Significance of Supplier Selection Criteria Evolvement in IT Outsourcing to Emerging Economies – Lessons from a Global IT Outsourcing Project
Home >
2015,
Vol. 6 No. 2 > Significance of Supplier Selection Criteria Evolvement in IT Outsourcing to Emerging Economies – Lessons from a Global IT Outsourcing Project
Authors
- Harri HyvonenOutotec, Finland, University of Jyvaskyla, Finland
- Mikko HelminenOutotec, Finland
- Chihiro WatanabeUniversity of Jyvaskyla, FinlandInternational Institute for Applied Systems Analysis (IIASA), Austria
Keywords
IT outsourcing, emerging economies, supplier selection criteria, project management, action research
Abstract
In line with the increasing significance of the acceleration of information technology (IT) advancement and also of harnessing the vigor of emerging economies, IT outsourcing to emerging economies has become global concerns. This enables global companies to enjoy a critical competitive edge by choosing the best option in outsourcing strategy and supplier selection. Consequently, supplier selection criteria have become critical issues for both suppliers and customers. This paper attempts to provide insightful suggestions to these issues. An empirical analysis was conducted taking supplier selection criteria evolvement in global IT outsourcing project focusing on action research in a multinational company. Noteworthy findings include impacts of managerâs change, identification of creative moment and weighting of supplier selection criteria.
References
- Avison, D., Lau, F., Myers, M. and Nielsen, P. (1999). âAction Researchâ. Communications of the ACM, 42:1, pp. 94-97. http://dx.doi.org/10.1145/291469.291479.
- Chou, D.C., and Chou, A.Y. (2009) âInformation Systems Outsourcing Life Cycle and Risks Analysisâ. Computer Standards and Interfaces, 31:5, pp. 1036-1043. http://dx.doi.org/ 10.1049/iet-sen.2013.0013
- Dibbern J., Goles T., Hirschheim R., & Jayatilaka B. (2004) âInformation Systems Outsourcing: A Survey and Analysis of the Literatureâ. The DATA BASE for Advances in Information Systems, 35:4, pp. 6-102. http://dx.doi.org/10.1145/1035233.1035236.
- Estay-Niculcar,C. and Pastor-Collado, J. (2002) âA Maturity Model for Information Systems Action-Research Project Managementâ, Proceeding, ECIS 2002 June 6â8, GdaĹsk, Poland.
- Graf, M., and Mudambi, S. M. (2005) âThe Outsourcing of IT-enabled Business Processes: A Conceptual Model of the Location Decisionâ, Journal of International Management, 11:2, pp. 253-268.
- Grossler, A., Laugen, B.T., Arkader, R. and Fleury, A. (2013) âDifferences in Outsourcing Strategies between Firms in Emerging and in Developed Marketsâ, International Journal of Operations and Production Management, 33:3, pp.296-321.
- HätĂśnen, J. (2005) âManaging the Process of Outsourcing â Examining the Process of Outsourcing Product-development Activities in Software Firmsâ. Dissertation. University of Turku School of Economics.
- Hofstede, G. (1991). âCultures and Organizations,â London, McGraw-Hill International. Ishi, J. (2009). âBusiness Insight.â Tokyo, Iwanami Shoten Publishers ( in Japanese).
- Javalgi, R.G., Dixit, A. and Scherer. (2009) âOutsourcing to Emerging Markets: Theoretical Perspectives and Policy Implicationsâ, Journal of International Management, 15:1, pp. 156-168.
- Kaplan, R.S., and Norton, D.P. (2004). âStrategy Maps: Converting Intangible Assets into Tangible Outcomesâ, Boston, MA, Harvard Business School Press.
- KPMG State-of-Outsourcing (2014). https://www.kpmginstitutes.com/content/dam/kpmg/ sharedservicesoutsourcinginstitute/pdf/2014/state-of-outsourcing-2014-exec-findings-hfs.pdf, KPMG Research.
- Lacity, M., and Hirschheim, R. (1993). âInformation Systems Outsourcing; Myths, Metaphors, and Realitiesâ. England, John Wiley & Sons, Inc..
