IS 6846/BA 3898 SUMMER I 2008
Management of Global Sourcing of Business and IT Services
Prerequisites:
Graduate students: 5800
Undergraduate IS & business students:
consent of instructor (please email
Email: Mary.Lacity@umsl.edu)
Students who did not have me for
5800, need to read:
§
Cullen, S., Seddon, P., and
Willcocks, “Managing Outsourcing: The Life Cycle Imperative,” MIS Quarterly Executive, March 2005, pp.
229-246 (This is also chapter 2 in Global Sourcing of Business and IT Services).
§
Feeny, D. and Willcocks, L.,
“Core IS Capabilities for exploiting Information Technology, Sloan
Management Review, Vol. 39, Spring, 1998, pp. 9-21. (This is also Chapter 3
in Global Sourcing of Business and IT
Services).
Course Room: 005 CCB 10:00am to 12:40 pm MTWR
Course
Instructor:
Dr. Mary C. Lacity
233
(314) 516-6127 (work)
(314) 516-6827 (fax)
Email: Mary.Lacity@umsl.edu
Homepage: http://www.umsl.edu/~lacitym
Bulletin Course
Description:
Largely
fostered by the globalization of organizations and spread of the Internet,
international standards, and common software packages, organizations now
regularly source business and IT services globally. This course covers
topics to help organizations manage global sourcing of business and IS
services, including sourcing strategies, multicultural business ethics,
sourcing models, supplier selection, engagement models, role of standards, and
special practices required to manage globally dispersed teams. Although
the course focuses on global sourcing of IT work, the global sourcing of other
back offices including, finance, accounting, HR, and procurement are also
covered.
Course Instructor:
Dr. Mary Cecelia Lacity is a Professor of Information
Systems and International Business Fellow at the University of Missouri-St.
Louis. Her current research focuses on global outsourcing of business and IT
services, IT’s contribution to business performance, innovation
diffusion, and turnover among IT professionals. She has conducted case studies and
surveys of hundreds of organizations on their outsourcing and management
practices. She has given executive seminars world-wide and has served as an
expert witness for the US Congress. She was the recipient of the 2008 Gateway
to Innovation Award sponsored by the IT Coalition, Society for
Information Management, and St. Louis RCGA and the 2000 World Outsourcing Achievement Award sponsored by
PricewaterhouseCoopers and Michael Corbett and Associates. She has written
eight books, most recently Offshore Outsourcing of IT Work, (Palgrave,
2008; coauthor Joe Rottman), Global Sourcing of Business and IT Services
(Palgrave, 2006; coauthor Leslie Willcocks), and Netsourcing Business
Applications (Prentice Hall, 2002; co-authors Thomas Kern and Leslie
Willcocks). Her more than 50 publications have appeared in the Harvard
Business Review, Sloan Management Review, MIS Quarterly, IEEE
Computer, Communications of the ACM and many other academic and
practitioner outlets. She is US Editor of the Journal of Information
Technology, and Co-editor of the
Palgrave Series: Work, Technology, and Globalization and on the
Editorial Boards for MIS Quarterly Executive, Journal of Strategic
Information Systems, Strategic
Outsourcing: An International Journal, and Journal of the Association for Information Systems (JAIS). She has previously served as Senior
Editor for MIS Quarterly Executive. Before earning her Ph.D. at the
Required
Course Materials:
|
|
Willcocks, L., and Lacity,
M., Global Sourcing of Business and IT Services, Palgrave, United
Kingdom, 2006. |
Assigned Readings
Course Grades:
|
PERCENT |
REQUIREMENT |
|
30% |
Exam I |
|
30% |
Continent/Country Presentation |
|
30% |
Exam II |
|
10% |
Active Class Participation |
Absentee
Policy:
It is vital that students
attend all class sessions. Please make attendance your number one priority.
Your attendance is vital not only because you will be absorbing information,
but because your class participation and insights are very valuable--you each
add value to the quality of the contact hours.
Attendance will be taken at
the start of each class.
