IT Outsourcing: Culture/Cohesion's Impact on Vendor Performance

Provided by: Center for Promoting Ideas (CPI)
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The authors examine the increasingly important relational success dimension at the micro-level of the outsourced employee. They study the impact of client and vendor organizational culture and group cohesion on the performance of vendor employees working in collocated IT teams. Surveys were distributed to IT vendor employees, focusing on employees of offshore IT service providers. The respondents were employed by vendor companies and worked at client locations. They found that vendor organizational culture has a significant and positive impact on vendor employee performance located at client sites while client organizational culture does not.

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