- Lacity M., and Willcocks L. (1998) ´An Empirical Investigation of Information Technology Sourcing Practices: Lessons from Experience´. MIS Quarterly, pp. http://dx.doi.org/363-408. 10.2307/249670.
- Lacity, M., Willcocks, L. and Rottman, J. (2008) `Global Outsourcing of Back Office Services: Lessons, Trends and Enduring Challenges´, Strategic Outsourcing: An International Journal, 1:1, pp. 13-34.
- Lacity, M., Khan, S. and Willcocks, L. (2009) ´A Review of the IT Outsourcing Literature: Insights for Practice´. Journal of Strategic Information Systems, 18: 3, pp. http://dx.doi.org/130-146. 10.1016/j.jsis.2009.06.002.
- Lee, J.N. and Kim, Y.G. (1999) âEffect of Partnership Quality on IS Outsourcing Success: Conceptual Framework and Empirical Validationâ. Journal of Management Information Systems, pp. 29â61.
- Levina, N., and Ross, J.W. (2003) ´From the Vendorâs Perspective: Exploring the Value Significance of Supplier SelectionProposition in Information Technology Outsourcing´, MIS Quarterly 27:3, pp. 331-364.
- Mori, T. (1997) âRecalling Futureâ Contemporary Philosophy, 25:12, pp. 96-101(in Japanese).
- Palugod, N., and Palugod, P. (2011) âGlobal Trends in Offshoring and Outsourcing, International Journal of Business and Social Science, 2:16, pp. 13-19.
- Prahalad, C.K. (2004)âThe Fortune at the Bottom of the Pyramid: Eradicating Poverty through Profitsâ, New Jersey, Wharton School Publishing.
- Rottman J., and Lacity, M. (2006) ´Proven Practices for Effectively Offshoring IT Work´, Sloan Management Review, 47: 3, pp. 56 â 63.
- Simonsen, J. (2009). ´A Concern for Engaged Scholarship: The challenges for action research projects´, Scandinavian Journal of Information Systems, 21: 2, Article 1.
- Taylor, H. (2007) ´Outsourced IT Projects from the Vendor Perspective: Different Goals, Different risks´. Journal of Global Information Management, 15: 2, pp. 1-27.
- The CIO Insight. (2012) http://www.cioinsight.com/c/a/Outsourcing/ IT-Outsourcing-Deals- Gone -Bad-851734/ 1.
- Teng, J. T. C., M. J. Cheon, & V. Grover. (1995) âDecisions to Outsource Information Systems Functions: Testing a Strategy-Theoretic Discrepancy Modelâ, Decision Sciences, 26:1, pp. 75-103. http://dx.doi.org/10.1111/j.1540-5915.1995.tb00838.x.
- Vagadia, B. (2012) ´Strategic Outsourcing Management for Professionals´, Berlin, Springer -Verlag.
- Watanabe, C. (2009) âManaging Innovation in Japan: The Role Institutions Play in Helping or Hindering How Companies Develop Technologyâ. Berlin, Springer. http://dx.doi.org/10.1007/978-3-540-89272-4.
- Watanabe, C., Naveed, K. and Zhao, W. (2014) âInstitutional Sources of Resilience in ICT Global Leaders: Harnes the Vigor of Emerging Powerâ. Journal of Technology Management for Growing Economies, 5:1, pp. 7-34.
- Zhao, W. and Watanabe, C. (2010) âRisk Management in Software Outsourcing: A Portfolio Analysis of Indiaâs Case based on Software Export Market Constitutionâ. Journal of Services Research, 10:1, pp. 143-155.
- Zhao, W., Watanabe, C. and Tou, Y. (2013) âCo-emergence of Institutional Innovation Navigates the New Normal in Growing Economies.â Journal of Technology Management for Growing Economies, 4:1, pp. 69-81.
How to Cite
Harri Hyvonen, Mikko Helminen, Chihiro Watanabe. Significance of Supplier Selection Criteria Evolvement in IT Outsourcing to Emerging Economies – Lessons from a Global IT Outsourcing Project.
J.Technol. Manag. Grow. Econ.. 2015, 06, 7-25
Search
