• Title/Summary/Keyword: Scope Of Outsourcing

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Offshore Outsourcing Success : An Integrated Framework

  • Kim, Jin Ki
    • Journal of Information Technology Applications and Management
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    • v.24 no.4
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    • pp.153-170
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    • 2017
  • As the digital economy goes global, firms are trying to find suppliers that can address their managerial goals and strategies. The alternatives are not confined to domestic firms. Firms have been trying to connect to foreign partners worldwide. Although offshore outsourcing grants firms various benefits, they present big cultural challenges. However, there is little research on the impact of cultural or country factors on outsourcing. The goal of this paper is to synthesize the outsourcing success literature and develop propositions for outsourcing success in the context of offshore outsourcing. This paper proposes that cultural effects should be included in evaluating the success of offshore outsourcing. Knowledge sharing and the scope of outsourcing are adopted in the base outsourcing success model from previous literature. In the extended model partnership quality is included as a mediator and organizational capability and outsourcing relationship type are also included as moderator. Finally, the integrated framework of offshore outsourcing success includes cultural factors as moderators of the relationships between outsourcing success antecedents and the success of offshore outsourcing. Reasoning for propositions, managerial implications, and future research directions are discussed.

A study on the effect on IT adoption results by adoption factors of IT Outsourcing in the services industries (서비스 분야의 IT 아웃소싱의 도입요인이 도입성과에 미치는 영향)

  • Jeong, Jin-Back;Yang, Hae-Sool
    • Journal of Digital Convergence
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    • v.10 no.11
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    • pp.115-125
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    • 2012
  • In this study, The adoption factors of IT Outsourcing as a independent variables (business Factors, Outsourcing scope factors and risks factors), which were centered on services industries, were analyzed in order to identify the impacts of the results factors of IT outsourcing as a dependent variables. The main results of study have been summarized as follows. Firstly, among the business factors in the adoption of IT outsourcing, the industrial competitiveness and supports of CEO appeared to have positive impacts on the results of outsourcing adoption. However the environmental changes in technologics for services appeared not to have significant impacts. Secondly, the outsourcing scope factors such as the infra outsourcing, application outsourcing and total outsourcing appeared to have positive impacts on the results of IT outsourcing adoption. Thirdly, the control of risk factors such as risk in safety management, risk of increase, and risk of loss of autonomy appeared to have positive impacts on the results of IT outsourcing adoption.

Determinants of Business Process Outsourcing in Human Resource Function

  • Kim, Gyeung-Min;Won, Hyun Jung
    • Journal of Information Technology Applications and Management
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    • v.15 no.3
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    • pp.111-125
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    • 2008
  • The management of organizational Human Resource is steadily shifting away from pure hierarchical to market mechanisms that involve external vendors. HR Business Process Outsourcing (BPO) has recently emerged as a significant administrative innovation in an organization's strategy. Our paper attempts to understand firm-specific factors influencing the scope of HR BPO needs. Study results show that IT maturity and firm size are influential factors on the scope of HR BPO needs. We hope that our attempt at empirically examining and predicting this emergent phenomenon will stimulate others to look at this important strategic challenge facing firms from a theoretical perspective. Such research initiatives will allow us not only to better understand this complex phenomenon, but also to drive useful management prescriptions grounded on theory-based research.

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Effects of Strategic Factors of Outsourcing on Marketing Performance (아웃소싱 전략요인이 마케팅 성과에 미치는 영향에 관한 연구)

  • Kim, Yong-Man;Kang, Seok-Jeong;Park, Man-Kyo
    • Journal of Global Scholars of Marketing Science
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    • v.12
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    • pp.1-27
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    • 2003
  • The purpose of this study is to verify what kind of influence do strategic factors (clarification of outsourcing goals, clarification of outsourcing scope, co-sourcing, management of supply businesses, and human resource participation) have on marketing performance factors (improvement of service quality, customer satisfaction, and improvement of employees' ability). Another purpose is to examine whether the influence of strategic factors of outsourcing on marketing performance differ depending on the outsourcing motives and the degree of human resources outsourcing. Hypothesis of influences of strategic factors of outsourcing on marketing performance is verified. The study shoes that co-sourcing has a significant influence on improvement of service quality, participation of human resources on improvement of service quality and employees' ability, and management of supply businesses on customer satisfaction and improvement of employees' ability. However, the study indicates that clarification of outsourcing goals and outsourcing scope do not affect variables in marketing performance.

