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Information system outsourcing: motivations and the implementation strategy in a Malaysian bank

Purpose – This paper aims to aid in understanding the motivations for information system (IS) outsourcing decision and its initial implementation at one of the top commercial banks in Malaysia. The scope of the study includes the motivating factors, the implementation strategy and managing the ch...

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Main Authors: Suhaimi, Mohd Adam, Hussin, Husnayati, Mustaffa, Muzzafar
Format: Article
Language:English
Published: Emerald Group Publishing Limited 2007
Subjects:
T58.6 Management information systems
Online Access:http://irep.iium.edu.my/38662/1/Information_system_outsourcing_Motivations_and_the_implementation_strategy_in_a_Malaysian_bank.pdf
http://irep.iium.edu.my/38662/
http://www.emeraldinsight.com/doi/full/10.1108/14637150710823138
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spelling my.iium.irep.386622014-10-09T08:25:59Z http://irep.iium.edu.my/38662/ Information system outsourcing: motivations and the implementation strategy in a Malaysian bank Suhaimi, Mohd Adam Hussin, Husnayati Mustaffa, Muzzafar T58.6 Management information systems Purpose – This paper aims to aid in understanding the motivations for information system (IS) outsourcing decision and its initial implementation at one of the top commercial banks in Malaysia. The scope of the study includes the motivating factors, the implementation strategy and managing the change process. Design/methodology/approach – The study adopts a case study approach where 40 interviews were conducted among the staff, covering the management as well as non-management group. Findings – The findings of the study indicate that the motivating factors are the focus on core competencies, turning non-profit activities into profit-generating activities, and cost reduction. The implementation strategy involves the setting up of a two-tier relationship between the bank and the service provider. The challenges involved in the transition phase include managing the partnership and handling the staff transition and morale. Research limitations/implications – To some extent, there may be some subjectivity involved in interpreting the results of analysis, as with any other studies that adopt a case study approach. Practical implications – Amidst the complexity involved in any IS outsourcing endeavour, the management of a bank may learn some lessons from the experience reported in this study. At the initial stage, the bank should be concerned with the approach in establishing the partnerships and staff matters should not be undermined. Originality/value – The study provides a real life example of IS outsourcing implementation in the banking sector of a developing country. Emerald Group Publishing Limited 2007 Article REM application/pdf en http://irep.iium.edu.my/38662/1/Information_system_outsourcing_Motivations_and_the_implementation_strategy_in_a_Malaysian_bank.pdf Suhaimi, Mohd Adam and Hussin, Husnayati and Mustaffa, Muzzafar (2007) Information system outsourcing: motivations and the implementation strategy in a Malaysian bank. Business Process Management Journal, 13 (5). pp. 644-661. ISSN 1463-7154 http://www.emeraldinsight.com/doi/full/10.1108/14637150710823138 10.1108/14637150710823138
institution Universiti Islam Antarabangsa Malaysia
building IIUM Library
collection Institutional Repository
continent Asia
country Malaysia
content_provider International Islamic University Malaysia
content_source IIUM Repository (IREP)
url_provider http://irep.iium.edu.my/
language English
topic T58.6 Management information systems
spellingShingle T58.6 Management information systems
Suhaimi, Mohd Adam
Hussin, Husnayati
Mustaffa, Muzzafar
Information system outsourcing: motivations and the implementation strategy in a Malaysian bank
description Purpose – This paper aims to aid in understanding the motivations for information system (IS) outsourcing decision and its initial implementation at one of the top commercial banks in Malaysia. The scope of the study includes the motivating factors, the implementation strategy and managing the change process. Design/methodology/approach – The study adopts a case study approach where 40 interviews were conducted among the staff, covering the management as well as non-management group. Findings – The findings of the study indicate that the motivating factors are the focus on core competencies, turning non-profit activities into profit-generating activities, and cost reduction. The implementation strategy involves the setting up of a two-tier relationship between the bank and the service provider. The challenges involved in the transition phase include managing the partnership and handling the staff transition and morale. Research limitations/implications – To some extent, there may be some subjectivity involved in interpreting the results of analysis, as with any other studies that adopt a case study approach. Practical implications – Amidst the complexity involved in any IS outsourcing endeavour, the management of a bank may learn some lessons from the experience reported in this study. At the initial stage, the bank should be concerned with the approach in establishing the partnerships and staff matters should not be undermined. Originality/value – The study provides a real life example of IS outsourcing implementation in the banking sector of a developing country.
format Article
author Suhaimi, Mohd Adam
Hussin, Husnayati
Mustaffa, Muzzafar
author_facet Suhaimi, Mohd Adam
Hussin, Husnayati
Mustaffa, Muzzafar
author_sort Suhaimi, Mohd Adam
title Information system outsourcing: motivations and the implementation strategy in a Malaysian bank
title_short Information system outsourcing: motivations and the implementation strategy in a Malaysian bank
title_full Information system outsourcing: motivations and the implementation strategy in a Malaysian bank
title_fullStr Information system outsourcing: motivations and the implementation strategy in a Malaysian bank
title_full_unstemmed Information system outsourcing: motivations and the implementation strategy in a Malaysian bank
title_sort information system outsourcing: motivations and the implementation strategy in a malaysian bank
publisher Emerald Group Publishing Limited
publishDate 2007
url http://irep.iium.edu.my/38662/1/Information_system_outsourcing_Motivations_and_the_implementation_strategy_in_a_Malaysian_bank.pdf
http://irep.iium.edu.my/38662/
http://www.emeraldinsight.com/doi/full/10.1108/14637150710823138
_version_ 1643611472425648128
score 13.211869

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