By Mary C. Lacity
A wealthy database of over 2,200 outsourcing preparations, studied throughout sectors and geographies, and over the years, from inception, via agreement signing, to results. This ebook has remarkable perception into the strong practices which were confirmed powerful time and again.
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Winkler et al. 2008). Examined eight times, Cultural Distance Management Capability positively and signiﬁcantly affected outcomes six times (75%). , Rao et al. 2006; Willcocks et al. 2007). Other client capabilities have also been identiﬁed as affecting outsourcing decisions and outcomes: Contract Negotiation Capability, Absorptive Capacity, Client Outsourcing Readiness, Change Management Capability, Human Resource Management Capability, and Transition Management Capability. Our review treats all these capabilities as independent, but the most widely cited and respected papers on this topic identify a mix of complementary capabilities that lead to outsourcing success.
Evaluation Process. The client organization’s evaluation process for selecting providers seems to be a rather consistent predictor of the contract price, the outsourcing decision, expected cost savings being realized, and the achievement of outsourcing success in general. , Cullen et al. 2005a; Kern et al. 2002c; Lacity and Willcocks 1998). , Lacity and Willcocks 1998; Smith and McKeen 2004). The most comprehensive research on the decision process was done by Cullen et al. (2005a). The authors identiﬁed 54 processes associated with the making and managing of outsourcing decisions and found that clients who performed more processes had better outsourcing outcomes.
Acknowledgments Since 1989, we have interviewed thousands of private and public sector clients, providers, and advisors in North America, Europe, Australia, Asia, and Africa on the topic of sourcing business and information technology services. We therefore ﬁrst and foremost thank the now over 2500 executives across the globe who have participated in our research over the past 23 years. Without them our work would not have been possible. Due to the sensitive nature of outsourcing, many participants requested anonymity and cannot be individually acknowledged.
Advanced Outsourcing Practice: Rethinking ITO, BPO and Cloud Services by Mary C. Lacity