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An Empirical Study on Contract Model for IT Outsourcing Application Operation (IT 아웃소싱 어플리케이션 운영 계약모델에 대한 실증적 연구)

  • Kim, Heungshik;Park, Soah
    • Journal of Information Technology Services
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    • v.16 no.2
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    • pp.45-60
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    • 2017
  • The study suggests a contract model of application operation through case study of A bank's IT outsourcing application contract based on workload. The IT outsourcing order form has a problem in that the scope of work is ambiguous due to the integration of operation and maintenance. In this study, application operation and maintenance were separated by referring to application operation history provided in ISO/IEC15504-5 standard. The scope of the IT outsourcing service was clarified by organizing the definition and detail activities of the application operation business. Application operation contract method has generally applied estimation method by the number of input manpower and period by agreement between buyer and client. As there is no activity to calculate the number of input manpower based on the operational work history and based on the standard workload per activity. In this case is not guaranteed due to the simple agreement between the contractors. In this paper, we propose an application operating cost estimation model that measures the size of the operating software using function point analysis that is the basis of application operation tasks. In order to verify the validity of the application operation cost model, we verified the correlation between the application size and the labor cost through regression analysis using SPSS.

An Exploratory Study on the Outsourcing Strategies of Highway Rest Areas in Korea (고속도로 휴게소의 아웃소싱 전략에 관한 탐색적 연구)

  • Jeon, Ki-Heoung;Chung, Young-Ju
    • Culinary science and hospitality research
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    • v.11 no.4 s.27
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    • pp.102-117
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    • 2005
  • It was maintained that successful establishment and accomplishment of outsourcing might be possible only when those eating-out companies re-establish their concept of management strategy, identify core competencies through value-chain analysis, make a through cost analysis, select cooperative companies via overall screening, expand the area of outsourcing, enhance partnership to improve service quality, harmonize bilateral organization culture, remove the ambiguity of contract terms, protect core competencies of the rest area, continue with evaluation and control, and spinoff or invest to a new specialized business. Then, it was suggested that highway rest area business construct the core competencies and introduce outsourcing from a future-oriented viewpoint so that they can concentrate the competencies to competitive area and expand outsourcing scope to professional area such as finance and accounting, general affairs, personnel affairs, logistics, marketing, and R&D. They need to make out the problem of productivity reduction resulted from many years working employee's old age, refine human resource, and maintain the standards of skill so that they can improve service quality of the rest area, streamline each organization currently having so a large manpower, reduce manpower, and improve the productivity.

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A Qualitative Study of Offshore Outsourcing by Korean Clothing Companies (국내 의류업체의 해외소싱에 대한 질적 연구)

