Abstract
Precise definitions of IT outsourcing differ in the literature (Glass, 1996) but there is general agreement that it is the carrying out of IT functions by third parties (Kettler and Walstrom, 1993). Expenditure on IT outsourcing is considerable, with much of it placed with a few companies (Clark et al., 1995). However, there has been only a small (but increasing) number of empirical studies of IT outsourcing, a feature noted by several authors (e.g. Arnett and Jones, 1994; Sobol and Apte, 1995). In particular, there have been few British studies (Willcocks and Fitzgerald, 1993; Cronk and Sharp, 1995).Also, several conceptual frameworks are found in the literature, but more empirical work is needed to assess their validity (Corbett, 1994; Willcocks et al., 1996).
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
References
ALEXANDER, M. AND YOUNG, D. (1996) ‘Strategic outsourcing’, Long Range Planning, 29(1), 116–19.
ALTINKEMER, K., CHATURVEDI, A. AND GULATI, R. (1994) ‘Information Systems outsourcing: issues and Evidence’, International Journal of Information Management, 14(4), 252–68.
ARNETT, K.P. AND JONES, M.C. (1994) ‘Firms that choose outsourcing: a profile’, Information and Management, 26(4), 179–88.
BAND, D.C. AND SCANLAN, G. (1995) ‘Strategic control through core competencies’, Long Range Planning, 28(2), 102–14.
BURGESS, R.G. (1984) In the Field, London. Routledge.
CHEON, M.J., GROVER, V. AND TENG, J.T.C. (1995) ‘Theoretical perspectives on the outsourcing of Information Systems’, Journal of Information Technology, 10, 209–19.
CLARK, T.D. JR, ZMUD, R.W. AND MCCRAY, G.E. (1995) ‘The outsourcing of information services: transforming the nature of business in the information industry’, Journal of Information Technology, 10, 221–37.
CORBETT, M.F. (1994) ‘Outsourcing and the new IT executive: a trends report’, Information Systems Management, 11(4), 19–22.
CRONK, J. AND SHARP, J. (1995) ‘A framework for deciding what to outsource in Information Technology’, Journal of Information Technology, 10, 259–67.
CUYB (1994a) The Computer Users’ Yearbook 1995, 2, Computer Services, London. VNU Business Publications.
CUYB (1994b) The Computer Users’ Yearbook 1995, 3 Computer and Network Sites, London. VNU Business Publications.
DE LOOFF, L.A. (1995) ‘Information Systems outsourcing decision making: a framework: organisational theories and case studies’, Journal of Information Technology, 10, 281–97.
DUNLEAVY, P. (1994) ‘The globalisation of public services production: can government be “best in world”?’, Public Policy and Administration, 9(2), 36–65.
EARL, M.J. (1991) ‘Outsourcing information services’, Public Money and Management, 11(3), 17–21.
EISENHARDT, K.M. (1989) ‘Agency theory: an assessment and review’, Academy of Management Review, 14(1), 57–74.
FITZGERALD, G. (1994) ‘The outsourcing of Information Technology: revenge of the business manager or legitimate strategic option?’, Inaugural Lecture, Department of Computer Science, Birkbeck College, University of London, 19 October.
GLASS, R.L. (1996) ‘The end of the outsourcing era’, Information Systems Management, 13(2), 89–91
GROVER, V. AND TENG, J.T.C. (1993) ‘The decision To outsource Information Systems functions’, Journal of Systems Management, 44(11), 34–8.
GROVER, V., CHEON, M. AND TENG, J.T.C. (1994) ‘An evaluation of the impact of corporate strategy and the role of Information Technology on IS functional outsourcing’, European Journal of Information Systems, 3(3), 179–90.
GUPTA, U.G. AND GUPTA, A. (1992) ‘Outsourcing the IS Function’, Information Systems Management, 9(3), 44–50.
HAMEL, G. AND PRALAHAD, C.K. (1990) ‘The core competences of the corporation’, Harvard Business Review, 68(3), 79–91.
