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Article
Publication date: 6 February 2017

Poonam Garg and Reema Khurana

In order to reduce the high failure rate of enterprise resource planning system (ERP) projects in Indian retail, project managers need to analyze and understand the impact of risk…

1491

Abstract

Purpose

In order to reduce the high failure rate of enterprise resource planning system (ERP) projects in Indian retail, project managers need to analyze and understand the impact of risk factor on ERP implementation. The purpose of this paper is to identify the key risk factors solely or primarily for the Indian retail sector. Furthermore, this study also analyzes the impact of risk factors in ERP implementation using the structural equation model (SEM) approach. “User risk,” “project management risk,” “technological risk,” “team risk,” “organizational risk,” and “project performance risk” are the examined factors.

Design/methodology/approach

A theoretical model is created that explains the risk factors which may impact the success of ERP implementation. Hypotheses were also developed to evaluate the interrelationship between risk factors and success of ERP implementation. Empirical data are collected through survey questionnaire from practitioners such as project sponsors, project managers, implementation consultants, and team members who are involved in ERP implementation in the retail sector to test the theoretical model.

Findings

Using the SEM, it is found that 40 percent of the variations in ERP implementation success can be explained with the help of the model suggested in the research study. The results of the study has empirically verified that “user risk,” “project management risk,” “technological risk,” “team risk,” “organizational risk,” and “project performance risk” factors are positively impacting ERP implementation success. All six hypotheses were supported by the results of the study.

Research limitations/implications

The findings from this paper can provide greater understanding of ERP implementations. Researchers, practicing managers, and those seeking to implement ERP in retail organization can also use the findings of this study as a vehicle for improving ERP implementation success in the retail sector.

Originality/value

The study integrates the impact of risk factor on ERP implementation. Very few studies have been performed to investigate and understand this issue. Therefore, the research can make a useful contribution.

Details

Benchmarking: An International Journal, vol. 24 no. 1
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 24 July 2009

Reema Khurana and Vijay V. Mandke

This paper aims to discuss the idea that businesses, for survival in the market, need a competitive edge. This edge can be achieved by focusing on business processes as…

2179

Abstract

Purpose

This paper aims to discuss the idea that businesses, for survival in the market, need a competitive edge. This edge can be achieved by focusing on business processes as informational work (IW) systems rather than physical work systems and then to focus on achieving information integrity. In order to achieve this aim the strategy should be to model a business process to achieve both operational and goal integrity. An analytical framework for the same is to be described.

Design/methodology/approach

The paper uses an analytical approach. First a literature survey is conducted to find out whether the business process models being followed currently are sufficient to give a competitive edge to business. Subsequently, the information integrity approach is introduced and a framework is suggested to model the business processes.

Findings

The main findings of the paper are that the current business processes which are physical in nature need to be perceived as information oriented processes. Moreover, these IW systems need to process information with integrity. The paper explains the concept of information integrity in a detailed way by covering all aspects of the same, namely identification of business process as a multistage information system, explanation of information as a function of recipient, suggesting a structure of a good business process model, identifying the criticality of information integrity for business competitive advantage and listing the emerging information integrity requirements.

Originality/value

The paper adds value because it analytically puts forth the complete check list of activities for business process modeling with information integrity.

Details

Business Process Management Journal, vol. 15 no. 4
Type: Research Article
ISSN: 1463-7154

Keywords

Article
Publication date: 5 May 2015

Daisy Mathur Jain and Reema Khurana

The information technology (IT) outsourcing has been inexorably growing in spite of its downsides. The main reasons are financial gains and cost reductions, as well as it allows…

Abstract

Purpose

The information technology (IT) outsourcing has been inexorably growing in spite of its downsides. The main reasons are financial gains and cost reductions, as well as it allows companies to focus on their core selling areas. Within IT outsourcing, offshoring has become a big success because it greatly reduces costs. Countries like India, China and Philippines are attracting a lot of IT outsourcing work. In order to save costs, companies have to work out the best pricing models with the vendors so enable profitability at both ends. The main pricing models prevalent in the industry are Time and Material (TnM) and Fixed Time Fixed Price (FTFP) alternately also referred as Fixed Price. There are various other pricing models now, which are mainly variations of these. The purpose of this paper is to show an empirical comparison between these models from the vendor’s perspective to see which of them has greater acceptability.

