Contracting Mechanisms in the IS/IT Outsourcing Phenomenon

Abstract

As organisations need diverse and high quality IS/IT services to survive and excel in the rapidly changing business environment (Lacity & Willcocks, 2001), regular attempts have been made by organisations to sustain competitiveness through increasing their investments in IS/IT operations and resources. However, this has pushed for pursuing different options and alternatives as organisations strive to maximise their flexibility and control (Lacity, Willcocks, & Feeny, 1996). To accomplish this objective, more and more organisations are constantly looking to IS/IT outsourcing by external vendors as a viable option rather than pursuing in-house IT developments (Lacity & Willcocks).