Abstract

Trust is considered one of the most important factors for successfully managing software outsourcing relationships. However, there is lack of research into factors that are considered important in establishing and maintaining trust between clients and vendors. The goal of this research is to gain an understanding of vendors' perceptions of the importance of factors that are critical to the establishment and maintenance of trust in software outsourcing projects in Vietnam. We used a multiple case study methodology to guide our research and in-depth interviews to collect qualitative data. The participants of study were 12 Vietnamese software development practitioners drawn from 8 companies that have been developing software for off shore clients. Vendor companies identified that cultural understanding, creditability, capabilities, and personal visits are important factors in gaining the initial trust of a client, while cultural understanding, communication strategies, contract conformance, and timely delivery are vital factors in maintaining that trust. We also identify similarities and differences between Vietnamese and Indian practitioners' views on factors affecting trust relationships.

Highlights

  • This paper describes an empirical investigation into the perceptions of software practitioners on the role of trust in software outsourcing relationships

  • A growing consensus in the business literature is that trust between transacting parties is a vital factor in business relationships (Deutsch, 1962, Creed and Miles, 1996, Blois, 1999, Kanawattanachai and Yoo, 2002)

  • This article advances the knowledge in trust management of software outsourcing relationships by exploring the factors that are considered important in establishing and maintaining trust relationships

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Summary

Introduction

This paper describes an empirical investigation into the perceptions of software practitioners on the role of trust in software outsourcing relationships. The goal of our research is to gain an understanding of software practitioners’ perceptions of the importance of trust in software outsourcing relationships and the factors that facilitate the establishment and maintenance of trust between a client and vendor. There are few studies into the role of trust in software outsourcing relationships. As noted earlier given the paucity of previous studies into the role of trust in software outsourcing relationships, and the increasing number of outsourcing relationships between companies from different countries with different languages and cultures, we investigate trust in outsourcing relationships by answering the following questions: What factors are important for. Researchers seem to agree that trust refers to an aspect of a relationship between parties, in which the parties are willing to accept risk for commitments that will (hopefully) result in a positive desired outcome (Mayer et al, 1995). Oza et al (2005) define trust in software outsourcing relationship as “clients

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