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Global delivery models: The role of talent, speed and time zones in the global outsourcing industry

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  • Stephan Manning

    (College of Management, University of Massachusetts Boston, Boston, USA)

  • Marcus M Larsen

    (Department of Strategic Management and Globalization, Copenhagen Business School, Frederiksberg, Denmark)

  • Pratyush Bharati

    (College of Management, University of Massachusetts Boston, Boston, USA)

Abstract

Global delivery models (GDMs) are transforming the global IT and business process outsourcing industry. GDMs are a new form of client-specific investment promoting service integration with clients by combining client proximity with time-zone spread for 24/7 service operations. We investigate antecedents and contingencies of setting up GDM structures. Based on comprehensive data we show that providers are likely to establish GDM location configurations when clients value access to globally distributed talent and speed of service delivery, in particular when services are highly commoditized. Findings imply that coordination across time zones increasingly affects international operations in business-to-business and born-global industries.

Suggested Citation

  • Stephan Manning & Marcus M Larsen & Pratyush Bharati, 2015. "Global delivery models: The role of talent, speed and time zones in the global outsourcing industry," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 46(7), pages 850-877, September.
    • Handle: RePEc:pal:jintbs:v:46:y:2015:i:7:p:850-877
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    Cited by:

    1. Ahmed A. Alsayer, 2023. "Learners’ Experiences in an Online Learning Environment: An Analysis of the Impact of International Collaboration," SAGE Open, , vol. 13(4), pages 21582440231, December.
    2. Bandick, Roger, 2020. "Global sourcing, firm size and export survival," Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), Kiel Institute for the World Economy (IfW Kiel), vol. 14, pages 1-29.
    3. Lahiri, Somnath & Karna, Amit & Chittaranjan Kalubandi, Sai & Edacherian, Saneesh, 2022. "Performance implications of outsourcing: A meta-analysis," Journal of Business Research, Elsevier, vol. 139(C), pages 1303-1316.
    4. Oshri, Ilan & Sidhu, Jatinder S. & Kotlarsky, Julia, 2019. "East, west, would home really be best? On dissatisfaction with offshore-outsourcing and firms' inclination to backsource," Journal of Business Research, Elsevier, vol. 103(C), pages 644-653.
    5. Stephan Manning & Silvia Massini & Carine Peeters & Arie Y. Lewin, 2018. "The changing rationale for governance choices: Early vs. late adopters of global services sourcing," Strategic Management Journal, Wiley Blackwell, vol. 39(8), pages 2303-2334, August.
    6. Thakur-Wernz, Pooja & Bruyaka, Olga & Contractor, Farok, 2020. "Antecedents and relative performance of sourcing choices for new product development projects," Technovation, Elsevier, vol. 90.
    7. Omar Chehab & Shiva Ilkhanizadeh & Mona Bouzari, 2021. "Impacts of Job Standardisation on Restaurant Frontline Employees: Mediating Effect of Emotional Labour," Sustainability, MDPI, vol. 13(3), pages 1-17, February.
    8. Howe-Walsh, Liza & Turnbull, Sarah & Budhwar, Pawan, 2019. "An investigation into on-sourcing of advertising creativity in an emerging economy: The case of the United Arab Emirates," Journal of Business Research, Elsevier, vol. 103(C), pages 356-364.
    9. Noemi Sinkovics & Umair Shafi Choksy & Rudolf R. Sinkovics & Ram Mudambi, 2019. "Knowledge Connectivity in an Adverse Context: Global Value Chains and Pakistani Offshore Service Providers," Management International Review, Springer, vol. 59(1), pages 131-170, February.
    10. Peter J Buckley & Jonathan P Doh & Mirko H Benischke, 2017. "Towards a renaissance in international business research? Big questions, grand challenges, and the future of IB scholarship," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 48(9), pages 1045-1064, December.
    11. Farndale, Elaine & Agarwal, Promila & Budhwar, Pawan, 2022. "Outcomes of talent identification in economically liberalized India: Does organizational justice matter?," Journal of Business Research, Elsevier, vol. 144(C), pages 740-750.
    12. Zimmermann, Angelika & Ravishankar, M.N., 2016. "A systems perspective on offshoring strategy and motivational drivers amongst onshore and offshore employees," Journal of World Business, Elsevier, vol. 51(4), pages 548-567.
    13. Najoung Lim & Seojin Kim & Rajshree Agarwal, 2023. "Weathering a demand shock: The impact of prior vertical scope on post‐shock firm response," Strategic Management Journal, Wiley Blackwell, vol. 44(8), pages 1965-2004, August.
    14. Wang, Qiu & Clegg, Jeremy & Mattos, Hanna Gajewska-De & Buckley, Peter J., 2023. "It’s personal: The emotional dimension of psychic distance perception in intercultural knowledge transfer," International Business Review, Elsevier, vol. 32(5).
    15. Peter J Buckley & Surender Munjal & Ignacio Requejo, 2022. "How does offshore outsourcing of knowledge-intensive activities affect the exports and financial performance of emerging market firms?," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(9), pages 1971-1996, December.
    16. Rodgers, Peter & Khan, Zaheer & Tarba, Shlomo & Nurgabdeshov, Assylbek & Ahammad, Mohammad F., 2019. "Exploring the determinants of location choice decisions of offshored R&D projects," Journal of Business Research, Elsevier, vol. 103(C), pages 472-483.
    17. Basu, Anwesha & Marjit, Sugata & Veeramani, C., 2024. "Growth gains from offshore outsourcing," Journal of Policy Modeling, Elsevier, vol. 46(1), pages 90-112.
    18. Chacko G. Kannothra & Stephan Manning & Nardia Haigh, 2018. "How Hybrids Manage Growth and Social–Business Tensions in Global Supply Chains: The Case of Impact Sourcing," Journal of Business Ethics, Springer, vol. 148(2), pages 271-290, March.
    19. Chen, Stephen & Lin, Nidthida, 2019. "The effect of inter- and intra-organizational distances on success of offshored outsourced innovation: A configurational approach," Journal of Business Research, Elsevier, vol. 103(C), pages 519-529.
    20. Larsen, Marcus M., 2016. "Failing to estimate the costs of offshoring: A study on process performance," International Business Review, Elsevier, vol. 25(1), pages 307-318.
    21. Liena Kano, 2018. "Global value chain governance: A relational perspective," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 49(6), pages 684-705, August.
    22. Roger Bandick, 2020. "Global sourcing, productivity and export intensity," The World Economy, Wiley Blackwell, vol. 43(3), pages 615-643, March.
    23. Marcus M. Larsen & Ben Mkalama & Michael J. Mol, 2023. "Outsourcing in Africa: How do the interactions between providers, multinationals, and the state lead to the evolution of the BPO industry?," Journal of International Business Policy, Palgrave Macmillan, vol. 6(4), pages 432-452, December.

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