Constructing customised models and providing information to support IT outsourcing decisions

Abstract

Information technology (IT) outsourcing is a favourable option for enhancing core organisational competencies/activities. Provident decision making in selecting an optimum IT outsourcing vendor involves judgements about qualitative and quantitative factors. The paper discusses IT outsourcing and proposes a customised computer‐orientated model based on action research and analytical hierarchy process. The aims are to: specify, combine, structure, measure and prioritise key qualitative and quantitative risk elements in IT outsourcing; and provide relevant information to support managers in outsourcing decision making. The results are expected to help managers in minimising business risks and in improving quality of IT outsourcing.