Design/methodology/approach

The paper is an empirical paper in which literature survey has been done to study various pricing models in the IT service outsourcing industry, on the basis of same, two most used models have been identified, namely, FTFP and TnM, hypothesis were formulated, Likert scale questionnaire was formed. Subsequently data were collected and Wilcoxon signed-rank test was carried out to compare the variables defining the FTFP and TnM models of pricing. In total, 68 firms were targeted and 120 responses were received. The two models were studied against parameters like usage, profitability, risk, deliveries meeting project schedule, good quality code, the pricing model used by respondents’ majority of times and whether either of them lead to increasing costs.

Findings

This study has found that TnM is less risky for vendors, more profitable and vendors are able to manage better quality delivery compared to FTFP. Also it has been statistically proven that the pricing models TnM and FTFP do not impact the usage and schedules in any way. These are important findings as there have been no earlier research papers which have compared the pricing models with reference to Indian IT service outsourcing industry.

Research limitations/implications

The two major pricing models TnM and FTFP are studied in the paper below. Data were gathered from 68 companies. As per results, TnM is more profitable, less risky, does not lead to increasing cost and produces good quality code as compared to FTFP also it has been statistically proven that the pricing models TnM and FTFP do not impact the usage and schedules in any way. The implications bridge a gap between theory and practice, as theoretically many pricing models exist, however, what are practical applications and justification vis-à-vis different aspects has not been approached statistically so far in the given context. Further research can be done on other variations of pricing models and to establish which one should be the preferred model and in which circumstances.

Practical implications

There are major practical implications of the paper as it fills the gap between the theoretical discussions of pricing and identifies and statistically proves importance of various aspects of pricing in practice.

Originality/value

The paper is original and adds value in terms of advising the IT service outsourcing companies as to which pricing models to use.

Details

Benchmarking: An International Journal, vol. 22 no. 4
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 5 May 2015

Daisy Mathur Jain and Reema Khurana

The information technology (IT) industry has grown owing to the increase in IT outsourcing prompted by the need for cost reductions in organizations. The IT industry contracts are…

Abstract

Purpose

The information technology (IT) industry has grown owing to the increase in IT outsourcing prompted by the need for cost reductions in organizations. The IT industry contracts are based on pricing models, which establish the terms and conditions of payment to be made to vendors by clients. The pricing models followed in the industry are mainly Fixed Time Fixed Price (FTFP) and Time and Material (TnM) and the remaining are mostly variations of these. Using the information collected from vendors, the purpose of this paper is to draw a comparison between these pricing models to see which one is more acceptable to vendors along with researching on the reasons behind that. The outsourcing engagement is also based on a set of processes to be used during the contract time and that is known as the Outsourcing Model (OM) being used. This research also derives how pricing models, OMs and Client Vendor Relationship (CVR) being developed are related.

Design/methodology/approach

Hypothesis have been formulated on the basis of the literature survey conducted by the authors, subsequently questionnaire was formulated and data were collected from – a total of 500 people were targeted, out of which 70 people responded. Out of these 70 only 50 were usable responses. The respondents were at the manager and above level in different organizations classified on the basis of number of employees. Statistical tests were conducted on these data to check the reliability, prove the hypothesis and establish the mediation and moderation relationships between the pricing model, OM and CVR.

Findings

The following paper has established through statistical analysis which pricing model is more befitting to the IT service outsourcing industry and has also demonstrated the moderation and mediation relationship between pricing model, OM and CVR variables.

Research limitations/implications

The major reserach limitation is that it is for only IT vendors in Indian geography. The research can be extended to different businesses and geographies.

Practical implications

The paper has practical implications for the IT service outsourcing industry in India and for their clients to understand the comparison between the pricing models and to study the impact of pricing and OMs on the CVRs.

Originality/value

The research presented is original as no similar work has been found to be published in the journals so far specifically in the Indian context.

