Impact of Information Technology Outsourcing

Impact of Information Technology Outsourcing Introduction Information Technology Outsourcing (ITO) will continue to have a major impact on all organizations and will over time increasingly becomes an integral part of the organizations strategy. Various aspects within the metamorphosis of ITO will be covered but not necessarily detailed. ITO has become a global phenomenon. Globalization with some distinct drivers in technology evolution has reshaped the market place and given rise to the advent of the digital age. Sustainable competitive business strategy will need to embrace this opportunity and will need to seek enablers to exploit it. IT, by virtue of the web and broadband communications in particular, allows an organization to fulfill this need. Further decrease in costs communication, increase in broadband capacity and web collaborations accelerates the process. Definitions Outsourcing has variously been defined by scholars in the Information Systems (IS) literature as follows: â€Å"The significant contribution of external suppliers in the physical and/or human resources associated with the entire or specific component of the IT infrastructure in the user organization.†(Loh and Venkataraman,1997) Outsourcing occurs when third party vendors are responsible for managing the Information Technology components on behalf of their clients. IT Outsourcing means handing over the management of some or all of an organization’s information technology (IT), systems (IS) and related services to a third party.†(Willcocks et al.,1998) †¦business practice in which a company contracts all or part of its information systems operations to one or more outside information service suppliers (Hu et al., 1997, p. 288) â€Å"Outsourcing is the handover of an activity to an external supplier. It is an alternative to internal production†(Aubert et al.,2003) â€Å"IS sourcing† is the organizational arrangement instituted for obtaining IS services and the management of resources and activities required for producing these services (Dibbern et al., 2004 , p. 11). Therefore outsourcing involves the transfer of the responsibility for carrying out an activity (previously carried on internally) to an external service provider against agreed service levels at an agreed charge. History ITO has received great attention for scholars and researchers since the mid 1990’s but it’s been around for a while as per the examples below: 1963 – Electronic Data Systems (EDS under Ross Perot) signs an agreement with Blue Cross for handling of its data processing services. Mid-1980s EDS signed contracts with Continental Airlines, First City Bank and Enron. 1989 – Kodak outsources its IS function to IBM, DEC Businessland (â€Å"Kodak Effect†) being the most notable example. More recent developments (Kern and Willcocks 2000, Ross and Westerman 2004, Kishore 2003, Kaiser 2004, Lander 2004, IBM 2004, Smith and McKeen 2004), suggests motivation is more strategic in nature with the goal of improving the business’ competitive advantage. It’s clear that ITO is not quite a new phenomenon but increasingly more prominent in this era where it is prevalent in almost every facet of business. The industry evolved from monolithic mainframe to pervasive computing. A survey of the London Stock Exchange FTSE Index over a period of three years found a generally positive relationship between high levels of outsourcing and enhanced stock market performance. Reasons for outsourcing Organizations adopt ITO for various reasons (Turban et al, 2006). The ever dynamic evolution within the IT sector grants great opportunity to business. The following reasons were invariably most common as per numerous surveys done and researched globally: Cost reduction This has been the foremost reason to outsource as senior executives’ only views the IT function as a noncore activity and a necessary cost to be minimized. Economic pressures are also external factors that lead to advent of ITO. Lacity and Willcocks(2001) explains that cost savings are no longer a major reason for outsourcing. Focus on core competency Business deems IT as a cost centre and excludes it from its core strategy. With increased shareholder demands organisations feel they need to refocus on broader business issues other than technology. Organizations places more focus on their â€Å"core competency† business (Field, 1999). Access to specialist expertise and technology Highly skilled labour comes at a cost and also the technology and is also not readily available. ITO is not only for cost savings but as a tool for utilizing state of the art expertise and technology through their service providers (Field, 1999). However of late, the companies with strong IT capabilities, such as IBM, Microsoft and SUN, are also outsourcing some of their IT functions to concentrate on their core-responsibilities and reduce costs to the economies of scale. Decision Making In the past, organizations used frameworks and models as guidelines for assessing their current state and determining future strategic actions (Gorry and Scott-Morton 1971, Nolan 1973, Luftman 