THE MEASURING FRAMEWORK OF OUTSOURCING SUCCESS: A SOCIAL EXCHANGE PERSPECTIVE

Outsourcing has become a buzz word in strategic management as the competition of modern business is the competition among business networks. The reviews on the measure of outsourcing success are conceptually fragmented due to different theories that have been applied in different studies. The overall aim of this paper is to develop an integrated framework in measuring the performance of services outsourcing. The framework is derived from Social Exchange Theory. Each party responsibility in dyadic relationship over outsourcing success is examined. This is followed by the identification of the mediating effect of compatibility between partners, and moderating effect of partnership quality to the aforementioned relationship. Outsourcing performance is proposed to be evaluated from the perspectives of tactical, strategic and behavioral dimensionsBuyer related factors, Compatibility, Outsourcing, and Partnership quality, Services ,Supplier related factors