Paper Number
ECIS2026-2325
Paper Type
SP
Abstract
While digital transformation (DT) of the public sector implies that digital technologies become deeply integrated in the public sector’s structures, service delivery, and operations, IS outsourcing is a strategic decision to move digital technologies and competencies out of the organisation. In this paper, we ask if there is a fundamental contradiction between IS outsourcing strategies and the pursuit of DT within the public sector. To explore this potential incompatibility, we build on paradox theory and identify paradoxical tensions to expose how the aims of DT in the public sector may conflict with ongoing IS outsourcing efforts. By exposing this paradox, we call for more research and critical reflections related to these paradoxical tensions and exhort policymakers to carefully consider whether the IS outsourcing strategies they are pursuing are still compatible with the goals and values of public sector DT.
Recommended Citation
Gualdi, Francesco and Thunes, Johanne, "The Public Sector Is Outsourcing Paradox: A Theoretical Reflection" (2026). ECIS 2026 Proceedings. 14.
https://aisel.aisnet.org/ecis2026/govtrans/govtrans/14
The Public Sector Is Outsourcing Paradox: A Theoretical Reflection
While digital transformation (DT) of the public sector implies that digital technologies become deeply integrated in the public sector’s structures, service delivery, and operations, IS outsourcing is a strategic decision to move digital technologies and competencies out of the organisation. In this paper, we ask if there is a fundamental contradiction between IS outsourcing strategies and the pursuit of DT within the public sector. To explore this potential incompatibility, we build on paradox theory and identify paradoxical tensions to expose how the aims of DT in the public sector may conflict with ongoing IS outsourcing efforts. By exposing this paradox, we call for more research and critical reflections related to these paradoxical tensions and exhort policymakers to carefully consider whether the IS outsourcing strategies they are pursuing are still compatible with the goals and values of public sector DT.