1999, Venkatraman and Henderson 1993). More organizations are considering ITO as part of their strategic thinking. Organizations use ITO as a method to reduce costs, achieve efficiency and flexibility but many don’t realize the benefits due to bad decision making. ITO decision-making is a process and requires careful scrutiny before being finalized. ITO decision making process addresses a wide range of issues, such as economical (eg., financial feasibility), technological and political .This process starts with an in-house assessment of the IT capabilities which should highlight to management activities that can potentially be outsourced. SWOT (Strengths, Weaknesses, Opportunity, Threats) analysis could be used to substantiate the need whether ITO can possibly be used to negate those threats and weaknesses or whether at all necessary to explore ITO. The facts gathered should include a baseline and evaluation of the current environment which should be made available for executive management approval. Knowledge within the strategic decision at this higher level can thus be descriptive (know-what), procedural (know-how) or reasoning (know-why) (Fahey et al., 2001; Holsapple Singh, 2000). Case studies within surveys conducted by M.C.Lacity,L.P.Willcocks and D.F.Feeny published in the Sloan Management Review(Spring 1996) summarizes the ITO process. The abovementioned reasons were most common in their samples. Scope of sourcing Sourcing is often referred to in IT literature as outsourcing. The research delineates four categories of sourcing: Total outsourcing is where all IT activities including assets and management become the responsibility of a third-party vendor. Total insourcing refers to the in-house management of IT activities where external or internal staff is used with the buying in of the vendor resources to meet a temporary need. Vendor resources are only used to supplement the internally managed teams. Selective sourcing locates selected IT activities to vendors while the customer remained responsible for delivering the result and will be held accountable. De facto insourcing uses internal IT departments to provide products and services that arise from historical precedent, rather than from a reasoned evaluation of the IT service market. Considerations of sourcing Critical review of above categories found that the all-or-nothing approach ( total outsourcing) characterized by long-term(5 years or more) deals can lead to trouble after a few years as exemplified in the case studies due to: Senior Management approach ITO like any other make-or-buy decision where ubiquitous IT applications across business functions complicate matters. Lost alignment between business and IT strategies. Failed promises to access new technologies. Processing power cost depreciates at an average of 20 percent annually due the IT capabilities evolvement. And contractual costs soared greater than market prices. Termination of such contracts was found to be prohibitively expense. Research found that those who approach ITO in all-or-nothing terms either incur great risks or forego the potential benefits of selective sourcing. Reasons for ITO can be categorized as two dimensional and based on: Purchasing style refers to contracts to either be once off or an expectation of business for many years. Purchasing focus refers to companies buying resources from vendors, such as hardware,etc, and manage the delivery of IT themselves or vendors manage the IT activity and the organization expect the specified results. The result is four distinct categories will be representative of whether ITO is required as figure 1 represents. The figure also represents a decision matrix for business and guide for an effective strategy. A decision in selecting what can be outsourced usually distinguish between the contribution that IT makes to the business operations and it’s impact on competitive advantage. ITO was primarily domestic but has now evolved due to globalization and can also be categorized now by variance of service provider distance. The same reasons apply globally for ITO. On-shoring refers to the outsource vendor located in the same country of the customer. Near-shoring refers to the outsource vendor located geographically close but not in the same country. Off-shoring refers to the outsource vendor located offshore and possibly on a different continent and time-zone. Managing ITO Once the scope and type has been identified,the vendor selection process will be initiated by soliciting via Request for Proposal(RFP). Not all service providers are equal as all offer different types of services like: IS consultancies/solutions providers services in all IS functions Systems houses system integration Hardware vendors – hardware platform Ex-IS departments industry specific sourcing Development houses – develop software Generic outsourcers manage functions, especially infrastructure Freelancers There are also important criteria to look for in your service provider. Appropriate outsourcing experience and proven customer satisfaction track record. Accredited in application of best practices such as ITIL with the