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1 – 10 of over 19000Leah A. Platz and Cecilia Temponi
The purpose of this work is to identify commonalities that exist within the contracts between customer and vendor companies, the nature of the problems commonly associated with…
Abstract
Purpose
The purpose of this work is to identify commonalities that exist within the contracts between customer and vendor companies, the nature of the problems commonly associated with these contracts, and to provide a theoretical model that exists between customer and vendor companies.
Design/methodology/approach
This research uses multiple sources of previous research to isolate the key elements and form a theoretical model for the ideal outsourcing contract. The common problems identified were also derived from previous research.
Findings
The paper finds that there is a common set of key contractual elements that exist between most outsourcing contracts. The nature of the particular industry the companies exist within and the specific needs within each customer‐vendor relationship can be accommodated within the contract by tailoring these key elements to fit each scenario. A set of common problems may arise when any of the key elements are not sufficiently addressed. These problems can greatly devalue the customer‐vendor relationship and supply chain as a whole.
Research limitations/implications
Future research should examine the theoretical model presented within the context of various industries. Each of the key elements presented and its implications for the customer‐vendor relationship should also be further examined.
Practical implications
This research may provide a better understanding of the importance of the outsourcing contract to the customer‐vendor relationship and/or the contract itself for management.
Originality/value
Previous research has not fully addressed the nature of the outsourcing contract and its associated problems. Where this research attempts to identify all key elements of the contract, previous research usually addresses a single contractual element at a time. There has also been little research that discusses the problems that commonly arise within the contractual relationship. The theoretical model within this research may be useful.
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The purpose of this paper was to consider 52 conceptual frameworks identified during a systematic literature review with the aim of providing insights into various aspects of…
Abstract
Purpose
The purpose of this paper was to consider 52 conceptual frameworks identified during a systematic literature review with the aim of providing insights into various aspects of outsourcing relationships. Many authors propose these frameworks to contribute to our understanding of how outsourcing relationships are conceived, operate and evolve. A meta-analysis of these frameworks was completed.
Design/methodology/approach
The approach consisted of five stages: a systematic, but focused literature review to identify relevant frameworks; a study of the selected frameworks to enable the design of a typology of framework styles, so that frameworks adopting similar styles can be compared and analysed; grouping of the frameworks into families addressing different aspects of relationships as they form, operate and evolve; using the types (from the typology) within these family groups to facilitate a meta-analysis of each group by identifying common or contrasting themes; and deriving overall observations and identifying the most robust frameworks in each group.
Findings
Nine framework types are identified and named as nominal categorisation, matrix, pyramid, dependency, interaction, flowchart, two-dimensional progression, life cycle and stepped. Five logical family groups were identified addressing how relationships form, operate and evolve. These groups cover the scope of outsourcing relationship, the relationship governance, the climate of the relationship, relationship tactics and relationship evolution. Common themes were identified, and overall observations were drawn. Recommendations are also provided on the frameworks which were assessed as being most robust and likely to be of most use to practitioners and researchers.
Research limitations/implications
The study considered a representative sample of frameworks identified during a systematic review of literature relating to outsourcing relationships. However, it cannot be considered fully comprehensive, and frameworks from other sources also exist.
Practical implications
Outsourcing success depends on the establishment and management of a constructive relationship between the client and supplier. Frameworks assist understanding of this important aspect of outsourcing.
Originality/value
This paper provides a reference point for scholars and practitioners who are interested in outsourcing relationships and may value the sources identified and the summaries, comparisons and recommendations provided.
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The purpose of this paper is to address the structure of the category on client-provider outsourcing relationship in relation to facilities management (FM). The paper aims to rank…
Abstract
Purpose
The purpose of this paper is to address the structure of the category on client-provider outsourcing relationship in relation to facilities management (FM). The paper aims to rank different outsourcing relationship types according to importance with respect to the four critical FM drivers including co-ordination, quality, competence and adequacy.
Design/methodology/approach
The survey design and measures operationalising the constructs allow the use of the analytic hierarchy process (AHP), a technique that tests FM outsourcing in a contingent approach such as a decision processing model. In the questionnaire surveys, a series of structured questions is designed. FM experts used the AHP methodology to analyse the FM outsourcing relationship types.
Findings
The model of the FM outsourcing strategies presented in the paper shows four main FM drivers at FM practice through the priority ratios of outsourcing relationship dimensions for different FM outsourcing contracts as derived by the AHP discussed by clients’ and service providers’ points of views. The result of a survey from the Hong Kong’s higher education industry reveals that the FM service providers can understand the needs of the clients in FM outsourcing contracts, including building maintenance, cleaning and catering. Hence, the service providers’ expected outsourcing performance will be good in these contracts. However, FM service providers do not understand the needs of FM clients in the FM outsourcing security contracts. Thus, the service providers’ expected outsourcing performance in such contracts will be poor. To improve the outsourcing relationships between the FM stakeholders, service providers must understand their clients’ needs to develop appropriate outsourcing strategies.
