INTER-CULTURAL PROBLEMS OF IT-SERVICES OUTSOURCING FROM SWEDEN TO INDIA
Diploma
ABSTRACT
IT-services outsourcing from Sweden to India
has increased in the last few years and it is often regarded as a strategic
measure to handle the increasing costs of IT-related development and
maintenance operations. There are a number of advantages of outsourcing
however, there are many challenges that outsourcing initiatives face. One of
the challenges mentioned by many researchers is the cultural differences
between the Swedish culture and the Indian culture. At the same time there is
not enough research done about these cultural differences in the context of
IT-services outsourcing from Sweden to India. It creates difficulties for the
partners involved in an IT services outsourcing initiative to achieve the
desired results.
In this work we have researched
these problems by sending questionnaire to IT outsourcing companies in Sweden.
The questionnaire was prepared after a thorough literature review. The
participants were asked if they are still facing the problems identified in the
literature review and to also mention any other cultural problems faced by
them. The questionnaires were analysed and the results obtained are presented
in this work. The results show that the practitioners were still facing the
problems. This thesis identifies the root causes, the negative effects and also
suggests ways for handling the problems. This research will help the
IT-services outsourcing practitioners to manage these problems for achieving
better result.
RESEARCH
QUESTIONS
We have narrowed
down our research to – identification of inter-cultural problems/challenges in
context of outsourcing IT-services from Sweden to India. Our research focus
will be on the following questions
Question No 1: What are the central intercultural
challenges or problems, in the outsourcing relations, between the outsourcers
in Sweden and the insources from India, with regard to IT-services outsourcing?
Question No 2: For each identified challenge or problem, what is
the possible factor(s) that cause it, its negative effects and how it could be
handled?
Question No 3: What are the causes, negative effects of pre-defined
intercultural problems and how it could be handled?
RESEARCH
OBJECTIVE
Outsourcing
considered as a business strategy. In theory, it is easy to say a company has
outsourced, but in practice, outsourcing companies face many problems one of
which is inter-cultural problems. Our research objective is to identify those
intercultural problems which are faced by the companies especially in the
context of IT services outsourcing from Sweden to India and root causes,
negative effects and handling of these problems. We intend to present these
inter-cultural problems in a scientific way that will be new knowledge for the
IT-service outsourcing companies and will be helpful in general for any
insourcing / outsourcing company around the world and in specific for Swedish
outsourcing companies and Indian insourcing companies.
EXPECTED
RESULT OF RESEARCH
To identify
inter-culture challenges in the context of outsourcing IT-services from Sweden
to India, the outsourcers will be able to use findings as guidelines for
achieving better quality of services. The knowledge can be used to guide
successful management of outsourcing relations, from the inter-cultural point
of view. The management, stakeholder and the employees will be aware from the
inter-culture gap between Sweden and India.
•
The result can be used to raise the awareness of
inter-cultural problems in ITservices outsourcing relationship.
• The
management could be able to use research findings for further policy and
decision-making.
•
This research work can be used for successful
IT-services outsourcing relationship between organizations of Sweden and India.
• Organizations
could use the research findings in order to increase the success of their
IT-services outsourcing project.
• Researchers
could use findings for future research.