Vendor boundary spanning in Indian Information Technology (IT) companies

Boundary spanning is an important mechanism for the successful and efficient management of client-vendor relationships in Information Technology (IT) outsourcing. Vendors are often responsible for initiating boundary-spanning between the two parties, and the final effectiveness of boundary-spanning often hinges more on vendors rather than on clients. Boundary-spanners are individuals, who operate at the boundary of an organization, performing functions like external representation and information processing. The idea that boundary-spanning can become an organizational capability is well acknowledged in prior literature; but research regarding this process is limited. Boundary-spanning is often left to the ingenuity of the individual performing the role, preventing its development as an organizational capability. Therefore, this study attempts to uncover the process and develop the building blocks of the organizational capability in managing client-vendor relationships in IT outsourcing. We adopt an exploratory case study method for theory building to address the question, “How do vendor boundary-spanners influence client-vendor relationships in IT outsourcing engagements?” We use multiple-case design (9 cases) for literal replication. Our propositions show that the practices of an effective boundary-spanner involves establishing a dyadic tie with the client-manager; strengthening the established tie based on shared context; using it to identify a joint problem; and developing interpersonal trust while solving this joint problem. The outcome of this interpersonal trust then gets appropriated through client-manager’s structural networks and contributes to the vendor organization’s business growth. This study uses the social capital lens to develop propositions regarding how boundary-spanners operate.

[1]  M. Tushman,et al.  Uncertainty, Social Location and Influence in Decision Making: A Sociometric Analysis , 1983 .

[2]  Angelika Zimmermann,et al.  Knowledge transfer in IT offshoring relationships: the roles of social capital, efficacy and outcome expectations , 2014, Inf. Syst. J..

[3]  Kristiina Mäkelä,et al.  FUNCTIONS, RESOURCES AND TYPES OF BOUNDARY SPANNERS WITHIN THE MNC. , 2010 .

[4]  Mary Lacity,et al.  The Impact of Outsourcing on Client Project Managers , 2008, Computer.

[5]  Ramkrishnan V. Tenkasi,et al.  P ERSPECTIVE M AKING AND P ERSPECTIVE T AKING IN C OMMUNITIES OF K NOWING , 2000 .

[6]  Pierre Bourdieu,et al.  Outline of a Theory of Practice , 2020, On Violence.

[7]  Jérôme Barthélemy,et al.  The Hard and Soft Sides of IT Outsourcing Management , 2003 .

[8]  Anne-Marie Søderberg,et al.  Boundary Spanners in Global Partnerships , 2017 .

[9]  Christoph Rosenkranz,et al.  Boundary Interactions and Motors of Change in Requirements Elicitation: A Dynamic Perspective on Knowledge Sharing , 2014, J. Assoc. Inf. Syst..

[10]  Emma Su,et al.  Can China’s family firms create intellectual capital? , 2013 .

[11]  R. Cross,et al.  The people who make organizations go--or stop. , 2002, Harvard business review.

[12]  Wynne W. Chin,et al.  Information systems outsourcing relationship factors: detailed conceptualization and initial evidence , 2005, DATB.

[13]  D. Krackhardt,et al.  Activating Cross-Boundary Knowledge: The Role of Simmelian Ties in the Generation of Innovations , 2010 .

[14]  B. Uzzi,et al.  Social Structure and Competition in Interfirm Networks: The Paradox of Embeddedness , 1997 .

[15]  Young-Gul Kim,et al.  Effect of Partnership Quality on IS Outsourcing Success: Conceptual Framework and Empirical Validation , 1999, J. Manag. Inf. Syst..

[16]  Jorg M. Elsenbach,et al.  The Changing Role of R&D Gatekeepers , 2007 .

[17]  Ephraim R. McLean,et al.  Expertise Integration and Creativity in Information Systems Development , 2005, J. Manag. Inf. Syst..

[18]  A. Kakabadse,et al.  Trends in Outsourcing:: Contrasting USA and Europe , 2002 .

[19]  Ken Kamoche,et al.  Chinese management practices in Kenya: toward a post-colonial critique , 2015 .

[20]  J. Coleman,et al.  Social Capital in the Creation of Human Capital , 1988, American Journal of Sociology.

