Outsourcing Models And Vendor Knowledge Integration

Manju Ahuja, University of Louisville
Rob Sinclair, Governors State University
Sarke Saone, Washington State University

ISBN: 978-1-86435-644-1 & Full paper


In this paper, we attempt to address the role of outsourcing models (Global Delivery, Global Sharedservices, and Build-Operate-Transfer Models) - on vendor knowledge integration, i.e., the understanding of the project requirements and client needs by the vendor. Specifically, the paper examine (a) what is the role of team identification, project complexity, and infrastructure diversity in vendor knowledge integration?, and (b) How does the type of outsourcing model moderate the respective relationships of team identification, project complexity, and infrastructure diversity with vendor knowledge integration? Theories of Social Exchange and a Knowledge-Based view are utilized. Using a sample of 66 randomly selected outsourced software development clients, we show that Team Identification and Infrastructure Diversity influence Vendor Knowledge Integration, which then influences project success. Further, use of appropriate outsourcing model has a moderating effect on the relationship of independent on the outcome of Information System Development projects.