Integration by communication: knowledge exchange in global outsourcing of product software development

Global outsourcing is a growing trend among independent software vendors. In these projects like other distributed work, distances have negative effects on communication and coordination, directly impacting performance. We present a normative model designed to address this issue by improving communication and knowledge exchange. The model consists of six distinct practices and a tool blueprint, each coming with practical guidelines. It is based in part on two case studies of Dutch software vendors who have successfully outsourced part of their activities to an Eastern European outsourcing vendor, and validated by a panel of six experts from industry and the scientific community. It is concluded that knowledge exchange in global software outsourcing is a by‐product of efforts to enhance communication and coordination, rather than specific technical solutions. By committing to sharing knowledge, emphasizing transparency and integrating the outsourcing team into their organizations, customers from the product software business can realize the benefits of global outsourcing.     

Client–vendor knowledge transfer in IS offshore outsourcing: insights from a survey of Indian software engineers

We use knowledge‐based theory to develop and test a model of client–vendor knowledge transfer at the level of the individual offshore information systems engineer. We define knowledge transfer in this context in terms of mechanisms by which an offshore engineer employed by a vendor can (a) gain understanding of their onshore client; and (b) utilize their knowledge for the benefit of the client. Over large geographic, cultural and institutional distances, effective knowledge transfer is difficult to achieve, although it is central to the success of many offshore outsourcing contracts. Our empirical test consists of a survey of vendor software engineers physically located in India but working on development projects for clients in Europe and the United States. The findings support predictions regarding engineer exposure to explicit and tacit knowledge: We find client–vendor knowledge transfer to the offshore vendor engineer to be positively associated with formal training and client embedment. We also test whether an offshore vendor engineer's inappropriate reliance on informal discussions in the offshore location hinders effective client–vendor knowledge transfer. Our result for this is mixed. Finally, we show differences between offshore engineers who have had previous onshore experience and those who have not. Client embedment is a potent driver of knowledge transfer when the offshore engineer has had previous onshore placement, while it acts to reduce inappropriate reliance on informal discussions for those that have not had an onshore placement.     

Strategy models for enabling offshore outsourcing: Russian short-cycle-time software development

Economic factors are driving software development projects onto globally dispersed models, as offshore outsourcing becomes more common. Software development companies in developing economies compete for lucrative, job-creating offshore contracts on the basis of industry maturity, labor skills, technology infrastructure, and government support. Diffusion of technology is a key aspect of each of these determinants of competitiveness. This paper analyzes the development of strategies for the diffusion of short-cycle-time software development into and within Russia. Short-cycle-time development is sometimes called agile development or Internet-speed development and uses a number of techniques to move software quickly into production. These techniques are spreading rapidly among software developers worldwide. The benefits of these techniques are well known and provide a credible explanation for why this rapid diffusion is occurring. This paper explains how these techniques are spreading in a borderless fashion. Using the Kline model of innovation diffusion and the Greiner model of evolution and growth of organizations, we analyze the enablers and barriers to diffusion of short-cycle-time software development techniques in Russia. This analysis reveals a complex interaction of political, economic, and technical elements enabling and inhibiting the development of knowledge that supports the innovation diffusion necessary for companies to compete for offshore contracts. © 2005 Wiley Periodicals, Inc.     

Factors influencing clients in the selection of offshore software outsourcing vendors: An exploratory study using a systematic literature review

Context

Offshore software development outsourcing is a modern business strategy for developing high quality software at low cost.

Objective

The objective of this research paper is to identify and analyse factors that are important in terms of the competitiveness of vendor organisations in attracting outsourcing projects.

Method

We performed a systematic literature review (SLR) by applying our customised search strings which were derived from our research questions. We performed all the SLR steps, such as the protocol development, initial selection, final selection, quality assessment, data extraction and data synthesis.

