An Outsourcing Expert System for Governing Organizations

Document Type : Research Paper


1 Assistant Prof., Faculty of Management and Accounting, Farabi Campus University of Tehran, Qom, Iran

2 MSc. in Geodesy Engineering, National Cartographic Center, Tehran, Iran


Making the right decision about doing activities in-house vs. outsourcing is one of the important management decisions. The considerable effect of this decision on organizational performance and responsiveness is supported by theoretical and empirical evidence. In this study, using the experts’ knowledge extraction and modeling, we have designed a logical framework for deciding about outsourcing in governing organizations and accordingly an expert system has been developed. As an applied research a descriptive approach and case study method have been used. Objectives, inevitable circumstances, requirements, background conditions and facilitators have been identified as the underlying components of the system. The system provides a recommendation for each activity and prioritizes them based on readiness for outsourcing. An implementation in IT department of a sample organization is provided and the results are analyzed.  In the end, the proposed system for activities of IT Management was carried out in one of the organizations and consequently the obtained outputs and results were analyzed.


Main Subjects

Adler, J. (2000). Shifting players. Journal of property management. 65(4): 18-220.
Agrawal, S., Singh, R. K. & Murtaza, Q. (2016). Outsourcing decisions in reverse logistics: Sustainable balanced score card and graph theoretic. Resources, Conservation and Recycling, 108: 41–53.
Boyson, S., Corse, T., Dresner, D., Rabinovich, E. (1999). Managing effective third party logistics relationships: what does it take? Journal of Business Logistics, 20(1): 73–100.
Elahi, Sh., Rashidi, M. & Sadeghi, M. (2015). Designing fuzzy expert system for chief privacy officer in government and businesses E-transactions. Quarterly journal of information technology management, 7(3): 511-530. (in Persian)
Fine, C. H. & Whitney, D. E. (1996). Is the Make-Buy Decision Process a Core Competency? Working paper. Massachusetts Institute of Technology.
Gaspareniene, L. & Vasauskaite, J. (2014). Analysis of the criterions of outsourcing contracts in public and private sectors: review of the scientific literature. Procedia - Social and Behavioral Sciences, 156: 274 – 279.
Grover, V., Cheon, M.J. & Teng, J.T. )1994(. A descriptive study on the outsourcing of information system functions. Information and Management. 27(1): 33-44.
Insigna, R.C., Werle, M.J. )2000(. Linking outsourcing to business strategy. Academy of Management Executive, 14(4): 58–70.
Jennings, D. (2002). Strategic sourcing benefits, problem and a contextual model. Management decision, 40 (1): 26-34.
Kraljic, P. (1983). Purchasing must become supply management. Harvard Business Review, 61(5): 109-117.
Liang, H., Wang, J.J., Xue, Y., Cui, X. (2016). IT outsourcing research from 1992 to 2013: A literature review based on main path analysis. Information & Management, 53(2): 227-251.
Mansiya, K., Alma, Z., Torgyn, M., Marzhan, M., Kanat, N. (2015). The Methodology of Expert Systems. International Journal of Computer Science and Network Security, 14(2): 62-66.
McIvor, R. (2009). How the transaction cost and resource-based theories of the firm inform outsourcing evaluation. Journal of Operations Management, 27 (1): 45–63.
Ramsey, C., Reggia, J. A., Naut, D. S. & Ferrentino, A. (1986). A comparative analysis of methods for expert systems. International Journal of Man-Machine Studies, 24: 475-499.
Shao, B. & David, J. (2007). The impact of offshore outsourcing on IT workers in developed countries. communications of the ACM, 50(2): 89-94.
Sharma, A. & Loh, P. (2009). Emerging trends in sourcing of business services. Business Process Management Journal, 15(2): 149 – 165.
Simchi-Levi, D., Kaminsky, P., Simchi-Levi, E. (2008). Designing and managing the supply chain; concepts, strategies, and Case Studies. Third Edition. McGraw-Hill. ISBN: 978-0-07-298239-8.
Smith, D. (2006). Offshoring: Polytical myths and economics reality. World Economy, 29(3): 249-256.
Taghavifard, S.M. & Jafari, Z. (2015). Fraud detection using a fuzzy expert system in motor insurance. Quarterly journal of information technology management, 7(2): 239-258. (in Persian)
Wu, L. & Park, D. (2009). Dynamic outsourcing through process modularization. Business Process Management Journal, 15(2): 225-244.
Yin, R.K. (2003). Case study research. design and methods. 3rd ed. London: Sage.