I understand that many
students have competing life priorities including work, business travel, and
family. For this reason, students
may have two excused absences during the summer session EXCEPT ON AN EXAM DAY
OR THE DAY OF YOUR SCHEDULED ORAL PRESENTATION.
If a student misses a class,
he or she is responsible for the material covered. Ask a classmate or group
member to tape record or even video record the class--I have no problem with
the use of recording devices. At a minimum, request another student's notes and
ask them to pick up an extra copy of any handouts.
Active Class Participation:
Students are expected to
actively participate in class discussions, particularly when cases are
assigned. This requires that
students read the assigned readings prior to class and reflectively comment and
participate in class discussions.
Exams:
Two exams will be given. The
exams are non-cumulative.
The exams will cover material
from the assigned readings, professor’s lectures, group presentations,
handouts, and assignments. No make up exams will be given without prior
instructor permission or under extreme documentable circumstances.
Based
on years of experience, students are much more likely to perform well on exams
if students:
A.
Closely read required readings PRIOR TO
CLASS
B.
Attend all classes
C.
Actively participate in class
If student have done A through
C, studying for the exam is much easier because students may primarily study
from the slides and briefly review readings. Students who have earned As on past
exams report that they have followed A through C and studied for the exam for 5
to 10 hours the week prior to the exam.
I suggest you schedule time each week to read assignments and schedule 5
to 10 hours the week prior to the exam for studying.
If students have not done A
through C, students find it overwhelming to read all the assignments in the
week prior to the exam.
I want you all to succeed! Please follow my advice!
Continent/Country
Presentations:
The purpose of this one-hour presentation is to give US business managers
a better understanding of the ITO (information technology outsourcing) and BPO (Business
process outsourcing) services offered by suppliers around the world.
Groups are divided by continents.
Some groups (like the Asian Group) may choose to focus on a few key
countries (such as
Singapore and the Philippines
Continent Overview:
Report on the major countries
exporting ITO and BPO services on this continent (maps are helpful!)
Report on the major countries
they export to (for example, China
mostly exports ITO/BPO services to Japan
Country Overview:
Select one to three countries that
have or are developing global ITO and BPO services
Tell us their GDP relative to the
United States
Report their ITO/BPO services
exports and imports (if possible)
Describe key government policies
pertaining to ITO/BPO (maybe tax exemptions, etc)
Describe the ITO/BPO workforce
(such as number of graduates per year, specialty skills)
Identify the major cities within
the country providing ITO/BPO services
Describe the relevant
infrastructure of these major cities (electricity, transportation, buildings,
security) (Pictures help!)
Describe the major risks US managers will have to mitigate when
outsourcing to suppliers in this country/countries.
Supplier Overview:
List top 10 suppliers of ITO and
BPO services whose headquarters are located on this continent
Compare top 10 suppliers in terms
of 2007 revenue, number or employees if possible
Focus on one to three of the top suppliers and tell us more about their
history, CEO, major customers, and financial performance in terms of five year stock price, five year sales, five year
profits if possible
PRESENTATION TIPS:
Survey Data: If you cite surveys, YOU MUST TELL US ABOUT THE SAMPLE in terms of size
of organizations that participated (such as Fortune 500), geographic dispersion
(such as
Interview-based data: Who did you
interview? How did you know to
contact this person?
CITATIONS:
Please make sure that you appropriately credits
sources, be it the text, an interview, printed material, or web site. Printed
material should be referenced with Author, Title, Journal (if appropriate),
Month, Year, and page numbers. For example:
Book:
Lacity, M., and Willcocks, L., Global Information Technology Outsourcing:
Search for Business Advantage, John Wiley & Sons,
Journal Article:
Subramanian, A., and Lacity, M., "Managing
Client Server Implementations: Today's Technology, Yesterday's Lessons" Journal
of Information Technology, Vol. 12, 3, 1997, pp. 169-186.
