Outsourcing, competitive capabilities and performance: an empirical study in service firms
In analyzing the relationship between outsourcing and firm performance, different authors have studied the effects that outsourcing can have on the firm. Even if we establish an initial link between outsourcing and representative measurements of the results achieved through cost savings or the creation of greater market value, no author seems to have established a precise relationship between outsourcing and the most representative measures of company performance (organizational and business performance). After reviewing the literature on this issue, we believe that research has undervalued the impact that outsourcing decisions have on our competitive capabilities. After making an empirical study of service firms, this article finds that there is a relationship between outsourcing decisions and company performance which is articulated via the impact of outsourcing decisions on the firm's competitive capabilities.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Holger Görg & Aoife Hanley, 2004.
"Does Outsourcing Increase Profitability?,"
The Economic and Social Review,
Economic and Social Studies, vol. 35(3), pages 267-288.
- Görg, Holger & Hanley, Aoife, 2004. "Does Outsourcing Increase Profitability?," IZA Discussion Papers 1372, Institute for the Study of Labor (IZA).
- Nordin, Fredrik, 2008. "Linkages between service sourcing decisions and competitive advantage: A review, propositions, and illustrating cases," International Journal of Production Economics, Elsevier, vol. 114(1), pages 40-55, July.
- Bernd Görzig & Andreas Stephan, 2002. "Outsourcing and Firm-level Performance," Discussion Papers of DIW Berlin 309, DIW Berlin, German Institute for Economic Research.
- Gorzig, Bernd & Andreas Stephan, 2003. "Outsourcing and Firm-level Performance," Royal Economic Society Annual Conference 2003 90, Royal Economic Society.
- Antelo, Manel & Bru, Lluis, 2010. "Outsourcing or restructuring: The dynamic choice," International Journal of Production Economics, Elsevier, vol. 123(1), pages 1-7, January.
- Abernethy, Margaret A. & Lillis, Anne M., 1995. "The impact of manufacturing flexibility on management control system design," Accounting, Organizations and Society, Elsevier, vol. 20(4), pages 241-258, May.
- Pinjala, Srinivas Kumar & Pintelon, Liliane & Vereecke, Ann, 2006. "An empirical investigation on the relationship between business and maintenance strategies," International Journal of Production Economics, Elsevier, vol. 104(1), pages 214-229, November.
- Tate, Wendy L. & Ellram, Lisa M. & Bals, Lydia & Hartmann, Evi, 2009. "Offshore outsourcing of services: An evolutionary perspective," International Journal of Production Economics, Elsevier, vol. 120(2), pages 512-524, August.
- McCarthy, Ian & Anagnostou, Angela, 2004. "The impact of outsourcing on the transaction costs and boundaries of manufacturing," International Journal of Production Economics, Elsevier, vol. 88(1), pages 61-71, March.
- Margaret A. Peteraf & Jay B. Barney, 2003. "Unraveling the resource-based tangle," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 24(4), pages 309-323.
- Binder, Mario & Clegg, Ben, 2007. "Enterprise management: A new frontier for organisations," International Journal of Production Economics, Elsevier, vol. 106(2), pages 409-430, April.
- Jeffrey G. Miller & Aleda V. Roth, 1994. "A Taxonomy of Manufacturing Strategies," Management Science, INFORMS, vol. 40(3), pages 285-304, March.
- Luis Araujo & Anna Dubois & Lars-Erik Gadde, 2003. "The Multiple Boundaries of the Firm," Journal of Management Studies, Wiley Blackwell, vol. 40(5), pages 1255-1277, 07.
- Lee, Ik Sun & Sung, C.S., 2008. "Single machine scheduling with outsourcing allowed," International Journal of Production Economics, Elsevier, vol. 111(2), pages 623-634, February.
- Zhang, Cheng & Dhaliwal, Jasbir, 2009. "An investigation of resource-based and institutional theoretic factors in technology adoption for operations and supply chain management," International Journal of Production Economics, Elsevier, vol. 120(1), pages 252-269, July.
- Jonathan P. Doh, 2005. "Offshore Outsourcing: Implications for International Business and Strategic Management Theory and Practice," Journal of Management Studies, Wiley Blackwell, vol. 42(3), pages 695-704, 05. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:eee:proeco:v:126:y:2010:i:2:p:276-288. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dana Niculescu)
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.