IT Services Sector Research Articles

Strategic management in digital transformation: prioritizing strategic initiatives through Analytic Hierarchy Process (AHP) in Indonesia’s services sector

Purpose: The rapid pace of digital transformation has significantly impacted the IT services sector, particularly in emerging markets, such as Indonesia. This thesis explores the strategic challenges faced by Indonesian IT service providers as they navigate a competitive landscape characterized by evolving customer demands, technological advancements, and market dynamics. This research aims to prioritize strategic initiatives that align with market needs and enhance the competitive positioning of these providers. Research Methodology: By integrating strategic management frameworks such as Porter’s Five Forces, Value Chain Analysis, and SWOT Analysis with the Analytic Hierarchy Process (AHP), this study addresses the issue of stagnant revenue in PT ABC, a leading IT service provider in Indonesia. The findings indicate that AI-based product innovation and the development of low-code solutions are critical strategies for driving sustainable growth and meeting the increasing demand for advanced technological solutions. Limitations: This study underscores the importance of customer-centric approaches and continuous adaptation to maintain a competitive edge in a volatile, uncertain, complex, and ambiguous (VUCA) environment. Contributions: This research contributes to the strategic management literature by demonstrating the practical application of AHP in the context of digital transformation within the IT services sector, and provides actionable insights for IT service providers in emerging markets facing similar challenges.

AN INNOVATIVE IT SOLUTIONS AGENCY (hub of technology innovative solutions)

ABSTRACT : An innovative IT solution company that provides a variety of services, such as software development, cloud computing, cybersecurity, data analytics, and artificial intelligence, is introduced in the proposal. In order to provide unique solutions for challenging business problems, the agency plans to incorporate cutting-edge technologies like blockchain, IoT, and machine intelligence. Delivering individualised solutions through in-depth market research, agile development, strategic alliances, talent development, and all-encompassing support and training will be the agency’s primary focus. A competitive edge, better decision-making, higher levels of security, and sustained growth are among the anticipated results. By offering clients significant value and long-term growth, the agency hopes to become a leader in the IT services sector. Businesses and organisations in the modern digital age rely more and more on cutting-edge IT solutions to boost productivity, improve customer experiences, and keep a competitive edge. The goal of this project is to create a cutting-edge IT solution company that will provide services and solutions specifically designed to fulfil the demands of different industries. Service diversification entails offering a wide range of IT services, such as data analytics, cloud computing, cybersecurity, software development, and artificial intelligence (AI) solutions. Innovation Focus: To develop custom solutions that tackle particular business difficulties, take advantage of cutting-edge technologies like blockchain, the Internet of Things (IoT), and machine learning. A customer-focused strategy: Adopt a client-first approach to guarantee individualised solutions via thorough needs analysis and ongoing involvement. Guarantee of Quality: Put into practice strict quality control procedures. KEYWORDS – STEM education, interdisciplinary learning, project-based instruction, active learning, innovation

Investment Cooperation of the EAEU Countries and Latin America in Modern Conditions

The relevance of the study is related to the trend of the states of the "global" South towards a polycentric world, accompanied by an independent foreign economic course. The EAEU is interested in expanding cooperation with Latin American countries. The purpose is to conduct a comparative analysis of the macroeconomic indicators of the EAEU and LAC countries and FDI destinations based on statistical data. Objectives: to analyze the current state of macroeconomic indicators of the integration associations of the EAEU and LAC in order to identify identical development indicators; to characterize the country and sectoral directions of FDI of the EAEU countries in the countries of Latin America and the Caribbean in comparison with similar investments of the countries of the "collective" West and the United States. Methodology. Investment cooperation is analyzed within the framework of the theory of structural functionalism (Parsons) using macroeconomic indicators of foreign trade cooperation based on UNCTAD statistics on world investments, data from the central banks of Bolivia, Brazil, statistical agencies CEPAL and the Bank of Russia. Results. It has been proved that investment flows between the EAEU and LAC have developed unevenly, and the volume of investments has fluctuated significantly. This trend reflects the general stagnation of the EAEU's investment activity in Latin America outside the commodity sectors. The leading sector attracting investment is the software and IT services sector in LAC. Conclusions. There is a trend towards an increase in the volume of trade turnover between the regions of the EAEU and the LAC, but investment cooperation between the countries is slowed down due to the logistical inaccessibility of the region, the insufficient development of the port infrastructure of the LAC, the lack of interbank relations, and insufficient state support in the LAC.