Results

We have identified factors such as cost-saving, skilled human resource, appropriate infrastructure, quality of product and services, efficient outsourcing relationships management, and an organisation's track record of successful projects which are generally considered important by the outsourcing clients. Our results indicate that appropriate infrastructure, cost-saving, and skilled human resource are common in three continents, namely Asia, North America and Europe. We identified appropriate infrastructure, cost-saving, and quality of products and services as being common in three types of organisations (small, medium and large). We have also identified four factors-appropriate infrastructure, cost-saving, quality of products and services, and skilled human resource as being common in the two decades (1990-1999 and 2000-mid 2008).

Conclusions

Cost-saving should not be considered as the driving factor in the selection process of software development outsourcing vendors. Vendors should rather address other factors in order to compete in the OSDO business, such as skilled human resource, appropriate infrastructure and quality of products and services.     

A comparative study of important risk factors involved in offshore and domestic outsourcing of software development projects: A two-panel Delphi study

We investigated the risk factors of outsourced software development. Our first objective was to create empirically generated lists of risk factors for both domestically- and offshore-outsourced projects. Our second objective was to compare these two contexts: how do the risk factors change and which ones are most important in each. To address these objectives, we conducted two Delphi surveys to identify the important risk factors from a client perspective, in domestic and offshore settings. We qualitatively compared the results of the surveys to identify similarities and differences across their risk profiles. We identified three types of risks: those that appeared in both contexts; those that appeared in both but were exacerbated in the offshore context; and those that were unique to the offshore context. Our findings suggested that traditional project management risks were important in both contexts; however, the offshore context seemed to be more vulnerable to some traditional risks as well as factors that were unique to it.     

Barriers in the selection of offshore software development outsourcing vendors: An exploratory study using a systematic literature review

Context

Software development outsourcing is a contract-based relationship between client and vendor organisations in which a client contracts out all or part of its software development activities to a vendor, who provides agreed services for remuneration.

Objective

The objective is to identify various barriers that have a negative impact on software outsourcing clients in the selection process of offshore software development outsourcing vendors.

Method

We have performed a systematic literature review (SLR) process for the identification of barriers. We have performed all the SLR steps such as the protocol development, initial selection, final selection, quality assessment, data extraction and data synthesis.

Results

We have identified barriers such as ‘language and cultural barriers’, ‘country instability’, ‘lack of project management’, ‘lack of protection for intellectual property rights’ and ‘lack of technical capability’ that generally have a negative impact on outsourcing clients. We have identified only one common frequently cited barrier in three types of organisations (i.e. small, medium and large) which is ‘language and cultural barriers’. We did not identify any common frequently cited barrier in three continents (Asia, North America and Europe) and in two decades (1990-1999 and 2000-mid 2008). The results also reveal the similarities and differences in the barriers identified through different study strategies.

Conclusions

Vendors should address frequently cited barriers such as ‘language and cultural barriers’, ‘country instability’, ‘lack of project management’, ‘lack of protection for intellectual property rights’ and ‘lack of technical capability’ in order to compete in the offshore outsourcing business.     

基于粗糙集分类一致性的规则挖掘算法研究 ——以IT外包中知识转移风险为例

随着IT外包服务业务的不断增长,IT外包服务中知识转移所导致的风险问题也愈加突出,如何规避IT外包中的风险问题也显得尤为重要。从知识分类的角度出发,利用粗糙集理论,对IT外包中的知识转移风险规则挖掘算法进行了分析与探讨,结合具体案例予以实证,以期为IT外包企业风险控制做出贡献。     

A statistical analysis of the effects of Scrum and Kanban on software development projects

Traditionally, software development processes have relied on the use of the “Waterfall” and “Vee” models. Later, Agile methodologies were used to handle the challenges of managing complex projects during the development phase. Agile methodologies are a group of incremental and iterative methods that are more effective, and have been used in project management. Kanban and Scrum are two powerful Agile project management approaches in software development. The objective of Scrum and Kanban is achieved by optimizing the development process by identifying the tasks, managing time more effectively, and setting-up teams. A review of the literature reveals that there is a lack of statistical evidence to conclude which methodology is more effective in dealing with the traditional project management factors of budget handling, risk control, quality of the project, available resources, having clear project scope, and schedule handling. This research statistically compares the effectiveness of the Scrum and Kanban methods in terms of their effects on the project management factors for software development projects. Numerical analysis is performed based on survey responses from those with experience in the Scrum and Kanban methods. Results suggest that both Scrum and Kanban lead to the development of successful projects, and that the Kanban method can be better than the Scrum method in terms of managing project schedule.     

