Governance of Offshore IT Outsourcing at Shell Global Functions IT-BAM Development and Application of a Governance Framework to Improve Outsourcing Relationships

The lack of effective IT governance is widely recognized as a key inhibitor to successful global IT outsourcing relationships. In this study we present the development and application of a governance framework to improve outsourcing relationships. The approach used to developing an IT governance framework includes a meta model and a customization process to fit the framework to the target organization. The IT governance framework consists of four different elements (1) organisational structures, (2) joint processes between in- and outsourcer, (3) responsibilities that link roles to processes and (4) a diverse set of control indicators to measure the success of the relationship. The IT governance framework is put in practice in Shell GFIT BAM, a part of Shell that concluded to have a lack of management control over at least one of their outsourcing relationships. In a workshop the governance framework was used to perform a gap analysis between the current and desired governance. Several gaps were identified in the way roles and responsibilities are assigned and joint processes are set-up. Moreover, this workshop also showed the usefulness and usability of the IT governance framework in structuring, providing input and managing stakeholders in the discussions around IT governance

Outsourcing the logistics function: the supply chain role of third-party logistics service providers in UK convenience retailing

Logistics, defined as the process of strategically managing the procurement, movement and storage of materials; parts; finished inventory and related information flow through the organisation and its marketing channels, is increasingly being recognised as a vital part of an organisation’s marketing strategy. In many organisations, the logistics function is currently facing significant challenges. Pressures from increasing competition and high customer service-level expectations have created a need for more professional and better-equipped logistics services. Confronted with such competitive pressures, these organisations are faced with decisions of the make OR buy kind with regard to the logistics processes of supply and distribution. In addition, the emergence of a need to focus on core capabilities has led many organisations to contract out all, or part of, the logistics function to third-party providers. This paper explores the challenges of outsourcing logistics in the UK convenience-retailing sector

A framework and tool to manage Cloud Computing service quality

Cloud Computing has generated considerable interest in both companies specialized in Information and Communication Technology and business context in general. The Sourcing Capability Maturity Model for service (e-SCM) is a capability model for offshore outsourcing services between clients and providers that offers appropriate strategies to enhance Cloud Computing implementation. It intends to achieve the required quality of service and develop an effective working relationship between clients and providers. Moreover, quality evaluation framework is a framework to control the quality of any product and/or process. It offers a tool support that can generate software artifacts to manage any type of product and service efficiently and effectively. Thus, the aim of this paper was to make this framework and tool support available to manage Cloud Computing service quality between clients and providers by means of e-SCM.Ministerio de Ciencia e Innovación TIN2013-46928-C3-3-RJunta de Andalucía TIC-578

Web Services Support for Dynamic Business Process Outsourcing

Outsourcing of business processes is crucial for organizations to be effective, efficient and flexible. To meet fast-changing market conditions, dynamic outsourcing is required, in which business relationships are established and enacted on-the-fly in an adaptive, fine-grained way unrestricted by geographic distance. This requires automated means for both the establishment of outsourcing relationships and for the enactment of services performed in these relationships over electronic channels. Due to wide industry support and the underlying model of loose coupling of services, Web services increasingly become the mechanism of choice to connect organizations across organizational boundaries. This paper analyzes to which extent Web services support the dynamic process outsourcing paradigm. We discuss contract -based dynamic business process outsourcing to define requirements and then introduce the Web services framework. Based on this, we investigate the match between the two. We observe that the Web services framework requires further support for cross - organizational business processes and mechanisms for contracting, QoS management and process-based transaction support and suggest ways to fill those gaps

CrossFlow: Cross-Organizational Workflow Management for Service Outsourcing in Dynamic Virtual Enterprises

In this report, we present the approach to cross-organizational workflow management of the CrossFlow project. CrossFlow is a European research project aiming at the support of cross-organizational workflows in dynamic virtual enterprises. The cooperation in these virtual enterprises is based on dynamic service outsourcing specified in electronic contracts. Service enactment is performed by dynamically linking the workflow management infrastructures of the involved organizations. Extended service enactment support is provided in the form of cross-organizational transaction management and process control, advanced quality of service monitoring, and support for high-level flexibility in service enactment. CrossFlow technology is realized on top of a commercial workflow management platform and applied in two real-world scenarios in the contexts of a logistics and an insurance company

Logistics outsourcing and 3PL selection: A Case study in an automotive supply chain

Outsourcing logistics functions to third-party logistics (3PL) providers has been a source of competitive advantage for most companies. Companies cite greater flexibility, operational efficiency, improved customer service levels, and a better focus on their core businesses as part of the advantages of engaging the services of 3PL providers. There are few complete and structured methodologies for selecting a 3PL provider. This paper discusses how one such methodology, namely the Analytic Hierarchy Process (AHP), is used in an automotive supply chain for export parts to redesign the logistics operations and to select a global logistics service provider

A Study On Influencing Factors And Performance Of Logistics Outsourcing Practices Among Electrical And Electronics Firms In Malaysia

Penyumberluaran aktiviti logistik telah menjadi strategi popular bagi kebanyakan organisasi dalam memburu kecemerlangan operasi di era persaingan sengit pasaran global. Logistics outsourcing has been growing as a popular strategy for many organizations in pursuit of operational excellence despite the fierce competitive market globally

Information Systems Skills Differences between High-Wage and Low-Wage Regions: Implications for Global Sourcing

Developing Information Systems (IS) skills for a company’s workforce has always been challenging, but global sourcing growth has caused the determination of needed IS skills to be more complex. The increased use of outsourcing to an IS service provider and from high-wage regions to low-wage regions has affected what IS skills are required globally and how to distribute the workforce to meet these needs. To understand what skills are needed in locations that seek and those that provide outsourcing, we surveyed IS service provider managers in global locations. Results from 126 reporting units provide empirical evidence that provider units in low-wage regions value technical skills more than those in high-wage regions. Despite the emphasis on commodity skills in low-wage areas, high- and low-wage providers value project management skills. Low-wage regions note global and virtual teamwork more than high-wage regions do. The mix of skills and the variation by region have implications for domestic and offshore sourcing. Service providers can vary their staffing models in global regions which has consequences for recruiting, corporate training, and curriculum