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Information systems outsourcing projects as a double moral hazard problem

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  • Elitzur, Ramy
  • Gavious, Arieh
  • Wensley, Anthony K.P.

Abstract

In the past two decades many organizations have turned to other organizations to satisfy their information systems needs. Information systems outsourcing arrangements cover the spectrum from agreements involving the delivery of all information services to those providing specific services such as systems development, communications management, desktop computing provision and maintenance, and so on.

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Bibliographic Info

Article provided by Elsevier in its journal Omega.

Volume (Year): 40 (2012)
Issue (Month): 3 ()
Pages: 379-389

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Handle: RePEc:eee:jomega:v:40:y:2012:i:3:p:379-389

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Related research

Keywords: Outsourcing; Information system; Game theory;

References

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  1. Russell Cooper & Thomas W. Ross, 1985. "Product Warranties and Double Moral Hazard," RAND Journal of Economics, The RAND Corporation, vol. 16(1), pages 103-113, Spring.
  2. Jiang, Bin & Reinhardt, Gilles & Young, Scott T., 2008. "BOCOG's outsourcing contracts: The vendor's perspective," Omega, Elsevier, vol. 36(6), pages 941-949, December.
  3. Eric T. G. Wang & Terry Barron & Abraham Seidmann, 1997. "Contracting Structures for Custom Software Development: The Impacts of Informational Rents and Uncertainty on Internal Development and Outsourcing," Management Science, INFORMS, vol. 43(12), pages 1726-1744, December.
  4. Kim, Son Ku & Wang, Susheng, 1998. "Linear Contracts and the Double Moral-Hazard," Journal of Economic Theory, Elsevier, vol. 82(2), pages 342-378, October.
  5. Bahli, Bouchaib & Rivard, Suzanne, 2005. "Validating measures of information technology outsourcing risk factors," Omega, Elsevier, vol. 33(2), pages 175-187, April.
  6. Gavious, Arieh & Rabinowitz, Gad, 2003. "Optimal knowledge outsourcing model," Omega, Elsevier, vol. 31(6), pages 451-457, December.
  7. Seungjin Whang, 1992. "Contracting for Software Development," Management Science, INFORMS, vol. 38(3), pages 307-324, March.
  8. Sugato Bhattacharyya & Francine Lafontaine, 1995. "Double-Sided Moral Hazard and the Nature of Share Contracts," RAND Journal of Economics, The RAND Corporation, vol. 26(4), pages 761-781, Winter.
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Cited by:
  1. Balachandran, Kashi R. & Wang, Hsiao-Wen & Li, Shu-Hsing & Wang, Taychang, 2013. "In-house capability and supply chain decisions," Omega, Elsevier, vol. 41(2), pages 473-484.

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