RE-DESIGNING THE IS FUNCTION AROUND CORE CAPABILITIES

Despite wide recognition of the usefulness of resource-based approache s to organizational survival and competitiveness, these have rarely be en applied in detail to the question of how the IS function in contemp orary organizations can be configured. Against several trends-most not ably outsourcing and that towards business ownership of IS-which for s ome commentators imply the steady demise or ''withering away'' of the IS function, our own empirical work has led us to posit the emergence in practice of the ''high performance'' IS function. This has four ''f aces'' or fundamental tasks. We advance that a portfolio of nine core capabilities, several new to the IS function, are required to deliver high performance in this context. The relative importance of each capa bility will vary according to the nature of the business and its depen dence over time on IS/IT. While a single individual may be able to pro vide more than one of the nine capabilities, the nine are logically di stinct and each implies a distinct set of behaviours, skills and motiv ations. We detail the significant challenges to be met before any orga nization can successfully identify, recruit and retain a small group o f high calibre professionals to deliver the ''high performance IS'' co ncept. Finally, the article suggests that sourcing IS/IT capability ne eds a more fundamental analysis than many organizations are willing to make. Apart from ''outsourcing'' there are real opportunities to ''in source'', and such ''insourcing'' options will probably be important i n any successful delivery of the ''high performance IS'' concept. (C) 1998 Elsevier Science Ltd. All rights reserved.