How Organizational Identity influences Information Technology (IT) Outsourcing Success

Corporate Information Technology (IT) functions are under increasing pressure to succeed in their IT outsourcing (ITO) arrangements. Studies of ITO success have in the past mainly explored its operational and financial aspects. At the same time there is a dearth of research on broader organizational antecedents and outcomes of ITO. This study examines the effect of organizational identity on outsourcing success. Specifically, we ask: does the strength of an organization’s identity- i.e. how unique it views its role in relation to other corporate functions- influence ITO success? We conduct an empirical study among 312 IT leaders engaged in outsourcing. We find that organizational identity strength mediates the effect of one pivotal outsourcing antecedent – effective knowledge sharing – on ITO Success. We thereby expose the role of identity strength as a potential determinant of ITO success and subsequently surmise that it’s likely to have a material impact on the firm

Virtual HR Departments: Getting Out of the Middle

In this chapter, we explore the notion of virtual HR departments: a network-based organization built on partnerships and mediated by information technologies in order to be simultaneously strategic, flexible, cost-efficient, and service-oriented. We draw on experiences and initiatives at Merck Pharmaceuticals in order to show how information technology in establishing an infrastructure for virtual HR. Then, we present a model for mapping the architecture of HR activities that includes both internal and external sourcing options. We conclude by offering some recommendations for management practice as well as future research

THE POWER OF WHO WE ARE: HOW ORGANIZATIONAL IDENTITY INFLUENCES IT OUTSOURCING SUCCESS

Corporate Information Technology (IT) functions are under increasing pressure to succeed in their IT outsourcing (ITO) arrangements. This study examines the effect of organizational identity (OI) on ITO success. Building on a recent study confirming the positive role of OI strength on outsourcing success, we ask: Are there specific outsourcing and organizational conditions where organizational identity influences outsourcing success? Using the model from the previous study which substantiated OI’s influence on the pivotal antecedent – effective knowledge sharing – on ITO success, we conduct an empirical examination of 312 IT leaders engaged in outsourcing. We find that OI strength’s mediation effects are present when organizations outsource core functions, maintain a utilitarian OI orientation, and low cultural similarity between client and supplier exist. Understanding that organizational identity is a cultural element shaping ITO related behaviors discourages the development of simplistic “checklists” for practitioners as they seek to maximize the ITO relationships

Diverse virtual social networks: Implications for remote software testing teams

This paper evaluates offshore outsourcing in the IT testing industry and determines what conditions determine its success. There is particular focus on the influence of diversity in teams on group relationships. Two studies are described: the first, investigated the perceptions of professional software testers on the critical factors of offshore outsourcing; and the second study looked at the ability for diverse teams to form close working relationships through virtual networks. We find that overt diversity factors inhibit interaction across nationality boundaries. The limitations of virtual networks for fostering personal communications is apparent in preventing group members from overcoming the initial aversion to mix with out-group members, which could be achieved with closer and more personal communications between members with different diversity factors in normal face to face communications. Where software testing teams are outsourced globaly, and must rely on virtual communications, there seems potential for significant difficulties in developing close working relationships, which on the one hand, can be negative for group cohesion, but one the other hand, can be positive for encouraging imparitality

Ethics and taxation : a cross-national comparison of UK and Turkish firms

This paper investigates responses to tax related ethical issues facing busines

FM contract relationships: from mobilisation to sustainable partnership

Purpose / theory Outsourcing is a fundamental business model for the Facilities Management (FM) industry. To enable sustained mutual success the parties involved must seek to understand the unique, socially constructed, and often highly complex situational realities of the organisational ecologies they are engaged in. The FM industry can unlock improved performance and strategic credibility through an appreciation of the need for different conversations. Design / methodology / approach Findings from two recent cases are considered. Data from two different client-contractor relationship situations was collected utilising a critical ethnographic research methodology; a phenomenological paradigm that acknowledges knowledge as socially constructed through language. A variant on Scott-Morgan‟s unwritten-rules coding method was used to analyse the data and justify the prevalent themes and issues presented. Findings Findings include the role of perceptions and assertions in the construction of social realities, change management implications, and how these impact on the traditional view of the client/contractor relationship. Ethnographic findings are typically context specific, therefore generalisations must be carefully considered. The key findings are however substantiated by existing FM outsourcing literature. Originality / value Highlights the practical importance of seeking to understand socially embedded realities for improved FM contract performance. Considers the human resource element of change via FM outsourcing. Takes a social constructivist approach to organisational sense-making. Uses examples from focused, critical ethnographies to explore existing FM contracting dynamics. Qualitative investigations into related organisational circumstances are encouraged to further develop an evidence base

Business Trends and Tendencies in Organization Design and Work Design Practice:Identifying Cause-and-Effect Relationships

Current global business environment has a strong impact on theory and practice of organizations, as well as on working behavior of their employees. Increased complexity and competitiveness is changing settled ways of organizing and working. The ultimate search for the holy grail of achieving organizational effectiveness through better design solutions is gaining momentum. There are many possible areas and means for improvement. Great opportunities emerge from better understanding of contemporary organization and work environment. To seize them, the link between organization design and work design tendencies will be emphasized. Through an in-depth theoretical research on current business trends and their impact on the changing nature of work in organizations, potentially very strong patterns between these two different environmental categories and levels of analysis will be identified. Our extensive analysis of current trends and tendencies in organization design and work design field will provide useful insights for business practitioners and researchers.business trends, organization design, work design, systems approach

Information Technology Sourcing Across Cultures: Preparing Leaders for Cross-Cultural Engagements and Implementing Best Practices with Cultural Sensitivity

This research exercised a mixed method exploratory sequential design inquiry into the topical area of leadership behaviors and cross-cultural awareness that permeate successful global information technology (IT) outsource alliances. When IT is aligned with an entity\u27s objectives, strategic technology leadership is actively engaged in governance, infrastructure architecture, planning, and cross-cultural collaboration. Bilateral contracting foster and forge interactive organizational cultures however, the advent of right shoring has introduced cultural complexity for IT leadership roles born of national, international, and sub-culture global dimensions. This research surfaced significant variations in IT professional opinions as to the leadership practices, cultural compatibility and service fulfillment performance factors in IT outsourcing alliances. The variations in response levels exceeded my expectation and raised my cultural awareness that when cross-cultural differences exist in global IT outsourcing alliance operations, virtual team members must accept such differences with applied cultural sensitivity. Also, while task-related conflicts may help to surface different perspectives and viewpoints and provide opportunities for exploring innovation, relationship and process conflicts may affect team cohesiveness and have negative influences on team performances regardless of adhering to agreed governance principles. To produce the proper group member interaction across cultures, individuals must reflectively monitor their sensitivity to combinations of internally diverse and potentially contested ways of acting to create highly distinctive and desirable group behavior across cultural clusters. This research demonstrates the strength of the situating cultural theory, applies it to specific domains of globally distributed IT service operations and contributes to literature by generating an in-depth understanding of cultural influences on global IT alliances. The electronic version of this Dissertation is at Ohio Link ETD Center, http://www.ohiolink.edu/et