Traditional, iterative, and component-based development: A social analysis of software development paradigms

Information systems have always been developed through social processes, wherein actors playing a variety of specialized roles interact to produce new business applications of information technology. As systems development practices continue to evolve, an ongoing assessment of their social implications is required. This paper develops a framework for understanding the potential social implications of an emerging, component-based development paradigm. Like two alternative paradigms for systems development, the traditional life-cycle and the iterative-incremental paradigms, the new component-based paradigm requires that certain generic roles be performed to build a desired application. For each paradigm, we identify the actors who play different roles, specify the nature of their interdependence, and indicate the requirements for managing conflicts constructively. The framework may guide research into the social dynamics of system development and serve as a tentative guide to the management of information systems development.     

Influence, discretion and time available: a case study of HCI practice in software development

In the field of human-computer interaction, reports of the involvement of its practitioners in system development projects are rarely available for general scrutiny. The paper draws upon the experience of an HCI team at work within a large collaborative software development project. This experience of four years of HCI practice suggests three key, interdependent, factors that are central to the effectiveness of HCI input. The factors are influence, discretion and time available, and are discussed in the context of other report, of the role of HCI practitioners in the field. A number of issues are identified about the nature and scope of HCI in practice. The experience reported is relevant to software development in general, particularly where there are several groups working, sometimes in different sites, towards a unified outcome.     

Knowledge boundaries in enterprise software platform development: Antecedents and consequences for platform governance

The widespread uptake of platform strategies turns many vendors of enterprise software into curators of an ecosystem of firms that collaboratively develop and commercialize a shared technology. As a platform owner's effectiveness in integrating knowledge across ecosystem participants will distinguish it from its competitors, we investigate the management of development‐related knowledge across firm boundaries. Our exploratory, multiple‐case study of 4 platforms illustrates how “knowledge boundaries” emerge between platform owners and complementors. We observe that knowledge boundaries are influenced by a platform's functional extent, interface design, and evolutionary dynamics, which create differences, dependencies, and novelty of development knowledge, resulting in qualitatively distinct types of knowledge boundaries. To overcome knowledge boundaries, platform owners provide various resources at the boundary, including information portals, documentation, helpdesks, and alignment workshops. We observe that in shaping these resources, platform owners face a trade‐off between providing knowledge at the right scope, while allowing for the scalability of knowledge resources for the entire ecosystem. Depending on their scope and scale, we classify knowledge boundary resources as broadcasting, brokering, and bridging, each representing qualitatively distinct patterns in managing knowledge in platform ecosystems. We conclude with implications for researchers and managers.     

Achieving offshore software development success: An empirical analysis of risk mitigation through relational norms

Behavioral risks such as shirking and misappropriation of information assets are more prominent in offshore software development context and could adversely affect offshore outsourcing success. This paper studies the moderating effects of different relational norms on the link between behavioral risks and offshore software development success. We focused on three major modes of relational norms: norm of flexibility, norm of solidarity and norm of information exchange. Using PLS path modeling to test a sample of 40 US corporations engaged in offshore software development, we found that the norms of solidarity and flexibility reduced the negative effects shirking risk on offshore software development success. Our results suggest that client firms shall benefit by forming the right mode of relational norms to achieve offshore success.     

Managing Global Software Engineering: A Comparative Analysis of Offshore Outsourcing and the Internal Offshoring of Software Development

In this article, the authors compare offshore outsourcing and the internal offshoring of software development. Empirical evidence is presented from a case study conducted in five companies. Based on a detailed literature review, a framework was developed that guided the authors' analysis of the differences in the challenges faced by companies and the patterns of evolution in the practice of software development in each business model.     

