Seven challenges management must overcome when implementing IT-shared services

Abstract

Purpose

The purpose of this study is to empirically explore management challenges that management must overcome in the early phase of adopting IT-shared services. Organizations to an increasing extent adopt IT-shared services as a means to providing organization-wide IT services.

Design/methodology/approach

Qualitative data from 20 case studies were analysed. The data were originally collected in a variety of predominantly large-size organizations from the public and private sectors in six different countries. The data used were collected between 2002 and 2010.

Findings

Our research identifies seven reoccurring themes in the collected data, all being common management challenges. These challenges are evident within the whole organization – including their service-consuming business units – as well as their service-providing IT units. The seven challenges are related to the ability to deliver IT services, communication between IT and non-IT staff, IT-service portfolios, nature of IT services, power and control, pricing and service-level agreements.

Research limitations/implications

Gaining a deeper understanding of the seven common challenges is essential for further research on how to manage the successful transition towards organization-wide shared-services arrangements.

Originality/value

This study provides fundamental insights into the complex endeavour of adopting IT-shared services in organizations. It furthers the understanding of common management challenges, which management needs to consider in the early stage of an organization-wide adoption of IT-shared services.

Citation

Ulbrich, F. and Schulz, V. (2014), "Seven challenges management must overcome when implementing IT-shared services", Strategic Outsourcing: An International Journal, Vol. 7 No. 2, pp. 94-106. https://doi.org/10.1108/SO-12-2013-0024