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1 – 10 of over 15000Shereazad Jimmy Gandhi, Alex Gorod and Brian Sauser
The purpose of this research is so that project managers can use a systemic approach to prioritizing the risks of outsourcing including an understanding of the external factors…
Abstract
Purpose
The purpose of this research is so that project managers can use a systemic approach to prioritizing the risks of outsourcing including an understanding of the external factors that could affect the prioritization.
Design/methodology/approach
A survey was designed by the authors and distributed to 2,500 outsourcing professionals from different organizations and the hypotheses were tested using the data from these surveys. The logic for forming the hypothesis is discussed for each hypothesis and so are the demographics of the respondents
Findings
External factors such as the type of technology involved, type of market targeted, location of outsourcing and the amount of experience the outsourcing professional had, did affect the prioritization of the outsourcing risks. Furthermore, trends were identified among the ranking of the outsourcing risks.
Research limitations/implications
One of the constraining factors of this research, as in the majority of empirical research initiatives, was the limited sample size, which could potentially affect the rating. An increased sample size could have also provided the researchers with a more detailed insight into the interrelationships between the various outsourcing risks.
Originality/value
For the first time, the outsourcing risks have been prioritized using a systemic approach. The systemic approach has been used in the financial industry while analyzing risk but the authors have applied it to prioritization of outsourcing risks. This includes understanding the interrelationships between the risks and also the effect that external factors can have on the prioritization of those risks.
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Gang Qu, Lishan Shen and Xiaona Bao
The purpose of this paper is to study how the software outsourcing teams, namely, vendors, transfer effective knowledge to enhance team performance; it reports on a study of…
Abstract
Purpose
The purpose of this paper is to study how the software outsourcing teams, namely, vendors, transfer effective knowledge to enhance team performance; it reports on a study of transactive memory system (TMS) theory and makes deep analyses and discussions about the influence of the cooperative behaviors of TMS on software outsourcing team’s performance under the framework of three behavioral characteristics dimensions – specialization, credibility and coordination.
Design/methodology/approach
This paper is an empirical study based on investigation interviews to 28 software outsourcing teams and data of questionnaire surveys on 124 software outsourcing teams; structural equation model is used to test the data we collected.
Findings
This paper finds that both credibility and coordination have a significantly positive impact on knowledge transfer and project success, whereas specialization has a significant negative impact on project success. The results of data analysis show that TMS is an effective coordination mechanism.
Originality/value
The conclusion of the study can help us understand the coordination mechanism of knowledge transfer in software outsourcing team and provide theoretical support and paradigm reference for vendors in China to accumulate knowledge and improve the success rate of projects in the context of software project development.
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Seonyoung Shim, Jung Lee and Sojung Kim
This study aims to examine how the role of peripheral knowledge changes along with the perspectives of vendor and client in inter-organizational IT outsourcing. To this end, this…
Abstract
Purpose
This study aims to examine how the role of peripheral knowledge changes along with the perspectives of vendor and client in inter-organizational IT outsourcing. To this end, this study tests the effects of the peripheral knowledge of vendors and clients on IT outsourcing performance under three different combinations of performance-assessing views from both parties.
Design/methodology/approach
To contrast the effects of the peripheral knowledge of vendors and clients based on their views, this study collects matching data on 107 projects from both parties. The survey method is adopted to measure the peripheral knowledge levels of vendors and clients and IT outsourcing success. The associations between peripheral knowledge and IT outsourcing performance are then assessed when the views match, cross and agree to a certain level.
Findings
The peripheral knowledge of vendors plays a more significant role than that of clients in most IT outsourcing cases. Moreover, the agreement between the peripheral knowledge of vendors and clients shows a moderating effect only when the performance is assessed by clients than by vendors.
Originality/value
This study contrasts the peripheral knowledge of vendors and clients by altering performance-assessing views in IT outsourcing. This study also rationalizes why the peripheral knowledge of vendors is more important than that of clients, as well as explains whose perspective is more significant when the performance is assessed.
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J. Art Gowan and Richard G. Mathieu
The literature on software project management is extended into the broader domain of large‐scale IS management by studying enterprise‐wide system upgrade projects. In particular;…
Abstract
Purpose
The literature on software project management is extended into the broader domain of large‐scale IS management by studying enterprise‐wide system upgrade projects. In particular; examines the role that the intervention of project management practices (formal project methodologies and outsourcing) play in large and/or complex IS projects, which result in good project performance.
Design/methodology/approach
A survey instrument was completed by 449 information systems managers about a specific upgrade project. The primary analytical approach used was structural equation modeling (SEM).
Findings
It was found that neither project complexity nor project size are good indicators of meeting a project's target date. Large projects that adopted formal project management practices were more probable to meet the project target date. Projects with a high degree of complexity which involved outsourcing and adopted formal project management practices, were more likely to meet the project target date.
Practical implications
Clearly, the message to managers of IS projects is to establish a project methodology, especially in large, enterprise‐wide projects, and when some degree of outsourcing is required.
Research limitations/implications
Future research should consider additional measures of performance such as cost, end‐user satisfaction and business value.
