VI CIATIC IOP Publishing

Journal of Physics: Conference Series 1513 (2020) 012007 doi:10.1088/1742-6596/1513/1/012007

A systematic review of the literature on information technology

outsourcing services

M R Sanguino Reyes1
1
Universidad Francisco de Paula Santander, Seccional Ocaña, Colombia

E-mail: mrsanguinor@ufpso.edu.co

Abstract. Services outsourcing information technology is a strategy he has adopted today for
information technology governance. The decision to opt for this strategy be take in order to
maximize the benefits to the organization in terms of efficiency, profitability, sustained
reductions in costs and utilization of available resources. But nevertheless, these decisions have
not always been successful, as the process to achieve successful results, it is lacking in most of
the time of formality and methodology to guide activities to be undertaken by both the customer
and the supplier. This document aims to make a brief review of the literature in the area of
information technology outsourcing, specifically in aspects such as models, methodologies and
their governance. Analysis of the information collected allowed evidence that although there are
models and good practices information technology outsourcing, none of them covers the
activities necessary for the client and the provider, in defining specific roles, tasks for each of
the phases of the process, useful deliverables for each, or a measurement system that has tools
to evaluate it.

1. Introduction
Public universities in “Norte de Santander, Colombia”, have seen in the outsourcing of technology
services an opportunity to maximize its benefits and ensure the satisfaction of its internal and external
customers; their motivation goes from the ability to leverage the rise of technology, decentralization of
operational tasks, the improvement in the quality of service, cost savings, reduction of personnel, among
others. To achieve a successful process of outsourcing necessary is to have formal procedures to define
specific activities, with a definition of clear roles and segregation of duties, with instruments to measure
the achievement of the objectives proposed and artifacts that enable documentation of each of its
activities.
This paper aims to conduct a literature brief review of the related processes information technology
outsourcing (ITO) for models identify or methodologies aimed at formalizing activities in each stage of
the life cycle of the same, involving responsibilities of both the client and the provider as key players in
the process.

2. Review of models, methodologies and initiatives to formalize processes outsourcing

According to Mosquera and Gonzalez cited in [1], ITO is defined as a decision by an organization for
outsourcing of information technology (IT) assets, people or activities through a provider that manages
the exchange of goods and services. This decision is made in order to maximize the benefits to the
organization in terms of profitability, efficiently utilizing available resources and reducing operating
costs.

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VI CIATIC IOP Publishing
Journal of Physics: Conference Series 1513 (2020) 012007 doi:10.1088/1742-6596/1513/1/012007

According to [2], ITO is an established information technology governance strategy; the decisions
made about outsourcing IT services are vital for organizations. His work called "A systematic literature
review and critical assessment of model driven decision support for IT outsourcing" presents a critical
assessment of models for outsourcing IT support decision making in organizations. This research was
conducted by the review and analysis of a total of 133 peer reviewed papers published between 1995
and 2016.
This review identified the potential of various methods of decision analysis that allowed support
them in the process of ITO and supply in the cloud. Outsourcing decisions common IT supported in the
literature are related to the selection of suppliers of ITO or service providers in the cloud, followed by
the adoption of ITO/Cloud.
Meanwhile, [3] reported in their study entitled "Models referring to outsourcing theory", several
theories and models of outsourcing. The research was based on an extensive literature review, which led
to identifying ten different theories and models related outsourcing. The authors conclude that in the
analysis conducted so far, most models are investigating the preparation phase of outsourcing which
involves the crucial decision on whether the organization eventually outsource any of its operations.
Applying most theories in the field of outsourcing focuses on specific phases of the process explore
and/or specific problems arising in the context of these phases.
Also, [4] in his research entitled “Towards a theory of information systems outsourcing risk”, made
a fundamental contribution in the field of outsourcing of information systems (IS) with the aim of
contributing in the near future with the creation a theory of the risk of outsourcing IS.
Whether the purpose of outsourcing is the outsourcing of IT infrastructure, application development
or management responsibilities IS, it is possible to conceive of itself as a process composed of two main
phases: the decision process and implementation.
Associated with the benefits and costs of an outsourcing agreement, a set of risks. You need to
manage these risks so that the transaction between a client and one or more outsourcing providers be
successful. Given the importance of managing risk, the authors propose a conceptual framework
comprising the main elements of it and the development of a risk catalog information systems
outsourcing.
For its Simonova portion [5], in his work: “Identification of IT-service metrics for business process
when planning a transition to outsourcing”, determined the conditions to monitor the quality of services
within the IT processes that are selected for outsourcing.
The companies hope that outsourcing brings the possibility to concentrate on their core business,
access to experts and technologies, guaranteed quality and level of service as well as reducing IT costs.
Service quality information must strike a balance between three basic aspects: the requirement of the
customer on the content, the acceptable level of performance and price the customer is willing to pay.
Also, Saenz [6] makes a “Methodological proposal for the provision of outsourcing” and it raises the
need for a methodology to guide providers throughout the lifecycle, from the initial phase the search for
business opportunities, until the completion of the contract. The methodology is organized into five
stages, defining for each, the roles and responsibilities of those involved in the process, the activities
undertaken and deliverables to be generated and to be used as a control tool for both managing the
project and for the provision of the service.
Mosquera y Gonzalez [1] in his work entitled “Methodology to evaluate the impact of outsourcing
of IT services in organizations” have a model that facilitates making strategic decisions about the
viability of outsourcing services information technology. This research proposes the design of a tool to
assess the level of maturity of both the organization and the vendor providing the service.
The authors propose the design of a model structured around three universes: financial,
organizational and technical, organized according to the applicability in the field of customer or supplier.
This model takes into account the main elements of international standards and frameworks used in
process technology for successful outsourcing.
It is interesting that [7], in his master's degree work in computer management and
telecommunications, entitled "Framework for the planning of outsourcing of IT services in home utility