Details

Benchmarking: An International Journal, vol. 22 no. 4
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 1 February 2013

Daisy Mathur Jain and Reema Khurana

The purpose of this paper is to study sustainability of the global business model of software outsourcing with perspective of Indian vendors.

1679

Abstract

Purpose

The purpose of this paper is to study sustainability of the global business model of software outsourcing with perspective of Indian vendors.

Design/methodology/approach

In order to obtain results as per the stated purpose, the authors have done an extensive literature review search in the e‐journals databases: ABI/INFORM Complete, EBSCO Business Source Complete, Emerald Management Xtra and Science Direct. Over and above these databases and journals, NASSCOM reports, survey and some books were also referred for literature review. Finally 59 references listed at the end of the paper were used for the stated purpose.

Findings

The paper studies trends in software industry and outsourcing models, which Indian vendors are offering to their global clients. Each model is evaluated analytically for its advantages and shortcomings subsequently the paper concludes by stating the need for a sustainable global business model in software outsourcing from Indian perspective.

Research limitations/implications

The paper studies business of software at a global level and subsequently narrows its focus on the models being provided by the Indian vendors. It identifies need for a sustainable model to be used by the Indian vendors; the limitation of the paper is it concludes with the need identification and is from an Indian vendor perspective. The needs identified can be further used as a basis for hypothesis formulation, questionnaire design, data survey and analysis so that blue print of the proposed model can finally emerge, also the study can be expanded to include global vendors.

Practical implications

The following paper analytically studies current trends in global business of software sourcing, and identifies pros and cons of the models adopted by Indian vendors. It identifies the need for a sustainable global business model for software outsourcing; in case the need is fulfilled it will definitely add value to India as a software sourcing destination and lead to more revenue generation which will eventually culminate into a large‐scale and long term economic and social impact. The study also has several research and public policy formulation implications.

Originality/value

The paper is completely original work of the authors where the value addition is clearly seen by studying the advantages and shortcomings of the existing models of software outsourcing adopted by Indian vendors and identifying the need for sustainability therein.

Details

Business Process Management Journal, vol. 19 no. 1
Type: Research Article
ISSN: 1463-7154

Keywords

Article
Publication date: 7 March 2016

Daisy Mathur Jain and Reema Khurana

The information technology (IT) industry has been continuously expanding. This has resulted in promoting outsourcing of work by clients to vendors. Most of the published research…

1224

Abstract

Purpose

The information technology (IT) industry has been continuously expanding. This has resulted in promoting outsourcing of work by clients to vendors. Most of the published research has focussed on when clients should start outsourcing, what to outsource, criteria for vendor selection, etc., however the vendor side of the relationship has been mostly ignored. The purpose of this paper is to delve deep into the vendors’ side and what aspects a vendor needs to consider in order to maintain a good relationship with the clients.

Design/methodology/approach

The research design of the paper is to use literature survey to define the components of the client vendor relationship (CVR), identify the parameters impacting the relationship, establish correlation between the independent variables and the dependent variable; subsequently to propose a framework for the CVR.

Findings

The findings have been that – communication, technical value addition, knowledge sharing and client vendor adaptability are vital to any outsourcing engagement and if the vendor is able to get good knowledge transfer of the application at hand and the business domain, it can perform better. Vendors, which proactively resolve issues, ensure stable deliveries before time and identify improvements in the software outside the work assigned maintain better relationship. Further a vendor must be adaptable to clients, cultural, time zone differences, should provide a good project manager and be ready to change tools, resources as per client needs. As long as the vendor is able to ensure the above, the stability of the client country and need for information security is not as important to vendors.

Research limitations/implications

The study has limitations as it focusses on the vendors’ side and is inclined toward Indian vendors’ perspectives. Future research can include client as well and can be conducted for a different geography.

Originality/value

The research work is original and adds value to the IT service outsourcing industry by identifying the parameters which need to be monitored for a sustainable CVR.

Details

Benchmarking: An International Journal, vol. 23 no. 2
Type: Research Article
ISSN: 1463-5771

Keywords

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