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1 – 10 of over 9000David A. Vogel and Jill E. Connelly
The purpose of this article is to examine why US companies outsource software development offshore and to present the factors to be considered to determine if the benefits…
Abstract
The purpose of this article is to examine why US companies outsource software development offshore and to present the factors to be considered to determine if the benefits of offshore outsourcing outweigh the drawbacks. Is offshoring worth it in terms of cost savings and quality? What are the risks associated with offshoring software development, and how can you hedge against such risks? What types of software should be considered for offshoring? How can you recognize the danger signs of offshore work going awry? Are there alternatives to outsourcing software development offshore, or are there alternative ways to offshore? Offshore outsourcing of software development may not be worth the risk in all cases. However, in the cases that it is worth moving offshore, this paper makes suggestions about how to help ensure success. This article presents advantages, disadvantages, risks and alternatives to offshore outsourcing of software development. Also, it provides alternatives for offshore outsourcing that will be useful for any company or individual considering offshore outsourcing.
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This study aims to develop a model for coordination and communication overhead in distributed software development through case study analysis in the Indian outsourcing…
Abstract
Purpose
This study aims to develop a model for coordination and communication overhead in distributed software development through case study analysis in the Indian outsourcing software industry. The model is based on business knowledge, which can be classified as domain, regulatory, strategic, business process and operation process knowledge as per existing literature.
Design/methodology/approach
Double case study method was used to verify an existing knowledge–management framework of software development from the literature. The stakeholders of both the cases were interviewed, and project documents were verified to reach conclusions.
Findings
The findings supported the business knowledge classification from the literature. The concept can be used to analyze the software project in a distributed environment.
Research limitations/implications
The research work findings are based only on two case studies. The study findings cannot be generalized and should be used as a learning tool. There can be large variations of project characteristics with differences in business knowledge requirements. The research shows the importance of business knowledge transfer in global software development.
Practical implications
Projects managers in the distributed software development environment can use the findings in project planning and work allocation for better control over cost and schedule, etc.
Originality/value
There is little research works attempted to study the business knowledge classification in the global software industry making the research novel.
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Michael Noble and Patrick T. Hester
This chapter examines why U.S. offshore wind farms do not exist and identifies sites most suitable for development based on European offshore wind farms. A survey of…
Abstract
This chapter examines why U.S. offshore wind farms do not exist and identifies sites most suitable for development based on European offshore wind farms. A survey of current literature indicates that U.S. development is stalled due to a lack of government and financial support. The literature identifies common attributes associated with the successful deployment of European offshore farms and provides a basis for a multi-criteria decision analysis of potential U.S offshore wind farm sites. A review of European wind farms indicates that a small, 10–50 MW farm located in shallow waters of less than 20 m might be more successful than previous U.S. development efforts. The review also identifies common European attributes deemed critical for success. These attributes are modified, taking into account unique U.S. factors, and a set of nine critical attributes are derived for use in a multi-criteria decision analysis model of suitable U.S. locations. The nine critical attributes (wind quality, water depth, shore distance, state support, public support, industrial support, population density, weather, and energy costs), along with associated utility function values, are applied to 23 past and current proposed U.S. sites. The model identified three sites, in Galveston Island, TX, Port Isabel, TX, and Block Island, RI, as being most favorable for a small wind farm.
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For the first time since the “limits to growth” debate of the 1970s, we hear serious talk about the prospect of the world running out of oil. In the United States…
Abstract
For the first time since the “limits to growth” debate of the 1970s, we hear serious talk about the prospect of the world running out of oil. In the United States, concerns about reducing dependence on foreign oil have incited debate over the viability of alternative energy sources versus the oil industry's search for new oil “frontiers.” The rancorous dispute over drilling in the Arctic National Wildlife Refuge (ANWAR) has captured the spotlight in this debate. Less controversial, but more significant for the future of U.S. oil production, are the bountiful “deepwater” reserves of the Gulf of Mexico (GOM). Offshore is central to the history of the petroleum industry over the last 50 years, and the GOM is the most explored, drilled, and developed offshore petroleum province in the world. In recent decades, revenue from offshore leasing has been second only to federal income taxes in value to the U.S. treasury. During the last 30 years, the search for oil and gas has continually moved into deeper waters and into new offshore environments. Still, the GOM remains the primary laboratory for technological innovation and regulatory practices. The recent and spectacular revival in production there thanks to deepwater discoveries has strongly reinforced this demonstration effect. As offshore oil assumes a high profile in national development strategies around the world, any effort to analyze the political, social, and economic aspects of offshore exploration and development must use the GOM as a historical precedent or basis of comparison.
