226 managers located in major industrial parks in Taiwan; the results suggest that trust is enforced when organizations develop shared goals, form social relational embeddedness, and initiate influence strategies. In addition, inter-organizational trust leads to better inter-organizational collaboration and knowledge sharing. Theoretical and practical implications are also discussed.