Originality/value
Much had been written in the literature about how large, complex IT projects have high failure rates. Our study provides conclusive evidence that, the greater the degree of methodology implementation, the greater the chance for meeting the project's target date. Prior to this research, this had not been explicitly shown in the research literature.
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Bankole Osita Awuzie, Zwelinzima P. Mcwari, Progress Shingai Chigangacha, Clinton Ohis Aigbavboa, Theo C. Haupt and Lovelin Obi
An increase in outsourcing of consultancy services has been observed during procurement and delivery of public-sector infrastructure projects. However, the incidence of project…
Abstract
Purpose
An increase in outsourcing of consultancy services has been observed during procurement and delivery of public-sector infrastructure projects. However, the incidence of project failure has continued unabated despite this shift by public-sector entities. Also, there appears to be limited literature focussed on seeking to provide the rationale governing the decision to outsource or insource consultancy services by public-sector organisations. The purpose of this study was to appraise the performance of public-sector projects in which consultancy services have been outsourced or insourced. These are the gaps which this study was undertaken to fill.
Design/methodology/approach
A grounded theory methodology (GTM) research design was adopted based on the nature of evidence sought and gathered from a Provincial Department of Public Works and Infrastructure (PDPWI) in South Africa. Data was obtained from a mixture of semi-structured interviews and project-specific documents spanning a five-year period and was analysed according to the procedures associated with GTM. Accordingly, open coding, axial coding and pattern matching were carried out at several intervals to develop categories and themes.
Findings
The findings of the study showed the absence of a structured approach within the PDPWI for facilitating decisions pertaining to outsourcing or insourcing consultancy services within construction projects. Furthermore, the study established that both approaches yielded similar results across all performance facets of cost, time and quality. In addition, a detailed insight into the steps required for the successful application of GTM in built environment research has been provided in the study.
Originality/value
Limited studies have been undertaken to compare the impact of either outsourced or insourced services on the organisational and project performance. This was the gap to which the study reported in this paper was undertaken to contribute.
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Xiaoyan Li, Jiye Mao and Jing Qian
The paper seeks to investigate the effects of psychological contract on control mechanisms in outsourced ISD projects, based on control theories and psychological contract…
Abstract
Purpose
The paper seeks to investigate the effects of psychological contract on control mechanisms in outsourced ISD projects, based on control theories and psychological contract theories.
Design/methodology/approach
The paper is a multiple case study involving five outsourced projects completed by one of the largest and most successful telecommunication vendors in China. The company was the client in three of the projects and the vendor in the other two.
Findings
Based on first‐hand observations by the first author over a two‐year period and follow‐up interviews, four scenarios of match and mismatch of psychological contract between the client and vendor are identified, labeled as mutual transaction, client vulnerable, vendor vulnerable, and mutual loyalty. Moreover, the effect of psychological contract in shaping organizational control and outsourcing outcomes in the four different scenarios is revealed. For example, mutual transaction was associated with an emphasis on outcome control by the client. In contrast, mutual loyalty was associated with more informal control (self‐control and clan control). Furthermore, in the cases of mismatch between the client's and vendor's psychological relationship, the client implemented more behavior control and encouraged self‐control by its partner.
Originality/value
This research is, to the best of the author's knowledge, one of the first attempts to bring together psychological contract theory and organizational control theory in the domain of IT offshore outsourcing research. It reveals the effect of psychological contract in shaping organizational control in the four different scenarios labeled as mutual transaction, client vulnerable, vendor vulnerable, and mutual loyalty.
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Mohsen Shafie Nikabadi and Delshad Hoseini
The production of a good or service requires that the supplier performs a wide range of activities. Many companies are trying to fit outsourcing with the dimensions of their…
Abstract
Purpose
The production of a good or service requires that the supplier performs a wide range of activities. Many companies are trying to fit outsourcing with the dimensions of their organization. Outsourcing is increasingly being used among Iranian companies in the field of the electric power industry. Human resources are among the factors that consider outsourcing as an obstacle for their growth because staffs declare that the development of outsourcing is a serious threat for unemployment of them and ultimately expulsion from work. Thus, this study surveys the dynamic effects of human resources and work experience on outsourcing decisions. This paper aims to propose a model for dynamic strategic outsourcing focusing on human resource and work experience.
Design/methodology/approach
Presenting a model for strategic outsourcing can help organizations to resolve their outsourcing problems. The data needed for examining the dynamic impact of human resources and work experience on outsourcing have been compiled using library and field studies. The method used in this study is an integrated approach, so the model could consider the general effects of manpower and present a systematic view. After interviewing with experts in power industry, the causal relationships of the variables were determined, and a dynamic model based on the applications of the dynamic system was developed in VENSIM software. The research model will be completed in a three-year period (2016-2019) in the power industry of Iran.
Findings
For completing projects in an organization, cooperation between internal employees and external contractors is needed; thus, results based on both external contractors and internal staff have shown that outsourcing through working of a number of contractors will be more effective than frequent use of one contractor. On the other hand, improving the quality of projects could be done by training new employees using skilled and expert employees.