Christopher Williams and Maya Kumar
We use experiential learning theory to develop new conceptual insights into offshore outsourcing of innovation. In particular, we show how offshore vendor firms are able…
Abstract
We use experiential learning theory to develop new conceptual insights into offshore outsourcing of innovation. In particular, we show how offshore vendor firms are able to overcome liability of outsidership and eventually learn how to innovate on behalf of their onshore clients as a result of their embedment with clients across multiple teams. We theorize that the cross-border relocation of innovative activities from a client firm to an offshore vendor is only possible when teams within the vendor team have assumed a double-loop learning capability from the client allowing them to determine governing variables relating to the client’s organizational environment. Through direct on-the-job experience working with each other, international teams comprised in part from the vendor and in part from the client can undergo different learning transitions, which we classify as either relationship-oriented or task-oriented. These transitions determine the extent to which double-loop learning can be developed in offshore locations and are influenced by intra-team dynamics and the way the joint teams organize and manage themselves. Our perspective has implications for our understanding of organizational designs associated with both client and vendor multinational enterprises seeking to benefit from innovation in offshore outsourcing.
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Despite being the standard against which all other offshore work sites are compared, the male-dominated work culture of the Gulf of Mexico has received little attention…
Abstract
Despite being the standard against which all other offshore work sites are compared, the male-dominated work culture of the Gulf of Mexico has received little attention from social scientists. Drawing on the literature on women and work in the United States, on women in the U.S. South, in the military, and in the oil field, and on interviews with hundreds of individuals this paper explores the roles of women in the development and maintenance of the offshore oil and gas industry in southern Louisiana.
This paper aims to contend that when tackling financial crimes such as money laundering and terrorist financing, international regulators are seeking to hold offshore…
Abstract
Purpose
This paper aims to contend that when tackling financial crimes such as money laundering and terrorist financing, international regulators are seeking to hold offshore jurisdictions such as the Cayman Islands to higher standards and that this detracts from the pursuit of detecting and prosecuting money launders.
Design/methodology/approach
This paper will deal with the following perceived issues: firstly, to offshore jurisdictions as a concept; secondly, to outline the efforts made by the Cayman Islands to combat money laundering and to rate these changes against Financial Action Task Forces’ (FATAF’s) technical criteria; thirdly, to demonstrate that the Cayman Islands is among some of the world’s top jurisdictions for compliance with FATAF’s standards; and finally, to examine whether greylisting was necessary and to comment upon whether efforts by international regulators to hold offshore jurisdictions to higher standards detracts from the actual prosecution of money laundering within the jurisdiction.
Findings
Greylisting the Cayman Islands in these authors’ view was something that should have never happened; the Cayman Islands is being held to standards far beyond what is expected in an onshore jurisdiction. There is a need for harmonisation in respect of international anti money laundering rules and regulations to shift the tone to prosecution and investigation of offences rather than on rating jurisdictions technical compliance with procedural rules where states have a workable anti-money laundering (AML) regime.
Research limitations/implications
The implications of this research are to show that offshore jurisdictions are being held by FATAF and other international regulators to higher AML standards than their onshore counterparties.
Practical implications
The author hopes that this paper will begin the debate as to whether FATAF needs to give reasons as to why offshore jurisdictions are held to higher standards and whether it needs to begin to contemplate higher onshore standards.
Originality/value
This is an original piece of research evaluating the effect of FATAF's reporting on offshore jurisdictions with a case study involving primary and secondary data in relation to the Cayman Islands.
