Session Details: Session 1022

Outsourcing, Offshoring and Global Supply Chains

Track G

Date: Sunday, December 14, 2008


Time: 13:30 – 14:45

Common Ground

Room: MLT3

Arie Lewin, Duke University

Title: Developing A Strategic Framework for Outsourcing/Offshoring: Insights for Emerging Economy Firms


  • Devkamal Dutta, University of New Hampshire

In this paper, we develop a strategic framework for outsourcing/offshoring by drawing upon concepts from IO economics and internationalization theory. Specifically, we utilize well-known ideas in strategic management such as generic strategy, the value-chain, and entry strategy, to define the contours of our suggested framework. Based on this conceptual framing, we are able to offer a series of propositions that may be taken up for empirical assessment. We conclude with a few important suggestions for practice, specifically for emerging economy firms interested to take up international outsourcing/offshoring opportunities.

Title: Governance and Integration in Knowledge Process Offshoring


  • Marc Junkunc, Virginia Tech
  • Vaidy Jayaraman, University of Miami
  • Yadong Luo, University of Miami

Success in knowledge process offshoring (KPO) will depend on the ability of the firms involved to manage the knowledge itself as well as the processes which develop new knowledge. This is an area of growing concern as firms extend the search for lower cost production and process solutions around the globe, in ever-increasingly complex tasks, such as R&D and knowledge-based innovation. We argue that success will be a matter of knowledge integration, which is influenced by the mode of governance and related to absorptive capacity. Though prior research exists regarding outsourcing of production and services, globalization of firms, and knowledge-based innovation, this work seeks to help scholars untangle the complicated interaction of these conditions in the KPO setting of India.

Title: Inder Ante Portas? Market Entry of Indian IT-Outsourcing Firms into Europe


  • David Beil, WHU Otto Beisheim School of Management
  • Peter Kreutter, WHU Otto Beisheim School of Management
  • Georg Stadtmann, European University Viadrina

According to the business & financial press, Indian IT-outsourcers appear to be highly aggressive and successful in conquering the European market. A deeper look into the recent M&A figures reveals that the actual market entry activity is less pronounced than perceived by the public. We analyze the recent trends of Indian IT-outsourcing firms in Europe and use the scenario analysis to forecast the potential upcoming activities. We argue that a fast and aggressive move of Indian firms would counter their low cost strategies and hence will be highly unlikely to occur in the near future.

Title: Location Analysis in Global Supply Chains


  • Viswanadham Nukala, Indian School of Business
  • Kameshwaran Sampath, Indian School of Business

Location analysis is performed to study the conduciveness of locations for business or economic activities. Firms perform location analysis to build a new facility, whereas host governments use it to improve the investment. Location analysis basically involves multicriteria evaluation of N alternate locations with respect to M location attributes. In this work, we develop a generic framework to identify and group the M attributes into a multilevel hierarchical tree. The structuring facilitates the use of the analytic hierarchy process to synthesize the information about the M attributes along with the decision maker’s preferences, to evaluate the locations. The framework is generic and can be used for locating business operations including industrial plants, R&D centers, call centers, special economic zones, etc.

Title: Organizational Readiness for Outsourcing Success


  • Hans Solli-Sæther, Aalesund University College
  • Petter Gottschalk, Norwegian School of Management
  • Kirsti Kierulf, Handelshøyskolen BI

Although outsourcing has been more common, still some companies don’t succeed in their outsourcing. Achieving outsourcing readiness, we propose, is essential to obtain outsourcing success. This research examines organizational change-related factors that impact outsourcing success. First, we refer to the change literature to investigate how firm readiness for change influences its performance. Second, we introduce a scale for measuring organizational readiness for outsourcing. Third, we examine the hypothesized relationship between organizational readiness for outsourcing and outsourcing success.

Title: Product Safety in Global Supply Chains: Implications for India


  • Hari Bapuji, University of Manitoba

A large number of product recalls in the U.S, and around the world, in 2007 severely dented the image of China, which manufactured many of the recalled products. These recalls also underscored the importance of ensuring product safety in supply chains involving developing countries. However, very little research exists on product recalls and their management. This paper examines the U.S. recalls of consumer products made in India and draws implications for research and practice on product recalls.

All Sessions in Track G...

Sat: 11:15 – 12:30
Session 1020: Linkages between the Business Environment and Firm Strategy in Indian Firms
Sat: 13:30 – 14:45
Session 1017: Corporate Governance in Emerging Economies
Sun: 13:30 – 14:45
Session 1022: Outsourcing, Offshoring and Global Supply Chains
Sun: 15:00 – 16:15
Session 1018: Effective Human Resource Management in Indian Organizations

Strategic Management Society

India Initiative

2008 Special Conference

2010 Bangalore Workshop

2011 Calcutta Workshop