Start Date
14-12-2012 12:00 AM
Description
Controlling IS offshoring projects is a great challenge because of the inherent uncertainty of such projects. In such settings, informal controls are assumed to become increasingly effective. However, still little is known about the factors that influence the effectiveness of informal controls. We argue that the vendor manager’s power distance orientation—a key cultural construct that reflects beliefs about status, authority, and power in organizations—represents a missing antecedent of informal control effectiveness. Analyzing data from 57 client-vendor matched pairs, we found that high power distance on the part of the vendor manager negatively impacts project performance but at the same time positively moderates the relationship between self-control and performance.
Recommended Citation
Heumann, Jakob; Wiener, Martin; and Remus, Ulrich, "Power Distance in Information Systems Offshoring Projects - A Control Theory Perspective" (2012). ICIS 2012 Proceedings. 2.
https://aisel.aisnet.org/icis2012/proceedings/GlobalIssues/2
Power Distance in Information Systems Offshoring Projects - A Control Theory Perspective
Controlling IS offshoring projects is a great challenge because of the inherent uncertainty of such projects. In such settings, informal controls are assumed to become increasingly effective. However, still little is known about the factors that influence the effectiveness of informal controls. We argue that the vendor manager’s power distance orientation—a key cultural construct that reflects beliefs about status, authority, and power in organizations—represents a missing antecedent of informal control effectiveness. Analyzing data from 57 client-vendor matched pairs, we found that high power distance on the part of the vendor manager negatively impacts project performance but at the same time positively moderates the relationship between self-control and performance.