IDEAS home Printed from https://ideas.repec.org/a/inm/orisre/v14y2003i3p291-314.html
   My bibliography  Save this article

Portfolios of Control in Outsourced Software Development Projects

Author

Listed:
  • Vivek Choudhury

    (Information Systems Department, College of Business, University of Cincinnati, Cincinnati, Ohio 45221)

  • Rajiv Sabherwal

    (CCB 206, College of Business Administration, University of Missouri, St. Louis, 8001 Natural Bridge Road, St. Louis, Missouri 63121)

Abstract

This paper examines the evolution of portfolio of controls over the duration of outsourced information systems development (ISD) projects. Drawing on five cases, it concludes that many findings from research on control of internal ISD projects apply to the outsourced context as well, but with some interesting differences. The portfolios of control in outsourced projects are dominated by outcome controls, especially at the start of the project; although the precision and frequency of these controls varies across projects. Behavior controls are often added later in the project, as are controls aimed to encourage and enable vendor self–control. Clan controls were used in only two of the cases—when the client and vendor had shared goals, and when frequent interactions led to shared values. In general, the outsourced projects we studied began with relatively simple controls but often required significant additional controls after experiencing performance problems. Factors influencing the choice and evolution of controls are also examined.

Suggested Citation

  • Vivek Choudhury & Rajiv Sabherwal, 2003. "Portfolios of Control in Outsourced Software Development Projects," Information Systems Research, INFORMS, vol. 14(3), pages 291-314, September.
  • Handle: RePEc:inm:orisre:v:14:y:2003:i:3:p:291-314
    DOI: 10.1287/isre.14.3.291.16563
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1287/isre.14.3.291.16563
    Download Restriction: no

    File URL: https://libkey.io/10.1287/isre.14.3.291.16563?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
    ---><---

    References listed on IDEAS

    as
    1. Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October.
    2. Laurie J. Kirsch, 1996. "The Management of Complex Tasks in Organizations: Controlling the Systems Development Process," Organization Science, INFORMS, vol. 7(1), pages 1-21, February.
    3. William G. Ouchi, 1979. "A Conceptual Framework for the Design of Organizational Control Mechanisms," Management Science, INFORMS, vol. 25(9), pages 833-848, September.
    4. Kathleen M. Eisenhardt, 1985. "Control: Organizational and Economic Approaches," Management Science, INFORMS, vol. 31(2), pages 134-149, February.
    5. Laurie S. Kirsch, 1997. "Portfolios of Control Modes and IS Project Management," Information Systems Research, INFORMS, vol. 8(3), pages 215-239, September.
    6. Africa Ariño & José de la Torre, 1998. "Learning from Failure: Towards an Evolutionary Model of Collaborative Ventures," Organization Science, INFORMS, vol. 9(3), pages 306-325, June.
    7. Laurie J. Kirsch & V. Sambamurthy & Dong-Gil Ko & Russell L. Purvis, 2002. "Controlling Information Systems Development Projects: The View from the Client," Management Science, INFORMS, vol. 48(4), pages 484-498, April.
    Full references (including those not matched with items on IDEAS)