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VI CIATIC IOP Publishing
Journal of Physics: Conference Series 1513 (2020) 012007 doi:10.1088/1742-6596/1513/1/012007

companies in Colombia", raises the need to design a business model with an enterprise architecture and
IT governance that serves as a tool for clients and IT service providers in the home public services sector
in Colombia, in order to obtain successful collaborative relationships, executing the best outsourcing
practices . The particular model is based on three fundamental dimensions of information technologies:
government, business architecture and outsourcing.
In the same vein, [8] in his degree work called “Proposal for the implementation of an IT government
scheme in outsourced environments. “Caso de estudio: Universidad National de Colombia”, highlights
the importance of the senior management as a government facilitator of the organization, who must
adopt strategies to guarantee the direction and permanent monitoring of both the supply and demand of
IT. This work allows studying the aspects related to the main elements from the strategic, tactical and
operational point of view for the implementation of an IT governance system, specifically applied to IT
service delivery schemes under the outsourcing modality.
The degree work entitled “Strategic outsourcing of IT processes” proposed by [9] Molina and Ospitia
exposes the importance of addressing the IT outsourcing theme from the perspective of the decision;
that is, from the moment the manager or leader of an IT project evaluates the feasibility of outsourcing
taking into account the conditions of the organizational context. The result of this research is the
development of a tool that supports the decision-making process, through the use of management
indicators that generate alarms so that the IT leader knows the level of risk he faces at the time of the
decision.
Cullen, et al. [10], propose a model to manage outsourcing consists of four phases: architecture,
participation, and regeneration operation; These phases are comprised of nine building blocks; which in
turn contain 54 key activities according as shown in the Figure 1, Figure 2 and Figure 3.

Figure 1. Model outsourcing phase 1.

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VI CIATIC IOP Publishing
Journal of Physics: Conference Series 1513 (2020) 012007 doi:10.1088/1742-6596/1513/1/012007

Figure 2. Model outsourcing phases 2 and 3. Figure 3. Model outsourcing

phase 4.

In addition to the foregoing by the authors in the preceding paragraphs, there are standards, models
or best practices that guide the management of IT services, either from the point of view of the client or
from the perspective of the provider, as presented below.
In the particular case of information technology infrastructure library (ITIL), considered a set of best
practices for IT service management, it takes into account the principles to deliver an integrated
approach from the provision of IT services through of its five publications: Strategy, Design, Transition,
Operation and Improvement of service.
For its part, capability maturity model integration (CMMI) in their distributions acquisition (ACQ)
and services (SVC) provide guidance for applying best practices in an organization acquirer and a
service provider, respectively. This model helps organizations improve their processes outsourcing;
CMMI for Acquisition (CMMI-ACQ), covers six areas of process that focus on specific procurement
practices, addressing management agreements, development of procurement requirements, technical
management acquisition, validation acquisition, verification acquisition and development agreements
application and suppliers.
CMMI for Services (CMMI-SVC) focuses on the activities of the service provider, through seven
process areas with specific practices, taking into account the capacity management and availability,
continuity of service, delivery service, resolution incident, service transition, development of the service
system and management processes of the strategic service [11].
There is a publication of the information technology governance institute (ITGI) entitled governance
of outsourcing, which is designed primarily as an “Educational resource for chief officers of information,
senior management and IT management” [12] to provide a path for outsourcing initiatives which
includes the following stages in the life cycle, with their respective activities, as shown in Figure 4,
strategic (outsourcing decision); presignature (vendor selection, contract negotiation and confirmation
of the service) and postsignature (delivery service and reevaluation and exit).

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VI CIATIC IOP Publishing
Journal of Physics: Conference Series 1513 (2020) 012007 doi:10.1088/1742-6596/1513/1/012007

Figure 4. Lifecycle outsourcing.

