Document Type : Original Article


1 Assistant Professor, School of Management, University of Tehran, Tehran, Iran

2 M.Sc. of Business Administration, School of Management, University of Tehran, Tehran, Iran


Outsourcing in many of large, medium and small scale international companies is considered as a solution to reduce costs and increase incomes; it doesn’t imply that increase in outsourcing level isn’t involved with any problem. Although companies benefit from outsourcing to economize their costs (cost saving), there are unsuccessful outsourcing experiences which cause lack of achievement of the expected service level. Despite such issues, companies prefer to outsource their information technology (IT) services. The purpose of this article could be stated as identifying effective factors which cause IT companies face risks during outsourcing of their IT projects. Such objective is investigated using meta-synthesis method and prioritized factors. Besides, their influence level is determined using questionnaires. In the present study, effective factors influencing risk of IT projects outsourcing are extracted. Main variables consist of: contract, costs, security, legal factors, new technologies and innovation, Contractor exclusive issues and finally client items. These variables are validated by experts of this field then distributed throughout the companies which have ranked primarily by the Informatics council. They have been given (hold) the exploitation permit from previous industrial and mines ministry. Concerning descriptive statistics, among the 39 factors, the factors which were given the highest priority are as follow respectively: First of all, deviation from the contract terms and conditions. Second, insufficient allocation of time to execute the contract, and third, contractor poor performance, Forth, costs due to undelivered items and Finally using the contracts which aren’t prepared based on a specific procedure.


Anonymous A. (2005) “Necessity for a practical viewpoint toward outsourcing strategy”, Tadbir Journal, No. 166:2-3. (in Persian)
APICS. Managing The Risks of Outsourcing :A Survey of Current Practices and Their Effectiveness.
Aubert, Benoit A.,Patry, M. & Rivard, S. (2005) “A Framework for Information Technology Outsourcing Risk Management”, The DATA BASE for Advance in Information Systems,Vol. 36, No.4, pp. 9-28.
Avazkhah, H.& Mohebbi, A. (2010) “Project Risk Management”, Tehran, KianRayaneSabz Publication. (in Persian)
Bahli, B. & Rivard, S. (2003) “The Information Technology Outsourcing risk: a transaction cost and  agency theory- based perspective”, Journal of Information Technology, Vol. 18, , pp. 211-221.
Banshi, Z. &Vaziri, A. [Bita], International Management Standard and Leadership of IT Services ITIL/ISO 20000, 2nd International Conference of E-Municipality. (in Persian)
Barki, H., Rivard, S. & Talbot, J. (1993) “Toward an Assessment of Software Development Risk” ,Journal of Management Information Systems, Vol. 10, No.2, pp. 203-229.
Belcourt, M. (2006) “Outsourcing – the benefits and the risks”, Human resource management review, Vol. 16 , pp. 269-279.
Boehm, b.w., January. (2007) “contribution to software development: Principles and Practices”,IEEE Software, pp. 30-45.
Brandas, C. (2010) “Risks and Audit Objectives for IT Outsourcing”, Informaticaeconomica, Vol. 14 , pp. 113-118.
Burmahl, B. (2001) “Making the choice: The pros and cons”, Health FacilITies Management, Vol. 14, No.6, pp. 16-22.
Buse, S. & Armonaitis, P. (2011) “Outsourcing of R&D: Chances and Risks” Institute for Technology and Innovation Management, Hamburg University of Technology, Hamburg, Germany.
Business Dictionary. [online] Available at (Accessed 21 January 2011(.
Business Dictionary.[online] Available at (Accessed 17 April 2011).
Curran, K. M. (2006) “Value- Based Risk Management (VBRM)”,Cost Engineering, Vol. 48, No.2, pp. 15-22.
Dhar, S. & Balakrishana, B. (2006) “Risk، Benefits، and Challenges in Global IT Outsourcing: Perspective and Practices” ,Journal of Global Information Management, Vol. 14, No.3, pp. 39-69.
Fan ,Z.P., Suo, W.L. & Feng, B. (2012) “Identifying risk factors of IT outsourcing using interdependent information: An extended DEMATEL method”, Expert Systems with Applications, Vol. 39, pp. 3832-3840.
Gandhi, Sh. J. (2010) An Analytical  Characterization of  Outsourcing  Risks. Published  PhD  thesis, Stevens  Institute of Technology, United States.
Gewald, H. & Dibbern, J. (2009) “Risks and benefits of business process outsourcing: A study of transaction services in the German banking industry”,Information& Management, Vol. 46, pp. 249-257.
Gilbert, A. (2003)  “Tech panel sees IT jobs returning to U.S”.
Gunter, H. & Melchiori, C. (2001) “Riding with More Options Computer”, Aided Engineering, pp. 34-38.
Gupta, U. & Gupta, A. (2003) “Outsourcing and offshoring of professional services” , Information Systems Management, pp. 28-32.
Jackson, J. (2007) “Offshore Outsourcing has Risks Article Alley”.
Lacity, M. & Hirschheim, R.(2000) “The Myths and Realities of Information Technology Insourcing”, Communication of the ACM, Vol. 43, pp. 99-107.
Li- jun, Z. (2012) “Research on Analysis and Control of Enterprise Logistics Outsourcing Risks” ,Energy Procedia, Vol. 17, pp. 1268-1273.
Momeni, M. (2007) “Statistical Analysis Using SPSS”, 1st edition, Tehran, Nashre No Publication. (in Persian)
Mulcahy، R. (2003) Risk Management, Tricks of the Trade for Project Managers. Available at. Managers/dp/0971164797#reader_0971164797(Accessed 2 march 2012).
Sakthivel, S. (2005)  “Virtual workgroups in offshore systems development” ,Information and Software Technology, Vol. 47, No.5, pp. 305-318.
Sandelowski, M. & Barroso, J. (2003) “Toward a meta synthesis of qualitative findings on motherhood in HIV- positive women”,Research in Nursing & Health, pp. 153-170.
Saunders, C., Gebelt, M. &  Hu, Q. (1999) “Achieving Success in Information Systems Outsourcing” , California Management Review , Vol. 35, No.4, pp. 58-72. 
Shi, Y. (2007) “Today's Solution and Tomorrow's Problem: The Business Process Outsourcing Risk Management Puzzle”, California Management Review, Vol. 49, No.3, pp. 27-44.  
Tafti, M. H.A. (2005) “Risks factors associated with offshore IT outsourcing” ,Industrial Management &Data Systems, Vol. 105, No.5, pp. 549-560. 
Welborn, C. “ (2007) Using FMEA to assess outsourcing risk” ,Quality Progress,  Vol. 40, No.8, pp. 17-21. 
Wikipedia. [online] Available at (Accessed   17April  2011).
Xiaosong, L.,Shushi, L.,  Wenjun, C. & Songjiang, F. (2009) “The Application of Risk Matrix to Software projectRisk management” ,International Forum on InformationTechnology and Applications , pp. 480-483.
Yajing, M. & Deying, F. (2011) “Risk Factors Analysis of IT Outsourcing from the Distance-based Perspective”,IEEE, 666- 670.
Yang, Ch. & Borhuang, J. (2000) “A decision model for is outsourcing” ,International journal of information management, Vol. 20, pp. 225-239.