necessary evidence. Adequate numbers of skilled labor. Scale and geography to fulfill the organizations needs. Prepared to be flexible to you organizations needs, ie plan with current staff. Upon selection of the ITO partner, an outsourcing contract provides a legally bound, institutional framework in which each party’s rights, duties and responsibilities are codified and the goals, policies, and strategies underlying the arrangement are specified. Selective sourcing allows for flexibility within the short contracts. While some organizations realized their benefits in ITO, others have not been able to achieve benefits due to poor staffing of the IT function, poorly written service level agreements (SLA), lack of outsourcing experience on the client side, poor project management skill, poor technical infrastructure (especially in some offshore cases), and lack of trust (Jennex and Adelakum 2003, Lacity and Willcocks 2001). A contract alone is insufficient to guide outsourcing evolution and performance since it involves repeated inter-organizational exchanges that become socially embedded over time.This is why ICT outsourcing is very challenging and often a painful process!! Governance is fundamental to outsourcing relationships. Tracking SLAs and ensuring compliance to contracts are critical to controlling costs and setting minimum performance requirements. It is therefore important to ensure that the ITIL framework,starting with support management, are implemented to ensure that the IT aligns with business with the necessary metrics in place. Control Objectives for Information and Related Technology (COBIT) framework will ensure that all policies should be enforced, especially adherence to security. Critical Success Factors in an outsourcing relationship that should mitigate risk: Define a strategy with measurable goals within your SLA to ensure the relationship don’t lose momentum over time. Exercise due diligence to establish a baseline for the relationship. With the adoption of the ITIL Framework,adopt a comprehensive change management strategy. Always keep senior management involved to ensure that adherence to policies and procedures. The right metrics and regular reporting build confidence and help sustain relations. As per the Tuckman’s stage model the relationship should grow like a team and evolve in stages. Stage one is the Insourcing stage where organizations buy only a few IT functions or services from external vendors on short term contractual agreements. Only a few IT activities are bought from outside parties, generally less than 5% of the entire IT operation. Stage two is the Forming, or experimenting, stage. In this stage organizations engage in sporadic outsourcing of IT activities. Sourcing activities may be between 10-20% of the entire IT needs in the organization. Stage three is the Storming stage; it is regarded as a transition stage. At stage three organizations need to make a decision either to pursue outsourcing actively or to keep on experimenting. Stage four is the Norming stage. At this stage organization have already made a decision to pursue IT outsourcing actively and have established some norms, methods or processes for IT outsourcing within the organization. The reason for outsourcing could be either cost focus or desire to improve internal efficiency. Outsourcing could account for up to 40% of IT activities. The last stage is the strategic focus stage. In this stage IT outsourcing is part of the corporate strategy and it is not based just on cost reduction or IT improvement but is a strategic decision to use IT outsourcing within the entire organization as part of corporate strategy. Benefits from ITO Offshore outsourcing holds more advantages than disadvantages with: IT outsourcing to India helps to leverage from immensely intelligent, skilled and dedicated resources at reduced labor. Opportunity to expand service levels beyond ordinary. 24/7 Productivity has given rise to the â€Å"global delivery system† where development in particular could be done around the clock or â€Å"overnight† in a collaborative model. Choice of accredited vendors indicates that best practices are applied which should result in increase quality of service. Best-of-breed technologies accompanied by best practices should decrease the latency on time-to-market. Conclusion All factors for outsourcing was highlighted in would thus mitigate risks and highlight benefits.The future of outsourcing include service-oriented architecture (SOA), green IT, the changing role of practitioners and what the future holds for convergence of technology and business process. The ITO market would thus become more specialized and modular. Offshore ITO has also grown due to the bandwagon effect where other organizations just take advantage of the options prompted by others. Numerous surveys in outsourcing indicates that Offshore Leaders are Canada, India, Ireland, Israel, Philippines Up-and-comers are Brazil, China, Malaysia, Mexico, Russia, South Africa. Rookies are Argentina, Chile, Costa Rica, New Zealand, Thailand, Ukraine Reverse sourcing is a new trend in global business where