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The paper aims to examine the degree of changes in action readiness and mindset for the IT offshore outsourcing (offshoring) practice of a number of leading finance and insurance organisations. In particular, the article investigates the action readiness (the state, condition or quality of being ready) and mindset (habits, opinions or perceptions which affect a person's attitudes) of organisations for IT offshoring.

The research method applied has explorative research characteristics and consisted of two phases. The first phase included conducting interviews with project managers of 12 organisations in home and offshore countries and the second phase was concerned with an in‐depth analysis of projects in three organisations. By adopting a process research approach, the research takes into account the dynamics of IT offshoring projects in terms of five essential aspects, i.e. the way of working culture, method use, IT activities, IT governance, and knowledge sharing.

The findings indicate that to a greater extent organisations have realised readiness for method use and the mindset for IT activities, and that the overall improvements regarding these aspects have been modest in the last two years. On the other hand, the mindset for dealing with cultural difference has increased while readiness for flexible working, tracking of requirements change, efficient division of work, and systematic communication is still inadequate.

As the findings are concerned with a small sample and particular industries, they are limited in nature. More research is needed to update the findings in other industries with a larger sample. This would help in achieving stronger external validity.

The model used in this research can help organisations in identifying how well they are prepared for or have improved IT offshoring practice in terms of five essential aspects. Based on the degree of readiness and mindset at hand, they can make use of the findings related to particular aspects. In this respect, the findings may provide valuable insights for practitioners.

Most IT offshoring studies employ a variance research strategy, by which cause‐effect relationships among dependent, independent, and mediating factors essential to the subject matter are studied. As an alternative to this strategy, this research adopts a process research approach, which is concerned with the dynamics of IT offshoring practice, which takes into account the emergent and on‐the‐fly nature of IT projects. Such dynamics are examined in terms of two conceptual levels, i.e. action readiness (ability, condition of being readiness) and mindset (opinions, perceptions). These levels, which are often employed as a separate focus in existing studies, are found to be useful in closing the gap between action readiness and mindset for IT offshoring.

The purpose of this study is to develop an integrated model for the stochastic multiproject scheduling and material ordering problems, where some of the prominent features of offshore projects and their environmental-degrading effects have been embraced as well. The durations of activities are uncertain in this model. The developed formulation is tri-objective that seeks to minimize the expected time, total cost and CO₂ emission of all projects.

A new version of the multiobjective multiagent optimization (MOMAO) algorithm has been proposed to solve the amalgamated model. To empower the MOMAO, various procedures of this algorithm have been modified based on the multiattribute utility theory (MAUT) technique. Along with the MOMAO, this study has employed four other meta-heuristic methodologies to solve the model as well.

The outputs of the MOMAO have been put to test against four other optimizers in terms of convergence, diversity, uniformity and computation times. The results of the Mean Ideal Distance (MID) metric have revealed that the MOMAO has strongly prevailed its rival optimizers. In terms of diversity of the acquired solutions, the MOMAO has ranked the first among all employed optimizers since this algorithm has offered the best solutions in 56.66 and 63.33% of the test problems regarding the diversification metric and hyper-volume metrics. Regarding the uniformity of results, which is measured through the spacing metric (SP), the MOMAO has presented the best SP values in more than 96% of the test problems. The MOMAO has needed more computation times in comparison to its rivals.

A real case study comprising two concurrent offshore projects has been offered. The proposed formulation and the MOMAO have been implemented for this case study, and their effectiveness has been appraised.

Very few studies have focused on presenting an integrated formulation for the stochastic multiproject scheduling and material ordering problems. The model embraces some of the characteristics of the offshore projects which have not been adequately studied in the literature. Limited capacities of the offshore platforms and cargo vessels have been embedded in the proposed model. The offshore platforms have spatial limitations in storing the required materials. The vessels are also capacitated and they also have limited shipment capacities. Some of the required materials need to be transported from the base to the offshore platform via a fleet of cargo vessels. The workforces and equipment can become idle on the offshore platform due to material shortage. Various offshore-related costs have been integrated as a minimization objective function in the model. The cargo vessels release CO₂ detrimental emissions to the environment which are sought to be minimized in the developed formulation. To the best of the authors' knowledge, the MOMAO has not been sufficiently employed as a solution methodology for the stochastic multiproject scheduling and material ordering problems.

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.

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.

The findings supported the business knowledge classification from the literature. The concept can be used to analyze the software project in a distributed environment.

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.

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.

There is little research works attempted to study the business knowledge classification in the global software industry making the research novel.

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.

Interviews with 67 client project managers in 25 organizations responsible for integrating suppliers into project teams.

Client project managers report 27 effects of outsourcing on their roles, including six positive effects and 21 negative effects.