3. Methodology
For the realization of this document a systematic review methodology was adopted from the literature
in order to identify articles related to IT outsourcing, in particular aspects such as models, methodologies
and governance of the same. The documents under review, were obtained consulting five databases
indexing academic literature: Science Direct, Scopus, Dialnet, IEEE Xplorer and Redalyc.
The search was conducted at different times: initially, potentially relevant articles were selected
based on reading the title, keywords and abstract. Subsequently, the relevant articles were identified by
examining the full text; In addition, a search of the references listed in articles selected for other
documents relevant to the investigation was conducted. And finally, in a third stage, new items that
emerged thanks to the use of criteria more specific search queries that allowed redefine, to achieve
higher quality of available information were identified. In total, 40 documents were analyzed after
completing the review and selection of a little over 100 items. To carry out this review work, they
allowed three criteria that generate the results were applied:

• Main topic: Information technology outsourcing services or ITO;

• Content: Models / methodologies employed in the outsourcing of IT services;
• Related topics: IT governance, governance of outsourcing, project Management.

4. Results and discussion

Identifying models, methodologies or standards aimed at formalizing activities for outsourcing of IT
services (ITO), allowed to recognize that even though today many companies use this strategy to achieve
competitive advantages, mostly they do it empirically, without conforming to some standard or model
to guide its implementation.
The review of literature led her to find methodologies, models, standards and best practice guidelines
supporting the management in the provision of services by the supplier and the acquisition thereof by
the customer; however, they do not constitute a complete model to establish a clear definition of the
activities associated with each stage of the process, the definition of roles and responsibilities for each,
the management of relations between customers and suppliers, the generation of artifacts as output of
the development of these stages.
Some of the models referenced involve particular aspects of the life cycle of the outsourcing from
the perspective of the customer as the case of the CMMI-ACQ standard, the outsourcing model proposed
by Cullen [7], and model De Sa-Soares [4], from the look of the Service Provider, another model is
presented as suggested by Sáenz [6]; CMMI-SVC and V3 standards.
The model proposed in the publication of the ITGI, suggesting activities for various stages of the
process both the client and the supplier.

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VI CIATIC IOP Publishing
Journal of Physics: Conference Series 1513 (2020) 012007 doi:10.1088/1742-6596/1513/1/012007

Although an effort of authors and related standards herein, to formulate strategies to guide the path
to success in outsourcing of IT services, none is sufficient to cover the activities of both the customer as
evidenced provider of each stage of the life cycle of the process and for each hierarchical level of both
organizations. Similarly, although some authors propose activities to measure the efficiency of the
process in terms of quality [5] and risk management [4], it is not clear conceptual framework for defining
metrics and practical way to implement them.

5. Conclusions
This document provided an assessment of the various models of outsourcing proposed by some authors
and guidance offered by some standards on the subject, through a systematic literature review and
analysis of more than 100 documents.
This review identified the phases within the life cycle of outsourcing in different proposed models,
some from the perspective of the customer and others from the perspective of the provider. The
nonexistent definition of specific activities for each phase, the low output of deliverables and unclear on
the allocation of responsibilities, constituted the primary weaknesses identified in most of the models
tested.
In summary, the literature suggested some models that could be considered to carry out IT
outsourcing activities; however, the results of the analysis allowed to determine that none of them
addresses the need to define a path in which both the customer and the vendor interact with each other,
from the definition of specific roles, tasks for each of the phases of the process, useful devices that allow
realizing those tasks and a measurement system to provide tools to evaluate each one of them.

References
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de TI en las organizaciones Libre Empresa 9(1) 69
[2] Rajaeian M, Cater-Steel A and Lane M 2017 A systematic literature review and critical assessment of
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[3] Vaxevanou A and Konstantopoulos N 2015 Models referring to outsourcing theory Procedia Social and
Behavioral Sciences 175 572
[4] De Sá-Soares F, Soares D and Arnaud J 2014 Towards a theory of information systems outsourcing risk
Procedia Technology 16 623
[5] Simonova S 2016 Identification of IT-service metrics for a business process when planning a transition to
outsourcing International Conference on Information and Digital Technologies (IDT) (Rzeszow: IEEE)
[6] Sáenz F, De la Cámara M, Calvo J and Fernández E 2014 Proposal of an IT outsourcing project
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(CISTI) (Barcelona: IEEE)
[7] García D 2012 Marco de trabajo para la planeación de tercerización de servicios de TI en empresas de
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[8] Montaña A 2013 Propuesta para la implementación de un esquema de gobierno de tecnologías de la
información (TI) en ambientes tercerizados (outsourcing). Caso de estudio: Universidad Nacional de
Colombia (Bogotá: Universidad Nacional de Colombia)
[9] Molina O and OspitiaY 2011 Tercerización estratégica de procesos (Santiago de Cali: Universidad ICESI)
[10] Cullen S, Seddon P and Willcocks L 2005 Managing outsourcing: The lifecycle imperative MIS Quarterly
Executive 4(1) 229
[11] Software Engineering Institute (SEI) 2010 CMMI® for Services, Version 1.3. Improving Processes for
Providing Better Services (USA: Software Engineering Institute)
[12] IT Governance Institute (ITGI) 2005 IT Governance Domain Practices and Competencies. IT Alignment:
Who Is in Charge? (Rolling Meadows: IT Governance Institute)

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