| IS outsourcing is currently receiving enormous attention in the industry as well as in the research community. Most of the research in IS outsourcing thus far has focused on why, how, and what do firms outsource, the client-vendor relationship and the factors influencing outsourcing success. Earlier studies in outsourcing have largely adopted a client-centric view, thereby primarily examining the vendor characteristics in an outsourcing relationship. Though there has been some work to analyze the client and task characteristics as well, current literature lacks a broader perspective. This research intends to bridge this gap by providing a comprehensive IS outsourcing perspective that incorporates the client's as well as the vendor's view.; Within the client-vendor relationship stream in IS outsourcing, aspects of client control over the vendor are now increasingly being examined. Recently, there has been significant research effort to examine portfolios of control in an outsourcing relationship. Additionally, though client control over the vendor is often cited as a key element of an outsourcing relationship, the link between control and outsourcing success has not yet been examined. This study proposes and tests a comprehensive model that presented three sets of characteristics---client, task and vendor---as influencing factors for the degree of formal client control over the vendor in an outsourcing relationship. Further, the interaction between environmental uncertainty and control is presented as an antecedent of outsourcing success.; Specifically, the research questions addressed in this study are: (a) what client characteristics influence the degree of formal control in an outsourcing relationship, and how; (b) what task characteristics influence the degree of formal control in an outsourcing relationship, and how; (c) how do degree of formal control and environmental uncertainty interact to impact outsourcing success? A survey-based methodology was utilized. The results indicate that client capabilities and trust are inversely related to the degree of formal client control over the vendor, suggesting that higher capabilities and higher trust are associated with lower degree of formal control in an outsourcing relationship.; Post-hoc analysis revealed interesting associations, indicating that client capabilities and trust are significantly and positively related to outsourcing success whereas the degree of formal control was found to be inversely related to outsourcing success. Task uncertainty was found to have a positive impact on the degree of formal control whereas environmental uncertainty did not seem to influence either the degree of formal control or outsourcing success. This research provides a valuable contribution to the outsourcing and control literature by developing and testing a theoretical model that significantly enhances the existing knowledge and lays a strong foundation for further research. |