Originality/value
Understanding on the demand and supply of FM outsourcing services is now crucial for effective FM on outsourcing relationships between clients and service providers in higher education sector. The examination of current and prediction of future outsourcing relationships between the stakeholders to match the FM services significantly influence FM outsourcing success. This paper provides an intriguing insight into how the demand and supply of FM services can be successfully and strategically implemented into the FM outsourcing relationship in Hong Kong’s universities and tertiary institutions.
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This paper aims to test the nine corollaries concerning the determinants of outsourcing relationship dimensions, strategic manoeuvres, clients’ and service providers’ evaluation…
Abstract
Purpose
This paper aims to test the nine corollaries concerning the determinants of outsourcing relationship dimensions, strategic manoeuvres, clients’ and service providers’ evaluation regarding outsourcing category and outsourcing relationship types.The paper has the purpose of reviewing the concept of outsourcing in relation to FM, dealing with service providers’ performance and its effect on clients before providing a comprehensive discussion of outsourcing.
Design/methodology/approach
A conceptual approach is adopted, suggesting that a study of outsourcing relationship between clients and service providers from these theoretical perspectives is used to develop corollaries about the relationships between the strategic manoeuvres identified and the different dimensions of outsourcing relationship. The corollaries are examined using non-parametric tests.
Findings
The model of the facilities management (FM) outsourcing relationships presented in the paper shows performance of outsourcing services through evaluation of outsourcing categories on current and future FM contracts of clients and service providers. As a template of outsourcing relationships, the model is the context for predicting the important outsourcing categories to the future four FM outsourcing contracts, such as building maintenance, security, cleaning and catering. On prediction of those FM contracts, there is an inclination to the types of in-house and technical expertise on category of FM outsourcing relationship types from clients, whilst there is an equal inclination to the type of in-house outsourcing category from service providers.
Originality/value
Management on outsourcing relationships between clients and service providers is now essential for effective outsourcing in FM. This paper provides an intriguing insight into how the effect of outsourcing relationships can be strategically implemented into the performance of service providers.
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Ali Sukru Cetinkaya, Mehmet Ergul and Muzaffer Uysal
This paper aims to investigate the effects of vendor – client relationship on organizational success in the hospitality industry. The relationship between vendors and clients…
Abstract
Purpose
This paper aims to investigate the effects of vendor – client relationship on organizational success in the hospitality industry. The relationship between vendors and clients regarding information technology outsourcing does not always go in harmony. In the viewpoint of hospitality practitioners, information technology (IT) providers do not necessarily abide by the given promises stated on contracts, all the time. The service flows, which are mostly generated by the lack of quality relationship between vendors and clients directly affect hotels’ organizational performance.
Design/methodology/approach
Data were collected by an online survey and analyzed using multivariable statistics (path analysis) to determine the effects of service quality and relationship quality on outsourcing success, and its effect on organizational performance. Data from 102 valid responses received from ten different countries, representing 230 hotels in total were analyzed.
Findings
Service quality and relationship quality, which are two dimensions of outsourcing relationships, were found to be positively related to outsourcing success (r = 0.60 and 0.70, p < 0.01, respectively) and intangible organizational performance (r = 0.20, p < 0.05; 0.26 and 0.27, p < 0.01, respectively).
Research limitations/implications
The research was designed to investigate the IT outsourcing service receiver’s (client) perspective. The IT service provider’s (vendor) perspective is disregarded. Disturbance results are very high (i.e. more than 0.95). This may well be the case that certain facets of the outsourcing success construct are not adequately represented by the chosen indicators. Research results may reveal an idea about the research subject, in general, but may not be generalized to the whole industry due to its sampling size. Finally, the survey was conducted online, and all online research restrictions were applicable to this research such as receiving very limited response rates.
Practical implications
The results of this research provide important information for practitioners in the hospitality industry and IT service providers. Relationship quality between vendor and client was observed to be the most determinant factor in IT outsourcing success.
Social implications
The proposed model may well serve as a framework for further examining mediating and possible moderating variables.
Originality/value
There is limited research in the previous literature investigating the relationship between information technology vendor and client, in terms of service quality and relationship quality in hospitality industry. This paper may serve to fill in this gap.
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Shuting Li, Mark H. Haney, Gukseong Lee, Mingu Kang and Changsuk Ko
This paper aims to investigate the antecedents of manufacturing firms’ long-term orientation towards their suppliers in the context of outsourcing relationships in China.
Abstract
Purpose
This paper aims to investigate the antecedents of manufacturing firms’ long-term orientation towards their suppliers in the context of outsourcing relationships in China.
Design/methodology/approach
Based on survey data collected from 224 manufacturing firms in China, this study examines the hypothesized relationships.
Findings
The results show that task conflict has a negative effect on long-term orientation, both Chinese guanxi and formal control are useful governance mechanisms to enhance long-term orientation, and the negative effect of task conflict on the long-term orientation weakens as Chinese guanxi between a manufacturer and its supplier increases.