  • Hong, Kyung-Hee;Kim, Young-Mi;Yang, Jin-Ok;Lee, Ji-Soo;Lee, Yoon-Jung
    • Journal of the Korean Society of Clothing and Textiles
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    • v.34 no.4
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    • pp.703-714
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    • 2010
  • This study assumes that Korea's offshore outsourcing is used for diverse purposes such as designing, the supply of raw and subsidiary materials, production, and manufacturing. The purpose for production exists in the beginning stages of development, because it would have grown in scope since the 1990s when offshore outsourcing began in earnest. In this study, in-depth interviews were conducted with 24 firms with an annual production capacity of more than 200,000 pieces among clothing brands for the domestic market, clothing exporters, and promotion agencies. The interviews took place from December 18, 2008 to January 30, 2009. The interviewees were limited to the officers who had the authority to select manufacturers and decide on production volumes. Responses from the in-depth interviews were recorded, transcribed, and analyzed. The study results are summarized as follows: First, Korean clothing companies were found to rely on offshore outsourcing (China, North Korea, Vietnam, and Indonesia). Second, offshore outsourcing focused on the purposes for production; however, even fabrics were often outsourced in the case of production in China. Third, the interviewed firms mentioned cost savings, production cost reduction, and labor cost reduction most frequently as the main reasons for offshore outsourcing. Fourth, customs duties were considered most important in offshore outsourcing. Finally, when deciding on foreign manufacturers for offshore outsourcing, the surveyed clothing companies were found to: select manufacturers after market research in their outsourced countries, maintain existing contracts, or consider design capabilities and price quotations of candidate manufacturers.

A Study on the Critical Factors of Logistics Service Contracts (물류서비스 계약의 결정요인에 관한 연구)

  • Jung, Kyung-Seon;Kim, Tae-Bok
    • Journal of Korea Port Economic Association
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    • v.25 no.3
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    • pp.93-116
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    • 2009
  • As the popularity of logistics service outsourcing has been continuously growing, one of the most frequently addressed issues is how to estimate the effect of cost reduction for users and profit gains from outsourcing contract for providers. Many manufacturing companies agree that logistics outsourcing helps to reduce their operating costs, but some other companies still do not achieve the cost saving or do not trust logistics service providers, so they keep up in-house logistics operations. On the other hand, logistics service providers have low profitability from domestic business activities since they should meet the requirements for highly customized and diverse services from customers and unstable market situation. This study provided the status report dealing with logistics service contracts in Korea. From the focused group interview with logistics professionals, we found out that service scope, scale and cost structure are the most influential factors affecting logistics service contracts. Also, logistics service providers are more sensitive than users regarding value-added logistics service, contract duration and process. Moreover, this study also proposed the standard clauses for logistics service contract and types of logistics contract applied in current logistics fields. As a result, it is expected that these achievements from this study can be utilized to improve the satisfaction of logistics outsourcing in upgrading service quality and customer service level.

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An analysis of the accident rate to develop factors for improving industrial accident prevention methods for the projects with sub-contract (도급에 따른 산업재해 예방조치 개선요소 도출을 위한 재해율 분석)

  • Kim, Sung-eun;Lim, Hyoung-chul
    • Proceedings of the Korean Institute of Building Construction Conference
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    • 2022.04a
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    • pp.216-217
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    • 2022
  • After the financial crisis, the spread of indirect employment, which is an outsourcing method, is gradually becoming common in our society, and the risk of harm is relatively high or the proportion of simple jobs is high. Simple workers have a higher proportion of non-manufacturing industries such as the service industry, and production workers are intensively used in the manufacturing industry. In Article 63 of the Occupational Safety and Health Act, contractors must take necessary safety and health measures. In addition, due to the expansion of the scope of contracts under the Occupational Safety and Health Act, it is necessary to review the appropriateness of industrial accident prevention measures and implementation standards.

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Exploring Control in Bottom-Up Information System Development Projects to Improve Software Development Performance

  • Cho, Donghwan
    • International Journal of Contents
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    • v.15 no.2
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    • pp.38-43
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    • 2019
  • Recently, bottom-up information systems (BUIS), developed according to the requirements of individual user departments, have become popular. However, effective management of BUIS projects is not enough, with many organizations having experienced integration challenges with such individual projects. BUIS projects are relatively small and limited in scope, as opposed to the large, complex systems developed through traditional top-down information system development projects. Due to these differences in characteristics, the control modes as well as the aspects to improve development performance in each type of project are also different. Therefore, it is difficult to apply the results of prior research on control in system development projects to improve BUIS project performance. The purpose of this study is to derive a new theory of control to improve BUIS project performance. The results contribute to the improvement of firm performance through effective control of BUIS projects in modern enterprises.