The determinants of talent retention in the information technology services sector in Malaysia

This research aims to investigate the factors influencing talent retention within Malaysia's IT services sector. Specifically, it seeks to determine the impact of reward programs, career development, and work-life balance on talent retention. Conducted in a descriptive, non-contrived setting, this study employs a convenience sampling method. Self-administered online questionnaires are utilized for quantitative data collection. The research employs a correlation method to examine the association between reward programs, career development, work-life balance, and talent retention. Questionnaires, adapted from prior research, are distributed via WhatsApp and email, targeting a minimum sample size of 384. Data analysis is conducted using SPSS, a software suite designed for social science research. The study reveals that two out of the three hypotheses establish a significant relationship between rewards programs, career development, work-life balance, and the retention of talented workers in Malaysia's IT services sector. These findings suggest that attention to rewards programs and career development significantly influences talent retention in the Malaysian IT industry. The study recommends further exploration of variables that might exert a more substantial impact on talent retention within the Malaysian IT services sector. This research contributes valuable insights into the critical determinants of talent retention in Malaysia's IT services sector. The identified relationships between rewards programs, career development, and work-life balance offer practical guidance for industry professionals, informing strategies to enhance talent retention practices.

Performance management and work engagement – New evidence using longitudinal data

The value and the impact of performance management systems on employee-level and firm-level outcomes is a widely discussed topic in both academia and practice. In this paper, we investigate the impact of performance management and evaluation practices (PMEPs), such as performance appraisal interviews, formal target agreements and performance-related pay schemes, on employee-level work engagement. Building on management theories, we argue that PMEPs relate positively to employee-level work engagement. By applying a contingency perspective, we further explore the context dependence of this relationship with respect to firm size, industry, and ownership type. Using a longitudinal, linked employer-employee data set in four waves; and by applying various fixed effects regressions to account for unobserved heterogeneity, our results imply a positive and statistically significant impact of PMEPs on work engagement. We further find that the relationship between PMEPs and work engagement is smaller for larger firms and for firms in the IT, Communication & Other Services sector.

The Role of Business Model Innovation in the IT Services Sector: a Comprehensive Mapping Review

Purpose: The study analyzes the evolution of Business Model Innovation (BMI) in the IT sector, which is mentioned in many available scientific publications. The major output of this paper is concrete customer requirements that invite business model innovations to managed IT services and challenges to establish corresponding business model innovations.
 Design/Method/Approach: The study identified more than 200 journal articles and conference articles with BMI and IT service providers, and it conducted a mapping review of current research to identify relevant academic theories, implementation strategies, and BMI in the managed IT service sector while highlighting gaps in empirical research.
 Findings: Most applied are BMI and the framework of dynamic capabilities in business models of IT services. Early movers, who develop a comprehensive platform strategy, can achieve an invulnerable moat and establish a leading market position.
 Practical Implications: The insights of this study could be applied by large companies, small- and medium-sized companies and start-ups, researchers, etc. They can use the insights to innovate their current business models and improve tailored client solutions. 
 Originality/Value: The study concludes that business model innovations and IT service providers develop areas for future success.
 Research Limitations/Future Research: The design of the study is based on a systematic literature review and limited to the areas of BMI research in the IT service sector. For further research projects, individual articles can be chosen to perform in-depth analysis. Our trend analysis shows the focus on main technologies. However, this can be compared with the technologies mentioned in the Gartner Hype Cycle. Further research could be conducted to overcome limitations and cover the uncertain content of this research.
 Paper Type: Conceptual
 JEL Classification: M21, O14, O33

