Towards Evaluating the Risks of Software Services Outsourcing Industry

Abstract

Modern knowledge base economy is fuelled by Information and Com11111nication Tech 11 logics (JCT). One of the principal constituent tests of ICT is software. Software industry can be classified into software products and softu1are services industries. Software services inducting provides outsourced offshore services to clients and has grown rapidly in the last few decades. ln order to maintain sustainable global competitiveness, software services outsourcing industry must successfully counter and mitigate myriad risks in conducting business and sustaining competition. Existing risk assessment methods rely on measuring probability of risk events, which is difficult to measure in real life. This paper presents a more practical method of risk assessment t through articulation of risk factors involved at every stage of the offshore project manage 111ent, from bid to completion of the project. Use of this method has been demonstrated through a real-life case study.