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IT Outsourcing (primary factors drive the client– provider relationship…

- - - - delivery
        of the IT services
      - service- management framework
    - - market conformity pertains to the degree to
        which their price, technological currency, and other characteristics
        are consistent with the prevailing market conditions.
      - Technological conformity—achieved by avoiding proprietary
        solutions, obsolescence, and premature adoption of
        emerging technologies
      - framework
        for transitioning the service to another provider
      - provider’s intellectual property
      - extent to which
        the contract “fails to specify performance obligations for
        the parties in all states of nature, or fails to specify the nature
        of the performance itself”
      - incentive schemes
  - - - Support-mode enterprises assign importance neither to
        operational reliability nor to technology-based innovation
      - Factory-mode enterprises, in contrast, require operational
        reliability, but not technology-based innovation
      - turnaround mode place a premium
        on technology-based innovation,but can compromise
        on operational reliability
      - strategic-mode enterprises
        require both operational reliability and technologybased
        innovation
  - - - federal system, executives and business-unit representatives
        make IT decisions jointly
      - feudal system, business units can make decisions that
        optimally suit their own objectives
      - A monarchy exists when senior executives, or their
        agents, make most or all of the key IT-related decisions
        for the enterprise
      - anarchy occurs when each individual user or
        small group of users operates independently
    - - IT architecture
      - IT principles include enterprise-level policies about the
        strategic use of IT in the business.The IT architecture
        defines how the enterprise will integrate technology,
        operations, and human resources to achieve strategic
        objectives.
      - IT infrastructure consists of common systems and services
        that are shared throughout the enterprise,or within distinct business units or geographic regions.
      - Business applications are IT subsystems encapsulating
        processes and procedures that are usually specialized
        to specific business units or management domains.
      - IT capital planning pertains to deciding how much and where to invest in IT across the enterprise