Job losses, outsourcing and relocation: Empirical evidence using microdata

Using microdata, we analyse the determinants of firm relocation and conventional outsourcing decisions as a way to reduce employment. The results for a sample of 32 countries show the relevance of factors not considered previously in the literature. Firms that are below average in quality or innovation have a higher propensity to externalise part of their production through outsourcing, while lower relative profitability and longer time to market for new products each imply a higher probability of relocation.Firm relocation, outsourcing, subcontracting, logit models.

Job losses, outsourcing and relocation, empirical evidence using microdata.

Using microdata, we analyse the determinants of firm relocation and conventional outsourcing decisions as a way to reduce employment. The results for a sample of 32 countries show the relevance of factors not considered previously in the literature. Firms that are below average in quality or innovation have a higher propensity to externalise part of their production through outsourcing, while lower relative profitability and longer time to market for new products each imply a higher probability of relocation.Job losses, outsourcing and relocation

Outsourcing and offshore : an analysis of the academic literature

Outsourcing and offshore are strategies adopted by businesses to manage their Information Sys­tems. There has been an increase in the volume of literature devoted to outsourcing and offshore during the past years. This paper provides a review of articles about outsourcing and offshore published in various journals. This list of journals was obtained by consulting the Journal Citation Report with an impact factor of over 3.0 in the last five years. This research was a survey with data collection from the following journals: Information & Management, Information Systems Journal, Information Systems Research, Journal of Information Technology, Journal of Management Information Systems and MIS Quarterly. The results obtained are: the majority of articles have two or three authors (83,9%); the majority of co-authors work in different universities (73,8%); the majority of the authors are associated with a USA-based uni­versity (54,5%). The result of this research assists in the identification of researchers and research gaps in this subject

Information systems offshore outsourcing: a descriptive analysis

Purpose - The present paper has as its aim to deepen in the study of Information Systems Offshore Outsourcing, proposing three essential steps to make this decision: weighing up the advantages and risks of Offshore Outsourcing; analysing the taxonomy of this phenomenon; and determining its current geography. Design/Methodology/Approach - With that objective in mind, it was decided to base the research work on the literature about this topic and the review of reports and statistics coming from different sources (consultants, the press, public institutions, etc.). Findings - Offshore Outsourcing has grown vertiginously in recent years. Its advantages exceed even those of onshore outsourcing, though it also involves greater risks derived from the (cultural and physical) distance existing between customer and provider. Various types of services and customer-provider relationships hide under the umbrella of Offshore Outsourcing; i.e. it is not a homogeneous phenomenon. The main Offshore Outsourcing customers can be found in the USA and Europe, mainly in the UK but also in other countries such as Germany and France. As for provider firms, most of them are located in Asia −outstandingly in India but also in China and Russia. At present, there are important providers scattered in other continents as well. Originality/Value - The conclusions suggest that the range of potential Offshore Outsourcing destinations must be widened and that the search for a provider cannot be based exclusively on cost savings; other considerations such as quality, security and proximity of the provider must also be taken into consideration. That is precisely the reason why the study of new countries like Spain as Offshore Outsourcing destinations is proposed

SOME CONSIDERATIONS ABOUT IT OUTSOURCING PROCESS

IT outsourcing is the practice of contracting out the running of a part of an organization computer department. It is not a new phenomenon, but the scale and scope of its occurrence has greatly increased over the last decade. Due to the fact that IT outsourcing has no obviously and quantifiable benefits, most of the business entities choose not to do outsource their IT. The paper is based on the idea of incapability of exact determination of IT services costs. The purpose of this research regards the layout of the current approaches to outsourcing, description of different types of IT outsourcing and their advantages and the analysis of some models which might be used in order to facilitate the IT decision making process.Outsourcing, Information Technology, Information Systems, Application Services Provider, IT Risks

Risks and Audit Objectives for IT Outsourcing

In the recent years, as a result of globalization, internet and IT progress, the outsourcing of IT services has seen an exponential growth. As a result more and more companies decide to outsource, partially or totally, their IT services. Nevertheless, the outsourcing process exposes both clients and service providers to a series of risks that can seriously affect their activities. Managing these risks by improving the quality and efficiency of internal control has made the ITO audit a necessary component for all the companies involved in this process. The goal of this paper is to identify analyze and map the influence areas of ITO risks in order to suggest a series of objectives for ITO audit.Information Technology, Outsourcing, Audit, Risks, Service Provider

A Systematic Literature Review on IT Outsourcing Decision and Future Research Directions

During the recent decades, some academic research on the subject of information technology outsourcing (ITO) decision has appeared in different outlets, which may impede the use of such resources and as a result, repetition of research by various researchers is very likely. The purpose of this paper is then to conduct a systematic literature review (SLR) pertaining to research on ITO decision. Then, this review intends to 1) classify ITO decision literature, 2) provide a list of factors affecting ITO decision, and 3) identify ITO strategies. To this end, 91 ITO articles published between 2000 and 2018 in 51 unique journals were reviewed. The results yielded three kinds of descriptive, relational, and comparative ITO decision studies. The determinants of ITO decisions are classified into technological, organizational, environmental and user adoption factors. Furthermore, the trend of studied ITO strategies in the reviewed literature is analyzed, and future sourcing varietals are proposed. Finally, some insights and future research directions are proposed based on the review results.During the recent decades, some academic research on the subject of information technology outsourcing (ITO) decision has appeared in different outlets, which may impede the use of such resources and as a result, repetition of research by various researchers is very likely. The purpose of this paper is then to conduct a systematic literature review (SLR) pertaining to research on ITO decision. Then, this review intends to 1) classify ITO decision literature, 2) provide a list of factors affecting ITO decision, and 3) identify ITO strategies. To this end, 91 ITO articles published between 2000 and 2018 in 51 unique journals were reviewed. The results yielded three kinds of descriptive, relational, and comparative ITO decision studies. The determinants of ITO decisions are classified into technological, organizational, environmental and user adoption factors. Furthermore, the trend of studied ITO strategies in the reviewed literature is analyzed, and future sourcing varietals are proposed. Finally, some insights and future research directions are proposed based on the review results

The global operations of European firms

This Policy Brief is part of the EU-EFIGE (European Firms in a Global Economy) project which aims to address policy questions on the casual link between firm characteristics and internationalisation. Authored by Giorgio Barba Navaretti, University of Milan; Matteo Bugamelli, Bank of Italy; Gianmarco Ottaviano, Bruegel Senior Fellow; and Fabiano Schivardi, University of Cagliari, this paper is based on a comprehensive survey of 15,000 firms across seven EU countries. The findings of this paper set the foundation for deeper investigation into key policy challenges affecting European firms on the global stage.

Job losses, outsourcing and relocation : empirical evidence using microdata

Using microdata, we analyse the determinants of firm relocation and conventional outsourcing decisions as a way to reduce employment. The results for a sample of 32 countries show the relevance of factors not considered previously in the literature. Firms that are below average in quality or innovation have a higher propensity to externalise part of their production through outsourcing, while lower relative profitability and longer time to market for new products each imply a higher probability of relocation