1 AIT Asian Institute of Technology

Impacts of information technology outsourcing on financial institutions in Thailand

AuthorRachchabhorn Wongsaroj
Call NumberAIT Diss. no.SM-13-07
Subject(s)Information technology--Management--Thailand
Financial institutions--Information technology--Thailand

NoteA dissertation submitted in partial fulfillment of the requirements for the degree of Doctor of Philosophy in Management of Technology
PublisherAsian Institute of Technology
Series StatementDissertation ; no. SM-13-07
AbstractInformation technology outsourcing (ITO) studies have been the focus of researchers for decades. One topi c has been the factors and impact of ITO on organizations. Inconclusive findings about relationships between the levels of ITO and ITO success demand further exploration on this issue. In Thailand, the National Electronics and Computer Technology Center (N ECTEC) reported that the financial and banking industry has the highest spending of computer services, primarily by outsourcing the core banking and service management systems ( NECTEC, 2010 ) . Despite this, ITO research in Thailand’s financial industry has been limited. This study is among the first to empirically investigate the relationship between the levels of ITO, defined as the percentage of IT activities and components selected to be outsourced, and ITO success, defined by the benefits received from outsourcing in Thailand. A three - pronged app roach was used in this study. It began with a comprehensive literature review. This was followed by in - depth expert interviews with representatives from financial institutions, academia, and outsource vendors, all who offered opinions that shaped the devel opment of the research model. A survey was then carried out with 428 IT personnel from the Thai financial sector. The results were analyzed using a structural equation model (SEM). Contrary to previous studies, this study found that internal uncertainty and internal IT skills were two factors that do not affect the levels of ITO, while transaction costs and specific assets do. In addition, it was found that the levels of ITO have impact on ITO success. In a real world application, this study focused on the different levels of ITO implementation among Thailand’s top five banks and their effects on ITO success. The findings increase researchers’ understanding regarding the factors that affect the levels of ITO and suggest that, among the many factors, prac titioners must consider the levels of ITO when making ITO decisions. This framework can help practitioners optimize their ITO practice for successful ITO outcomes
Year2013
Corresponding Series Added EntryAsian Institute of Technology. Dissertation ; no. SM-13-07
TypeDissertation
SchoolSchool of Management (SOM)
DepartmentOther Field of Studies (No Department)
Academic Program/FoSMaster of Business Administration (MBA) (Publication code=SM)
Chairperson(s)Donyaprueth Krairit
Examination Committee(s)Vatcharaporn Esichaikul ;Do Ba Khang
DegreeThesis (Ph.D.) - Asian Institute of Technology, 2013


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