offshore outsourcing is reversed to near-shore outsourcing but not primarily for cost factors. This trend is more evident in call-centers as customers prefer dealing with agents proficient in their language and culture. References Apte, U. M., Sobol, M. G., Hanaoka, S., Shimada, T., Saarinen, T., Salmela, T. and Vepsalainen, A. P. J. (1997). IS Outsourcing Practices in the USA, Japan and Finland: A Comparative Study, Journal of Information Technology, Vol. 12, pp. 289-304. Bansal, V. and Pandey, V. (2003). A decision-making framework for IT Outsourcing using Analytical Hierarchy Process, Kampur, Indian Institute of Technology Buchanan, Steven (2006). â€Å"A framework for business continuity management† International Journal of Information Management, vol. 26, no. 2, pp. 128-141, Apr 2006 Corbett MF (2004)- The outsourcing revolution, Dearborn Trade Pub Dibbern, J, Goles,T, Hirschheim, R, Jayatilaka, B (2004). Information Systems Outsourcing: A Survey and Analysis of the Literature. The DATA BASE for Advances in Information Systems – 2004 (Vol. 35, No. 4). Felton JD (2008)- The Art of Outsourcing Information Technology,AuthorHouse Gallivan, M. J. and Oh, W. (1999). Analyzing IT Outsourcing Relationships as Alliances among Multiple Clients and Vendors, Proceedings of the 32nd Annual International Conference on System Sciences, Hawaii. Gottschalk P (2006)- Knowledge Management Systems: Value Shop Creation,Idea Group Inc (IGI) Greaver MF (1999)- Strategic outsourcing: a structured approach to outsourcing decisions and initiatives,AMACOM Div American Mgmt Assn Gupta A (2008)- Outsourcing and Offshoring of Professional Services,Idea Group Inc (IGI) http://is2.lse.ac.uk/asp/aspecis/20040001.pdf http://sloanreview.mit.edu/the-magazine/articles/1997/spring/3834/beyond-outsourcing-managing-it-resources-as-a-value-center/ http://www.eds.com/about/history/timeline.aspx http://www.iitk.ac.in/ime/veena/PAPERS/icsci04.pdf Hu, Q., Saunders, C. and Gebelt, M. (1997). Research Report: Diffusion of Information Systems Outsourcing: A Re-evaluation of Influence Sources, Information Systems Research, Vol. 8, No. 3, pp. 288-301. Khosrowpour M(2003)-Advanced Topics in Information Resources Management,Idea Group Inc (IGI) MC Lacity, LP Willcocks, DF Feeny (1996)- Sloan Management Review http://hickeyj.googlepages.com/p5.pdf Mcivor R (2005)- The Outsourcing Process,Cambridge University Press Michaelides P -Reasons Leading to the Ineffectiveness of Information Systems Outsourcing in Minimising Costs,Universal-Publishers Schniederjans AM,Schniederjans DG(2007) Outsourcing management information systems,Idea Group Inc (IGI)

Berkeleys Water Experiment :: Science Illusions Argument Papers

Berkeley introduces his water experiment in order to demonstrate that in perception the perceiver does not reach the world itself but is confined to a realm of representations or sense data. We will attempt to demonstrate that Berkeley's description of our experience at the end of the water experiment is inauthentic, that it is not so much a description of an experience as a reconstruction of what we would experience if the receptor organs (the left and right hands) were objects existing in a space partes extra partes. Our argument is that there is nothing in our experience of the illusion to suggest that under normal conditions perception does not reach the world itself. Traditionally Empiricists claim that all knowledge and all basic concepts are derived from experience. At the same time they argue that all experience is reducible to private entities, the so-called 'sense data'. Phenomenologists claim that there is nothing in experience itself to suggest that it is reducible to sense data, and that this doctrine is derived from metaphysical prejudices, the so-called 'assumptions of the natural attitude'. They argue that if we could in some way 'bracket' these assumptions and reflect only on our experience of perceiving and on the results of scientific measurements of our perceptual powers, we would discover that perception, rather than presenting us with private entities or 'data', 'opens up' to the world itself. (1) In A New Theory of Vision, Berkeley attempts to show that all experience is reducible to sense data by exploiting two types of argument. At times he exploits a scientific account of perception and of the functioning of the perceptual organs, while at other times he uses the argument from illusions. For example, he argues, that the experience of temperature can be understood with the analogy of the experience of pain, and just as the pain is not 'in the needle', so the warmth I feel is not in the fire. (2) He then argues in a similar vein that visual experience is reducible to collections of colour sensations because light passes into the eye ball and strikes the retina, in much the same way that a sharp object striking the skin produces a sensation of pain, such as a sensation of blue or red. (3) The sensation being the effect of the physical and chemical properties of the world on the sense organs and is as distinct from the world as photographic images are from the objects which cause them.