    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. Huigang Liang & Yajiong Xue & Liansheng Wu, 2013. "Ensuring Employees' IT Compliance: Carrot or Stick?," Information Systems Research, INFORMS, vol. 24(2), pages 279-294, June.
    2. Anandasivam Gopal & Sanjay Gosain, 2010. "Research Note ---The Role of Organizational Controls and Boundary Spanning in Software Development Outsourcing: Implications for Project Performance," Information Systems Research, INFORMS, vol. 21(4), pages 960-982, December.
    3. Sandeep Rustagi & William R. King & Laurie J. Kirsch, 2008. "Predictors of Formal Control Usage in IT Outsourcing Partnerships," Information Systems Research, INFORMS, vol. 19(2), pages 126-143, June.
    4. Rob Gleasure & Kieran Conboy & Lorraine Morgan, 2019. "Talking Up a Storm: How Backers Use Public Discourse to Exert Control in Crowdfunded Systems Development Projects," Information Systems Research, INFORMS, vol. 30(2), pages 447-465, June.
    5. Pankaj Nagpal & Andreas I. Nicolaou & Kalle Lyytinen, 2014. "Outsourcing And Market Value Of The Firm: Toward A Comprehensive Model," Intelligent Systems in Accounting, Finance and Management, John Wiley & Sons, Ltd., vol. 21(1), pages 19-38, January.
    6. Laurie J. Kirsch & Dong-Gil Ko & Mark H. Haney, 2010. "Investigating the Antecedents of Team-Based Clan Control: Adding Social Capital as a Predictor," Organization Science, INFORMS, vol. 21(2), pages 469-489, April.
    7. Jeffrey D. Wall & Prashant Palvia & John D’Arcy, 2022. "Theorizing the Behavioral Effects of Control Complementarity in Security Control Portfolios," Information Systems Frontiers, Springer, vol. 24(2), pages 637-658, April.
    8. Likoebe M. Maruping & Viswanath Venkatesh & Ritu Agarwal, 2009. "A Control Theory Perspective on Agile Methodology Use and Changing User Requirements," Information Systems Research, INFORMS, vol. 20(3), pages 377-399, September.
    9. Laurie J. Kirsch, 2004. "Deploying Common Systems Globally: The Dynamics of Control," Information Systems Research, INFORMS, vol. 15(4), pages 374-395, December.
    10. Wessel, Michael & Thies, Ferdinand & Benlian, Alexander, 2015. "The Effects of Relinquishing Control in Platform Ecosystems: Implications from a Policy Change on Kickstarter," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 75205, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    11. Barbara Brenner & Björn Ambos, 2013. "A Question of Legitimacy? A Dynamic Perspective on Multinational Firm Control," Organization Science, INFORMS, vol. 24(3), pages 773-795, June.
    12. Christian Jung-Gehling & Erik Strauss, 2018. "A Contemporary Concept of Organizational Control: Its Dependence on Shared Values and Impact on Motivation," Schmalenbach Business Review, Springer;Schmalenbach-Gesellschaft, vol. 70(4), pages 341-374, November.
    13. Johnson, William H.A., 2011. "Managing university technology development using organizational control theory," Research Policy, Elsevier, vol. 40(6), pages 842-852, July.
    14. Downes, Rebecca & Daellenbach, Urs & Donnelly, Noelle, 2023. "Remote control: Attitude monitoring and informal control in distributed teams," Journal of Business Research, Elsevier, vol. 154(C).
    15. Donghwan Cho, 2019. "Exploring the Ambivalent Effects of Control Modes on Project Performance Dimensions in Software Development Outsourcing," International Journal of Business and Social Research, MIR Center for Socio-Economic Research, vol. 9(1), pages 1-7, January.
    16. Laura B. Cardinal & Sim B. Sitkin & Chris P. Long, 2004. "Balancing and Rebalancing in the Creation and Evolution of Organizational Control," Organization Science, INFORMS, vol. 15(4), pages 411-431, August.
    17. Yang, Feifei & Shinkle, George A. & Goudsmit, Mirjam, 2022. "The efficacy of organizational control interactions: External environmental uncertainty as a critical contingency," Journal of Business Research, Elsevier, vol. 139(C), pages 855-868.
    18. Gregory D. Moody & Laurie J. Kirsch & Sandra A. Slaughter & Brian Kimball Dunn & Qin Weng, 2016. "Facilitating the Transformational: An Exploration of Control in Cyberinfrastructure Projects and the Discovery of Field Control," Information Systems Research, INFORMS, vol. 27(2), pages 324-346, June.
    19. Emil Inauen & Margit Osterloh & Bruno Frey & Fabian Homberg, 2015. "How a multiple orientation of control reduces governance failures: a focus on monastic auditing," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 19(4), pages 763-796, November.
    20. Shraddha Nimish Danani & Janis L. Gogan & Prageet Aeron & Kirti Sharma & Mahadeo Prasad Jaiswal, 2022. "How Do Digital Market Platform Hosts Exercise Control Over Sellers?: Digital Market Platform Sellers Control," Journal of Electronic Commerce in Organizations (JECO), IGI Global, vol. 20(2), pages 1-18, April.

    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:inm:orisre:v:14:y:2003:i:3:p:291-314. 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: Chris Asher (email available below). General contact details of provider: https://edirc.repec.org/data/inforea.html .

    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.