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Decision-making methods in IT-outsourcing for enterprise information system

Journal: Marketing and Management of Innovations (Vol.6, No. 1)

Publication Date:

Authors : ; ;

Page : 178-186

Keywords : information systems; transaction costs; outsourcing; linear programming; VIKOR;

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Abstract

The aim of the article. The development of management and information technology has led to the emergence of large and expensive corporate information systems. However, the methods for assessing impact of such systems on the individual campaigns financial performance or on general management results, has not yet been determined. So, new approaches to evaluating and improving the effectiveness of modern information systems should be developed.The results of the analysis. Outsourcing of information services is one of the promising methods for solving this problem. A transition to outsourcing allows commit some non-core tasks doing to specialized organizations. This, on the one hand, reduces many internal costs and, on the other hand, may cause an increase the costs for the organization of the interaction with the services providers. The paper presents a linear programming model that allows to choose information services, which should be given to outsourcing. The model is based on balancing the transaction costs associated with the outsourcing organization and the costs for their own information services. The model is proposed to be used together with the method of the outsourcing services provider choice. Now in Ukraine the quantity of service providers grows rapidly and access to the global cloud service systems increases. Therefore this task is extremely important and complicated. To substantiate choosing the best provider of outsourcing services the estimation procedure based on multiple heterogeneous criteria should be applied. The most important criterias are the cost of service, reliability, flexibility, software and hardware compatibility. For solving problems of multi-criteria selection can be used different methods, among which TOPSIS, PROMETHEE at al. The authors offer to use one of the lesser-known methods of multi-choice like VIKOR for solving it. The method ranks the information service providers by analyzing numerous factors. Feature of this method is the ability to use the criteria estimates, which are presented in the any values that fluctuate (interval, fuzzy, and others) and can be evaluated by interval or fuzzy expert assessments. The method uses a Hamming distance to obtain estimates for each criterion. The procedure for alternatives ranking calculation allows to select a solution that takes into the minimal distance from the ideal option both individual and averaged preferences. This article contains an example of selecting provider of IT outsourcing services using the VICOR method.Conclusions and directions of further researches. Suggested models of substantiate decisions regarding transfer of certain information service functions to the outsourcing model in combination with approach to outsourcing services provider selecting based on modified VIKOR method allows to apply the latest technological solutions in development of information system and to improve its general and institutional effectiveness.

Last modified: 2015-04-08 16:24:38