The Influence Of Outsourcing Models On Vendor Knowledge Integration

In this paper, we attempt to address the role of outsourcing models (Global Delivery, Global Shared-services, and Build-Operate-Transfer models)―on vendor knowledge integration, i.e., the understanding of the project requirements and client needs by the vendor. Specifically, the paper examines the role of team identification, requirements ambiguity, and infrastructure diversity in vendor knowledge integration, and the moderating effect of the type of outsourcing model on the respective relationships of team identification, requirements ambiguity, and infrastructure diversity with vendor knowledge integration. Theories of Social Exchange and a Knowledge-based view are utilized. Using a sample of sixty-six outsourced software development clients, we show that team identification and infrastructure diversity influence vendor knowledge integration, which then influences project success. Further, use of appropriate outsourcing model has a moderating effect on these relationships.