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The core capabilities framework for achieving high performing back offices

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Global Sourcing of Business and IT Services

Part of the book series: Technology, Work and Globalization ((TWG))

Abstract

In 1998, Feeny and Willcocks published the core information technology (IT) capabilities framework that identified four strategic domains (business, technology, third-party sourcing, and governance) and nine capabilities for high performing IT functions.1 This framework was subsequently adopted by many large organizations seeking to deliver highly effective and cost-efficient IT services. This chapter extends the framework beyond IT by applying it to other back offices, including human resources, accounting, finance, and procurement. The resulting framework offers a powerful model for creating high performing back offices in terms of strategic agility, service excellence, and cost-efficiency

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Notes

  1. Feeny, D. and Willcocks, L. (1998), “Core IS Capabilities For Exploiting Information Technology”, Sloan Management Review, 39, 3, pp. 9–21.

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  2. See Hamel, G. and Heene, A. (eds.) (1994), Competence-Based Competition, Wiley, Chichester.

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  3. Also Quinn., J. (1992), “The Intelligent Enterprise: A New Paradigm,” Academy of Management Executive, Vol. 6, 4, pp. 44–63.

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  4. For IT case histories see Kern, T. and Willcocks, L. (2001), The Relationship Advantage: Information Technologies, Sourcing and Management, Oxford University Press, Oxford.

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  5. For BPO case histories see Lawler, E., Ulrich, D., Fits-enz, J., and Madden, J. (2004), Human Resources Business Process Outsourcing, Wiley, San Francisco.

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  6. See also Chapters 6 and 7 of the present volume. Documentation of the consequences of underpowering retained capabilities also appears in Lacity, M. and Willcocks, L., and Cullen, S. (2007), Global IT Outsourcing: 21st Century Search for Business Advantage, Wiley, Chichester.

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  7. The IT work is represented in op. cit. Feeny, D. and Willcocks, L. (1998), op. cit. The BPO research can be pursued in Feeny, D. Willcocks, L. and Lacity, M. (2005), “Taking the Measure of Outsourcing Providers,” Sloan Management Review, Vol. 46, 3, Spring, pp. 41–48.

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  8. Also Hindle, J., Willcocks, L., Feeny, D. and Lacity, M. (2003), “Value-added Outsourcing at Lloyds and BAE Systems,” Knowledge Management Review, Vol. 6, 4, pp. 28–31.

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  9. Also Lacity, M., Willcocks, L. and Feeny, D. (2003), “Transforming a Backoffice Function: Lessons from BAE Systems’ Enterprise Partnership,” MISQ Executive, Vol. 2, 2, pp. 86–103.

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  10. The most useful studies are Lawler et al. (2004), op. cit. J. and Adler, P. (2003), “Making The HR Outsourcing Decision,” Sloan Management Review, Vol. 45, 1, pp. 52–60.

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  11. Feeny, D. and Ross, J. (2000), “The Evolving Role of the CIO,” in R. Zmud (ed.), Framing the Domains of Management Research: Glimpsing the future through the Past. Pinnaflex, Cincinnati.

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© 2006 Leslie Willcocks and David Feeny

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Willcocks, L., Feeny, D. (2006). The core capabilities framework for achieving high performing back offices. In: Global Sourcing of Business and IT Services. Technology, Work and Globalization. Palgrave Macmillan, London. https://doi.org/10.1057/9780230288034_3

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