A brief history of shia muslims

It is a fact that Muslims all over the world are divided in two large groups -Shias and Sunnis. They have strong differences in political and religious views.Though they share the same Quran and Hadith but their interpretation of Islam has very few things in common (Lucas, 2008). That is why they have been at logger-heads throughout Islamic History. Both claim to be the righteous one and regard another one as strayed away from the right path.Shia literally means group or comrade. And Shias were originally those people who were with Hazrat Ali and were normally called as Shia-e-Ali, i.e., comrades of Ali or his companions. Later on ‘Ali’ was dropped and they are now only called Shias.It is interesting to know their history. How they came to existence is a good point to start from. When the Prophet (pbuh) passed away the question of his successor rose and each group among Muslims claimed his right to form the government.Ansars (Muslims of Medina) and Mohajireen (Muslims of Mecca who had migrated to Medina) were strong claimers but the matter was sorted out amicably when somebody from the righteous companions narrated one Hadith in favor of Mohajireen (Lucas, 2008). As a result Hazrat Abu-Bakr was made the Caliph.When he was on his death bed, he appointed Hazrat Umar as his successor and he ruled for ten years without any dissent. When he was fatally wounded and people lost their hope of his recovery, they asked him to appoint his successor following the toe of his predecessor. Initially, he declined but when they insisted too much he suggested six names including the names of Hazrat Usman and Hazrat Ali.Majority of Muslims preferred Hazrat Usman to Hazrat Ali and ultimately he was made the Caliph. He ruled for twelve years but in the last phase of his tenure, he was accused of nepotism.Actually, there was a Jew named Abdullah Ben Saba. He had a long grudge against Muslims due to several reasons. He could not tolerate it that Muslims prospered and dev eloped in such a short span of time. It was beyond his patience that Islam had been spreading so rapidly.But he was shrewd enough to realize the fact that he was incapable of fighting Muslims who were the most powerful in the world then. So he put upon himself the guise of a Muslim and came to Iraq among Muslims who had just converted to Islam and were quite unaware of the fact that Islam abolishes every claim on the ground of birth, caste, race and kinship. It doesn’t buy the argument that a ruler’s son should be made the ruler when his father dies though he may be bereft of the qualities of a ruler.These ideas were not known to these new comers in the fold of Islam. They were familiar with the ways of their old monarchs who followed the general rule of hierarchy in which the son automatically occupied the throne of his father when he passed away. In the absence of a son the close relative was crowned.Therefore when Abdullah Ben Saba came to them and said that very gr ave injustice has been done to Hazrat Ali as his caliphate has been usurped by others, they were easily convinced. They thought it their bound duty to stand for Hazrat Ali and provide him with his due right.Abdullah Ben Saba had hatched a very dangerous conspiracy. He never touched the Muslims of Mecca or Medina as he was fully aware that they will easily find out him as a bloody conspirator and will reject his wrong ideas. So he chose the soil of Egypt and Iraq for the propagation of his hierarchal ideas. Muslims of these places were new converts and were therefore easily deceived.In a nutshell, Abdullah Ben Saba spread his snare with too much care. He managed to spread rumors against Hazrat Usman. He got people write letters from Iraq to Egypt and Egypt to Iraq and from different parts of the Islamic Empire to Medina spreading the rumors that the Muslims of those places were suffering from different problems due to the inefficient rule of Hazrat Usman.People were aghast with these news. They strongly suspected that Hazrat Usman was not dealing with problems properly. A committee was formed which looked into the alleged problems. It found all the charges baseless and pointed that there were a few mischievous people in those province who wrote all these letters aiming at disrupting the rule and order of the Islamic Empire.But being very lenient Hazrat Usman let all these miscreants scot free and did nothing against them. Ultimately, they felt encouraged and came marching to Medina with the sole intention to assassinate Hazrat Usman.Hazrat Usman tried to clear their doubts with arguments and they lost their ground logically and were forced to return as they had no legitimate cause to rebel against Hazrat Usman.But they assembled again outside Medina and produced a fake letter of Usman in which it was stated that they should be punished by the governors of their provinces after their returning. Claiming this false charge they surrounded Hazrat Usman’s hou se and slain him brutally. After the assassination of Hazrat