DOI
10.1080/08874417.2016.1220241
Abstract
Despite the increasing use of onshore and offshore business process outsourcing (BPO), a comprehensive literature review [38] finds that there has been limited empirical research on BPO outcomes. This article responds to the call for research by developing and testing a conceptual model for BPO outcomes using data from 50 firms publicly traded in the U.S., including 38 firms in the Forbes Global 2000. We find that client firm capabilities, vendor configuration, and country location lead to interesting tradeoffs in the BPO quality, cost, and time outcomes. For example, while multi-sourcing offers advantages such as risk mitigation, client firms encounter reduced BPO time benefits when they use multiple vendors. While onshore BPO can lead to an improved quality, higher onshore labor costs result in lower BPO cost savings. And while offshore destinations such as India offer lower labor costs, time zone differences lead to reduced BPO time benefits.
Document Type
Post-print Article
Publication Date
2018
Publisher Statement
Copyright © 2018 Taylor & Francis Inc. Article first published online: October 2016.
DOI: 10.1080/08874417.2016.1220241
The definitive version is available at: https://www.tandfonline.com/doi/abs/10.1080/08874417.2016.1220241?journalCode=ucis20
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Full citation:
Whitaker, Jonathan, Sanjeev Kumar, and M.S. Krishnan. "How Client Capabilities, Vendor Configuration, and Location Impact BPO Outcomes." Journal of Computer Information Systems 58, no. 2 (2018): 180-191. https://doi.org/10.1080/08874417.2016.1220241
Recommended Citation
Whitaker, Jonathan W.; Kumar, Sanjeev; and Krishnan, M. S., "How Client Capabilities, Vendor Configuration and Location Impact BPO Outcomes" (2018). Management Faculty Publications. 76.
https://scholarship.richmond.edu/management-faculty-publications/76
Included in
Business Administration, Management, and Operations Commons, International Business Commons