ABSTRACT
Abstract: This chapter investigates the links between outsourcing and strategy. Traditional outsourcing literature has done little investigation on the effect of a firm’s strategic profile on outsourcing. This chapter explores this effect. Using Miles and Snow’s typology, it is posited that prospectors will display higher usage of outsourcing to manage IT operations than analyzers. These, in turn, will rely more on outsourcing than defenders. The chapter also investigates the contract type that each group is likely to use. Analyzers and defenders are more likely to rely on complete contracts than are prospectors, who will tolerate incomplete contracts.