Economic and financial performance of Indian IT services export firms

This paper examines the economic and financial performance of the Indian IT services export sector. Specifically, economic performance is measured by total factor productivity (TFP) growth and financial performance is examined in terms of factors explaining accounting and market returns with the aid of seventy-six firm data set over a twelve year period (2004–2016).While thirty years of rapid development in the Indian IT services export sector is well documented, this paper suggests that much of the growth is attributable to replication rather than innovation. Results support the proposition that growth in the real output of Indian IT services sector is predominantly due to growth in real inputs (96%), as TFP accounts for only 4%. In addition, our estimation of Cobb-Douglas production function suggests modest economies of scale in the range of 1.06–1.14. With respect to financial performance, regression results confirm the important role of asset turnover, dividends, and debt in explaining accounting return measured by return on assets (39% adjusted R2). On the other hand, as expected, regression results explain only 10–14% (adjusted R2) of market return, which is total return on stocks including dividends. Statistically significant variables affecting market returns are: exchange rate, asset turnover, payout ratio, and standard deviation of the market return itself.

Future team leadership and empowerment in the performance of measuring virtual team productivity with information technology

Purpose: The purpose of this paper is to examine the virtual teams effectiveness in productivity, whether leadership and Empowerment with the relevant factors influencing the virtual team productivity are not. This study examines the virtual group in IT enterprises and their authority and strengthening of efficiency of a virtual group.
 
 Theoretical framework: An essential method for directing business for associations to stay serious and support in a global environment. What's more, that is used in numerous kinds and sizes of associations either as a key unit or as a supporting unit. Virtual groups in Indian programming organizations stand out explicitly inside the world wide IT service sector.
 
 Design/methodology/approach: The present study is conducted by designing the set of questionnaires with respect to the leadership and empowerment of a virtual team and the performance of virtual team factors. And it is distributed to the organization, which uses a virtual team. The questionnaires were distributed to the 300 participants; only 257 responses are received from the company. From the 300 respondents, 43 responses were rejected because the response is not clear, so a total of 257 responses are taken. By using a 5-point Likert scale, the questionnaire was prepared.
 
 Finding: The relationship between the team effectiveness, team performance, and empowering the leadership of the hypothesis are empirically tested. The result indicated that the empowerment and leadership of a virtual team enhanced the performance and productivity of a virtual team.
 
 Research, Practical & Social Implication: The paper contributes to a better understanding of the internal processes within a virtual team in order to develop the effectiveness through Leadership and empowerment which increase the productivity.
 
 Originality/value: Notwithstanding the inescapability of overseeing virtual groups, associations find it especially provoking for virtual colleagues to display and deal with their initiative ways of behaving.

Performance of IT Software and Service Sector in GDP Contribution of Developing Countries

According to the WESP (World Economic Situation and Prospects, 2019) the countries in the world are divided into; developed countries, transition countries and developing countries. The United Nations Economic and Social Council decided to choose some of the countries from developing countries as least developed countries as per three different indexes; Index of human assets, per capita GNI and economic vulnerability index. The paper aims to analyze the performance of the IT software and service sector in GDP (Gross Domestic Product) contribution of developing countries as well as least developed countries, least developed countries are chosen to have a comparison between the performances of those sectors in different economies. The data has been chosen from United Nation Conference on Trade and Development from 2000s to 2017, and for comparison 20 developing countries and 14 least developed countries from these regions; Latin America, Africa, Western Asia, and East Asia as well as South Asia, have been chosen too. We found; the average share of the service sector and IT software sector were 53 percent and 32.6 percent in GDP growth of all developing countries, and 47.02 percent and 22.57 percent in GDP growth of all least developed countries, respectively, that shows the share of these sectors in developing countries are higher than the least developed countries, and as per the data, the performance of these sectors are much higher in developing countries than the least developed countries

When and how does perceived overqualification lead to turnover intention? A moderated mediation model