HOCHSTRASSER, B. AND GRIFFITHS, C. (1991) Controlling IT Investment, London. Chapman & Hall.
HOLMSTROM, B.R. AND TIROLE, J. (1989) ‘The Theory of the Firm’, in Schmalensee, R. and Willig, R. (eds), Handbook of Industrial Organisation, 1, 63–133, Amsterdam: North Holland.
HUBER, R. (1993) ‘How continental bank outsourced its crown jewels’, Harvard Business Review, 71(1), 121–9.
HUMMEL, E. (1993) ‘Prevent total outsourcing’, Journal of Systems Management, 44(7), 29–30.
JENSEN, M. AND MECKLING, W. (1976) ‘Theory of the firm: managerial behaviour [sic], agency costs and capital structure’, Journal of Financial Economics, 3, 305–60.
JUDENBERG, J. (1994) ‘Applications maintenance outsourcing: an alternative to total outsourcing’, Information Systems Management, 11(4) 34–8.
JURISON, J. (1995) ‘The role of risk and return in Information Technology outsourcing decisions’, Journal of Information Technology, 10, 239–47.
KARAKE, Z.A. (1992) ‘Information Technology and Management Control: An Agency Theory Perspective’, Westport, CT: Praeger.
KERN, T. (1997) ‘The Gestalt of an Information Technology outsourcing relationship: an exploratory analysis’, Proceedings of the International Conference on Information Systems, Atlanta, December.
KETTLER, K. AND WALSTROM, J. (1993) ‘The outsourcing decision’, International Journal of Information Management, 13(6), 449–59.
KLEPPER, R. (1995) ‘The management of partnering development in I/S outsourcing’, Journal of Information Technology, 10, 249–58.
KLEPPER, R. AND JONES, W. (1997) ‘Outsourcing Information Technology systems and services’, Englewood Cliffs. Prentice-Hall.
LACITY, M.C. AND HIRSCHHEIM, R. (1993) ‘Information Systems outsourcing: myths, Metaphors and Reality’, Chichester. John Wiley.
LACITY, M.C. AND HIRSCHHEIM R. (1995) Beyond the Information Systems Outsourcing Bandwagon — the Insourcing Response, Chichester. John Wiley.
LACITY, M.C., WILLCOCKS, L.P. AND FEENY, D.F. (1996) ‘The value of selective IT sourcing’, Sloan Management Review, 37(3), 13–25.
LEONARD-BARTON, D. (1992) ‘Core capabilities and core rigidities: a paradox in managing new product development’, Strategic Management Journal, 13,111–25.
LOWELL, M. (1992) ‘Managing your outsourcing vendors in the financial services industry’, Journal of Systems Management, 43(5), 23–7.
MALONE, T.W., YATES, J. AND BENJAMIN, R.I. (1994) ‘Electronic markets and electronic hierarchies’, in Allen, T.J. and Scott Morton, M.S. (eds), Information Technology and the Corporation of the 1990s, New York: Oxford University Press, 61–83.
MARTINSONS, M.G. (1993) ‘Outsourcing Information Systems: a strategic partnership with risks’, Long Range Planning, 26(3), 18–25.
MCFARLAN, F.W. AND NOLAN, R.L. (1995) ‘How to manage an IT outsourcing alliance’, Sloan Management Review, 36(2), 9–23.
MCLELLAN, K. AND MARCOLIN, B. (1994) ‘Information technology outsourcing’, Business Quarterly, 59(1), 95–99, 102–4.
MCLELLAN, K, MARCOLIN, B.L. AND BEAMISH, P.W. (1995) ‘Financial and strategic motivations behind IS outsourcing’, Journal of Information Technology, 10, 299–321.
MILGROM, P. (1988) ‘Employment contracts, influence activities and efficient organization design’, Journal of Political Economy, 96, 4260.
