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CLIENTS’ INFLUENCE ON IT OUTSOURCING VENDORS’ OPERATIONAL CAPABILITIES: A RELATIONSHIP LEARNING PERSPECTIVE. Authors: Ji-Ye Mao, Fang Su Reporter: Fang Su. Self-introduction. Education background 2011—present: doctoral candidate in Business School of RUC
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CLIENTS’ INFLUENCE ON IT OUTSOURCING VENDORS’ OPERATIONAL CAPABILITIES: A RELATIONSHIP LEARNING PERSPECTIVE Authors: Ji-Ye Mao, Fang Su Reporter: Fang Su
Self-introduction • Education background • 2011—present: doctoral candidate in Business School of RUC • 2009—2011: studied in Business School of RUC and got an master degree • 2003—2007: studied in Normal Capital University • Research fields: • IT outsourcing • Business Intelligence • E-mail: sf.830@163.com
Agenda • Research Topic • What’s New • Research Methodology • Theoretical Perspective • Data Analysis • Results • Contributions
Research Topic • Research topic • China-Japan IT Software Outsourcing • Vendor’s Perspective • Vendor’s Capability Development • Research questions • How various relational activities between different clients and vendors affect the development of vendor capabilities • Why these relational activities could influence?
What’s New • ITO research mainstream • Objects: India-based outsourcing • Perspective: client • Content: why/ what/ how • This research • Objects: China- Japan outsourcing • Perspective: vendor • Content: capability development
What’s New • Vendors’ capability development • Internal mechanism • e.g. Levina and Ross (2003); Jarvenpaa and Mao (2008); Su and Levina (2010), etc. • External influence(client) is also important • Especially in small vendor- large client relationship (Ngugi et al 2010) • We are intent to find how clients influence on vendors’ capability development? And Why.
Research Methodology • Case study • Multiple case study • Data source • 2 vendors (Alpah and Beta) • 4 vendor-client relationships • Alpha-W, Alpha-X, Beta-Y, Beta-Z • Data analysis • Within case analysis • Between case comparation
Theoretical Perspective • Relationship Learning • a joint action between a vendor and a client to improve the efficiency and effectiveness of collaboration • Information and knowledge sharing • Joint sense-making • Knowledge integration
Results • Clients’ outsourcing intent and vendors’ operational capability • Compared to clients aiming for operating efficiency, clients seeking tactical support play a more important role in fostering outsourcing vendors’ client-specific capabilities and process capabilities. • Willing to share business knowledge and industry background • Willing to solve operational problems together
Results • Clients’ project management level and vendors’ process capability • Clients with higher project management expertise contribute more to the vendors’ development of process capabilities • by sharing more technical knowledge, and placing more emphasis on quality enhancement activities.
Results • Clients’ outsourcing projects and vendors’ client-specific capability • Clients that outsource projects with higher sustainability and a longer life cycle foster stronger client-specific capabilities in the vendor • by sharing more business knowledge and engaging in more times of joint sense-making.
Contributions • Firstly, we find the clients influence on vendors’ capability development • Secondly, we explain the influence mechanism
Gains in the Summer Camp • Business Intelligence (BI) • BI is a concept which refers to a managerial philosophy and a tool that is used in order to help organisations to manage and refine information • to make more effective business decisions • Dynamic Capability • Sense opportunities • Seize opportunities • Managing threats/ transforming • Continuous alignment and realignment of specific tangible and intangible assets
Gains in the Summer Camp • How BI improve firm performance? • Case study or Survey • Dynamic Capbilities • Sensing • Seizing • Managing BI Firm Performance