PurposeThe study is aimed at developing and testing a theoretical model where psychological capital acts as the intervening mechanism explicating the relationship between perceived overqualification (POQ) and turnover intention. It also explores how perceived supervisor support (PSS) influences the mediating role of psychological capital in the perceived overqualification and turnover intention association.Design/methodology/approachThe authors test the model through a sample data of 314 workers employed in the Indian IT service sector. IBM SPSS and SPSS AMOS software were utilized for conducting analysis and testing the model involving first-stage moderated mediation.FindingsThe study confirms that perceptions of overqualification have a positive relationship with turnover intentions. Further, it finds that the positive association between POQ and turnover intention will be mediated by psychological capital. The results reflected that perceived supervisor support shall weaken the relationship between perceptions of overqualification and psychological capital.Originality/valueThe research is amongst the limited researches which look at the influence of psychological capital and perceived supervisor support with regards to POQ. It attempts to lay down the underlying psychological mechanism of POQ and highlight the role played by perceived supervisor support.

An Analysis for the Skill Mismatching of IT Service Sector by Technology Changes

An Analysis for the Skill Mismatching of IT Service Sector by Technology Changes

GESTIÓN PÚBLICO PRIVADA; DESARROLLO E INSERCIÓN INTERNACIONAL. EL DEL POLO INFORMÁTICO DE TANDIL

El artículo analiza la dinámica de articulación público privada en torno al surgimiento y consolidación del Polo Informático en la ciudad argentina de Tandil. La hipótesis que guía el trabajo sostiene que el desarrollo local del sector de Software y Servicios Informáticos superó su ponderación inicial como modelo de negocio y prosperó hacia un proyecto de desarrollo estratégico para la ciudad y su inserción internacional. Los hallazgos muestran que la interacción lograda entre la universidad; el municipio y las empresas; permitió el impulso competitivo del sector; promoviendo al mismo tiempo a Tandil como una marca de exportación de software y servicios tecnológicos de calidad.

РАЗВИТИЕ СЕКТОРА ИТ-УСЛУГ В ИНДИИ И СТРАТЕГИЯ «ЦИФРОВАЯ ИНДИЯ»

Since 1990-s India has attained in the global system of international division of labour a role of computer services and business processes outsourcing center. The paper shows the place of India in world exports of computer services. It characterizes the evolution of IT services sector, (including both computer services and business process outsourcing, actually called business process management, BPM), the role of transnationals and largest Indian companies that have also become TNCs. The focus is also on startups that become unicorns as their market capitalization exceeds 1 billion dollars. Some results of “Digital India” strategy are shown.

Goal Clarity, Trust in Management and Intention to Stay: The Mediating Role of Work Engagement

Drawing from the Job Demands-Resources (JD-R) theory, the study explores the relationship between goal clarity, trust in management, work–family conflict and intention to stay among managers in the IT and Information Technology Enabled Service sectors. It also analyses the mediating role of employee engagement in the relationship between job resources (i.e., goal clarity and trust in management), job demands (i.e., work–family conflict) and intention to stay. Data were collected through a structured questionnaire from 200 managerial level employees in India. The model was tested using structural equation modelling techniques. Results indicate that employee engagement fully mediates the relationship between goal clarity, trust in management and intention to stay. This study makes significant theoretical contributions by exploring and establishing the relationship between goal clarity and intention to stay. It also contributes to relevant literature by demonstrating the mediating effects of employee engagement with goal clarity, trust in management and intention to stay of managerial level employees. In addition, this article describes the practical implications of work engagement and intention to stay.

Género y tecnologías digitales: ¿qué factores alejan a las mujeres de la programación y los servicios informáticos?

El texto tiene por objetivo sistematizar la literatura que aborda la relación entre género y actividades informáticas en los últimos años, específicamente aquella que de distintos modos ayuda a responder a la pregunta por los factores que alejan a las mujeres de las actividades laborales vinculadas a la informática, prototípicamente ubicadas en el sector de software y servicios informáticos (SSI) en Argentina. Aunque la pregunta es, a primera vista, bastante acotada, su respuesta lleva a revisar una vasta literatura. Dedicamos el primer apartado, primero, a delimitar el objeto del escrito, definiendo a las actividades informáticas; y segundo, a destacar la importancia de esta problemática, lo que implica repasar la situación actual del nivel de participación de las mujeres en las actividades informáticas, especialmente a nivel nacional, e incorporando datos sobre el ámbito laboral y la educación superior. El segundo apartado precisa el criterio de ordenamiento de la literatura. Luego, cada sub-apartado da cuenta de la literatura que ha realizado aportes para cada una de las etapas identificadas. Finalmente, presentamos las consideraciones finales.

