Abstract:

This study explores and extracts six variables from literature research and examines their inter-relation with one another and their ability to predict IT outsourcing result and user satisfaction.  The results of the study showed that the technical ability of the vendor, the vendor’s familiarity with the customer’s business processes, the internal readiness of the customer organization, the cultural similarity of vendor with the customer and the engagement of the internal IT team all had a significant contribution to the model predicting user satisfaction with IT outsourcing. Good communication between customer and vendor was not significant in predicting IT outsourcing result. On the other hand, only technical ability of the vendor, the vendor’s familiarity with the customer’s business processes and the internal readiness of the customer organization are significant in predicting IT outsourcing result. The implications of these findings are discussed in the post-analysis section.