Governing business process offshoring: Properties, processes, and preferred modes

This article examines an important yet understudied issue-the governance mode for business process offshoring (BPO). By applying transaction cost economics and organizational control perspective in the global BPO context, we suggest that BPO's governance mode (foreign captive, joint venture, an...

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Main Authors: Luo, Yadong, Wang, S., Jayaraman, V., Zheng, Q.
Format: Journal Article
Published: Pergamon 2013
Online Access:http://hdl.handle.net/20.500.11937/50163
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author Luo, Yadong
Wang, S.
Jayaraman, V.
Zheng, Q.
author_facet Luo, Yadong
Wang, S.
Jayaraman, V.
Zheng, Q.
author_sort Luo, Yadong
building Curtin Institutional Repository
collection Online Access
description This article examines an important yet understudied issue-the governance mode for business process offshoring (BPO). By applying transaction cost economics and organizational control perspective in the global BPO context, we suggest that BPO's governance mode (foreign captive, joint venture, and independent vendor) is determined by task features, such as knowledge specialization, information security, and process codifiability, and by needed process integration, horizontally between departments and units within the provider and vertically between the provider and its global client and its local subcontractor. Findings from our analysis of 308 global BPO units in India and China confirm our hypotheses.
first_indexed 2025-11-14T09:43:33Z
format Journal Article
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institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T09:43:33Z
publishDate 2013
publisher Pergamon
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spelling curtin-20.500.11937-501632017-09-13T15:36:21Z Governing business process offshoring: Properties, processes, and preferred modes Luo, Yadong Wang, S. Jayaraman, V. Zheng, Q. This article examines an important yet understudied issue-the governance mode for business process offshoring (BPO). By applying transaction cost economics and organizational control perspective in the global BPO context, we suggest that BPO's governance mode (foreign captive, joint venture, and independent vendor) is determined by task features, such as knowledge specialization, information security, and process codifiability, and by needed process integration, horizontally between departments and units within the provider and vertically between the provider and its global client and its local subcontractor. Findings from our analysis of 308 global BPO units in India and China confirm our hypotheses. 2013 Journal Article http://hdl.handle.net/20.500.11937/50163 10.1016/j.jwb.2012.07.024 Pergamon restricted
spellingShingle Luo, Yadong
Wang, S.
Jayaraman, V.
Zheng, Q.
Governing business process offshoring: Properties, processes, and preferred modes
title Governing business process offshoring: Properties, processes, and preferred modes
title_full Governing business process offshoring: Properties, processes, and preferred modes
title_fullStr Governing business process offshoring: Properties, processes, and preferred modes
title_full_unstemmed Governing business process offshoring: Properties, processes, and preferred modes
title_short Governing business process offshoring: Properties, processes, and preferred modes
title_sort governing business process offshoring: properties, processes, and preferred modes
url http://hdl.handle.net/20.500.11937/50163