Sourcing in or out: Implications for social capital and knowledge sharing

Published on May 1, 2017in Journal of Strategic Information Systems4.00
· DOI :10.1016/j.jsis.2017.05.001
Angelika Zimmermann8
Estimated H-index: 8
(Lboro: Loughborough University),
Ilan Oshri20
Estimated H-index: 20
(Lboro: Loughborough University)
+ 1 AuthorsAlexandra Gerbasi9
Estimated H-index: 9
(University of Surrey)
Abstract The sharing of knowledge between a firm and its internal or external service suppliers has become an important element of contemporary sourcing arrangements. Moreover, the knowledge based view (KBV) has long suggested that due to stronger cognitive links within firms, internal compared to external service provision creates better conditions for knowledge sharing. Empirical evidence for this claim is however scarce, and the KBV does not explain the mechanisms for more knowledge sharing in internal sourcing in detail. Moreover, there is now some evidence to suggest that firms’ relationships with external sourcing partners are becoming more similar to those with captive centres, which represent a less traditional form of insourcing setting. To scrutinize the possible knowledge sharing advantages of internal sourcing in more depth, we turn to social capital (SC) research. There are some theoretical claims that SC and knowledge sharing are stronger within than between firms, and there is ample evidence that SC facilitates knowledge sharing. Our survey results suggest that the extent of knowledge sharing and SC are indeed stronger in a captive than in an external sourcing mode, and that structural (tie strength), cognitive (shared understanding), and relational (trust) aspects of SC mediate the effect of sourcing mode on the extent of knowledge sharing. By contrast, network stability (a structural aspect) mediated knowledge sharing only indirectly, by reinforcing the other SC aspects. We highlight important contributions to research and practice of IS outsourcing and social capital.
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  • Citations (1)
Published on Jun 24, 2016in ACM Sigmis Database
Jens Dibbern17
Estimated H-index: 17
(University of Bern),
Wynne W. Chin37
Estimated H-index: 37
(UH: University of Houston),
Thomas Kude7
Estimated H-index: 7
(UMA: University of Mannheim)
Transaction cost economics (TCE) is the most prominent theory for studying questions surrounding information systems (IS) outsourcing. Its most widely tested argument is that client-specific services are rather kept in-house due to the high transaction costs which arise for safeguarding against opportunistic behavior. However, empirical support for this argument has so far been inconclusive. We seek to resolve this inconsistency by following two recommendations in prior literature. First, we ext...
Published on Mar 1, 2016in Journal of Strategic Information Systems4.00
Claudia Loebbecke21
Estimated H-index: 21
(University of Cologne),
Paul C. van Fenema14
Estimated H-index: 14
Philip Powell33
Estimated H-index: 33
(Birkbeck, University of London)
Corporate knowledge is considered a crucial determinant of sustainable competitive advantages. Recent resource-leveraging strategies emphasize inter-firm collaboration and knowledge sharing across firm boundaries, however. This strategic paradox of protecting versus sharing knowledge suggests the need for new paradigms that reconcile intra- and inter-organizational knowledge sharing. Building on organizational collaboration and control theory, this paper investigates contingencies of inter-organ...
Published on Dec 1, 2015in Journal of Information Technology3.13
Eleni Lioliou5
Estimated H-index: 5
(Lboro: Loughborough University),
Angelika Zimmermann8
Estimated H-index: 8
(Lboro: Loughborough University)
Academic researchers have paid significant attention to the drivers of opportunistic behavior, yet our understanding of how opportunistic behavior can be mitigated remains relatively fragmented. Our investigation will focus on the social context and more specifically on the role of social capital in the deterrence of opportunistic behavior. On the basis of two qualitative case studies in the financial sector, we will illustrate how the structural, cognitive and relational dimensions of social ca...
Published on Jul 1, 2015in Journal of World Business5.79
Martina Gerbl2
Estimated H-index: 2
Ronan McIvor31
Estimated H-index: 31
(Ulster University)
+ 1 AuthorsPaul Humphreys30
Estimated H-index: 30
(Ulster University)
This paper proposes a framework for understanding location distance and governance model choice in the business process outsourcing (BPO) decision. Much of the current international business (IB) literature employs location-specific factors alone to explain the BPO decision, and this literature is dominated by studies of the offshore location option, with limited attention given to the local and nearshore location distance options as alternatives to offshoring. The framework proposed here was de...
Published on Jan 1, 2015
Andrew F. Hayes40
Estimated H-index: 40
Estimated H-index: 1
Published on Aug 1, 2014in Organization Science3.26
Kannan Srikanth9
Estimated H-index: 9
(Indian School of Business),
Phanish Puranam25
Estimated H-index: 25
(Indian School of Business)
To examine what, if any, are the differences in how activities are coordinated within versus between firms, we conducted interviews with 32 project managers regarding 60 projects in the offshore software services industry. Uniquely, our projects were sampled along two dimensions: (1) colocation versus spatial distribution and (2) delivery by groups of individuals from a single firm versus from multiple firms. Our evidence suggests that in colocated projects, the same broad categories of coordina...
Beena George2
Estimated H-index: 2
(University of St. Thomas (Texas)),
Rudy Hirschheim55
Estimated H-index: 55
(LSU: Louisiana State University),
Alexander von Stetten1
Estimated H-index: 1
Purpose – This paper proposes a new research agenda for information technology (IT) outsourcing,motivated by the belief that the social capital concept enables IT outsourcing researchers to capture more of the nuances of the client–vendor relationship in IT outsourcing arrangements. Design/methodology/approach – The paper builds a comprehensive framework of social capital based on Nahapiet and Ghoshal (1998) to examine the IT outsourcing life cycle. Past research on IT outsourcing is examined ap...
Published on Jun 1, 2014in Management Information Systems Quarterly4.37
Julia Kotlarsky16
Estimated H-index: 16
(Aston University),
Harry Scarbrough39
Estimated H-index: 39
(Keele University),
Ilan Oshri20
Estimated H-index: 20
(Lboro: Loughborough University)
The coordination of effort within and among different expert groups is a central feature of contemporary organizations. Within the existing literature, however, a dichotomy has emerged in our understanding of the role played by codification in coordinating expert groups. One strand of literature emphasizes codification as a process that supports coordination by enabling the storage and ready transfer of knowledge. In contrast, another strand highlights the persistent differences between expert g...
Published on Mar 1, 2014in Information Systems Journal3.29
Angelika Zimmermann8
Estimated H-index: 8
(Lboro: Loughborough University),
M.N. Ravishankar11
Estimated H-index: 11
(Lboro: Loughborough University)
Information technology IT development in global organisations relies heavily on the transfer of tacit and complex knowledge from onshore units to offshore subsidiaries. A central concern of such organisations is the development of social capital, which is known to facilitate the smooth transfer of knowledge. However, only a few studies in IS research have explicitly examined the role of social capital for knowledge transfer in an IT offshoring context. In this paper, we argue that such knowledge...
Published on Jan 1, 2014
Kunio Takezawa1
Estimated H-index: 1
(University of Tsukuba)
The simplest form of the linear mixed model is the random-effects model, which represents data using the regression equation: $\displaystyle{ \mathbf{y}_{i} =\boldsymbol{\alpha } +\mathbf{b}_{i} +\boldsymbol{\epsilon } _{i} (1 \leq i \leq m), } where \(\boldsymbol{\alpha }\), y i , b i , and \(\boldsymbol{\epsilon }_{i}\) are column matrices for which the lengths are n i and can be expressed in the form: \displaystyle\begin{array}{rcl} \boldsymbol{\alpha } = \left (\begin{array}{c} \alpha \...
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