[21]  C. Silver,et al.  Using Software in Qualitative Research: A Step-by-Step Guide , 2007 .

[22]  Emmanuelle Vaast,et al.  The Emergence of Boundary Spanning Competence in Practice: Implications for Implementation and Use of Information Systems , 2005, MIS Q..

[23]  S. Shapiro The Social Control of Impersonal Trust , 1987, American Journal of Sociology.

[24]  Ajai S. Gaur,et al.  Boundary Spanning in Global Organizations , 2017 .

[25]  H. Håkansson,et al.  Developing relationships in business networks , 1995 .

[26]  R. Hirschheim Information Systems Outsourcing , 2002 .

[27]  Bandula Jayatilaka,et al.  Information systems outsourcing: a survey and analysis of the literature , 2004, DATB.

[28]  Ajai S. Gaur,et al.  A systematic approach to conducting review studies: An assessment of content analysis in 25years of IB research , 2017 .

[29]  Lyn Richards,et al.  Using NVIVO in Qualitative Research , 1999 .

[30]  Henry Mintzberg Patterns in Strategy Formation , 1978, International Studies of Management & Organization.

[31]  R Leifer,et al.  Organizational/environmental interchange: a model of boundary spanning activity. , 1978, Academy of management review. Academy of Management.

[32]  T. Kern The Gestalt of an information technology outsourcing relationship: an exploratory analysis , 1997, ICIS '97.

[33]  Tina C. Ambos,et al.  accordance with Wiley Terms and Conditions for Self-Archiving. BOUNDARY SPANNING ACTIVITIES OF CORPORATE HQ EXECUTIVES INSIGHTS FROM A LONGITUDINAL STUDY , 2018 .

[34]  A. Goerzen Small Firm Boundary-spanning via Bridging Ties: Achieving International Connectivity via Cross-border Inter-cluster Alliances , 2017, Journal of International Management.

[35]  Raphael Amit,et al.  Business Model Design and the Performance of Entrepreneurial Firms , 2007, Organ. Sci..

[36]  M. Tushman,et al.  Boundary Spanning Individuals: Their Role in Information Transfer and Their Antecedents , 1981 .

[37]  R. Yin Case Study Research: Design and Methods , 1984 .

[38]  Paul W. Beamish,et al.  The Scaffolding Activities of International Returnee Executives: A Learning Based Perspective of Global Boundary Spanning , 2017 .

[39]  Ko de Ruyter,et al.  Antecedents and Consequences of the Service Climate in Boundary-Spanning Self-Managing Service Teams , 2004 .

[40]  V. Onyemah,et al.  How HRM control affects boundary-spanning employees' behavioural strategies and satisfaction: the moderating impact of cultural performance orientation , 2010 .

[41]  R. Grant Toward a Knowledge-Based Theory of the Firm,” Strategic Management Journal (17), pp. , 1996 .

[42]  Veronica Hope Hailey,et al.  Managing Change across Boundaries: Boundary-Shaking Practices , 2005 .

[43]  Natalia Levina,et al.  Immigrant managers as boundary spanners on offshored software development projects: partners or bosses? , 2009, IWIC '09.

[44]  S. Ghoshal,et al.  Social Capital, Intellectual Capital, and the Organizational Advantage , 1998 .

[45]  A. Strauss,et al.  Basics of qualitative research: Grounded theory procedures and techniques. , 1992 .

[46]  M. Tushman Special Boundary Roles in the Innovation Process. , 1977 .

[47]  T. Pedersen,et al.  Globally networked: Intraorganizational boundary spanning in the global organization , 2019, Journal of World Business.

[48]  Deborah G. . Ancona,et al.  Bridging the Boundary: External Activity and Performance in Organizational Teams. , 1992 .

[49]  M. Gordon,et al.  PUBLICATION RECORDS AND TENURE DECISIONS IN THE FIELD OF STRATEGIC MANAGEMENT , 1996 .

[50]  Jeanne W. Ross,et al.  From the Vendor's Perspective: Exploring the Value Proposition in Information Technology Outsourcing 1, 2 , 2003 .

[51]  Julie M. Hite Patterns of Multidimensionality among Embedded Network Ties: A Typology of Relational Embeddedness in Emerging Entrepreneurial Firms , 2003 .

