Akshay Bhagwatwar (University of Washington), Ray Hackney (Brunel University), and I have authored a paper that examines the knowledge integration challenges faced by organizations as they try to recover from backsourcing endeavors. The paper will appear in a future issue of Information Systems Management.
Backsourcing is motivated by opportunities arising from changes in the business situation, redefinition of the character of outsourced service declining in quality or due to the discovery of flaws in the contract. The situation of backsourcing clearly has major implications for an organization in terms of monetary investments, IS infrastructure and changes in employee requirements during and after the process. The research in this paper consequently acknowledges a serious challenge involving the management of systems within organizations following backsourcing events. This paper considers a detailed analysis of two case studies of backsourcing: JP Morgan Chase (USA) and Sainsbury (UK). A major contribution of the paper is to identify important strategies to be followed in backsourcing projects to ensure efficient knowledge re-integration. In this respect, it is believed the paper is unique in identifying emergent suggestions for strategic backsourcing decision making through a series of insightful observations.
Bhagwatwar, A., Hackney, R., and Desouza, K.C. “Considerations for Information Systems ‘Backsourcing’: A Framework for Knowledge Re-integration,” Information Systems Management, Forthcoming.