MYLONOPOULOS, N.A. AND ORMEROD, R.J. (1995) ‘A microanalytic approach to the efficient governance of IT service provision: the case of outsourcing’, in Doukidis, G., Galliers, B., Jelassi, T., Kremar, H. and Land, F. (eds) Proceedings of the Third European Conference on Information Systems, Athens, 749–65.
PATTON, M.Q. (1980) Qualitative Evaluation Methods, Beverly Hills. Sage.
QUINN, J.B. (1992) Intelligent Enterprise, New York. Free Press.
QUINN, J.B. AND HILMER, F.G. (1994) ‘Strategic outsourcing’, Sloan Management Review, 35(4), 43–55.
RICHMOND, W.B., SEIDMANN, A. AND WHINSTON, A.B. (1992) ‘Incomplete contracting issues in Information Systems development: Outsourcing Decision’, Support Systems, 8(5), 459–77.
RING, P.S. AND VAN DE VEN, A.H. (1992) ‘Structuring cooperative relationships between organisations’, Strategic Management Journal, 13(7), 483–98.
ROSS, S. (1973) ‘The economic theory of agency: the principal’s problem’, American Economic Review, 63, 134–9.
SAUNDERS, C., GEBELT, M. AND HU, Q. (1997) ‘Achieving success in information systems outsourcing’, California Management Review, 39(2), 63–79.
SOBOL, M.G. AND APTE, U. (1995) ‘Domestic and global outsourcing practices of America’s most effective IS users’, Journal of Information Technology, 10, 269–80.
VENKATRAMAN, N. AND LOH, L. (1994) ‘The shifting logic of the IS organisation: from technical portfolio to relationship portfolio’, Information Strategy, 10(2), 5–11.
WALKER, G. AND POPPO, L. (1994) ‘Profit centres, single source suppliers, and transaction costs’, in Allen, T.J. and Scott Morton, M.S. (eds), Information Technology and the Corporation of the 1990s, New York: Oxford University Press, 298–319.
WALSH, K. (1995) Public Services and Market Mechanisms: Competition, Contracting and the New Public Management, Basingstoke. Macmillan.
WILLCOCKS, L. (1995) ‘Editorial’, Journal of Information Technology, 10, 203–7.
WILLCOCKS, L. AND CHOI, C.J. (1995) ‘Co-operative partnership and “total” IT outsourcing: from contractual obligation to strategic alliance?’, European Management Journal, 13(1), 67–78.
WILLCOCKS, L. AND FITZGERALD, G. (1993) ‘Market as opportunity?: case studies in outsourcing Information Technology and services’, The Journal of Strategic Information Systems, 2(3), 223–42.
WILLCOCKS, L. AND FITZGERALD, G. (1994) A Business Guide to Outsourcing Information Technology, London: Business Intelligence, Ltd.
WILLCOCKS, L., FITZGERALD, G. AND LACITY, M. (1996) ‘To outsource IT or not?: recent research on economics and evaluation practice’, European Journal of Information Systems, 5, pp. 143–60.
WILLIAMSON, O. (1975) Markets and Hierarchies: Analysis and Antitrust Implications, New York: The Free Press.
WILLIAMSON, O. (1979) ‘Transaction-cost economics: the governance of contractual relations’, Journal of Law and Economics, 22(2), 233–61.
WILLIAMSON, O. (1985) The Economic Institutions of Capitalism, New York: Basic Books.
Editor information
Editors and Affiliations
Copyright information
© 2000 Ray Hackney and Martin Hancox
About this chapter
Cite this chapter
Hackney, R., Hancox, M. (2000). IS/IT Outsourcing: Conceptualising Practice and Perception. In: Hackney, R., Dunn, D. (eds) Business Information Technology Management Alternative and Adaptive futures. Palgrave Macmillan, London. https://doi.org/10.1057/9780333977675_19
Download citation
DOI: https://doi.org/10.1057/9780333977675_19
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-41935-7
Online ISBN: 978-0-333-97767-5
eBook Packages: Palgrave Business & Management CollectionBusiness and Management (R0)