Continuous Transition in Outsourcing: A Case Study

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aut.relation.conferenceIEEE 12th International Conference on Global Software Engineeringen_NZ
aut.relation.endpage50
aut.relation.startpage41
aut.researcherClear, Anthony
dc.contributor.authorRaza, Ben_NZ
dc.contributor.authorClear, Ten_NZ
dc.contributor.authorMacDonell, Sen_NZ
dc.contributor.editorCruzes, Den_NZ
dc.contributor.editorSharma, Aen_NZ
dc.date.accessioned2017-07-17T22:53:24Z
dc.date.available2017-07-17T22:53:24Z
dc.date.copyright2017en_NZ
dc.date.issued2017en_NZ
dc.description.abstractOutsourcing is typically considered to occur in three phases: decision, transition and operation. As outsourcing is now well established the switching of vendors and transitioning from one system to another is common. However, most of the research to date on outsourcing has focused on the decision and operation phases, leaving a gap between theory and practice concerning the transition phase. Transition in outsourcing entails the changing of systems, business processes and/or vendors. If a suitable transition approach is not applied pressures for another transition can immediately build. This paper presents results from a case study carried out on the 'Novopay Project' in which the Ministry of Education in New Zealand changed their vendor from an onshore to a near-shore provider. This project resulted in a sequence of three transitions, with each following a different approach as a direct result of the experiences encountered in the previous transition. In this research we made use of the rich 'data dump' of evidence provided by the Ministry of Education (MoE). Our analysis describes how a client organization can become trapped in a continuous transition cycle if a suitable approach is not applied. Transition1 involved the client – MoE – moving from complete outsourcing to selective insourcing. After realizing that they did not have the capabilities to manage insourcing, Transition2 was initiated. In Transition2 the sourcing approach reverted back to complete outsourcing. When it was realized that the new vendor in Transition2 could not in fact deliver a new service model or support end-users in following new business processes, Transition3 was initiated. In Transition3, the client established an internal company to insource service operations to support end-users. Transition can be a sound business strategy initiated for a range of reasons. However, if a flawed sourcing approach is chosen it can result in 'continuous transition'.
dc.identifier.citationIn Proceedings of the 12th International Conference on Global Software Engineering (pp. 41-50). IEEE Press.
dc.identifier.doi10.1109/ICGSE.2017.6en_NZ
dc.identifier.urihttps://hdl.handle.net/10292/10660
dc.publisherIEEEen_NZ
dc.relation.urihttp://ieeexplore.ieee.org/document/7976686/
dc.rightsCopyright © 2017 IEEE. Personal use of this material is permitted. Permission from IEEE must be obtained for all other uses, in any current or future media, including reprinting/republishing this material for advertising or promotional purposes, creating new collective works, for resale or redistribution to servers or lists, or reuse of any copyrighted component of this work in other works.
dc.rights.accessrightsOpenAccessen_NZ
dc.subjectTransition; Switching of vendors; Continuous transition; Novopay Project; Outsourcing
dc.titleContinuous Transition in Outsourcing: A Case Studyen_NZ
dc.typeConference Contribution
pubs.elements-id284501
pubs.organisational-data/AUT
pubs.organisational-data/AUT/Design & Creative Technologies
pubs.organisational-data/AUT/Design & Creative Technologies/Faculty Central
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