Critical factors in establishing and maintaining trust in software outsourcing relationships

Trust is considered one of the most important factors for successfully managing software outsourcing relationships. However, there is lack of research into understanding the factors that are considered important in establishing and maintaining trust between clients and vendors. The goal of this research is to gain an understanding of software outsourcing vendors' perceptions of the importance of factors that are critical to the establishment and maintenance of trust in software outsourcing projects in Vietnam. We used a multiple case study design to guide our research and in-depth interviews to collect qualitative data from 12 Vietnamese software development practitioners drawn from 8 companies that have been developing software for Far Eastern, European, and American clients. Vendor companies identified that cultural understanding, creditability, capabilities, and personal visits are important factors in gaining the initial trust of a client, while cultural understanding, communication strategies, contract conformance, and timely delivery are vital factors in maintaining that trust.

[1]  Colin Camerer,et al.  Not So Different After All: A Cross-Discipline View Of Trust , 1998 .

[2]  F. Nye,et al.  Social Exchange in Developing Relationships , 1979 .

[3]  Walter W. Powell Trust-Based Forms of Governance , 1996 .

[4]  Lawrence Loh,et al.  Diffusion of Information Technology Outsourcing: Influence Sources and the Kodak Effect , 1992, Inf. Syst. Res..

[5]  B. Kitchenham,et al.  Case Studies for Method and Tool Evaluation , 1995, IEEE Softw..

[6]  Prashant C. Palvia A dialectic view of information systems outsourcing: Pros and cons , 1995, Inf. Manag..

[7]  Leslie P. Willcocks,et al.  Exploring information technology outsourcing relationships: theory and practice , 2000, J. Strateg. Inf. Syst..

[8]  R. E. Miles,et al.  Causes of Failure in Network Organizations , 1992 .

[9]  Janice Singer,et al.  Studying Software Engineers: Data Collection Techniques for Software Field Studies , 2005, Empirical Software Engineering.

[10]  Youngjin Yoo,et al.  Dynamic nature of trust in virtual teams , 2002, J. Strateg. Inf. Syst..

[11]  S. Hunt,et al.  The Commitment-Trust Theory of Relationship Marketing , 1994 .

[12]  B SeamanCarolyn Qualitative Methods in Empirical Studies of Software Engineering , 1999 .

[13]  Rudy Hirschheim,et al.  Organizational Connectivity , 1991 .

[14]  Austen Rainer,et al.  Critical factors in software outsourcing: a pilot study , 2004, WISER '04.

[15]  Susan Elliott Sim,et al.  Case studies for software engineers , 2005, Proceedings. 26th International Conference on Software Engineering.

[16]  R. E. Miles,et al.  Trust in organizations: A conceptual framework linking organizational forms, managerial philosophies, and the opportunity costs of controls. , 1996 .

[17]  K. Blois Trust in Business to Business Relationships: An Evaluation of its Status , 1999 .

[18]  J. H. Davis,et al.  An Integrative Model Of Organizational Trust , 1995 .

[19]  T. Das,et al.  Between Trust and Control: Developing Confidence in Partner Cooperation in Alliances , 1998 .

[20]  James A. Narus,et al.  A Model of Distributor Firm and Manufacturer Firm Working Partnerships , 1990 .

[21]  Carolyn B. Seaman,et al.  Qualitative Methods in Empirical Studies of Software Engineering , 1999, IEEE Trans. Software Eng..

[22]  Rajiv Sabherwal,et al.  The role of trust in outsourced IS development projects , 1999, CACM.

[23]  Moshe Zviran,et al.  Building outsourcing relationships across the global community: the UPS-Motorola experience , 2001, J. Strateg. Inf. Syst..

[24]  Shyam R. Chidamber An Analysis of Vietnam's ICT and Software Services Sector , 2003, Electron. J. Inf. Syst. Dev. Ctries..