Skip to main content

Supplier Configurations and Capabilities

  • Chapter
  • First Online:
Book cover The Handbook of Global Outsourcing and Offshoring

Abstract

As we have illustrated, the global sourcing market is large and the services offered range from relatively simple processes such as data entry to very complex projects such as the digital transformation of the enterprise. The supplier base is equally diverse, ranging from locally based firms specialising in particular services or industries to offshore or global suppliers offering high-quality services at a low cost. Tables 5.1, 5.2, and 5.3 identify the dominant players in the sourcing market as follows: the top ten outsourcing companies (Table 5.1), the top outsourcing advisers (Table 5.2), and the top ten BPO companies in India (Table 5.3). These rankings provide important information regarding the expertise of a number of suppliers and thus help clients identify potential partners. Of course, these rankings may change over time as existing, developing, and new players increasingly compete across global geographies. For example, cloud services have been growing dramatically during the 2020s, with the dominant Amazon Web Services (AWS) offering on-demand cloud computing platforms and APIs to individuals, companies, and governments, on a metered pay-as-you-go basis. In 2021 AWS represented around 32% of the $US40 billion plus cloud market, but there are many other players and many niches. For example, in the early 2020s the open talent cloud-based market was just starting up, while Salesforce is a major player in the cloud SaaS market.

This chapter provides an overview of suppliers, supplier configurations, and the role played by intermediaries. The supplier landscape will be discussed in terms of firm size, areas of specialisation and location, with a focus on supplier core capabilities and supplier strategies for sustainability and growth.

In this chapter, we focus on:

  • The role of suppliers and intermediaries in sourcing arrangements

  • A supplier’s core capabilities for sustainability and growth

  • Suppliers’ strategies for growth.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 49.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Hardcover Book
USD 64.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    https://www.tcs.com/content/dam/tcs/investor-relations/financial-statements/2011-12/ar/TCS%20Annual%20Report%202011-12.pdf

  2. 2.

    https://www.tcs.com/tcs-50

  3. 3.

    https://www.tcs.com/sustainability-services

References

  • Agarwal, M. K., Frambach, R. T., & Stremersch, S. (2000). Does size matter? Disentangling consumers’ bundling preferences. Vrije Universiteit, Faculty of Economics, Business Administration and Econometrics.

    Google Scholar 

  • Ethiraj, S. K., Kale, P., Krishnan, M. S., & Singh, J. V. (2005). Where do capabilities come from and how do they matter? A study in the software services industry. Strategic Management Journal, 26, 25–45.

    Article  Google Scholar 

  • Feeny, D., Lacity, M., & Willcocks, L. P. (2005). Taking the measure of outsourcing providers. MIT Sloan Management Review, 46(3), 41–48.

    Google Scholar 

  • Harris, J., & Blair, E. A. (2006). Functional compatibility risk and consumer preference for product bundles. Journal of the Academy of Marketing Science, 34(1), 19–26.

    Article  Google Scholar 

  • Kotlarsky, J., Oshri, I., Kumar, K., & van Hillegersberg, J. (2007). Globally distributed component-based software development: An exploratory study of knowledge management and work division. Journal of Information Technology, 22(2), 161–173.

    Article  Google Scholar 

  • Kotlarsky, J., Oshri, I., Dibberns, J., & Mani, D. (2020). Information systems sourcing. MIS Quarterly, curation article.

    Google Scholar 

  • Krancher, O., Oshri, I., Kotkarsky, J., & Dibbern, J. (2022). Bilateral, collective, or both? Formal governance and performance in multisourcing. Journal of the Association of Information Systems, 21(1).

    Google Scholar 

  • Lacity, M., & Willcocks, L. (2009). Information systems and outsourcing: Studies in theory and practice. Palgrave.

    Book  Google Scholar 

  • Levina, N., & Ross, J. W. (2003). From the vendor’s perspective: Exploring the value proposition in information technology outsourcing. MIS Quarterly, 27(3), 331–364.

    Article  Google Scholar 

  • Levina, N., & Su, N. (2008). Global multisourcing strategy: The emergence of a supplier portfolio in services offshoring. Decision Sciences, 39(3), 541–570.

    Article  Google Scholar 

  • Lioliou, E., & Willcocks, L. (2019). Global outsourcing discourse: Exploring modes of IT governance. Palgrave Macmillan.

    Book  Google Scholar 

  • Mahnke, V., Wareham, J., & Bjorn-Andersen, N. (2008). Offshore middlemen: Offshore intermediation in technology sourcing. Journal of Information Technology, 23(1), 18–30.

    Article  Google Scholar 

  • Oshri, I. (2014). Innovation through outsourcing: Have you got the goods. National Outsourcing Association Year Book.

    Google Scholar 

  • Oshri, I., & Kotlarsky, J. (2014, July). Four ways to multisource. Professional Outsourcing Magazine, 17, 50–54.

    Google Scholar 

  • Oshri, I., Kotlarsky, J., & Willcocks, L. P. (2007). Managing dispersed expertise in IT offshore outsourcing: Lessons from TATA consultancy services. MIS Quarterly Executive, 6(2), 53–65.

    Google Scholar 

  • Oshri, I., Kotlarsky, J., & Gerbasi, A. (2018). Relational and contractual governance for innovation. In L. Willcocks, I. Oshri, & J. Kotlarsky (Eds.), Dynamic innovation in outsourcing. Palgrave Macmillan.

    Google Scholar 

  • Oshri, I., Dibbern, J., Kotlarsky, J., & Krancher, O. (2019). An information processing view on joint-vendor performance in multi-sourcing: The role of the guardian. Journal of Management of Information Systems, 36(4), 1248–1283.

    Article  Google Scholar 

  • Su, N., & Levina, N. (2011). Global multisourcing strategy: Integrating learning from manufacturing into IT service outsourcing. IEEE Transactions on Engineering Management.

    Google Scholar 

  • Wiener, M., & Saunders, C. (2014). Forced coopetition in IT multi-sourcing. Journal of Strategic Information Systems, 23, 210–225.

    Article  Google Scholar 

  • Willcocks, L. P. (2021a). Global business: Management. SB Publishing.

    Google Scholar 

  • Willcocks, L. P. (2021b). Robo-Apocalypse? Response and outlook on the post-COVID-19 future of work. Journal of Information Technology, 36(2), 188–194.

    Article  Google Scholar 

  • Willcocks, L. P., & Lacity, M. (2006). Global so‑urcing of business and IT services. Palgrave.

    Google Scholar 

  • Willcocks, L. P., Cullen, S., & Lacity, M. (2006). The CEO guide to selecting effective suppliers. Logica Internal Report.

    Google Scholar 

  • Willcocks, L. P., Griffiths, C., & Kotlarsky, J. (2009). Beyond BRIC. Offshoring in non-BRIC countries: Egypt – A new growth market. The LSE Outsourcing Unit Report. LSE.

    Google Scholar 

  • Willcocks, L. P., Oshri, I., & Hindle, J. (2009). Client’s propensity to buy bundled IT outsourcing services. White Paper for Accenture.

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Ilan Oshri .

Rights and permissions

Reprints and permissions

Copyright information

© 2023 The Author(s), under exclusive license to Springer Nature Switzerland AG

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Oshri, I., Kotlarsky, J., Willcocks, L.P. (2023). Supplier Configurations and Capabilities. In: The Handbook of Global Outsourcing and Offshoring. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-031-12034-3_5

Download citation

Publish with us

Policies and ethics