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Constraining Opportunism in Information Systems Consulting: A Three Nation Examination
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2019 | Journal of the Association for Information Systems | Citations: 1
Authors: Watson, Richard; Dawson, Gregory; Boudreau, Marie-Claude; Li, Yan; Zhang, Hongyun; Huong, Wayne; Aljabri, Ibrahim

Abstract: In the context of IS consulting, this study applies the principles of engaged s ... Expand

Abstract: In the context of IS consulting, this study applies the principles of engaged scholarship to examine the perennial problem of constraining opportunism. Using constructs proposed by the theory of relationship constraints, this paper examines the relative effectiveness of different constraint mechanisms on information systems (IS) consultants in China, Saudi Arabia, and the United States, for projects with different levels of information asymmetry, tacit knowledge, and explicit knowledge. While we found support in all of these countries for the salience of these dimensions, there are important distinctions in the effectiveness of different constraints among the countries. Generally, consulting clients in the United States believe that social constraints are more effective, while those in China and Saudi Arabia favor legal constraints. Our research suggests that these findings are a result of differences in legal systems and the foundations of social norm formation. Our findings highlight the importance of tacit knowledge and information asymmetry (over explicit knowledge), and we provide a conceptual model for an IS-interventionist approach to reducing opportunism. Collapse

Semantic filters: theory of relationship constraints

Topics: implicit knowledge explicit knowledge IT project procurement management legal information system

Methods: qualitative interview survey multivariate analysis of variance parametric test Student's t-test

Theories: lemon market theory agency theory theory of relationship constraints
Risks and Controls in Internet-Enabled Reverse Auctions: Perspectives from Buyers and Suppliers
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2017 | Journal of Management Information Systems | Citations: 0
Authors: Sambhara, Chaitanya; Rai, Arun; Keil, Mark; Kasi, Vijay

Abstract: Internet-enabled reverse auctions (RAs) are touted as a means of making the proc ... Expand

Abstract: Internet-enabled reverse auctions (RAs) are touted as a means of making the procurement process more effective and efficient, but as is often the case with information technology (IT), there can be risks that managers need to be aware of and mitigate in order to realize the benefits. Using the Delphi methodology followed by semistructured interviews, we identify buyer and supplier perspectives on risk factors associated with RAs and the controls that can address key risk factors. We find that the risk factors map to (1) auction process governance, (2) organizational contingency, (3) buyer–supplier relationship, and (4) agency and transaction cost. Drawing on the findings, we advance an RA risk-control integrative model and formulate corresponding propositions (1) comparing buyers’ and suppliers’ perspectives on risks associated with RA use and (2) identifying controls to mitigate the risks. Our research contributes to theory by (1) surfacing that RAs introduce novel risks and that buyers and suppliers can have either similar or remarkably different views regarding particular risks, (2) showing how both buyers and suppliers can create information asymmetry and act opportunistically, and (3) uncovering the role ofinput controls, a type of control that has not received much attention in the literature on controls for IT initiatives, as an effective means of addressing most of the key risk factors. For practitioners, our study provides guidance about a wide range of risk factors that both parties could face when using RAs, the adverse consequences of these risk factors, and the controls that can be established to mitigate the key risk factors. Collapse

Semantic filters: theory of relationship constraints

Topics: interorganizational relationship procurement management marketing management innovation management business-to-business

Methods: qualitative interview delphi study literature sample literature study personal interview

Theories: transaction cost economics lemon market theory theory of relationship constraints agency theory
Assessing the Relevancy of National Culture in Predicting the Efficacy of Constraints in the Information Systems Consulting Domain

2013 | International Conference on Information Systems | Citations: 0
Authors: Dawson, Gregory; Li, Yan; Zhang, Hongyun; Huang, Wayne Wei; Watson, Richard

Abstract: Opportunism is present in professional services and, as a result, organizations ... Expand

Abstract: Opportunism is present in professional services and, as a result, organizations adopt mechanisms to constrain it. Despite the work on constraining opportunistic consultants, researchers have generally ignored the potential impact of national culture on the efficacy of constraint mechanisms. Using the theory of relationship constraints (TRC), this study examines the effectiveness of different constraint mechanisms for information systems (IS) consultants in the United States and China based on different levels of information asymmetry, tacit and explicit knowledge. While we found support in both cultures for the salience of these dimensions, we also found important distinctions for the effectiveness of different constraints between the cultures. Legal constraints are more effective in China while social constraints are more effective in the United States. While TRC is relevant in both cultures, national culture moderates the effectiveness of various constraint mechanisms and highlights the need for additional study. Collapse

Semantic filters: theory of relationship constraints

Topics: explicit knowledge procurement management national culture cross cultural research spreadsheet

Methods: survey multivariate analysis of variance Student's t-test general multivariate regression model longitudinal research

Theories: lemon market theory theory of relationship constraints
Information Asymmetry in Information Systems Consulting: Toward a Theory of Relationship Constraints

2010 | Journal of Management Information Systems | Citations: 38
Authors: Dawson, Gregory S.; Watson, Richard T.; Boudreau, Marie-Claude

Abstract: Opportunism, or self-interest seeking with guile, is often witnessed in human be ... Expand

Abstract: Opportunism, or self-interest seeking with guile, is often witnessed in human behavior, and it bedevils human interactions and relationships. Organizations expend considerable effort to reduce opportunism. Agency theory espouses formal contracts as effective constraints on opportunism; however, a consultant's use of tacit knowledge subjects clients to information asymmetry that is not amenable to formal contracts. The principal-professional lens was developed to accommodate the presence of tacit knowledge, but it ignores formal contracts and, like agency theory, ignores the existence of principal opportunism. This examination of information systems (IS) consulting notes that when information asymmetry is present, both clients and consultants sometimes behave opportunistically. The level of information asymmetry, the type of knowledge, and the level of contract specificity in an IS consulting engagement determine the mixture of legal and social constraints that are efficacious. Based on these revelations and the inadequacy of other theories, a theoretical model of relationship constraints is developed to explain the interplay between signaling and screening, knowledge type, contract specificity, and the levels of information asymmetry in predicting adopted constraint mechanisms. For researchers, this new model offers a lens to study opportunism from a knowledge-based perspective, whereas for practitioners it offers the possibility of forestalling a decline in markets due to rampant opportunism. Collapse

Semantic filters: theory of relationship constraints

Topics: knowledge type implicit knowledge explicit knowledge systems implementation information systems strategy

Methods: qualitative interview theory development field study business process modeling qualitative coding

Theories: lemon market theory agency theory theory of relationship constraints

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Found 4 articles

Constraining Opportunism in Information Systems Consulting: A Three Nation Examination

Risks and Controls in Internet-Enabled Reverse Auctions: Perspectives from Buyers and Suppliers

Assessing the Relevancy of National Culture in Predicting the Efficacy of Constraints in the Information Systems Consulting Domain

Information Asymmetry in Information Systems Consulting: Toward a Theory of Relationship Constraints