Management Practice Insights


Management Practice Insights

Year: 2023, Volume: 1, Issue: 1, Pages: 20-23

Original Article

Future of IT outsourcing: The role of learning efficiency in vendor selection

Received Date:13 July 2022, Accepted Date:27 February 2023, Published Date:09 May 2023


Problem of Practice: A question most companies face while outsourcing any IT project is vendor selection — which vendor to select or whether to opt for multiple vendors? Most companies face difficulties while selecting vendors as they do not have adequate information about the vendors' cost structure. New research by Jain and team1 can now help navigate this age-old dilemma as it looks at a key factor beyond the pricing—the 'learning efficiency'. The essay provides insights on how companies can implement these learnings in a practical setting


1 Tarun Jain, Jishnu Hazra, and TC Edwin Cheng, “IT Outsourcing and Vendor Cost Improvement Strategies under Asymmetric Information,” Decision Sciences 52, no. 5 (October 2021): 110936,

2 Mary Ritchie, “Outsourcings Booming Business,” ISO, January 6, 2015,

3 “IT Services - Market Data Analysis & Forecast,” Statista, accessed March 21, 2023,

4 “IT Outsourcing - Worldwide | Statista Market Forecast,” Statista, accessed March 21, 2023,

5 Michael Stoler and Miles Underwood, “Deloitte Global Outsourcing Survey 2020” (Deloitte, 2020),

6 Stan Burenko, “6 IT Outsourcing Case Studies Every Startup Can Learn From,” July 23, 2021,

7 Stan Burenko.

8 Infosys PR, “Infosys Rated as a Leader for Basic Offshore Capabilities” (Infosys, August 20, 2004),

9 Pankaj Mishra and Pankaj Mishra, ET Bureau, “Toyotas Lean Lessons for Wipro,” The Economic Times, April 14, 2011,

10 Anirban Sen, “Google IT: Outsourcing Deal Search May Become More Rewarding for Indian Firms,” The Economic Times, March 31, 2016,

11 Shilpa Phadnis, “Infosys, Accenture in Last Lap for Rs 900-Crore Deal in Australia,” The Times of India, March 23, 2015,


© 2023 Published by SPJIMR. This is an open-access article under the CC BY license (


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