Supporting the development of CAM/DAOP applications: an integrated development process

The increasing complexity of large‐scale distributed applications is driving the Software Engineering community to adopt new software technologies for the development of distributed systems. In this sense, the emergence of component‐based software engineering represents a significant advance towards assembling applications by plugging in pre‐fabricated components. Additionally, the principle of ‘advanced’ separation of concerns is nowadays widely applied to improve modularity, reusability and adaptability of software components. In this way, the aspect‐oriented software development paradigm separates into a new dimension, named aspect, those properties that crosscut the system ‘objects’ or ‘components’, reducing their dependencies. However, the development of software based on the composition of components and aspects is still in its early stages. Part of the reason for this is the lack of well‐defined development processes and tools that help software developers in the use of existing component and aspect‐based approaches. Therefore, the primary aim of this paper is to propose an integrated development process for deriving applications by the assembly of a set of prefabricated components and aspects. This process supports the development of Component‐Aspect Model/Dynamic Aspect‐Oriented Platform (CAM/DAOP) applications, where CAM/DAOP is a new model and platform based on components and aspects. Our intention is to show how, with the support of the integrated development process presented in this paper, it is possible to use CAM/DAOP as an alternative to current distributed platforms. Copyright © 2006 John Wiley & Sons, Ltd.     

Risks and risk mitigation in global software development: A tertiary study

ContextThere is extensive interest in global software development (GSD) which has led to a large number of papers reporting on GSD. A number of systematic literature reviews (SLRs) have attempted to aggregate information from individual studies.ObjectiveWe wish to investigate GSD SLR research with a focus on discovering what research has been conducted in the area and to determine if the SLRs furnish appropriate risk and risk mitigation advice to provide guidance to organizations involved with GSD.MethodWe performed a broad automated search to identify GSD SLRs. Data extracted from each study included: (1) authors, their affiliation and publishing venue, (2) SLR quality, (3) research focus, (4) GSD risks, (5) risk mitigation strategies and, (6) for each SLR the number of primary studies reporting each risk and risk mitigation strategy.ResultsWe found a total of 37 papers reporting 24 unique GSD SLR studies. Major GSD topics covered include: (1) organizational environment, (2) project execution, (3) project planning and control and (4) project scope and requirements. We extracted 85 risks and 77 risk mitigation advice items and categorized them under four major headings: outsourcing rationale, software development, human resources, and project management. The largest group of risks was related to project management. GSD outsourcing rationale risks ranked highest in terms of primary study support but in many cases these risks were only identified by a single SLR.ConclusionsThe focus of the GSD SLRs we identified is mapping the research rather than providing evidence-based guidance to industry. Empirical support for the majority of risks identified is moderate to low, both in terms of the number of SLRs identifying the risk, and in the number of primary studies providing empirical support. Risk mitigation advice is also limited, and empirical support for these items is low.     

Knowledge transfer in virtual settings: the role of individual virtual competency

Economic forces, competitive pressures and technological advances have created an environment within which firms have developed new ways of organizing (e.g. virtual work settings) and managing their resources (e.g. knowledge management) in order to maintain and improve firm performance. Extant research has highlighted the challenges associated with managing knowledge in virtual settings. However, researchers are still struggling to provide effective guidance to practitioners in this field. We believe that a better understanding of individual virtual competency is a potential avenue for managing the complexity of knowledge transfer in virtual settings. In particular, we suggest that optimal knowledge transfers can be achieved by individuals armed with the right personal capabilities and skills for virtual work, particularly when those knowledge transfers are emergent, bottom-up and cannot be specified a priori. The virtual competency exhibited by individuals can be the key to overcoming the constraints of knowledge transfers with such characteristics because underlying competency can facilitate effective action in unfamiliar and novel situations. In this conceptual research, we develop a theoretical model of individual virtual competence and describe its role in the communication process, which underpins effective knowledge transfer in virtual settings. Additionally, we consider the antecedent role that prior experience in virtual activity plays in aiding workers to develop virtual competence, which in turn engenders effective knowledge transfer. We conclude with implications for future research and for practicing managers.     

