Functional consequences of trust in the construction supply chain: A multi-dimensional view

A great deal of construction management literature has linked trust to the emergence of cooperative behaviours that contribute to successful project outcomes. However, some have questioned the functional relevance of trust in contractual relations, arguing that control-induced cooperation, which is less fragile than its trust-induced equivalent, can emerge from the enforcement of contracts. These mixed views are further complicated by the multi-dimensional nature of trust, which could mean that different trust dimensions can have differing functional consequences on the supply chain relationship. The aim of this study was therefore to provide some clarity on the functional consequence of trust in construction supply chain relationships during projects. By adopting a case study research strategy, empirical evidence was gathered through semi-structured interviews with supply chain parties from across four projects in the UK. A thematic data analysis approach was then used to uncover multiple perspectives on the functional consequences of trust in the construction supply chain. Findings revealed that weaker dimensions of trust that are impersonal (cognition-based and systems-based), as well as the stronger (relational-based) dimension of trust, all fostered beneficial behaviours in the supply chain (effective knowledge sharing and self-organising behaviours). However, additional behavioural consequences (relational flexibility and extra commitment) emerged when trust was of a more relational nature, except that such behaviours were only a pre-requisite for project success when work packages were considered to be very high-risk. This implies that different trust dimensions and their associated behavioural consequences can be prioritized and promoted in the supply chain based on perceived work package risks, without over-emphasising relationally derived trust as the only pre-requisite for fostering positive behaviours and project success. This study provides a more penetrating analysis of how different trust dimensions varyingly influence behaviour of supply chain participants and consequently project specific outcomes.