JYVÄSKYLÄN YLIOPISTO

Research Plan;The comparative research for decision making criterias

in enterprise´s and municipal´s IS outsourcing cases

IT

Sourcing

EnterpriseArchitecture

ProcessesAdapting

ChangeManagement

IT Strategy

IT Developme

nt

IT Production

FinancialManagement

CIOHarri HyvönenProject Researcher3.3.2011

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The biggest challenges are right now own time planning, key focus on dissertation and right research questions

IT

Sourcing

Course

JYU MBA program

K-S ICT strategy

National ICT restructuring

programs

Family

Writing

Reading

Enterprise cooperation

Harri HyvönenProject Researcher

15.2.2011

My ”strenghts” in CIO Academy:- Experiences in

large enterprises cases

- Large network on ICT business

- Pragmatic way to cope with IT issues

- New connections to public sector

- Access to one enterprise ongoing case

My ”weaknesses” in CIO Academy:- Long time from my

studies in University world

- Understanding and adaptation of university rules and processes still pretty thin

- A lot of theories to learn more…

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Dissertation Schedule

Start28.6. Data collection

Analyzing data

Theoretical framwork

Dissertation documentation

Publishments

1st Draft

6/10 6/136/11 6/12

Finalization

Final version2013

Draft for discussion purposes!

JYVÄSKYLÄN YLIOPISTOSupervisors

Tomi Dahlberg, Research Director, University of JyväskyläInformation Technology

Jukka Heikkilä, Professor & Vice Dean University of JyväskyläInformation Technology

Pekka Neittaanmäki, Professor & DeanUniversity of JyväskyläInformation Technology

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Background – IS research

IS “own” research theories are quite few and emerging (prof. S. Pohjonen lecture 22. feb 2011)

There doesn´t seem to be in IS outsourcing literature a single method nor theory, which is used widely by all researchers (Information Systems Outsourcing: A Survey and analysis of the Literature – Dibbern et al 2004 The database for advances in Information systems)

IS (Information Systems) /IT Outsourcing is however quite much researched during the last decade – it is easy to find tens of articles and book, which handles relevant outsourcing issues

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My research approach All the studies

Studying the real world

Natural/social sciences, “value-free” studies(how and why things are)

Design science, “value-laden” studies (utility of innovation)

Theoretical studies on reality

Empirical studies on reality

Theory-testing studies. dissensus. consensus

Theory-developing studies. dissensus. consensus

Innovation- building studies

Innovation- evaluating studies

Mathematical studies

?

Järvinen P; The classification of studies

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Key question(s) Can we find that an enterprise´s and munipal´s outsourcing are based on

the same criterias?

Outsourcing has very wide markets. Is that driven in IS by cost efficiency as claimed in existing theories (eg Transactional Cost Economy theory, Williamson O.E. 1985)?

How does IS Outsourcing decision behaves (rationally <-> irrationally) – eg. Clemons Eric K., Thatcher Matt E., Row Michael C. 1995.

Identifying sources of reengineering failures: A study of the behavioral factors contributing to reengineering risks. Journal of Management Information Systems, Vol 12, No. 2, Fall 1995, 9-36

– 40,2% of the Finnish companies Information Technology is outsourced but only 52% has set targets for outsourcing (TTL, IT Barometri 2010, Finland)

=> When practical cases might not work as theory, is something missing from the existing theories?

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”How the present outsourcing research fits to challenges on public and private organisation´s transformation needs”

There is 342 municipals in Finland, where 23 in Central Finland

Muicipals have big challenges– High total spend ~1 billion euros 2009– High retirement development in

coming years, depending on organisation

– Ratio between dev/operative approximately 10/90

– No common ways to manage IS – Large national restructing programs

(Ministry of financial, SITRA/KPK ICT, several programs)

IS management scattered and with great diversity

Low competition / offering => supply in few hands

Slow progress with very limited results What to ”outsource” and how

– Governance model – Decision making– Regulations

Especially large Finland based enterprises have invested a lot in IS during the last decade

But enterprises have still some challenges– Financial challenges to increase cost

efficiency– IS has been the biggest growth

enabler recently BUT this is seen slowing down

– Ratio between dev/operative closer to 50/50

– Development project success rate generally low, especially in large projects

– High ratio of legacy systems– Competition for competencies

High competition / offering => supply in many hands

What to ”outsource” and how - key question is how value chain can be extended efficiently

– Governance model – Need for rapid decision making– Enterprise Architecture focus

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Research methods Data and content from

– Central Finland´s IS strategy project– One large enterprise case, where outsourcing is going to

happen in wide scale Multiple cases methodology to be used Strategic Management theory to be applied Transactional Cost Economics (Williamson O.E 1981

Transaction Cost Economics) to be applied also as theoretical framework?

The first paper is in progress– target IRIS seminarium (August 16th – 19th, 2011, Turku

Finland Monogram or articles based dissertion still a bit open

JYVÄSKYLÄN YLIOPISTOThe comparative research for decision making criterias

in enterprise´s and communities' process and IS outsourcing cases –Proposed papers

Public /Municipal IS

OutsourcingStudy

Cost

Governance

IT

Processes

Quality

Competency

Enterprise /Life Cycle Costing

IS Outsourcing and trust?

Enterprise /Outsource DS ISArchitecture

Public /Municipal IS 2?

DRAFT

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Q & A

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Background?

– topic of the PhD thesis, its format (collection of papers or monograph) and the supervisor(s)

– the status of the thesis and the expected finishing time – background and main scientific contribution of the PhD thesis

as well as results expected to be obtained and applicability of the results to be obtained and

– which part of the thesis is the talk related to.