The Emotional Intelligence in IT Employee’s

In the quest to develop leaders who will foster a culture of equity and inclusion in the workplace, a critical factor to assess is Emotional Intelligence. EI (Emotional Intelligence) is a way for us to recognize our emotions as well as the emotions of other people. Individuals who are high in EI can recognize the emotions of others and are able to convey and regulate their own emotions. At organizations, work pressure, strain, anxiety, fearfulness, angstand depression are all related to Emotional Intelligence. These emotions could affect a person’s performance at workstation. Emotions can impact a performance, they can either create a high or crash the employee’s morale which will affect the persons performance positively or negatively. The research paper casts light upon the measurement of EI, and how it impacts an employee’s performance. The highlights the job performance, the importance of performance index. The main purpose of the research analysis is to understand the effectivenessEIin IT(Service Sector), and how it influences their performances. The research methodology used in the study is a hybrid approach that consists of exploratory and descriptive research methods. The exploratory research is considered as the primary research method, while the descriptive research method is considered as the secondary data. We will analyze the relationship between dependent variable and independent variables of factors affecting the development of emotional intelligence of employees. This research is conducted in IT organizations in Chennai, for feasibility purpose

A novel stylized model for platform ecosystem dynamics: Understanding IT service transformation from firm theory perspective

This paper studies platform ecosystems, which refer to a novel solution built upon a platform coordinating business interactions between suppliers and users, particularly in the IT service sectors....

Anatomy of an innovation in IT service

The case study covers aspects of service innovation in the IT services sector. The client Nordics is a global telecommunication major. They have a large and diverse set of IT business applications, most of which is on SAP applications. The subject of the case study is that of SAP Releases, the service of enhancing and creating new business functionalities in the existing business applications. The case is seen from the perspective of the Program Manager of the SAP Release service. This service is delivered by the IT Services major AVON. The case study covers the full lifecycle of the innovation in service, from the identification of the need, conceptualization and creation of the service offering up till pilot execution. The important aspects of innovation in the revenue model and service delivery model are also covered. The case can be analyzed from two perspectives, as a detailed lifecycle of a major innovation in service or as a requirement of dynamic capabilities in the IT service provider organization, to bring about that innovation.

The role of local embeddedness and non-local knowledge in entrepreneurial activity

The article investigates whether the history of individuals’ spatial relocation has an impact on their propensity to perform an entrepreneurial entry and post-entry performance of firms they start. By looking at entrepreneurs in the IT services sector in Swedish non-core regions between 1991 and 2010, the article investigates the interaction between individuals’ embeddedness in local networks and their exposure to external knowledge accumulation opportunities across different geographical settings, as well as its impact on their entrepreneurial activities. The results of the analysis suggest that individuals with broad spatial relocation histories are more likely to start IT firms in non-core regions, which, in turn, may be expected to survive longer. It is, therefore, claimed that non-local knowledge accumulated through spatial relocation is an important complement to embeddedness in local networks in non-core regions. This complementarity is further related to the evolution of the IT services sector over time.

Labour force building in a rapidly expanding sector

Between 1991 and 2010, jobs in the knowledge-intensive IT services sector in Sweden increased from 30,000 to 104,000. Departing from recent theoretical insights suggesting that the skill composition of worker inflows is an indicator of knowledge relevant to employers, we investigate labour inflows into the sector. Who were the people getting jobs in this expanding sector? And, how were their skills valued by employers as the sector evolved? Our findings suggest that sectoral evolution was not reflected in how the skills of incoming workers were valued, but rather in who was hired into the sector. The paper suggests that the analysis of worker inflows is a tool for investigating the evolution of both sectors and their knowledge bases. It provides some lessons for industrial and educational policies regarding technologically turbulent industries, and takes the first step towards developing an approach that integrates industry dynamics with labour force sourcing and evolution.