Organizational Control, Incentive Contracts, and Knowledge Transfer in Offshore Business Process Outsourcing

Published Online:https://doi.org/10.1287/isre.2014.0550

References

  • Agarwal R, Lucas HC Jr (2005) The information systems identity crisis: Focusing on high-visibility and high-impact research. MIS Quart. 29(3):381–398.CrossrefGoogle Scholar
  • Aron R, Liu Y (2005) Determinants of operational risk in global sourcing of financial services: Evidence from field research. Brookings Trade Forum: Offshoring White-Collar Work (Brookings Institution Press, Washington, DC), 373–398.CrossrefGoogle Scholar
  • Aron R, Singh JV (2005) Getting offshoring right. Harvard Bus. Rev. 83(12):135–143.Google Scholar
  • Aron R, Bandopadyay S, Jayanty S, Pathak PS (2008) Monitoring process quality in offshore outsourcing: A model and findings from multi-country survey. J. Oper. Management 26(2):303–321.CrossrefGoogle Scholar
  • Aron R, Dutta S, Janakiraman R, Pathak PA (2011) The impact of automation of systems on medical errors: Evidence from field research. Inform. Systems Res. 22(3):429–446.LinkGoogle Scholar
  • Bajari P, Tadelis S (2001) Incentives versus transaction costs: A theory of procurement contracts. RAND J. Econom. 32(3):387–407.CrossrefGoogle Scholar
  • Baker G, Gibbons R, Murphy K (2002) Relational contracts and the theory of the firm. Quart. J. Econom. 117(1):39–84.CrossrefGoogle Scholar
  • Baldwin C, Clark K (2000) Design Rules: The Power of Modularity (Harvard Business School Press, Boston).CrossrefGoogle Scholar
  • Banerjee AV, Duflo E (2000) Reputation effects and the limits of contracting: A study of the Indian software industry. Quart. J. Econom. 115(3):989–1017.CrossrefGoogle Scholar
  • Bapna R, Barua A, Mani D, Mehra A (2010) Research commentary—Cooperation, coordination, and governance in multisourcing: An agenda for analytical and empirical research. Inform. Systems Res. 21(4):785–795.LinkGoogle Scholar
  • Baron RM, Kenny DA (1986) The moderator-mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations. J. Personality Soc. Psych. 51(6):1173–1182.CrossrefGoogle Scholar
  • Bloch M, Jans C (2005) Reducing risk in off-shoring projects. McKinsey Quart. 3:10–11.Google Scholar
  • Cameron CA, Trivedi PK (2005) Microeconometrics: Methods and Applications (Cambridge University Press, New York).CrossrefGoogle Scholar
  • Chen Y, Bharadwaj A (2009) An empirical analysis of contract structures in IT outsourcing. Inform. Systems Res. 20(4):484–506.LinkGoogle Scholar
  • Crampton C (2001) The mutual knowledge problem and its consequences for dispersed collaboration. Organ. Sci. 12(3):346–371.LinkGoogle Scholar
  • Eisenhardt K (1985) Control: Organizational and economic approaches. Management Sci. 31(2):134–149.LinkGoogle Scholar
  • Fettke P, Houy C, Loos P (2010) On the relevance of design knowledge for design-oriented business and information systems engineering. Bus. Inform. Systems Engrg. 2(191):347–358.CrossrefGoogle Scholar
  • Galbraith JR (1973) Designing Complex Organizations (Addison-Wesley, Reading, MA).Google Scholar
  • Gartner Research (2014) Forecast analysis: Business process outsourcing, Worldwide, 1Q14 Update, https://www.gartner.com/doc/2740917/forecast-analysis-business-process-outsourcing.Google Scholar
  • Greene WH (2011) Econometric Analysis, 7th ed. (Prentice Hall, Upper Saddle River, NJ).Google Scholar
  • Gujarati DN, Porter DC (2009) Basic Econometrics, 5th ed. (McGraw-Hill/Irwin, New York).Google Scholar
  • Hannan RL, Hoffman V, Moser VD (2005) Bonus versus penalty: Does contract frame affect employee effort? Zwick R, Rapoport A, eds. Experimental Business Research (Springer-Verlag, New York), 151–169.CrossrefGoogle Scholar
  • Kaiser KM, Hawk S (2004) Evolution of offshore software development: From outsourcing to cosourcing. MIS Quart. Executive 3(2):69–81.Google Scholar
  • Kellogg DL, Chase RB (1995) Constructing an empirically derived measure for customer contact. Management Sci. 41(11):1734–1749.LinkGoogle Scholar
  • Knowledge@Wharton (2002) Managing the extended organization: Handling the risks of BPO relationships, http://knowledge.wharton.upenn.edu/article.cfm?articleid=652.Google Scholar
  • Knowledge@Wharton (2005) As the BPO business grows, there’s a greater focus on metrics and measurement, http://knowledge.wharton.upenn.edu/article.cfm?articleid=1102.Google Scholar