[52]  P. Li Social tie, social capital, and social behavior: Toward an integrative model of informal exchange , 2007 .

[53]  Kristiina Mäkelä,et al.  Cultural and language skills as resources for boundary spanning within the MNC , 2014 .

[54]  I. Nonaka A Dynamic Theory of Organizational Knowledge Creation , 1994 .

[55]  C. Bruce Kavan,et al.  Moments of governance in IS outsourcing: conceptualizing effects of contracts on value capture and creation , 2005, J. Inf. Technol..

[56]  Hayagreeva Rao,et al.  Institutional Sources of Boundary-Spanning Structures: the Establishment of Investor Relations Departments in the Fortune 500 Industrials , 1999 .

[57]  Leslie P. Willcocks,et al.  IT outsourcing as strategic partnering: the case of the UK Inland Revenue , 1998, ECIS.

[58]  Mark S. Granovetter Economic Action and Social Structure: The Problem of Embeddedness , 1985, American Journal of Sociology.

[59]  Ajay Mehra,et al.  The Price Chameleons Pay: Self-Monitoring, Boundary Spanning and Role Conflict in the Workplace , 2008 .

[60]  Jacky Swan,et al.  Understanding the Role of Objects in Cross-Disciplinary Collaboration , 2012, Organ. Sci..

[61]  Howard E. Aldrich,et al.  Boundary Spanning Roles and Organization Structure , 1977 .

[62]  Rajesh Srivastava,et al.  Coping Intelligence: Coping Strategies and Organizational Commitment Among Boundary Spanning Employees , 2015 .

[63]  Mats Ehrnrooth,et al.  Potential and recognized boundary spanners in multinational corporations , 2019, Journal of World Business.

[64]  B. Uzzi,et al.  The Sources and Consequences of Embeddedness for the Economic Performance of Organizations: The Network Effect , 1996 .

[65]  W. E. Holland,et al.  Boundary-Spanning Roles in a Research and Development Organization: An Empirical Investigation , 1975 .

[66]  Z. Zhao,et al.  Beyond boundary spanners: The ‘collective bridge’ as an efficient interunit structure for transferring collective knowledge , 2013 .

[67]  Natalia Levina,et al.  ‘Am I Still One of Them?’: Bicultural Immigrant Managers Navigating Social Identity Threats When Spanning Global Boundaries , 2017 .

[68]  Gerard Fairtlough,et al.  Creative Compartments: A Design for Future Organization , 1994 .

[69]  Matthew B. Miles,et al.  Qualitative Data Analysis: An Expanded Sourcebook , 1994 .

[70]  David E. Rast,et al.  Intergroup Leadership in Organizations: Leading Across Group and Organizational Boundaries , 2012 .

[71]  J. Coleman Foundations of Social Theory , 1990 .

[72]  R. Burt The Network Structure Of Social Capital , 2000 .

[73]  Emmanuelle Vaast,et al.  Turning a Community into a Market: A Practice Perspective on Information Technology Use in Boundary Spanning , 2006, J. Manag. Inf. Syst..

[74]  Steven B. Andrews,et al.  Structural Holes: The Social Structure of Competition , 1995, The SAGE Encyclopedia of Research Design.

[75]  A. Zaheer,et al.  Does Trust Matter? Exploring the Effectsof Interorganizational and Interpersonaltrust on Performance , 1998 .

[76]  Anandasivam Gopal,et al.  Research Note - The Role of Organizational Controls and Boundary Spanning in Software Development Outsourcing: Implications for Project Performance , 2010, Inf. Syst. Res..

[77]  Leslie P. Willcocks,et al.  Exploring relationships in information technology outsourcing: the interaction approach , 2002, Eur. J. Inf. Syst..

[78]  Emmanuelle Vaast,et al.  Innovating or Doing as Told? Status Differences and Overlapping Boundaries in Offshore Collaboration , 2008, MIS Q..

[79]  Martin B. Meznar,et al.  Buffer or Bridge? Environmental and Organizational Determinants of Public Affairs Activities in American Firms , 1995 .

[80]  Robert K. Yin,et al.  Applications of case study research , 1993 .

[81]  P. Blau Exchange and Power in Social Life , 1964 .

