IDEAS home Printed from https://ideas.repec.org/a/eee/eurman/v30y2012i2p99-110.html
   My bibliography  Save this article

Reconsidering outsourcing solutions

Author

Listed:
  • Freytag, Per V.
  • Clarke, Ann H.
  • Evald, Majbritt R.

Abstract

Outsourcing continues to be an important strategic tool for firms. While outsourcing can take place without major problems, some firms experience problems. Unfulfilled expectations or new opportunities can make alterations to existing sourcing solutions necessary. Such reconsiderations may be due to internal or external changes. This article focuses on the reasons for reconsidering outsourcing activities, in addition to suggesting possible solutions that could be adopted by firms. Based on four case studies of Danish companies, four generic solutions for reconsidering outsourced activities are identified and discussed, which are based on three rival theoretical perspectives. The four generic solutions comprise: (1) maintain the original outsourcing partner; (2) obtain a new outsourcing partner; (3) backsource to own business; or (4) establish a new organisation. Finally, this paper discusses the rationales that underscore the four generic solutions, and outlines central considerations in the outsourcing process.

Suggested Citation

  • Freytag, Per V. & Clarke, Ann H. & Evald, Majbritt R., 2012. "Reconsidering outsourcing solutions," European Management Journal, Elsevier, vol. 30(2), pages 99-110.
    • Handle: RePEc:eee:eurman:v:30:y:2012:i:2:p:99-110
    DOI: 10.1016/j.emj.2011.11.002
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0263237311000995
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.emj.2011.11.002?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. McIvor, Ronan, 2008. "What is the right outsourcing strategy for your process," European Management Journal, Elsevier, vol. 26(1), pages 24-34, February.
    2. Bryce, David J. & Useem, Michael, 1998. "The impact of corporate outsourcing on company value," European Management Journal, Elsevier, vol. 16(6), pages 635-643, December.
    3. Vining, Aidan & Globerman, steven, 1999. "A conceptual framework for understanding the outsourcing decision," European Management Journal, Elsevier, vol. 17(6), pages 645-654, December.
    4. Caniëls, Marjolein C.J. & Roeleveld, Adriaan, 2009. "Power and dependence perspectives on outsourcing decisions," European Management Journal, Elsevier, vol. 27(6), pages 402-417, December.
    5. Quélin, Bertrand & Duhamel, François, 2003. "Bringing Together Strategic Outsourcing and Corporate Strategy:: Outsourcing Motives and Risks," European Management Journal, Elsevier, vol. 21(5), pages 647-661, October.
    6. Dubois, Anna & Gadde, Lars-Erik, 2002. "Systematic combining: an abductive approach to case research," Journal of Business Research, Elsevier, vol. 55(7), pages 553-560, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Roberto Antonietti & Maria Rosaria Ferrante & Riccardo Leoncini, 2016. "Local market size, social capital and outsourcing: evidence from Emilia Romagna," Small Business Economics, Springer, vol. 47(1), pages 243-260, June.
    2. Rybak, Aurelia & Rybak, Aleksandra, 2016. "Possible strategies for hard coal mining in Poland as a result of production function analysis," Resources Policy, Elsevier, vol. 50(C), pages 27-33.
    3. Knol, Arjan & Janssen, Marijn & Sol, Henk, 2014. "A taxonomy of management challenges for developing shared services arrangements," European Management Journal, Elsevier, vol. 32(1), pages 91-103.
    4. Jan Stentoft & Ole Stegman Mikkelsen & Jesper Kronborg Jensen, 2016. "Flexicurity and relocation of manufacturing," Operations Management Research, Springer, vol. 9(3), pages 133-144, December.
    5. Balakrishnan, VN & Mohamad Khan, Jamal Khan, 2018. "Influential Factors of Competitive Advantage Progression on SME Third-Party Logistics in Selangor Malaysia," MPRA Paper 89091, University Library of Munich, Germany.
    6. Cécile Ayerbe & Nathalie Lazaric & Michel Callois & Liliana Mitkova, 2014. "The new challenges of organizing intellectual property in complex industries," Post-Print halshs-00974973, HAL.
    7. Lydia Bals & Jon F. Kirchoff & Kai Foerstl, 2016. "Exploring the reshoring and insourcing decision making process: toward an agenda for future research," Operations Management Research, Springer, vol. 9(3), pages 102-116, December.
    8. Isaria Kisoli & Wilfred Lameck, 2022. "Reconstructing the process of outsourcing solid waste management in Tanzania local government authorities," SN Business & Economics, Springer, vol. 2(8), pages 1-17, August.
    9. Law, Florence, 2018. "Breaking the outsourcing path: Backsourcing process and outsourcing lock-in," European Management Journal, Elsevier, vol. 36(3), pages 341-352.