Usman, people were at the mercy of these rebels.The entire empire felt itself in the grip of anarchy. Hazrat Ali saw all these and was too much worried about the affairs of the community. He was approached by the same rebels to take the rein of the caliphate. He hesitated as he was fully aware that though those people insisted on their allegiance to him but they were basically against the very soul of Islam.They were introducing such a version of Islam which had nothing to do with the Islam he knew. But he was also requested by those sincere and age-old companions of the Holy Prophet who had selected his three predecessors. Therefore keeping the welfare of Islam above any consideration he accepted the responsibility of caliphate and was made the fourth rightful Caliph.Events which unfolded afterwards paved the way for the tow major division of Muslims which seems destined to remain unbridgeable till the last Day of Judgmen t. So it is clear that this difference of views was political in nature.But the early Muslims were so much religious that nothing could claim their attention except that which had some religious ground (Esposito, 2005). They were so much religiously charged that only religion could satisfy them. In this manner they were easily cheated by conspirators like Abdullah Ben Saba and his companions.It is noteworthy that there were a few sincere Muslims too who were of the opinion that Hazrat Ali had been the most deserving candidate of Islamic caliphate after the death of the Holy Prophet due to his relation and station in Islam.He was an important member of the household of the Prophet and was one of those few people who had embraced Islam in the very beginning. There were other grounds also which are not accepted by all sects of Islam such as his being protected from the possibility of committing any mistake, etc.Thus Shias came into existence and flourished. Later on they developed thei r ideology systematically. Now their ideas are very sophisticated and particularly their notions of ‘imamat’ are very complex. They hold the view that only those people who are completely protected from any potential sin deserve to be made Caliphs or Imams.Thus they believe that there are twelve Imams such as Hazrat Ali, Hazrat Hassan, Hazrat Hussein, etc. It is also noteworthy that all the Shias are not of the same view nor they follow only one ideology.   There are fissures and cleavages among them too and they are ripped apart in their ideology. But as a matter of fact they did not undergo any divisions during the imamate of the first three Imams: Ali, Hassan, and Hussein.But after the martyrdom of Hussein, the majority of the Shias accepted the imamate of Ali Ben Hussein al-Sajjad, while a minority known as the Kisaniyah believed that the third son of Ali, Muhammad bin Hanafiyah, was the fourth Imam as well as the promised Mehdi, and that he had gone into occultat ion in the Radwa mountains and one day would reappear.After the death of Imam al-Sajjad the majority of the Shias accepted his son, Muhammad al-Baqir as Imam while a minority followed Zayd al-Shahid, another son of Imam al-Sajjad, and became known as Zaydis.Following Imam Muhammad al-Baqir, the Shias accepted his son Ja'far al-Sadiq as Imam and after the death of Imam Ja'far the majority followed his son Imam Musa al-Kazim as the seventh Imam. However, one group followed the older son of the sixth Imam, Ismail, who had died while his father was still alive, and when this latter group separated from the majority of Shias it became known as Ismailia.Others accepted either ‘Abdullah al-Fatah or Muhammad, both sons of the sixth Imam.Finally, another party stopped with the sixth Imam himself and considered him as the last Imam. In the same way, after the martyrdom of Imam Musa al-Kazim the majority followed his son, Ali al-Rida, as the eighth Imam. However, some stopped with the se venth Imam and became known as the Waqifiyah.

Sports Activities And Its Impact On Society - 2493 Words

Physical activities are crucial to the all-encompassing advancement of youngsters, cultivating their physical, social and emotional wellbeing. The advantages of sports reach the effect on physical prosperity and the estimation of the educational advantages which lead to refining both academic performance and mental toughness of game ought not to be under-evaluated (Martin, 2005). Students in college these days are keen to take part in sports. They are sometimes ready to miss their important lessons to perform sports activities held in school or outside school and they may get treated in an illegal way. The NCAA [National Collegiate Athletic Association] considers claims that are related to academic dishonesty (Wolverton, 2015). In fact, the importance of sports is directly related to the wellbeing of the student both physically, academically, and mentally (Lumpkin, A., Stokowski, S., 2011). On the other hand, sports activities can affect the academics of students negatively. 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