Originality/value
This study contributes to a better understanding of conflict management in outsourcing relationships in China.
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Trust, as one of the core components of a relationship, has attracted research attention from many disciplines. From the perspective of IT outsourcing, this paper aims to divide…
Abstract
Purpose
Trust, as one of the core components of a relationship, has attracted research attention from many disciplines. From the perspective of IT outsourcing, this paper aims to divide trust into two levels, interpersonal trust and interorganizational trust, and explore the effects of these two levels of trust on knowledge sharing and IT outsourcing success.
Design/methodology/approach
Based on social exchange theory and the theory of organization boundary systems, a theoretical model was developed and tested empirically with the responses to a cross‐sectional survey. Data were collected from key informants of 143 firms that had outsourced at least part of their IT functions.
Findings
The data analysis results showed that interpersonal trust plays a more dominant role than does interorganizational trust in making IT outsourcing successful and the extent of knowledge sharing has a significant mediating effect between interpersonal trust and IT outsourcing success.
Originality/value
From the managerial perspective, findings from this study once again emphasize the importance of relationship management (trust and knowledge sharing) on overall IT outsourcing success. Paying attention to interpersonal trust is an effective way for an organization to build and maintain a successful IT outsourcing relationship with its service provider.
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Yogi Yusuf Wibisono, Rajesri Govindaraju, Dradjad Irianto and Iman Sudirman
The purpose of this paper is to develop and to empirically test a model that explains how managing differences between an information technology (IT) provider and an overseas…
Abstract
Purpose
The purpose of this paper is to develop and to empirically test a model that explains how managing differences between an information technology (IT) provider and an overseas client influences partnership quality and ultimately affects the continuity of the relationship.
Design/methodology/approach
A field survey by distributing questionnaires to Indonesian IT providers was conducted over four months, yielding 78 completed responses. These empirical data were analyzed by the partial least squares–structural equation modeling technique to examine the measurement and structural models.
Findings
Managing differences, i.e. cultural, temporal and standards differences, has a positive impact on partnership quality through inter-firm interaction, i.e. information exchange, coordination and participation. Partnership quality, consisting of the dimensions of commitment, trust and integration, has a substantial positive impact on the continuity of the relationship.
Research limitations/implications
This study was limited by the use of a limited number of samples, reducing the precision of the results.
Practical implications
This study suggests that if the IT provider is able to manage the cultural, temporal and standards differences with the overseas client, it increases information exchange, coordination and participation between both parties, which are necessary for establishing a high-quality partnership.
Originality/value
This study is the first empirical examination of how the management of differences between an IT provider and an overseas client influences the continuity of their relationship through interaction and partnership quality.
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This paper seeks to describe what makes an outsourcer/client relationship successful and what outsourcers can do to ensure the longetivity of their client relationship.
Abstract
Purpose
This paper seeks to describe what makes an outsourcer/client relationship successful and what outsourcers can do to ensure the longetivity of their client relationship.
Design/methodology/approach
The authors discuss several important aspects of a successful relationship.
Findings
The outsourcing services market has exploded in recent years as more and more companies recognize the benefits of outsourcing to qualified firms. Competition among the many outsourcing firms that presently exist is fierce, and will get even more competitive in the coming years. Outsourcing is an emotional decision, especially for the first time outsourcer, and the success of an outsourcing arrangement depends greatly on the success of the client/vendor relationship.
Originality/value
Shows that it is how the client feels – whether or not an outsourcer is taking care of them – that will decide whether the outsourcing relationship continues or whether the engagement is handed over to an outsourcer's competitor.
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Apithamsoonthorn Sompong and Suthiwartnarueput Kamonchanok
Outsourcing is recognized as one of the critical factors for efficient execution of pharmaceutical supply chain management (PSCM), and many pharmaceutical companies engage in…
Abstract
Outsourcing is recognized as one of the critical factors for efficient execution of pharmaceutical supply chain management (PSCM), and many pharmaceutical companies engage in international outsourcing of services (IOS) to survive in global highly competitive business. Since the key success factors for both domestic & international alliances are partnership characteristics and strategic fit management, but there is no empirical research on this issue in Thai pharmaceutical partnership offshore outsourcing. Therefore, this survey of Thai and foreign companies, both contract providers (CPs) and contract manufacturers (CMs), seeks to indicate significant relationships among both outsourcing strategic fit and partnership types, including outsourcing performance outcome. This research is two-fold. First, the partnership types (Type I, II, & III), the strategic fit types (low fit, moderate fit, and good fit), and their correlations are analyzed. And second, their outsourcing performance (company revenues and growth rates) are presented. The results showed that the most of the Thai pharmaceutical outsourcing manufacturing are classified as the partnership Type II, as well as the moderate strategic fit, and strongly support the relationship between the two models. Both of the companies’ revenue and growth rate could predict the companies’ performances outcome for each of partnership and strategic fit types. However, it is not necessary that the most integrative type of partnership, Type III, will be always the best, because it depends also on the strategic fit between each pair of partners as well.
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