Abstract

Globalization trends have caused organizations to outsource tasks to specialized external organizations. This outsourcing strategy helps firms improve their competitive position, save money and time, reach more customers, downsize without reducing impact, or simply accomplish additional work without increasing employees. Research shows that team trust is critical for success, yet trust is difficult to establish and sustain in an outsourcing environment since these teams are formed quickly and often include virtual team members external to the parent organization. This paper examines the effects a boundary spanner can have on team trust and presents a model for incorporating trust into project governance. Findings suggest that boundary spanner behavior exemplified through traits of competence, experience, trustworthiness, expertise, and innovativeness can enhance project team trust. It was also found that governance control via shared goals, communication protocols, role expectations, and knowledge sharing leads to greater levels of team trust and success. Practical implications are that organizations involved in outsourcing should develop and retain boundary spanners, a boundary spanner role should be included as early as possible in the outsourcing process, and a form of project governance and standard procedures should be implemented for all outsourcing projects.

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