[82]  Paul R. Carlile,et al.  A Pragmatic View of Knowledge and Boundaries: Boundary Objects in New Product Development , 2002, Organ. Sci..

[83]  L. Bingham,et al.  Board Diversity, Stakeholder Representation, and Collaborative Performance in Community Mediation Centers , 2010 .

[84]  Narayan Ramasubbu,et al.  Work Dispersion, Process-Based Learning, and Offshore Software Development Performance , 2008, MIS Q..

[85]  Dorothy E. Leidner,et al.  Bringing IT Back: An Analysis of the Decision to Backsource or Switch Vendors , 2006, Decis. Sci..

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

[87]  P. Bourdieu Forms of Capital , 2002 .

[88]  R. Hirschheim,et al.  Information systems outsourcing : myths, metaphors, and realities , 1993 .

[89]  Patricia J. Guinan,et al.  Enabling Software Development Team Performance During Requirements Definition: A Behavioral Versus Technical Approach , 1998, Inf. Syst. Res..

[90]  Yadong Luo,et al.  Control–cooperation interfaces in global strategic alliances: a situational typology and strategic responses , 2008 .

[91]  Deborah G. Ancona,et al.  Beyond Boundary Spanning: Managing External Dependence in Product Development Teams , 2017 .

[92]  W. Firestone,et al.  Multisite Qualitative Policy Research: Optimizing Description and Generalizability , 1983 .

[93]  Ron Chi-Wai Kwok,et al.  IT outsourcing evolution---: past, present, and future , 2003, CACM.

[94]  P. Kotler,et al.  Marketing in the Network Economy , 1999 .

[95]  Sue Newell,et al.  The process of global knowledge integration: a case study of a multinational investment bank's Y2K program , 2001, Eur. J. Inf. Syst..

[96]  Shan Ling Pan,et al.  International Conference on Information Systems ( ICIS ) 2010 BOUNDARY SPANNING BY DESIGN : INSIGHTS FROM A VENDOR PERSPECTIVE , 2017 .

[97]  K. Eisenhardt Building theories from case study research , 1989, STUDI ORGANIZZATIVI.

[98]  B. Kogut,et al.  Knowledge of the Firm, Combinative Capabilities, and the Replication of Technology , 1992 .

[99]  Martin Wetzels,et al.  Linking employee confidence to performance: A study of self-managing service teams , 2006 .

[100]  Jay B. Carson,et al.  A Multilevel Investigation of Antecedents and Consequences of Team Member Boundary-Spanning Behavior , 2007 .

[101]  D. Cheal The Gift Economy , 1988 .

[102]  Jeffrey H. Dyer,et al.  Value creation and success in strategic alliances:: alliancing skills and the role of alliance structure and systems , 2001 .

[103]  Andrew Parker,et al.  Boundary Capabilities in MNCs: Knowledge Transformation for Creative Solution Development , 2017 .

[104]  Kevin G. Corley,et al.  Seeking Qualitative Rigor in Inductive Research , 2013 .

[105]  Patrick Y. K. Chau,et al.  Does Interpersonal Trust Also Matter? Exploring the Role of Trust in Successful IT Outsourcing , 2007, 2007 40th Annual Hawaii International Conference on System Sciences (HICSS'07).

[106]  A. Strauss,et al.  The discovery of grounded theory: strategies for qualitative research aldine de gruyter , 1968 .

[107]  Katherine C. Kellogg,et al.  Beyond Occupational Differences , 2014 .

[108]  S. Teo,et al.  Role stress reduction and cultural mediators in overseas Japanese companies , 2012 .

[109]  Mike Wright,et al.  Technology transfer offices as boundary spanners in the pre-spin-off process: the case of a hybrid model , 2014 .

[110]  Madhuchhanda Das Aundhe,et al.  Risks in offshore IT outsourcing: A service provider perspective , 2009 .

[111]  T. Kostova,et al.  Social Capital in Multinational Corporations and a Micro-Macro Model of its Formation , 2003 .

[112]  Kai Xu,et al.  Managerial ties, absorptive capacity, and innovation , 2008 .

[113]  Morten T. Hansen,et al.  The Search-Transfer Problem: The Role of Weak Ties in Sharing Knowledge across Organization Subunits , 1999 .