If your slides get too busy, then simply use end
notes, such as embedding (1) on actual slide and attaching a list with numbers:
(1)Lacity, M., and Willcocks, L., Global
Information Technology Outsourcing: Search for Business Advantage, John
Wiley & Sons,
(2) Subramanian, A., and Lacity, M., "Managing
Client Server Implementations: Today's Technology, Yesterday's Lessons" Journal
of Information Technology, Vol. 12, 3, 1997, pp. 169-186.
(3) Ibid, p. 184.
(4) Lacity and Willcocks (2001) op. cit.
Websites:
Please indicate full URL for web site
references, and date viewed. For example:
www.umsl.edu/~lacity/ms480sum.htm, viewed Wednesday,
October 10, 2007.
Interviews:
Please indicate name (if not anonymous), title of
interviewee, type of interview (in person, phone, videoconference) ,people at
the interview, and date of interview. For example:
John Smith, CIO of BigCompany, interviewed in person
by Jane Doe and Fred Davis, January 6, 2008.
Ian Jones, Director of Applications, BigCompany, interviewed by phone by Jane
Doe and Fred Davis, February 8, 2008.
Advice for Oral Group Presentation:
My aim is to
have the best possible group presentations. Based on vast experience with
group assignments, keys to success include:
·
As
soon as groups are assigned, sit next to each other in class to foster
communication & relationship building.
·
Exchange
contact information.
·
Start
your group project as soon as groups are assigned.
·
Start
exploring secondary resources your topic
·
Identify
early the original sources of data you might want to collect (interviews, case
study material)
·
Read
entire syllabus regarding the group project
·
Be
sure to get the best, most current, most relevant sources of content available
·
Frequently
meet with the professor before or after class
·
Frequently
meet with each other
·
Treat
each group member with respect. You
will likely be in groups with individuals from different countries and
cultures. View the diversity as an
opportunity to learn about how to work with people from different cultures.
Appreciate that individuals have worthwhile and unique viewpoints and talents
that will enrich the group’s performance.
·
Do not complain to the professor about group members behind their backs. Your complaints reflect more on you
than on the individual you are complaining about. If a problem arises, find a way to
discuss the problem directly with the individual. If a serious problem arises that you
have not been able to successfully address with the individual, then make an
appointment with me and the entire group with the sole purpose of finding a
successful route forward.
·
Have
content completed one week prior to presentation
·
Meet
with the professor prior to presentation to review slides
·
Meet
with group to practice oral presentation (this is the only way to get the
timing correct)
·
During
practice sessions, help group mates with their oral communication skills. It does not matter if English is not
your native language! Hundreds of
international students have performed well on their oral presentations. What
matters is that students can be heard (good volume),that students do not read
from notes, that students connect with the audience by asking good questions,
that students stand in front of the audience (not behind the instructor
station), that students are enthusiastic, that students have prepared excellent
content, and that students have practiced out loud with their groups.
PRESENTATION MATERIALS:
Each group will develop power
point slides and provide a hard copy of
the slides for the instructor and classmates prior to the
presentation. Please print only 2 slides per page.
Output Instructions:
|
|
Group Members |
Power Point Presentation Provide a hardcopy and softcopy
stored as: |
|
1. |
Atchara, Qingjian |
s08asia.ppt |
|
2. |
Kiat, Kantivut |
s08europe.ppt |
|
3. |
Jakrapan, Pavadee |
s08namerica.ppt |
|
4.
Central/South |
Budhi, Matt |
s08csamerica.ppt |
|
5. |
Dave, Teresa |
s08australia.ppt |
Grading: Click here to see how
the essay will be graded.
Adjusting Group Grades
for Continent/Country Oral Presentation
Individuals in a group never
contribute the exact equal amounts of time, content, and value. This often
leads to some people feeling they worked more than others, and some people
feeling left out. Usually a leader emerges, one who will hopefully help find the
gifts of each individual. Unfortunately, I cannot effectively intervene in
these matters, and rely on you as adults to ensure that all members of your
group meaningfully contribute to the data gathering, analysis, writing, slide
design, presenting, and preparing the final presentation.
