Managing Change In It Outsourcing

Through case studies this volume provides evidence that a link between sourcing capabilities and organizational structure contributes to a positive sourcing performance. Reveals that providers who are able to adapt to changing client circumstances, whilst establishing a fit, succeed in achieving a sustainable performance.

This research study seeks to understand the nature of organisational change with respect to offshore outsourcing of information technology services in a multinational pharmaceutical company, and to examine the effectiveness of approaches used to manage this change so that lessons may be drawn from these experiences. Despite the abundant literature on effective organisational change management, the key factors that need to be managed properly at different stages of the offshore outsourcing process are not well understood. The research adopts a processual view to paint a broad picture of the issues involved in these different stages. A generic process model of change, based on the review of the change literature, was first developed to represent how change was intended to occur. This model focuses on the following four stages in the change process: context, diagnosis and planning, implementation, and institutionalisation. The research employs an interpretive case study approach and draws on fieldwork from three independent information systems departments (cases) of the company, where offshore outsourcing programmes were implemented. Qualitative data from semi-structured interviews, direct observation and document analysis are analysed by applying the generic process model to produce a detailed account of the way in which change was managed in the case organisations. The findings reveal that a combination of contextual factors, both external and internal to the company, influenced the adoption and use of offshore outsourcing in the case organisations. Externally, the economic forces were found to be the main catalyst for the change, while internally the role of the executive leadership and the lack of internal resources further explain the motivations behind the adoption of offshore outsourcing. The study illustrates that achieving successful outcomes from offshore outsourcing activities critically depends on the organisation adequately addressing a number of factors, such as conveying a sense of urgency, developing and communicating the vision, identifying the benefits of change and how they will be delivered, generating short-term wins, providing education and training, developing a fit between the change and organisational culture, etc., throughout the change process. The findings also highlight the effects of offshore outsourcing on the case organisations, including change in job roles and responsibilities and organisational learning activities that enable corrective actions to improve change management efforts. An important contribution of this research is the development of a model providing a more comprehensive understanding of the change process associated with the implementation of offshore IT outsourcing. Recommendations for policy makers and change managers to improve change management practice based on the research findings, as well as recommendations for further research, form a significant part of the conclusions.

There are great benefits to be gained from outsourcing. Many organisations understand the benefits they can achieve from outsourcing but few manage to realise those benefits in full. So often the root cause of that failure is because they have ignored the people factors that can inhibit change and even derail it. In some cases people may not understand the reasons for the outsource programme, in others people may have reasons of their own for not wanting the change to be successful. Whatever the people side of the change is, all these factors can be successfully managed so companies and staff can fully realise the benefits of outsourcing.Having been involved in successfully managing change in IT Outsourcing over the years, I have gained many insights into the people factors in change management and developed effective strategies and tactics that smooth the way to making an outsource programme successful, starting with, but not limited to, ensuring that the staff involved fully buy in to the process. This book is based on the practical steps that I have put in place to ensure success. Every step identified here is practical and effective and though some of them will seem just good common sense, I do know that in many such programmes they are ignored. Reading this book will give readers some new ideas and also provide them with a straightforward reminder of good practice to help them manage change effectively, engaging the staff and producing a common purpose.In less than an hour's reading, this book identifies the issues, explains how they come about and gives solutions that will eliminate or, at least, mitigate the major problems and provide a firm basis for implementing the changes and creating a stronger business by fully realising the benefits of an outsource programme.

More and more, the shape of the IT organization is critical to business systems delivery, yet all too often this definition is approached in a haphazard fashion - often based on old theory and out-dated experiences rather than being moulded to the realities of the world in which we work. Shaping the IT Organization considers how one should go about the moulding of an IT function in order to ensure effective output from the resources within that organization. It focuses on understanding precisely the elements and challenges within such a definition. Key topics covered: What is an organization?: Issues and key considerations for IT from an organizational perspective, including the idea of the 'organization lifecycle' and the very real impact this can have within the IT environment. Why change?: The impact of generic business approaches demanded by current business models and pressures. Solutions vs Products: The IT organizational impact of moving from a product-based to a solutions-based business model. Outsourcing: The increasing trend to place critical elements of IT's delivery capability outside the core business means that IT functions are often poorly aligned to both manage these relationships and rise to the challenges that outsourcing offers. Resource Management: Fundamental questions about people and the need to adapt resource management approaches to take a radical approach to how we both manage and empower the people within those models in order to deliver what is required.

The ever-changing world of outsourcing demands that project managers be adept at team building, meeting management, group-based problem solving and conflict management. Managing Complex Outsourced Projects provides a comprehensive review of what it takes to successfully manage outsourced projects resulting in improved performance and reduced expenses. Author Gregory A. Garrett discusses the concept of Integrated Project Management (IPM), which is the discipline of ensuring that appropriate practices, tools and techniques are implemented by all parties involved in the outsourcing process. In Managing Complex Outsourced Projects, you'll find more than 400 tips and best practices, over 40 forms and more than 20 case studies that depict how the most successful companies effectively manage outsourced complex projects.

IT Outsourcing Part 2: Managing the Sourcing Contract covers all the processes for managing the contract, from the transition phase through to normal operational service and contract termination.Developed for IT practitioners as well as commercial and contract managers, this expert guide provides practical and concise advice on best practices in: a) good contract development as the foundation for contract management (especially service quality, performance measurement and communications);b) an appropriate governance framework;c) selecting the right individuals, with appropriate authority in key roles;d) the appropriate use of external expert advice;e) continuity of people involved in the contract, right from the early stages of the RFP through transition to everyday operational service;f) effective relationship management, with mutual respect and good communications;g) a collaborative customer-driven business attitude based on mutual trust and understanding and flexibility in day-to-day administration of the contract, with willingness for a win-win approach when problems arise.This title complements IT Outsourcing Part 1: Contracting the Partner and, together, these two guides provide readers with a comprehensive best practice approach to this important business discipline.

Business Process Outsourcing (BPO) is becoming the new revolutionas company's of all sizes are seeking to take advantage of thissource of competitive advantage. This book provides a step-by-step approach to understanding theapplication of Business Process Outsourcing, assessing the BPOopportunity in the company, and then managing the transition toBPO. It serves as a guide to implementing BPO and as a referencesource to solving the variety of issues that may arise during a BPOinitiative. Each chapter features a case study, insight from apractitioner, focus on how BPO affects people, and ethicalconsiderations. * Discusses both the how and why of business process outsourcingwith a straightforward "how to" approach. * Provides managers with the tools to analyse the BPO opportunitiesfor their own firms, as well as techniques and strategies formanaging a BPO initiative. * Empowers businesses of all sizes to take advantage of thisall-encompassing business revolution.

This book discusses in detail the theory and applications of change management, which is a step-by-step approach to change an organization’s management, strategies and processes, to boost its efficiency and performance better than its competitors. The text examines the importance of change management and its utility in the era of globalization. It elaborates on various planned organizational strategies and contingency approaches, and the validity of these as justified methods of change management in the Indian and global environmental contexts. Besides postgraduate students of management, researchers and professionals in the field will also find this book immensely useful.