Narratives of an outsourced information systems failure in a small enterprise

In this study we investigate a case of an outsourced information systems (IS) failure (OISF) within the collaborative partnership among asymmetric partners. A small and medium-sized enterprise (SME) is dealing with an independent software vendor (ISV) conducting a project of implementing an IS that fails. We used a narrative research methodology for our enquiry. In the construction of our narrative we followed the OISF framework as a theoretical touchstone. As a major conclusion we found that asymmetric collaborations with partners with inadequate managerial and technical IT capabilities are extremely prone to OISF’s. We showed that an outcome-based and fixed price contract is not an adequate instrument to conduct such a partnership and to avoid a failure

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

Narratives of an outsourced information systems failure in a small enterprise

In this study we investigate a case of an outsourced information systems (IS) failure (OISF) within the collaborative partnership among asymmetric partners. A small and medium-sized enterprise (SME) is dealing with an independent software vendor (ISV) conducting a project of implementing an IS that fails. We used a narrative research methodology for our enquiry. In the construction of our narrative we followed the OISF framework as a theoretical touchstone. As a major conclusion we found that asymmetric collaborations with partners with inadequate managerial and technical IT capabilities are extremely prone to OISF’s. We showed that an outcome-based and fixed price contract is not an adequate instrument to conduct such a partnership and to avoid a failure

Transmission losses cost allocation in restructed electricity market environment

During these recent decades, the restructuring system of electricity market has been taken places around the whole world. Due to the restructuring (deregulation), the electrical power system has been divided into three separates categories according to the function. First stage of power system is the generation companies (GENCOs), followed by transmission companies (TRANSCOs) and distribution companies (DISCOs). The competitive environment will be handling by a non-profit entity, independent system operator (ISO) that functioning as the system securities that have to make sure that the power system continues to operate in a stable and economical manner. However, restructuring system can give effect during the energy transmission. One of the transmission issues is regarding the power losses. To overcome the losses, generators must generate more power. The issue regarding the transmission losses in deregulated system is how to allocate it to the user and charge them in fair ways as in for instance the pool trading model, it is hard to trace the power contribution and losses of each user in transmission line. In addition, the users didn’t want to pay the losses, it means that the ISO have to responsible for the losses and it will be unfair to put the responsible to ISO alone. Therefore, in this project, the allocation of transmission losses and loss cost methods which are the pro-rata and proportional sharing method will be investigated. Comparison between those methods will be done in order to identify which types of method that reflect an efficient and fair way to distribute the cost of the transmission losses to the user. These chosen methods will be tested on IEEE bus system

Reasons behind ERP package adoption: a diffusion of innovations perspective

Enterprise Resource Planning (ERP) packages have been widely adopted and it is becoming clear that this is driven by multiple rationales that may be simultaneously at odds and complimentary. In this paper, we aim to develop a greater understanding of these rationales by taking ERP packages to be innovations and analysing their adoption with reference to the theory of diffusion of innovations. In particular, we consider the attributes of ERP packages that may affect their adoption such as relative advantage, compatibility, complexiblity, trialability and observability. We argue that users’ perceptions of these attributes are not always accurate and these ’misconceptions’ can further explain reasons for ERP adoption or rejection. Although our analysis aims to provide rich insights into the adoption of ERP packages, the results of the study are arguably of further interest to the more general study of packaged software and the more established literature on custom development

Outsourcing Back Office Services in Small Nonprofits: Pitfalls and Possibilities

Presents findings on small nonprofits' administrative, finance, and other office support needs; reasons and conditions for outsourcing as well as barriers; methods for evaluating options; and guiding principles. Examines three business models

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

Make-or-buy configurational approaches in product-service ecosystems and performance

This research examines firm boundary configurations for manufacturers' product-service offerings. We argue that the building of a product-service ecosystem through collaboration with service providers in certain types of business services can increase performance as a result of the superior knowledge-based resources coming from specialized partners. By using fuzzy set qualitative analysis on a sample of 370 multinational manufacturing enterprises (MMNEs), the results reveal that effective servitization is heterogeneous across manufacturing industries and across business service offerings. The findings indicate that most industries achieve their highest performance through collaborations with value-added service providers in two out of three of the service continuum stages (Base and Intermediate services); while keeping the development of Advanced services in-house. The results help to contextualize the best practices for implementing service business models in MMNEs by detailing which service capabilities should be retained in-house and which should be outsourced to specialized partners in various industrial contexts.Peer ReviewedPreprin

Managing the outsourcing of information security processes: the 'cloud' solution

Information security processes and systems are relevant for any organization and involve medium-to-high investment; however, the current economic downturn is causing a dramatic reduction in spending on Information Technology (IT). Cloud computing (i.e., externalization of one or more IT services) might be a solution for organizations keen to maintain a good level of security. In this paper we discuss whether cloud computing is a valid alternative to in-house security processes and systems drawing on four mini-case studies of higher education institutions in New England, US. Our findings show that the organization’s IT spending capacity affects the choice to move to the cloud; however, the perceived security of the cloud and the perceived in-house capacity to provide high quality IT (and security) services moderate this relationship. Moreover, other variables such as (low) quality of technical support, relatively incomplete contracts, poor defined Service License Agreements (SLA), and ambiguities over data ownership affect the choice to outsource IT (and security) using the cloud. We suggest that, while cloud computing could be a useful means of IT outsourcing, there needs to be a number of changes and improvements to how the service is currently delivered

The offshoring of financial services : a reassessment

Operating in increasingly competitive market environment, financial services companies are engaged in international re-engineering of business processes mirroring developments in manufacturing over the past four decades. Drawing upon interviews conducted with senior managers and partners from two leading international banks, a multinational 'consumables' provider and a leading finance consultancy, as well as extensive published surveys, we examine the distinctive 'anatomy' of offshoring in financial services, and industry which also manifests a high degree of geographical concentration for 'higher order' functions. We conclude that the reality of process re-engineering in the sector has frequently failed to meet business objectives, and has run the risk of creating 'backlash' from employees in both home and host environments