  • Langlois RN (2002) Modularity in technology and organization. J. Econom. Behav. Organ. 49(1):19–37.CrossrefGoogle Scholar
  • Luft J (1994) Bonus and penalty incentives: Contract choice by employees. J. Accounting Econom. 18(2):181–206.CrossrefGoogle Scholar
  • Malone TW, Crowston K, Lee J, Pentland B, Dellarocas C, Wyner G, Quimby Jet al. (1999) Tools for inventing organizations: Toward a handbook of organizational processes. Management Sci. 45(3):425–443.LinkGoogle Scholar
  • Mani D, Barua A, Whinston AB (2010) An empirical analysis of the impact of information capabilities design on business process outsourcing performance. MIS Quart. 34(1):39–62.CrossrefGoogle Scholar
  • Mani D, Barua A, Whinston AB (2012) An empirical analysis of the contractual and information structures of business process outsourcing relationships. Inform. Systems Res. 23(3-Part-1):618–634.LinkGoogle Scholar
  • McDowell A, Cox NJ (2004) How do you fit a model when the dependent variable is a proportion? Accessed March 2014, http://www.stata.com/support/faqs/stat/logit.html.Google Scholar
  • Mithas S, Whitaker J (2007) Is the world flat or spiky? Information intensity, skills, and global service disaggregation. Inform. Systems Res. 18(3):237–259.LinkGoogle Scholar
  • Nicholson W, Snyder C (2011) Microeconomic Theory: Basic Principles and Extensions, 11th ed. (South-Western/Cengage Learning, Mason, OH).Google Scholar
  • O’Brien RM (2007) A caution regarding rules of thumb for variance inflation factors. Quality Quantity 41(5):673–690.CrossrefGoogle Scholar
  • Papke LE, Wooldridge JM (1996) Econometric methods for fractional response variables with an application to 401(k) plan participation rates. J. Appl. Econometrics 11(6):619–632.CrossrefGoogle Scholar
  • Puranam P, Singh H, Chaudhuri S (2009) Integrating acquired capabilities: When structural integration is (un)necessary. Organ. Sci. 20(2):313–328.LinkGoogle Scholar
  • Rouse AC, Corbitt BJ (2006) Business process outsourcing: The hysteresis effect and other lessons. Hirscheim RA, Heinzl A, Dibbern J, eds. Information Systems Outsourcing: Enduring Themes (Springer, Berlin), 583–602.CrossrefGoogle Scholar
  • Scheer AW, Brabänder E (2010) The process of business process management. Handbook on Business Process Management 2—Strategic Alignment, Governance, People and Culture (Springer, Berlin), 239–265.CrossrefGoogle Scholar
  • Seshasai S, Gupta A, Aron R (2010) The 24-hour knowledge factory: Work and organizational redesign and associated challenges. Inform. Resources Management J. 23(4):40–56.CrossrefGoogle Scholar
  • Sobel ME (1982) Asymptotic confidence intervals for indirect effects in structural equation models. Sociol. Methodology 13:290–312.CrossrefGoogle Scholar
  • Sobel ME (1986) Some new results on indirect effects and their standard errors in covariance structure. Sociol. Methodology 16:159–186.CrossrefGoogle Scholar
  • Srikanth K (2007) Coordination in distributed organizations. Unpublished doctoral dissertation, London Business School, London.CrossrefGoogle Scholar
  • Srikanth K, Puranam P (2011) Integrating distributed work: Comparing task design, communication, and tacit coordination mechanisms. Strategic Management J. 32(8):849–875.CrossrefGoogle Scholar
  • Susarla A, Barua A (2011) Contracting efficiency and new firm survival in markets enabled by information technology. Inform. Systems Res. 22(2):306–324.LinkGoogle Scholar
  • Susarla A, Subramanyam R, Karhade P (2010) Contractual provisions to mitigate holdup: Evidence from information technology outsourcing. Inform. Systems Res. 21(1):37–55.LinkGoogle Scholar
  • Stock JH, Wright JH, Yogo M (2002) A survey of weak instruments and weak identification in generalized method of moments. J. Bus. Econom. Statist. 20(4):518–529.CrossrefGoogle Scholar
  • Tiwana A (2008) Does technological modularity substitute for control? A study of alliance performance in software outsourcing. Strategic Management J. 29(7):769–780.CrossrefGoogle Scholar
  • Tushman ML, Nadler DA (1978) Information processing as an integrating concept in organizational design. Acad. Management Rev. 3(3):613–624.CrossrefGoogle Scholar
  • Ulrich K, Eppinger S (1999) Product Design and Development, 2nd ed. (McGraw Hill, New York).Google Scholar
  • Zuboff S (1989) In the Age of the Smart Machine: The Future of Work and Power (Basic Books, New York).Google Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.