IT sourcing: a research framework

It is only during the past few years that the sourcing of IT has become an important issue for most organizations. Downsizing, the move to flatter org anizations and the search for added flexibility are cited as major reasons for this interest. Additionally, for the UK public sector, government press ure and legislative requirements have been instrumental in making many orga nizations consider outsourcing. Transaction cost analysis provides an economic approach to selecting the mo st appropriate source. However, in itself it is not enough, since it fails to take account of the special features of knowledge-intensive goods and se rvices. This form of analysis needs to be augmented with considerations of these special features and of the organizational and environmental factors surrounding the sourcing decision. This paper provides this augmentation wi thin a comprehensive framework for IT sourcing decision making.