Business Value Creation Of (Transformational) Outsourcing, A Performance Based Approach
AbstractThis paper is dealing with a number of issues being, in view of authors, essential for successful transformation of business by means of Transformational Outsourcing. Issues such as: • Can CXO fathom the complexity of his organization and adequately respond to the market changes, supply of raw materials, changes in financial markets, governmental constraints, product and(or) services innovation (to mention but a few) without a reliable model allowing for an impact analysis ? • Is it possible to measure effects of changes within company and its environment while either preparing or performing company transformation • What type of models/approach should be chosen in order to understand and maintain transformation processes within organizations • How do we define performance and would it be possible to measure and monitor performance in order to achieve most optimal transformation result? • Change is the continuity, how to encounter on and capture effects of continuous transformation of business environment and companies operating in this environment Authors strive, introducing notions of “Outsourcing Continuum” (Van der Vet), “Transformational Outsourcing Performance Management Continuum” (Van der Vet), the transition of “Business Score Card of Kaplan and Norton” into “Van der Vet Performance Management Quadrant”, to create transparent models allowing precise definition of KPI (model parameters) and valuation of systems performance. The choice of models and parameterization of those will be underlined by use of Rule-Model Based Expert Systems approach, as one of the most reliable and understandable modeling and simulation techniques at hand. This paper illustrates the steps chosen in order to create and validate the Performance Model and provides the framework to choose the right analytic procedures for researching performance of business transformation.
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Bibliographic InfoPaper provided by Nyenrode Business Universiteit in its series Nyenrode Research Papers Series with number NRI09-13.
Date of creation: 2009
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Web page: http://www.library.nyenrode.nl
Transformational Outsourcing; Performance Index; Performance Function; Model Choice; Model Parameterization; Expert Systems;
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-02-20 (All new papers)
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