Offshoring: Trends, Issues, and Management

 

IT Management

 

Chairs

 

Rajiv Kishore

rkishore@buffalo.edu

State University of New York at Buffalo

+1 (716) 645-3507

 

Kallol K. Bagchi

kbagchi@utep.edu

University of Texas at El Paso
+1 (915) 747 5376

Jing Long Zhang

jlzhang@mail.hust.edu.cn

Huazhong University of Science & Technology, China

 

SIG URL

SIG IS Outsourcing:                             http://disc.brunel.ac.uk/CSIS/sig.html

SIG IS/IT Issues in Asia Pacific:            http://disc.brunel.ac.uk/CSIS/sig.html

 

 

 

Description:

 

Offshore IT and business process outsourcing to the Asia Pacific region has evolved in recent years into a phenomenon that seems to be unstoppable. This phenomenon has become quite pervasive and almost all large-sized companies in the US and other countries now routinely offshore some of their IT activities and business processes to offshore locations in the Asia Pacific, most notably to India but also to China, Philippines, and Singapore among other locations. The labor cost arbitrage and the availability of highly-trained workers in many of the offshore locations in Asia Pacific has further fueled the offshoring phenomenon. However, the debate over the global outsourcing has become quite heated.  On the one hand, press reports mention that by the year 2015, $151.2 billion in wages will have been shifted from the United States to lower-wage countries.  On the other hand, other reports mention that outsourcing and offshoring reduces labor costs and, as a result, the savings allowed U.S. companies to create an additional 90,000 jobs in 2003.

 

Offshoring is generally taken to mean offshore outsourcing. However, offshoring includes both the outsourcing of work pertaining to IT and IT-enabled services to offshore locations as well as the distribution of such work by client firms to their own captive centers at offshore locations. This mini-track is interested in both types of offshoring. While some of the issues in offshore outsourcing remain the same as in conventional outsourcing, many new issues arise in offshoring in general due to the globally-distributed nature of the work to countries that are not only culturally very different and diverse but also have different native languages, different educational systems, different legal and regulatory systems, and different social values and economic systems. The 24-hour work cycle that comes into play due to time zone differences between the US and provider countries in the Asia Pacific introduces several new issues as well.

 

Researchers have noted the importance of vendor management and system integration, among other factors, in offshoring. The issue of trust between client(s) and vendor(s) also appears to be a major consideration. Theoretical frameworks are needed to better understand the offshoring process. Additionally, offshoring impacts a client nation’s employment behavior as a result of the reduction of IT jobs, elimination of certain positions, and a restructuring of the management-employee relationship. Consequently, issues of incorporating offshoring technical and management skills in IS curriculums must be addressed, as IS experts and researchers have already called for.

 

The mini-track will focus on (but not limited to):

 

 

 

 AMCIS 2007 Colorado     http://www.biz.colostate.edu/amcis07/    Key Dates:

Paper Abstracts Due (optional)

Monday, February 5, 2007

Papers Due:

 

Monday, March 5, 2007

Notification of Acceptance:

 

Monday, April 16, 2007

Camera Ready Copy Due:

 

Monday, April 30, 2007