Risks and benefits of business process outsourcing: A study of transaction services in the German banking industry

We developed a model of the adoption of business process outsourcing (BPO) based on risk–benefit analysis. The model was tested in the German banking industry in four areas of transaction processing. Our results showed that, in general, perceived BPO benefits have a substantially stronger impact on intention to increase the level of BPO than perceived risks. However, the experience that banks have with the BPO process, [whether already decided on BPO (Pro), still in the pre-decision phase (Neutral), or opted against BPO (Contra)], moderated the impact of factors affecting the perceived risks and benefits of BPO. Banks that opted for BPO were mostly driven by a desire to focus on their core business while considering financial risks. Banks in the neutral position had the most balanced view of risks and benefits, mainly financial and performance ones, and also focusing on the core business and increased business process performance. Those banks that decided against BPO mostly focused on benefits while the perceived risks were mostly formed by strategic and performance risks rather than financial ones. The results point out the path dependencies of the BPO decision.     

Knowledge transfer in globally distributed teams: the role of transactive memory

This paper explores the role of transactive memory in enabling knowledge transfer between globally distributed teams. While the information systems literature has recently acknowledged the role transactive memory plays in improving knowledge processes and performance in colocated teams, little is known about its contribution to distributed teams. To contribute to filling this gap, knowledge‐transfer challenges and processes between onsite and offshore teams were studied at TATA Consultancy Services. In particular, the paper describes the transfer of knowledge between onsite and offshore teams through encoding, storing and retrieving processes. An in‐depth case study of globally distributed software development projects was carried out, and a qualitative, interpretive approach was adopted. The analysis of the case suggests that in order to overcome differences derived from the local contexts of the onsite and offshore teams (e.g. different work routines, methodologies and skills), some specific mechanisms supporting the development of codified and personalized ‘directories’ were introduced. These include the standardization of templates and methodologies across the remote sites as well as frequent teleconferencing sessions and occasional short visits. These mechanisms contributed to the development of the notion of ‘who knows what’ across onsite and offshore teams despite the challenges associated with globally distributed teams, and supported the transfer of knowledge between onsite and offshore teams. The paper concludes by offering theoretical and practical implications.     

Risks to Effective Knowledge Sharing in Agile Software Teams: A Model for Assessing and Mitigating Risks

We present an empirically grounded and theoretically informed model for the assessment and mitigation of risks to effective knowledge sharing in agile development. The model is anchored in empirical insights from four agile projects across two software companies and in extant research on risk‐strategy analysis and knowledge sharing in software development. We develop the model as part of the long‐standing tradition of presenting risk management models dedicated to specific issues in software development and confirm its practical usefulness in one of the software companies studied. The model offers concepts and processes to assess a project's knowledge sharing risk profile and articulate an overall resolution strategy plan to mitigate the risks. The results highlight how different knowledge sharing risk management profiles can lead to different project performance outcomes. We conclude with a discussion of research opportunities that the results offer software development scholarship. © 2016 John Wiley & Sons Ltd     

Improving the development of instructional software: Three building-block solutions to interrelate design and production

Currently, there is a focus on authentic tasks as the driving force for learning in integrated e-learning systems. This sets new criteria for instructional software, which should become much more flexible and allow for domain modeling and pedagogical modeling. A theoretical analysis and a survey (n = 37) amongst experienced developers show that current development methods are insufficient to develop such instructional software. New development methods such as “lean production” promise to satisfy the new criteria as they emphasize mass-customization by rigorously applying a pull-principle throughout the whole development process. However, a potential bottleneck is the lack of design languages to transfer the design outcomes to the production phase. Three building-block solutions are proposed to overcome this transition problem: (1) a 3D-model to support designers in stratifying, elaborating, and formalizing design documents, (2) instructional software templates to support designers in producing software themselves, and (3) an integrative approach to support designers in reusing learning objects.