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.

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.

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.

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.

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.

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.

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.

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.

The paper aims to study manpower dynamics at offshore and onsite location for maintenance project, which are transferred to offshore location in a phase-wise manner. The purpose of the paper is to find good values of onsite–offshore team strength, the number of hours of communication between onsite and offshore teams for smooth transfer of software maintenance project to offshore location.

This study uses system dynamics simulation approach to study manpower allocation at onsite and offshore locations to transfer the maintenance work to offshore location in a gradual manner. The authors consulted 13 experts from Indian software outsourcing industry during the model construction and validation.

The simulation results show that the complexity of maintenance project has an insignificant effect on offshore migration. The maintenance work transfer should start with initial onsite team strength higher than that of required for ticket solving and project. The initial offshore team strength should be based on training capacity available at the onsite location. The higher attrition rate at an offshore is detrimental for offshore migration.

The implication of the study is in the development of a broad framework of software maintenance work transfer to 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.

The software project manager can use the findings to get more insight into maintenance project offshore migration and divide the software team between onsite and offshore location.

The study is novel as there is little attempt at finding the manpower composition at onsite and offshore locations for software maintenance project during the migration phase.

This paper aims to explore the concept of early warning signs (EWSs) in offshore-outsourced software development (OOSD) projects at the team level. It also aims to identify the EWSs of failure in the onshore-offshore project context and understand how they are perceived by responsible managers.

A grounded theory approach is followed by gathering data from 19 failed OOSD projects using project managers from client and vendor sides as the key informants.

This study identified 13 EWSs of failure in five categories of trust and team cohesion, common project execution structures, awareness of shared work context, collaboration between teams and onshore-offshore team coordination capabilities. EWSs were found to comprise two components: early warning issues and early signals of failures.

India-based vendors’ data in the study formed the primary weakness of the work regarding generalizability, even though it brought homogeneity to data. Lack of triangulation of failure data through client or vendor peers proved impossible in this research as failure remains a very sensitive topic. Dual composition of EWSs could be applied to institutionalize an early warning tool in projects.

The paper develops an exploratory model of EWSs of failure and project failure in the OOSD project context. The two-component framework of EWSs allows project managers to eliminate false positives while identifying EWSs. It contributes to the information system failure, risk management and information technology offshoring research streams.

The aim of this paper is to make an attempt to find good values of onsite–offshore team strength; number of hours of communication between business users and onsite team and between onsite and offshore team to reduce cost and improve schedule for re-engineering projects in global software development environment.

The system dynamics technique is used for simulation model construction and policy run experimentation. The experts from Indian software outsourcing industry were consulted for model construction, validation and analysis of policy run results in both co-located and distributed software development environment.

The study results show that there is a drop in the overall team productivity in outsourcing environment by considering the offshore options. But the project cost can be reduced by employing the offshore team for coding and testing work only with minimal training for imparting business knowledge. The research results show that there is a potential to save project cost by being flexible in project schedule.

The study found that there could be substantial cost saving for re-engineering projects with a loss of project schedule when an appropriate onsite–offshore combination is used. The quality and productivity drop, however, were rather small for such combinations. The cost savings are high when re-engineering work is sent to offshore location entirely after completion of requirement analysis work at onsite location and providing training to offshore team in business knowledge The research findings show that there is potential to make large cost savings by being flexible in project schedule for re-engineering projects.

The software project manager can use the model results to divide the software team between onsite and offshore location during various phases of software development in distributed environment.

The study is novel as there is little attempt at finding the team distribution between onsite and offshore location in global software development environment.

The purpose of this paper is to find good values of onsite-offshore team strength; number of hours of communication between business users and onsite team and between onsite and offshore team so as to reduce project cost and improve schedule in a global software development (GSD) environment for software development project.

This study employs system dynamics simulation approach to study software project characteristics in both co-located and distributed development environments. The authors consulted 14 experts from Indian software outsourcing industry during our model construction and validation.

The study results show that there is a drop in overall team productivity in outsourcing environment by considering the offshore options. But the project cost can be reduced by employing the offshore team for coding and testing work only with minimal training for imparting business knowledge. The research results show that there is a potential to save project cost by being flexible in project schedule.

The implication of the study is that the project management team should be careful not to keep high percentage of manpower at offshore location in distributed software environment. A large offshore team can increase project cost and schedule due to higher training overhead, lower productivity and higher error proneness. In GSD, the management effort should be to keep requirement analysis and design work at onsite location and involves the offshore team in coding and testing work.

The software project manager can use the model results to divide the software team between onsite and offshore location during various phases of software development in distributed environment.

The study is novel as there is little attempt at finding the team distribution between onsite and offshore location in GSD environment.