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An empirical study of collaborative partnering among enterprises and government organizations for information system outsourcing

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Most researches on information systems (IS) outsourcing indicate that public sector decides to outsource information technology (IT) services due to the belief that private vendors offer more cost advantages. This research explores government sectors of outsourcing and focus on the role of relationship for IS-service providers. Quantitative data of 126 questionnaires and 30 IS demonstrate that trust, mutual dependence, equipment investment and information sharing are contributing factors to successful outsourcing long-term partnerships. Information sharing between the service receiver and provider is also vital in terms of equipment investment in long-term partnerships, and is affected by the level of trust that each party holds for the other within the outsourcing process. Conceptual model is useful in explicating important government-business partnering strategies – the model highlights not only the economic benefits that the IS-outsourcing relationship brings based on social exchange theory characteristics, but also suggests many additional relevant elements.

Keywords: L86; M10; long-term partnership; outsourcing of information systems; public–private relationship; structural equation modelling

Document Type: Research Article


Affiliations: Department of Risk Management and Insurance, Ming Chuan University, Taipei, Taiwan

Publication date: January 22, 2014

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