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IT Outsourcing Risk Management at British Petroleum

Author

Listed:
  • Benoit Aubert
  • Michel Patry
  • Suzanne Rivard
  • Heather Smith

Abstract

This paper reports the results of a study of three successive IT outsourcing contracts at British Petroleum (BP). We offer an operational definition of IT outsourcing risk and use it to assess the risk exposure associated with each contract. We then examine how the management at BP dealt with outsourcing risk. Our results show that careful and deliberate risk management can substantially attenuate the level of risk exposure, and that IT outsourcing risks can be managed. Ce document présente les résultats d'une étude de trois contrats d'impartition successifs. L'étude fut conduite chez British Petroleum. Une définition opérationnelle du risque d'impartition est donnée. Cette définition est ensuite utilisée pour déterminer le niveau de risque associé à chacun des contrats. Les mécanismes de gestion de risque sont également identifiés. Les résultats démontrent qu'une gestion active du risque permet de réduire sensiblement les niveau d'exposition au risque, notamment dans le cas de contrats d'impartition des technologies de l'information.

Suggested Citation

  • Benoit Aubert & Michel Patry & Suzanne Rivard & Heather Smith, 2000. "IT Outsourcing Risk Management at British Petroleum," CIRANO Working Papers 2000s-31, CIRANO.
    • Handle: RePEc:cir:cirwor:2000s-31
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    File URL: https://cirano.qc.ca/files/publications/2000s-31.pdf
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    References listed on IDEAS

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    Cited by:

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    2. Aylin Seckin, 2000. "Habit Formation with Recursive Preferences," CIRANO Working Papers 2000s-43, CIRANO.
    3. Aylin Seckin, 2000. "Consumption-Leisure Choice with Habit Formation," CIRANO Working Papers 2000s-40, CIRANO.
    4. Aylin Seckin, 2000. "Consumption with Durability," CIRANO Working Papers 2000s-38, CIRANO.
    5. Aylin Seckin, 2000. "Consumption with Habit Formation," CIRANO Working Papers 2000s-39, CIRANO.
    6. Claudia Keser & Bodo Vogt, 2000. "Why Do Experimental Subjects Choose an Equilibrium which Is Neither Payoff Nor Risk Dominant?," CIRANO Working Papers 2000s-34, CIRANO.
    7. Aylin Seckin, 2000. "Consumption with Liquidity Constraints and Habit Formation," CIRANO Working Papers 2000s-41, CIRANO.

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