The Productivity Benefits of IT Outsourcing

نویسندگان

  • Christopher R. Knittel
  • Victor Stango
چکیده

We examine the productivity benefits of IT outsourcing in the credit union industry, using data on the population of U.S. credit unions from 1992-2005. Within-credit union switching from internal IT to outsourced IT reduces operating costs by roughly 30%, once we control for the endogeneity of switches. Less productive firms are more likely to outsource in the crosssection, and more likely to exit. The reorganization from internal to external IT production is responsible for as much as $6 billion in annual cost savings for the industry. ∗Knittel: Department of Economics, University of California, Davis, CA and NBER. Email: [email protected]. Stango: Tuck School of Business, Dartmouth College, Hanover NH 03755. Email: [email protected].

برای دانلود متن کامل این مقاله و بیش از 32 میلیون مقاله دیگر ابتدا ثبت نام کنید

ثبت نام

اگر عضو سایت هستید لطفا وارد حساب کاربری خود شوید

منابع مشابه

Outsourcing Evaluation of Operational Supervision of Participation Facility in Maskan Bank and Investigation of Possible Practices Using AHP Method

This article aims to find out the best outsourcing practice for operational supervision process of participation facility in Maskan Bank. In the preliminary study, it was found that the bank has not achieved the expected outsourcing benefits and has seriously risked losing control over the supervision process and overdependence on the supplier. As a part of this study, the Bank objectivrs of ou...

متن کامل

Calculating benefits received from Business Process Outsourcing (BPO): An empirical study of a food industry company in Iran

Today, outsourcing is recognized as one of the most effective strategies in the business world. In this regard, outsourcing of business processes is considered to be one of the most common forms of outsourcing. The purpose of this study is to provide In-depth and quantitative analysis of the benefits of BPO in a dairy plant in Iran and how these benefits affect the willingness of senior plant m...

متن کامل

Laboratories Performance after Outsourcing in the Hospitals of Shahid Beheshti University of Medical Sciences

Abstract Background and Objective: Nowadays, downsizing the government to have an effective and flexible organization is considered to be government’s top priority in the world and outsourcing is one of the ways to achieve this goal. Accordingly, Shahid Beheshti University of Medical Sciences has delegated some of its hospitals' duties to the private sectors. The present study has been carried...

متن کامل

Risks, Benefits, and Challenges in Global IT Outsourcing: Perspectives and Practices

Many large organizations are increasingly outsourcing their IT functions. Factors like lower costs, improved productivity, higher quality, higher customer satisfaction, and ability to focus on core areas are some of the benefits of outsourcing. However, there are many challenges and risks associated with IT outsourcing. In this article, we identify the main risk factors and best practices in gl...

متن کامل

Laboratories Performance after Outsourcing in the Hospitals of Shahid Beheshti University of Medical Sciences

Abstract Background and Objective: Nowadays, downsizing the government to have an effective and flexible organization is considered to be government’s top priority in the world and outsourcing is one of the ways to achieve this goal. Accordingly, Shahid Beheshti University of Medical Sciences has delegated some of its hospitals' duties to the private sectors. The present study has been carried...

متن کامل

Designing an Outsourcing Model for the Executive Organs of Mazandaran Province (Case Study of Health Networks of Mazandaran Province)

Background and Aim: Today, with the growth of government services and the increase in the workload of organizations due to population growth and increasing the number of citizens receiving services and the lack of government resources in providing manpower as well as the purchase of facilities and machinery The need has led executives to outsource services. Outsourcing is usually used as a way ...

متن کامل

ذخیره در منابع من


  با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید

برای دانلود متن کامل این مقاله و بیش از 32 میلیون مقاله دیگر ابتدا ثبت نام کنید

ثبت نام

اگر عضو سایت هستید لطفا وارد حساب کاربری خود شوید

عنوان ژورنال:

دوره   شماره 

صفحات  -

تاریخ انتشار 2007