Year: 2009
Type: article
Abstract: We investigate the impact of Information Technology (IT) outsourcing on firm performance from\nseveral dimensions, including changes in labor productivity, improvements in financial and\noperational performance variables, and stock market valuation of IT outsourcing initiatives as\nmeasured by Tobin’s q. While our main objective is to better understand the economics of IT\noutsourcing, we also aim to contribute to the literature on the business value of IT in general. Our\nresearch contributes to the relevant literature from the following perspectives: (i) the change in the\nperformance levels of firms due to IT outsourcing is measured against that of firms not outsourcing at\nall, (ii) panel data regression model is utilized in order to capture both cross-sectional and time-series\ndifferences among firms, (iii) the diversity of IT outsourcing initiatives is explicitly considered in the\nmodel, and (iv) a comprehensive data set covering the period between 1984 and 2007 is used..
Authors: Yasin Ozcelik, Kemal Altınkemer
Language: English
Subfield: Management Information Systems
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W318505117