Abstract
In this chapter the process and content of decision making on sourcing information technology (IT) in two case histories from the United States public sector are examined in detail. We find that outsourcing IT problems, as opposed to tasks, rarely works in either private or public sectors. The findings suggest that both sectors must develop similar IT competencies before considering sourcing decisions. These include fostering relationships with senior management, benchmarking performance, creating shared IT objectives, understanding requirements, diagnosing IT problems, evaluating in-house versus market capabilities, and, in the case of outsourcing, developing competencies in contract negotiation and post-contract management. The major difference between public and private sector sourcing was found to be that public sector agencies faced more environmental constraints, including dictated budgets and requirements, and restrictions on civil servant salaries (see Chapter 6 for a discussion of distinctive public sector contexts).
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
References
Collins, T, (1996) “Whitehall Smothers Privatization Report”, Computer Weekly, February 29, 1, 29.
Cordelia, A., Willcocks, L. and Mola, L. (2008) ICTs, Marketization and Bureaucracy In the UK Public Sector: Critique and Reappraisal. Paper in the Second Global Sourcing Conference, Val D’Isere, France, March.
Currie, W. and Willcocks, L. (1996) “The New Branch Columbus Project at Royal Bank of Scotland: The Implementation of Large-scale Business Process Re-engineering”, Journal Of Strategic Information Systems, 5, 4, 202–224.
Dunleavy, P., Margetts, H., Bastou, S. and Tinkler, J. (2007) Digital Era Governance, Oxford University Press, Oxford.
Feeny, D., Earl, M., and Edwards, B. (1997) “Organizational Arrangements for IS: The Roles of Users and Specialists”, in Willcocks, L., Feeny, D. and Islei, G. (eds) Managing IT as a Strategic Resource, McGraw Hill, Maidenhead.
Feeny, D. and Willcocks, L. (1998) “Rethinking the IS Function: Capabilities and Skills”, in Currie, W. and Galliers, R. (eds) Rethinking MIS, Oxford University Press, Oxford.
Government Executive (1996) “Information Technology Guide: Systems Integration/ Outsourcing”, Government Executive, 28, 4, 16a.
Hassell, N. (1994) “Testing Market Testing”, Management Today, May, 38–42.
Lacity, M. and Hirschheim, R. (1993) Information Systems Outsourcing: Myths, Metaphors, and Realities, Wiley, Chichester.
Lacity, M. and Hirschheim, R. (1995) Beyond the Information Systems Outsourcing Bandwagon, Wiley, Chichester.
Lacity, M. and Hirschheim, R. (1996) “The Role of Benchmarking in Demonstrating IS Performance”, in Willcocks, L. (eds.) Investing in Information Systems: Evaluation and Management, Chapman and Hall, London.
Lacity, M. and Willcocks, L. (1996) Best Practices in Information Technology Sourcing. Oxford Executive Research Briefing, Templeton College, Oxford.
Lacity, M. and Willcocks, L. (2001) Global Information Technology Outsourcing: Search for Business Advantage, Wiley, Chichester.
Lacity, M. and Willcocks, L. (2009) Information Systems and Outsourcing: Studies in Theory and Practice, Palgrave, London.
Lacity, M., Willcocks, L. and Feeny, D. (1996) “The Value of Selective IT Sourcing”, Sloan Management Review, 37, 3, Spring, 13–25.
Linowes, D. (1996) “The Rationale for Privatization”, Executive Speeches, April/May, 10–13.
Minoli, D. (1994) Analyzing Outsourcing, McGraw Hill, New York.
Mintzberg, H. (1996) “Managing Government, Governing Management”, Harvard Business Review, May-June, 75–83.
National Audit Office (2006) Department of Health — The National Programme for IT in the NHS. HC 1173, HMSO, London.
Peters, T. (1996) Collection of Current Papers, distributed to the participants of “In Pursuit of Wow” Conference, St Louis, MO, October 17.
Pettigrew, A. (1990) “Longitudinal Field Research on Change: Theory and Practice”, Organizational Science, 1, 3, 267–292.
Reynolds, P. and Willcocks, L. (2007) “Building and Integrating Core IS Capabilities in Alignment with Business: Lessons from the Commonwealth Bank 1997–2007”, ICIOS Conference, Heidelberg, May 29–30th.
Samuelson, R. (1995) The Good Life and Its Discontent: The American Dream in the Age of Entitlement, Times Books, New York.
Walsham, G. (1995) “Interpretive Case Studies in IS research: Nature and Method”, European Journal Of Information Systems, 4, 2, 74–81.
Willcocks, L. (1994) “Managing Information Systems in Public Administration: Issues and Prospects”, Public Administration,, 72 1, 13–32.
Willcocks, L. (1996) Contracting Out Information Technology in Public Service Contexts: Research and Critique. Rotterdam School of Management Report No. 296, Erasmus Universiteit, Rotterdam.
Willcoeks, L. and Craig, A. (2007) The Outsourcing Enterprise 4 — Building Retained Core Capabilities, Logica, London.
Willcoeks, L. and Currie, W. (1996) Information Technology Outsourcing in the Public Sector: Towards the Contractual Organization? OXIIM Research and Discussion Paper RDP 96/8, Templeton College, Oxford.
Willcoeks, L. and Fitzgerald, G. (1994) A Business Guide to Outsourcing Information Technology, Business Intelligence, London.
Willcoeks, L., Fitzgerald, G. and Lacity, M. (1996) “To Outsource IT or Not? Recent Research on Economics and Evaluation Practice”, European Journal Of In formation Systems, 5, 143–160.
Willcoeks, L. and Lacity, M. (2006) Global Sourcing of Business and IT Services, Palgrave, London.
Willcoeks, L., Lacity, M. and Fitzgerald, G. (1995) “IT Outsourcing in europe and the USA: Assessment Issues”, International Journal Of Information Management, 15, 5, 333–351.
Wysocki, B. (1996) “States May Well Find Easy Days Are Over”, The Wall Street Journal, November 4, A1.
Copyright information
© 2009 Mary Lacity and Leslie Willcocks
About this chapter
Cite this chapter
Lacity, M., Willcocks, L. (2009). IT Sourcing: Examining the Privatization Option in Public Administration. In: The Practice of Outsourcing. Palgrave Macmillan, London. https://doi.org/10.1057/9780230240841_7
Download citation
DOI: https://doi.org/10.1057/9780230240841_7
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-30202-4
Online ISBN: 978-0-230-24084-1
eBook Packages: Palgrave Business & Management CollectionBusiness and Management (R0)