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Title: Challenges and Benefits of Outsourcing Information System Development Function
Other Titles: The Case of National Bank of Ethiopia
???metadata.dc.contributor.*???: Dr. Tibebe Beshah
Teshome, Iyasu
Issue Date: Jun-2017
Publisher: Addis Ababa University
Abstract: Outsourcing Information System is rapidly growing internationally and locally in different organizations including the Banking sectors that are commercial and regulatory bodies to manage and achieve the mission given to them. National Bank of Ethiopia which has the mandate to regulate and keep the healthiness of financial sectors considered outsourcing as a means to achieve its mission. The bank outsourced the many functions of its information system like its System or Application development function; Data center management function, Infrastructure management function and help desk service function. In this research the application/ system development outsourcing function is studied and the bank outsourced its six mission critical system to International and local vendors to gain benefits from the outsourcing of Information system development. Despite the benefits the bank has faced many challenges and surprisingly the bank has not devised outsourcing strategies to mitigate the challenges. The objective of this study is to identify the key driving forces for the bank to outsource its Information system development, to examine benefits the bank gained from outsourcing; to investigate the core challenges the bank faced while outsourcing information system development function and to find out outsourcing strategies utilized to tackle the challenges. The research employed qualitative research methodology, and therefore interview, document analysis and observation supported by checklists are used as data collection methodology. The data collected are analyzed from the perspectives of research questions and specific objectives of the study. From the data analysis it is clearly observed that the bank outsourced its information system because of political or external forces, standardization by which National Bank should have in relation to system to lead financial sectors. In addition from the analysis the bank benefited from some of the application outsourced but in reverse the bank has faced challenges and it has no outsourcing strategies to solve or minimize the challenges.
Description: A Thesis Submitted to School of Information Science in Partial Fulfillment for the Degree of Masters of Science in Information Science.
Appears in Collections:Thesis - Information Science

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