    10. Martínez Mora, Carmen & Merino De Lucas, Fernando, 2017. "La estrategia de retorno de la industria española: El caso del sector calzado en Alicante, su importancia y determinantes/Reshoring the Spanish Production of Footwear: Its Importance and Determinants," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 35, pages 777-800, Agosto.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gunasekaran, Angappa & Irani, Zahir & Choy, King-Lun & Filippi, Lionel & Papadopoulos, Thanos, 2015. "Performance measures and metrics in outsourcing decisions: A review for research and applications," International Journal of Production Economics, Elsevier, vol. 161(C), pages 153-166.
    2. Steven Globerman & Aidan Vining, 2004. "The Outsourcing Decision: A Strategic Framework," International Trade 0404007, University Library of Munich, Germany.
    3. Lennart Söderberg & Lars Bengtsson & Matti Kaulio, 2017. "A model for outsourcing and governing of maintenance within the process industry," Operations Management Research, Springer, vol. 10(1), pages 20-32, June.
    4. Luigi Cantone & Pierpaolo Testa & Svend Hollensen & Giuseppe Fabio Cantone, 2019. "Outsourcing New Product Development Fostered By Disruptive Technological Innovation: A Decision-Making Model," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 23(01), pages 1-45, January.
    5. Magnani, Giovanna & Zucchella, Antonella & Strange, Roger, 2019. "The dynamics of outsourcing relationships in global value chains: Perspectives from MNEs and their suppliers," Journal of Business Research, Elsevier, vol. 103(C), pages 581-595.
    6. P. Everaert & G. Sarens & J. Rommel, 2006. "Sourcing of Accounting: Evidence from Belgian SMEs," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 06/403, Ghent University, Faculty of Economics and Business Administration.
    7. Barbara Bradaè Hojnik, 2010. "Correlation Between Reasons And Effects Of Outsourcing: Evidence From Slovenian Sme’S," Analele Stiintifice ale Universitatii "Alexandru Ioan Cuza" din Iasi - Stiinte Economice (1954-2015), Alexandru Ioan Cuza University, Faculty of Economics and Business Administration, vol. 57, pages 313-324, november.
    8. Cooper, Robin & Slagmulder, Regine, 2004. "Interorganizational cost management and relational context," Accounting, Organizations and Society, Elsevier, vol. 29(1), pages 1-26, January.
    9. Hammerling, Jessie HF, 2022. "Financial Drivers of Domestic Outsourcing: Case Study of Food Services in the San Francisco Bay Area," Institute for Research on Labor and Employment, Working Paper Series qt9sz919zw, Institute of Industrial Relations, UC Berkeley.
    10. Wang, Li Ming & Liu, Li Wen & Wang, Yong Jie, 2007. "Capacity decisions and supply price games under flexibility of backward integration," International Journal of Production Economics, Elsevier, vol. 110(1-2), pages 85-96, October.
    11. Pascal Dey & Chris Steyaert, 2016. "Rethinking the Space of Ethics in Social Entrepreneurship: Power, Subjectivity, and Practices of Freedom," Journal of Business Ethics, Springer, vol. 133(4), pages 627-641, February.
    12. Saarijärvi, Hannu & Mitronen, Lasse & Yrjölä, Mika, 2014. "From selling to supporting – Leveraging mobile services in the context of food retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 21(1), pages 26-36.
    13. Zhang, Hongjuan & Young, Michael N. & Tan, Justin & Sun, Weizheng, 2018. "How Chinese companies deal with a legitimacy imbalance when acquiring firms from developed economies," Journal of World Business, Elsevier, vol. 53(5), pages 752-767.
    14. Anna Adamik & Michał Nowicki, 2019. "Pathologies and Paradoxes of Co-Creation: A Contribution to the Discussion about Corporate Social Responsibility in Building a Competitive Advantage in the Age of Industry 4.0," Sustainability, MDPI, vol. 11(18), pages 1-38, September.
    15. Caroline Ardelet & Nathalie Veg-Sala & Alain Goudey & Marie Haikel-Elsabeh, 2017. "Between fear and desire for smart products: toward an understanding of consumers ambivalence [Entre crainte et désir pour les objets connectés : comprendre l'ambivalence des consommateurs]," Post-Print hal-01570286, HAL.
    16. Guiette, Alain & Vandenbempt, Koen, 2017. "Change managerialism and micro-processes of sensemaking during change implementation," Scandinavian Journal of Management, Elsevier, vol. 33(2), pages 65-81.
    17. Andrzej Janowski & Anna Szczepańska-Przekota, 2022. "The Trait of Extraversion as an Energy-Based Determinant of Entrepreneur’s Success—The Case of Poland," Energies, MDPI, vol. 15(13), pages 1-21, June.
    18. Yi-Ju Lo & Tung Hung, 2015. "Structure offshoring and returns on offshoring," Asia Pacific Journal of Management, Springer, vol. 32(2), pages 443-479, June.
    19. Kazadi, Kande & Lievens, Annouk & Mahr, Dominik, 2016. "Stakeholder co-creation during the innovation process: Identifying capabilities for knowledge creation among multiple stakeholders," Journal of Business Research, Elsevier, vol. 69(2), pages 525-540.
    20. Suomi, Kati & Luonila, Mervi & Tähtinen, Jaana, 2020. "Ironic festival brand co-creation," Journal of Business Research, Elsevier, vol. 106(C), pages 211-220.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:eurman:v:30:y:2012:i:2:p:99-110. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/115/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.