All group members will receive the same grade for the
oral presentation, provided that all members agree that each individual made a
contribution. In order to provide some accountability, albeit imperfect, I will
ask that each group fill in the following form and each group member must sign
it. This form is due on the day of the presentation.
Please print a copy of: country group
contribution form .
CLASS SCHEDULE:
Date
|
Topic
|
Assigned
|
In-Class Assignment
|
|
Mon
5/12 |
Course
Overview Assign
Group Projects |
Chapter 1 |
Lecture |
|
Tues 5/13 |
The
client view versus the public view of global outsourcing |
“Calling
a Change in the Outsourcing Market: The Realities for the World’s
Largest Organizations,” Deloitte Consulting Report, 2005. |
Thomas
Friedman Video, The Other Side of
Outsourcing. In-class assignment: Compare and contrast the client view in the Deloitte
Consulting Report with the Thomas Friedman video. |
|
Weds 5/15 |
Offshore
outsourcing of IT work: |
Rottman, J., and Lacity, M.
(2008), “A US Client’s Learning from
Outsourcing IT Work Offshore,” Information Systems Frontiers, Special Issue on Outsourcing of IT
Services, Vol. 10, 2, pp. 259-275. Chapter 9
of Global Sourcing of Business and IT
Services |
In-class assignment: Which best practices from Chapter 9 are evident or missing
from the Biotech case? |
|
Thurs 5/14 |
Client
and supplier capabilities |
Chapter 3
of Global Sourcing of Business and IT
Services (all 5800 students already read this) Chapter 4
of Global Sourcing of Business and IT
Services |
Lecture
on 12 Supplier Capabilities Work on
group project |
|
Mon
5/16 |
Global
Sourcing Standards |
Anthes,
G., "Model Mania," Computerworld, March 8, 2004, Vol. 38,
10, P. |
Lecture |
|
Tues 5/20 |
Offshore
outsourcing of IT work Indian IS
Professionals |
Rottman,
J. and Lacity, M., “A client’s offshore outsourcing program
becomes strategic by investing in social capital,” in Offshore Outsourcing of IT Work,
Palgrave, 2008, pp. 128-151. Lacity, M., Iyer, V., and
Rudramuniyaiah, P. (2008), “Turnover Intentions of Indian IS
Professionals,” Information
Systems Frontiers, Special Issue on Outsourcing of IT Services, Vol. 10,
2, pp. 225-241. |
Lecture |
|
Wed
5/21 |
Multicultural
Ethics |
Smith, J., and Hasnas, John,
“Ethics and Information Systems: The Corporate Domain,” MIS
Quarterly, Vol. 23, 1, 1999, pp. 109-127. Oz, “Ethical Standards for IS Professionals: A Case for a Unified
Code” MIS Quarterly, December, Vol., 16, 4, 1992.pp.
423-433. |
Lecture Video: 30 days of outsourcing |
|
Thurs 5/22 |
Exam I |
|
|
|
Mon
5/26 |
Memorial
Day—No class |
|
|
|
Tues 5/27 |
Outsourcing
Human Resources Outsourcing
Procurement |
Chapter 6
of Global Sourcing of Business and IT
Services (BAE HR Case study) Chapter 7
of Global Sourcing of Business and IT
Services (BAE Procurement Case Study) |
Lecture |
|
Weds 5/28 |
Global
Sourcing of Financial Services |
Lacity, M., and Fox, J. (2008),
“Creating Global Shared Services: Lessons from Reuters,” MIS Quarterly Executive, Vol. 7, 1,
pp. 17-32. |
Lecture In class assignment: compare and contrast sourcing
decisions for IT, HR, procurement and finance |
|
Thurs 5/29 |
Prepare
country presentations |
|
Students
work on Country Presentations |
|
Mon
6/2 |
Continent/Country
Presentations |
Group 1: Group 2: |
|
|
Tues 6/3 |
Continent/Country
Presentations |
Group 3: Group
4:Central/South |
|
|
Weds 6/4 |
Continent/Country
Presentations |
Group 5: |
|
|
Thurs 6/5 |
Exam II |
|
|