IT Leadership

Other / IT Leadership
Topic: Provided

please write a summary for the attached article. the summary format should follow the format in the attached summary sample

Student ID: 200000000 Student: Mohammad Hassan Al-Mohammad
Source: Narasimhaiah Gorla,Toni M. Somers, (2014) “The impact of IT outsourcing on information systems success”, Information & Management, Volume 51, Issue 3, April 2014, Pages 320–335.
Summary: The article discusses the impact of IT outsourcing on the success of Information System (IS). The authors link the success of IS through outsourcing with the quality of the service provided by the vendor. The quality of the service is measured in the article using gap measure (the perceived service minus the expectation). They study the linkage between IT outsourcing, the Zone of Tolerance- based IS service (Zone of Tolerance is the zone between what the customer perceive as a desired service and an adequate service) and the IS success measures. The IS success measures used in the article are the perceived usefulness and the user satisfaction. According to the article, the extent of outsourcing has a negative effect on service quality (H1). The extent of outsourcing is also negatively related to the user satisfaction (H2). Moreover, it is negatively related to the perceived usefulness (H3). Furthermore, the study shows that the service quality is strongly related to the user satisfaction (H4). However, there was no evidence to show that service quality is related to perceived usefulness (H5). Finally, the research suggests that there is no relationship between the user satisfaction and the perceived usefulness (H6).
Critique:The authors built hypothesesbased on three constructs: 1) the effect of the extent of outsourcing, 2) the effect of IS service quality and 3) the effect of the perceived usefulness. I believe the article captured the major aspects by using these constructs. This is as the first item is necessary to understand how the level of outsourcing can affect IS and the other two items are measures of the success of IS. If we understand in what way the extent of outsourcing impacts the delivery of IS we can then make more accurate decisions in that regard. Additionally, the authors used gap measures instead of direct measures (the direct measure examines the perceived service only where the gap measure examines the perceived service minus the expectation). I agree with their choice of gap measures in this topic in particular because although the perceived service maybe the same if provided in house or outsourced, the expectation certainly differ. People tend to have higher expectation for outsourced services in comparison with in-house services and it was important to take the expectation into account. In all, I believe the article and its model were well established.
Lessons Learned: According to the paper, the higher the scale of the outsourced service, the lower level of user satisfaction and the lower perceived usefulness. This may be attributed to the Agency Theory where the principal (customer) and the agent (vendor) both focus on self-interest and desire to achieve maximum profitability. Therefore, the conflicting goals would eventually lead to lower service quality (vendor trying to cut down costs) which will lead to customer dissatisfaction. In addition, the impact on the perceived usefulness can be viewed in the light of vendor’s desire to serve multiple customers with the lowest cost possible. This results in the vendor developing an IS that is general enough to be used by multiple customers, consequently, the precise requirement of each customer will not be met and therefore the perceived usefulness goes down. Finally, the paper suggests that perceived usefulness is not related to the user satisfaction, unlike what other studies suggested. I believe this is due to the utilization of gap measure. In gap measures the system may be useful and it meet the “adequate requirement” of the customer however, it may not meet the high expectations of the customers

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