Originality/value
Existence of one-dimensional models (only with qualitative factors or only with quantitative factors) in the context of outsourcing in the past studies has prompted to study different types of factors together as a dynamic model. This paper presents a quantitative and qualitative model in the field of strategic outsourcing with emphasis on human resources and work experience. In the past studies, there was no way to formulate the qualitative factors, and they simply used the data from the organization, and the only formulation in their works was based on quantitative factors. But in this study, both factors with dynamic modeling have been formulated.
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Petter Gottschalk and Jan Terje Karlsen
This study investigates the emphasis placed on different managerial roles by IT project managers. Six managerial roles were applied in this research: personnel leader, resource…
Abstract
Purpose
This study investigates the emphasis placed on different managerial roles by IT project managers. Six managerial roles were applied in this research: personnel leader, resource allocator, spokesman, entrepreneur, liaison and monitor. With changing business environments, the locus of value creation is no longer within the boundaries of a single firm, but occurs instead at the nexus of relationships between parties. With the growing importance of pooling knowledge resources, knowledge management will have to transcend organizational boundaries in exchanges such as IT outsourcing relationships. We would, therefore, expect to find differences in our two surveys.
Design/methodology/approach
Two surveys were conducted in Norway to investigate these management roles.
Findings
In the first survey, which focused on project management roles in internal IT projects, the respondents emphasized the personnel leader role significantly more than other managerial roles. In the second survey, which focused on project management roles in IT outsourcing projects, the respondents emphasized the spokesman role. The empirical results provide evidence that project managers in internal IT projects are more internally oriented than project managers in outsourcing projects.
Research limitations/implications
Future research should also take into account culture and structure dimensions as well as the specific industry of the IT project.
Practical implications
This research concludes that project managers of both internal IT projects and outsourcing projects should be more externally oriented to meet future challenges.
Originality/value
The contingent approach to leadership roles is applied in this research paper.
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Danfeng Ma, Yongqiang Chen, Yongcheng Fu and Chao Meng
This study aims to first identify influencing factors of outsourcing decisions in construction projects systematically and further to unravel the interactions of these influencing…
Abstract
Purpose
This study aims to first identify influencing factors of outsourcing decisions in construction projects systematically and further to unravel the interactions of these influencing factors from a holistic perspective.
Design/methodology/approach
This study concerns the design and analysis of two-stage studies, where, at the first stage, a systematic literature review and 48 semi-structured interviews with senior practitioners in construction firms were conducted to identify influencing factors in outsourcing decisions in construction projects. At the second stage, the decision-making and trial evaluation laboratory (DEMATEL) method was employed to explore the interactions between influencing factors and pathways of outsourcing decisions.
Findings
Three focuses for outsourcing decisions are outlined, revealing that outsourcing restrictions, strategic needs and cost objectives need to be considered in outsourcing decisions. In addition, the finding contributes to the integration of transaction costs perspective and capability perspective by unravelling the mechanism of how different factors work together.
Practical implications
This study outlines 18 influencing factors and three sequential focuses for outsourcing decision-making, providing a clearer understanding of each factor’s contribution for decision-makers.
Originality/value
Most of the existing studies stressed the net effect of individual outsourcing factors from a single logic and paid little attention to their complex causal relationship. This study develops a holistic perspective of the influencing factors of outsourcing in construction projects by contending the overall knowledge of outsourcing and analyzing the causal relationship between them.
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Jingyi Lai, Yongcheng Fu, Yongqiang Chen and Bo Du
Outsourcing is a common practice that is often adopted to reduce costs and enhance capabilities. The underlying logic of a firm's outsourcing strategy is not always evident due to…
Abstract
Purpose
Outsourcing is a common practice that is often adopted to reduce costs and enhance capabilities. The underlying logic of a firm's outsourcing strategy is not always evident due to multiple antecedents with interacting effects. This study identifies critical factors that influence outsourcing strategies and reveals their interactions with empirical evidence from Chinese construction firms.
Design/methodology/approach
The quantitative decision-making trial and evaluation laboratory (DEMATEL) method was applied to analyze the interrelationships among the antecedents of project outsourcing strategies. First, 24 experts from 13 Chinese construction firms were invited to evaluate and score the influence of each factor on the other. Second, the graph theory and matrix tools of DEMATEL were used to quantitatively obtain the causality among factors and the prominence of each factor within the system.
Findings
Among the antecedents, a firm's pursuit of cost efficiency, identity, technological capability and contracting capability are the most prominent factors influencing project outsourcing strategies. For the interactions among these factors, this study reveals that the focal firm's technological capability significantly influences its contracting capability, and they jointly influence the firm's outsourcing practices, the selection of outsourcing vendors and, eventually, its pursuit of cost efficiency. Moreover, legal restrictions in the institutional environment strongly shape this capability–cost efficiency relationship.
Originality/value
Twelve critical factors following different theoretical perspectives at varying levels of analysis were identified from the literature review. By revealing the interrelationships among these factors, this study develops a holistic framework that integrates the transaction cost and capability perspectives for understanding project outsourcing strategies embedded in different institutional environments.
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