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Likoebe Maruping, Arun Rai, Ruba Aljafari and Viswanath Venkatesh
Advances in information technology coupled with the need to build resilience against disruptions by pandemics like COVID-19 continue to emphasize offshoring services in…
Abstract
Purpose
Advances in information technology coupled with the need to build resilience against disruptions by pandemics like COVID-19 continue to emphasize offshoring services in the software industry. Service-level agreements (SLAs) have served as a key mechanism for safeguarding against risk in offshore service arrangements. Yet, variations in service cost and quality persist. This study aims to open up the blackbox linking SLAs to offshore project outcomes by examining (1) how the provisions in these contracts affect the ability of project teams – the work unit primarily in charge of producing the offshored service – to achieve their objectives and fulfill client requirements and (2) how differences in contextual factors shape the effects of these provisions.
Design/methodology/approach
The authors incorporate the role of organizational work practice differences to understand the challenges that 270 offshore project teams faced in coordinating and integrating technical and business domain knowledge across organizational boundaries in offshore arrangements. The examined offshore IT projects were managed by a leading software vendor in India and several of its US-based clients over a three-year period.
Findings
The authors demonstrate that organizational work practice differences represent a barrier to offshore project success, and that project team transition processes are an important mechanism for overcoming these barriers. Moreover, the authors find that transition processes represent key mediating mechanisms through which SLA provisions affect offshore project outcomes.
Originality/value
The study findings shed light on how SLAs shape software project teams' balance between activities aimed at meeting client needs and those aimed at containing costs.
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Mary C. Lacity and Joseph W. Rottman
While strategic outsourcing decisions are crafted by senior executives, they are executed by middle managers and staff who may not share the vision or enthusiasm of their…
Abstract
Purpose
While strategic outsourcing decisions are crafted by senior executives, they are executed by middle managers and staff who may not share the vision or enthusiasm of their senior leadership team. The purpose of this paper is to provide a deep understanding of the effects of outsourcing on one of those stakeholder groups – the client project managers – responsible for the implementation of outsourcing strategies, and to identify practices to better empower and enable them.
Design/methodology/approach
Interviews with 67 client project managers in 25 organizations responsible for integrating suppliers into project teams.
Findings
Client project managers report 27 effects of outsourcing on their roles, including six positive effects and 21 negative effects.
Practical implications
Senior executives who implemented the following practices had more success with their outsourcing decisions: provide enough resources to implement the sourcing strategy, be willing to change internal work practices, build social capital with key supplier executives and seek independent assessment of sourcing strategy effectiveness.
Originality/value
The paper presents an original framework to categorize the effects of outsourcing on client project managers. The framework addresses six areas of concern: organizational support, project planning, knowledge transfer, process standards, managing work and managing people. The paper identifies four practices senior executives use to align and empower their employees to deliver the expected business benefits from strategic outsourcing decisions.
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Debasisha Mishra and Biswajit Mahanty
The purpose of the paper is to find out the knowledge requirements and its effect on both onsite and offshore project work division for development, re-engineering and…
Abstract
Purpose
The purpose of the paper is to find out the knowledge requirements and its effect on both onsite and offshore project work division for development, re-engineering and maintenance projects in Indian outsourcing software industry in different phases of software development.
Design/methodology/approach
This study employs an expert interview approach in Indian software industry to find out knowledge requirement for project execution and division of work between onsite and offshore locations. The requisite data were collected through expert interviews and direct observations.
Findings
The study found that the development projects require higher level of domain, strategic, business process and operation process knowledge in comparison to re-engineering and maintenance projects. So there is a need of higher onsite presence in development projects. The maintenance work is taken up at the offshore location in a phase-wise manner.
Research limitations/implications
The implication of the study is in the development of a broad framework of knowledge requirements and work division in on-shore and offshore locations for Indian software outsourcing projects. As the study is based on expert opinion in the context of India, it cannot be generalized for outsourcing scenarios elsewhere.
Practical implications
The software project manager can use the findings to get more insight into the project and divide the software team between onsite and offshore location.
Originality/value
The study is novel, as there is little attempt at finding the knowledge requirement to execute various kinds of business software development in outsourcing environment in the context of India.
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